Is Ethereum an altcoin?

Yes, Ethereum is an altcoin. Altcoins are any cryptocurrencies other than Bitcoin, and Ethereum falls into this category. It is one of the most well-known and widely used altcoins in the cryptocurrency market.

What drives the price of Ethereum?

Various factors, including supply and demand dynamics, market sentiment, technological advancements, network upgrades, regulatory news, and the cryptocurrency market's overall health, influence Ethereum's price. Major developments within the Ethereum platform and upgrades to improve scalability, security, and functionality can also significantly impact its price.

How to buy Ethereum for beginners?

If you are a beginner, onboarding a centralized exchange to buy Ethereum makes the most sense. To start buying ETH on a CEX, you must first create an account and then verify the KYC credentials. On the exchange, you can even buy ETH via peer-to-peer trading.

Can I invest $100 in Ethereum?

Yes, you can invest $100 in Ethereum, provided you onboard a relevant exchange that has a minimum buying limit of less than 100 bucks. Some exchanges have a fiat deposit and crypto buying limit of $1, making it easy to purchase $100 worth of ETH. Also, if you follow Ethereum’s price action, with it moving from under $1 to $4800, even a $100 investment makes sense.

Is Ethereum available on Coinbase?

Yes, Ethereum is available on Coinbase. You can buy, sell, and trade Ethereum (ETH) on the platform, which supports various Ethereum-related features and other cryptocurrencies, making it highly accessible to users.

Is it safe to buy Ethereum now?

Buying Ethereum (ETH) is relatively safe as it is one of the less volatile cryptocurrencies. It is the second largest crypto player by market cap, a feat that lends it credibility. And even though it is trading a lot lower than its all-time high of almost $4900, there is no immediate threat of the prices crashing to sub-2016 levels.

How does Ethereum differ from Bitcoin?

While both Bitcoin and Ethereum are blockchain-based cryptocurrencies, they have distinct purposes and capabilities. Bitcoin was created primarily as a digital currency to facilitate peer-to-peer transactions. Ethereum, on the other hand, extends beyond being a digital currency by providing a platform for building decentralized applications (DApps) and smart contracts, which automatically execute transactions when certain conditions are met. Ethereum's native token, Ether (ETH), is used to power transactions on its network.

Should I buy Bitcoin or Ethereum?

You can buy BTC or ETH, depending on your personal preferences. If you prefer PoW cryptocurrencies, Bitcoin makes more sense. However, Ethereum is more energy-efficient, courtesy of the PoS transition. Also, Ethereum is priced lower per unit than Bitcoin.

Ethereum is a decentralized entity and, therefore, has no owners. However, it has co-founders, with Vitalik Buterin being the most popular name. Other known individuals associated with the founding team are the Cardano Founder Charles Hoskinson, Anthony Di Lorio, Joseph Lubin, Mihai Alisie, and Gavin Wood.

Who is the biggest ETH holder?

If you are looking for an ETH holding pattern, Vitalik Buterin is the biggest individual ETH holder. His address, VB 3, is ranked 25th and holds 0.20% of the total supply. However, if you want to include businesses, Binance 7 and Binance 8 — two hot wallets of the Binance ecosystem — hold over 2.3% of the total supply.

How can I buy ETH in the U.S.?

To buy ETH in the U.S., you can rely on compatible centralized exchanges like Binance U.S., Coinbase, and more. You can also buy ETH via U.S.-based P2P exchanges, which include Paxful and LocalBitcoins. However, you must check the regulations posted by the platform before proceeding.

Is Ethereum legal in the U.S.?

Yes, Ethereum is completely legal in the U.S. Per the N.Y. Court, ETH is tagged a commodity and not a security, as initially argued by the SEC. Therefore, trading in Ethereum isn’t subject to the same set of regulations imposed on bonds and stocks.