Buy Polkadot 2021 - Credit Card, PayPal - Step-by-Step Guide
But is buying Polkadot worth it at all? How can you buy Polkadot? Which brokers or exchanges are recommendable? And what are the costs and fees?
In this article, we show you step-by-step how to buy Polkadot from the popular provider Libertex.
Where can you buy polkadot?
Broker fully regulated
Huge selection of coins
Buying a polkadot: What should you look out for?
Before you buy polkadot, you should ask yourself three basic questions:
Question 1: Why do I want to buy Polkadot?
First of all, as with any investment, the question is why - what are the personal reasons for investing? As an investor, do you want to invest in the promising blockchain platform and profit from its development? Do you want to support or become part of the project team and the community?
Many investors will realise that they want to invest in Polkadot primarily with the intention of making a profit; on the other hand, they have less explicit interest in the technical functioning and use cases of the blockchain. It would then be enough to be able to earn money with the price increase of the DOT token.
Question 2: Do I have to buy physical Polkadot or is a Polkadot CFD enough?
Following on from the previous question, if you want to support the Polkadot project out of conviction, you should buy physical Polkadot. These can be purchased on a crypto exchange such as Binance.
Investors who simply want to earn money with Polkadot because they expect further price increases should buy a Polkadot CFD from the broker Libertex. This allows you to participate in the price development, buy Polkadot cheaply and sell it if you want to do so again.
Question 3: How high are the fees at the provider under consideration?
Whether broker or stock exchange: The return of a Polkadot investment is also strongly influenced by the costs and fees of the provider. A comparison of fees between the providers is recommended. Attention must be paid to the amount of:
In our Polkadot test, the broker Libertex came out on top with low commissions and a convincing price-performance ratio.
Buying polkadot for beginners in 3 steps
We recommend the online broker Libertex for buying Polkadot. After registering with the broker and making a deposit into your account, you can buy Polkadot in just a few minutes.
Step 1: Register with the crypto exchange Libertex
First, you should change the language of the Libertex website from English. To do this, click on "English" in the top right-hand corner of the navigation bar.
At the top right of the navigation bar you will find the orange button "Register". Click on the button, the trading platform will open in a new browser window. Click on the "Login" button again in the top right corner and then on the "Register" button.
The registration form will open as a pop-up, just enter your email address and your desired password. Click on "Register an account" to complete the account registration.
Step 2: Deposit to your account
In the next step you need to deposit money into the trading account. Click on the "Make a deposit" button to open the deposit menu.
Several deposit methods are supported at Libertex, with credit card and instant bank transfer being the most popular because the funds are credited immediately.
Then choose your desired deposit method and enter the transfer amount. You can start with a minimum deposit of 100 EUR, if you transfer more than 500 EUR you even get a 15 EUR welcome bonus.
Click on the "Deposit" button to complete the deposit process.
Step 3: Buy Polkadot
After the money has arrived in your trading account, you can finally buy Polkadot. You will find a search bar at the top of the screen, just enter "Polkadot" here, the search result Polkadot will appear.
Click on the blue button "Open Trade". On the left side you will see a price chart with the current Polkadot price. On the right hand side you have the buy menu: Enter your desired purchase amount and leave the multiplier at "1" if you want to trade without leverage.
By clicking on the "Buy" button you can complete the purchase of the Polkadot! Congratulations, you have just bought your first Polkadot! To monitor or adjust your trading position, simply switch to the portfolio menu.
Broker or exchange: Where is the best place to buy Polkadot?
You can buy Polkadot from brokers or crypto exchanges - which option you should choose depends on your own wishes and goals. If you want to hold the tokens in your wallet and send them, an exchange is more suitable. Investors who primarily want to profit from the price development are better off with a broker.
With a crypto broker, you can trade with a CFD. With this financial instrument (a derivative), one profits if the price develops correctly, without having to worry about safe storage in wallets and the functioning of smart contracts.
Another advantage is that crypto brokers are strictly regulated and licensed by state financial supervisory authorities, which is why you can rely on separate account management for customer funds and legal deposit protection for customer deposits.
The best crypto broker where you can currently buy Polkadot is Libertex. Regulated by the Cyprus Securities and Exchange Commission (CySEC), Libertex has over 2.1 million customers worldwide and is known for its sponsorship of prestigious football clubs FC Valencia and Tottenham Hotspurs.
At a crypto exchange, you can buy real Polkadot, which can then be stored in a Polkadot wallet or sent to other people and parties.
