So you’ve officially purchased your first Bitcoin, Litecoin, Ethereum, or Bitcoin Cash, great! Now what about all those other coins and tokens? What are those, and how can you purchase those too?
Well stick around and we’ll break down what you need to do to take that initial investment and exchange one of the major coins like BTC, ETH, LTC, and BCC for one of the hundreds of altcoins out there.
Choose an Exchange
After completing your first purchase from Coinbase and you have some type of major cryptocurrency, the next step is to choose an exchange to setup an account on.
There are a variety of exchanges to choose from, but the most important things to look for are going to be security, volume, and ease of use. Here are some to choose from, but for the sake of this tutorial we’ll be using Binance since it’s one of the largest platforms with a proven track record (read: no Mt. Gox here).
The account setup process is going to relatively similar to Coinbase where you’ll need to submit name, address, identification, etc. (all measures to protect against fraud and make trading more secure) as well as set up a strong password and 2FA (2-factor authentication). It is never advised to use an exchange that does not require 2FA, whether it be through SMS or
Click here to go to the official Binance website Below are some other major altcoin exchanges
to take a look at
● Many more!
Remember, it’s always important to do proper due diligence before transferring funds to any exchange or online wallet for trading and never use exchange wallets for long term holdings, especially larger amounts.
Create An Account
Go to the Binance site, click on “Register,” and fill out your information.
January 14, 2018: As of today, Binanance has temporarily put a
hold on new account registration.
Do to the incredible numbers of new users looking to sign up, Binance (as well as some other exchanges like Bittrex) has temporarily stopped new account registration until their systems can be upgraded to handle the influx of traffic.
While Binance is most likely still the best option for beginners getting into altcoin trading, we’ll take a look at another exchange that’s currently allowing new registration: KuCoin.
KuCoin is another user-friendly exchange that doesn’t take a long time to get started on.
The next steps will be very similar to the first Coinbase account we set up in the previous article. Just fill in your email address, name, password, and setup 2-factor authentication (2FA). Afterwards, you’ll just need to confirm your email and you’re all set!
Add Some Funds
Just like with the Coinbase account, we’ll need some way to purchase cryptocurrencies on this new exchange.
Unlike Coinbase, KuCoin and many other altcoin exchanges don’t have a way to purchase cryptocurrencies directly with fiat (USD, AUD, CAD, etc.) so we’ll need to add other funds, but which ones?
Well, this was the reason for the Coinbase account. Since we’ve gone ahead and already purchased BTC, ETH, LTC, or BCC with our card or bank account on Coinbase, we now just need to transfer that coin to the exchange we’d like to operate on.
Your brand new Kucoin account will have no funds, so we’ll need to go over to the “Deposit” tab on the front page pictured below.
From here, we’ll go ahead and select the specific cryptocurrency we purchased earlier on coinbase. In this case, I’m going to be moving Bitcoin Cash (BCH), so that’s what I’ll select.
Next up, KuCoin will show us our public address to send the Bitcoin Cash (BCH) too. Make sure you’ve select the specific cryptocurrency you’re wanting to receive. If you’re transferring Bitcoin (BTC), do not select Bitcoin Cash (BCH), and vice versa.
Now go ahead and highlight the wallet address and copy it (ctrl+c or right click “copy”).
Return to Coinbase
Now we’ll go back to Coinbase, login, and go over to the “Accounts” tab.
From here, we’ll be able to see all of our main accounts, balances, and recent transactions. Since we’re using Bitcoin Cash (BCH) for this example, we’ll click on that account tab and click the “Send” button right below our balance.
Next, you’ll be prompted for some information like where to send it to. Remember that long string of numbers and letters we copied from KuCoin? That’s our public address that we’ll be using in order to send the Bitcoin Cash. Go ahead and paste that in the box where Coinbase is asking where to send the currency to.
Now we’ll make sure that the correct wallet is chosen (BCH) and set the amount we’d like to send in either USD or BCH and we have the option to write a note (something like “To my KuCoin wallet” may be useful so you know where your money was sent in the future).
After everything is set, hit “continue” and it’ll prompt to another tab for confirmation.
Coinbase will have sent you a one-time SMS with a code for you to enter to ensure that it’s actually you wanting to send the BCH and not someone who’s made it into your account.
Type in the confirmation code and you’re all set! Now all you need to do is wait for confirmation (the “Pending” status will go away), and your funds will be on KuCoin.
Congratulations, you now have a tradable cryptocurrency on an alternative exchange that will allow you to trade for for a variety of altcoins. Take a look below at KuCoins main movers at the moment and you can start breaking into any market you like. If you’re still not sure where to go from here, stick around and in the next article we’ll cover how to actually trade on exchanges.
● Market buys
● Market sells