Those who believe in the future of the blockchain project and its community may prefer such an investment. However, more time is required to manage and store the DOT.
If you want to buy physical Polkadot, it is essential to first familiarise yourself with how wallets work, smart contracts and how to handle private/public keys.
In addition, one should know about different types of wallets and the advantages of hardware wallets.
How high are the fees when buying Polkadot?
Libertex logoYou want to buy Polkadot cheaply without spreads or high transaction fees? We recommend the broker Libertex, which convinces with a low commission and high user-friendliness. The exact amount of the commission depends on the trading activity and liquidity, it is usually between 0.3 - 0.5 %.
The purchase of Polkadot at Libertex is associated with the following costs and fees:
0,3 – 0,5 %
Polkadot Price: Important Moments in Polkadot's Price History
- 1On 20 August, the Polkadot price stood at around 2.90 USD before a strong bull run began, culminating on 1 September at over 6.60 USD.
- 2After a rapid downturn to 3.70 USD on 5 September, a long sideways movement between 4-5 USD began until 24 December 2020.
- 3Since then, the Polkadot price has risen sharply and is currently trading at just over USD 10 (as of 7 January 2021).
Polkadot Wallet: Buy Polkadot with or without a wallet?
If you are only interested in the price gains without looking further into the technology of the coin, you will find it better to buy Polkadot without a wallet - here we recommend the broker Libertex.
Die-hard crypto fans, on the other hand, who find the Polkadot blockchain exciting in addition to DOT, want to send and receive tokens and are even active in the Polkadot community, should buy physical Polkadot with a wallet.
On the official website of the Polkadot project, you can find a detailed list of all Polkadot wallets supported so far, practically all of which are free to use.
Advantages and disadvantages for Polkadot investments
A major advantage of Polkadot investment is the participation in this young, dynamic and promising blockchain project. No other cryptocurrency has so far succeeded in becoming one of the top 10 coins in such a short time after its launch. This testifies to the fact that users and the community have high expectations for the future potential of the blockchain.
Polkadot advantagesAn important disadvantage is the young age of the cryptocurrency, which is reflected in above-average volatility. The beta factor of Polkadot - a measure of volatility - is far above that of better-known coins such as Bitcoin, Ethereum, Litecoin or Cardano.
It is also regrettable that no major use case of the Polkadot blockchain involving corporations or well-known institutions has yet become known. So it could still be a long time before the Polkadot blockchain is adopted on a mass scale.
Ultimately, Polkadot joins a long list of competitors in the battle for the "King of dApps" - the most popular and sought-after smart contract-enabled blockchain platform. A race in which, so far, the Ethereum platform, strengthened with Ethereum 2.0, is clearly the contender for victory.
Buying DOT - the conclusion
We advise beginners to buy Polkadot at Libertex, because here you can profit from the current price development with a Polkadot CFD without having to worry about the safe storage of the tokens in a Polkadot wallet. In addition, you can also trade with a 1:2 leverage, whereby the increased risk must be taken into account.
At the regulated online broker Libertex, you can buy Polkadot without a spread or deposit fees, only a minimal commission of between 0.3-0.5% has to be paid.
Investors can either buy real Polkadot or trade a Polkadot CFD. Real Polkadot tokens can be bought via a crypto exchange and stored in a crypto wallet, with hardware wallets being the most secure in the long term. Buying Polkadot is particularly easy at Libertex, our post shows how.
With a broker, the investor buys directly from the company selling the Polkadot tokens (or a CFD). A crypto exchange directly connects two investors who buy or sell directly from each other through the exchange. A broker guarantees order execution at all times, while an exchange has lower fees.
It is difficult to make sweeping statements. The historical price development shows that the Polkadot value rises when Bitcoin and other cryptocurrencies also increase in value. However, whether the crypto markets have a bull run or a bear phase depends on many factors and is impossible to predict.
No, you need a separate Polkadot Wallet for your Polkadot, the Bitcoin Wallet is not compatible. You can get a Polkadot Wallet when you buy Polkadot at an exchange, you can also download a free Polkadot Wallet for iOS/Android.
If you want to buy Polkadot on an exchange, we recommend the popular crypto exchange Binance. Here you can buy Polkadot for 0.1% transaction fee against USDTether or Bitcoin and store it in an exchange wallet.
Buying Polkadot on Libertex is a great decision for investors who want to buy Polkadot cheaply and participate in its performance. However, because you are buying a Polkadot CFD, you are not buying a real Polkadot. You can benefit from price rises without having to worry about keeping them safe in a token.