It’s forecasted that by 2025, over 75 billion devices will be connected to the IoT network. IOTA is a cryptocurrency specifically made for the Internet of Things.
IOTA’s revolutionary Tangle technology was designed to overcome the challenges that come with the current Blockchain.
With its popularity surging, more traders are choosing IOTA. So that’s why in this article we’ll be going over how to buy IOTA and the best places to buy it.
What Is IOTA?
According to the official definition, IOTA is an open-source distributed ledger explicitly built for the Internet of Things. The platform has been designed to get rid of the traditional blocks found in a blockchain to obtain better scalability and facilitate the communication between all devices connected to the Internet of Things.
If you’re asking yourself what the ‘Internet of Things’ (IoT) means, don’t worry, it’s a simple concept. IoT refers to all the billions of devices connected to the internet, including airplanes, smart buildings, or even smartwatches.
How Does IOTA Work
Unlike traditional cryptocurrencies, IOTA does not use a blockchain but rather a ‘Tangle’ system where transactions are entangled together. One of the main differences between IOTA’s underlying network is that confirmation rates improve if more people use it.
The core concept behind the Tangle is that users must validate and confirm two previous and existing transactions before sending theirs. IOTA doesn’t have miners like traditional cryptocurrencies; instead, all Proof of Work is done by the submitters of transactions.
Top 4 Places to Buy IOTA
As one of the most popular cryptocurrencies in the world, IOTA is available in a wide variety of exchanges. Most exchanges are available worldwide. However, U.S. residents might encounter some difficulties while buying IOTA as many exchanges have outright banned them.
How to Buy IOTA on Binance
Binance is the first exchange in our list because it’s by far the most popular crypto exchange in the world. It offers hundreds of cryptocurrencies in a professional trading environment that’s highly liquid. Although Binance itself dropped support for U.S. citizens, they’ve made Binance US, a platform specifically created for them.
Step 1: Get a Binance Account
Creating a Binance account is a relatively straightforward process. You’ll only need an email and password. Once you have received the confirmation email, you’ll need to verify your account using some personal information like a National ID document or Passport
Step 2: Deposit Crypto Into Your Account
IOTA has four different trading pairs on Binance, BTC, USDT, ETH, and BNB. It’s recommended to deposit one of those four cryptocurrencies. However, you can store any cryptocurrency you want and exchange it for one of the four previously mentioned.
Once you’re logged in to your Binance account, navigate to “Wallet” and click on “Spot Wallet.” You’ll see wallets for different coins, click the one that corresponds to the coin you like to deposit and follow the instructions. You will need to copy the wallet address shown.
Step 3: Buying IOTA With Credit Card
Binance has recently introduced the ability to buy cryptocurrencies and stable coins directly with your credit card.
Navigate to the buying tab and select the amount and currency you want to buy. This process is reasonably quick and allows you to buy IOTA with your credit card indirectly.
Step 4: Buying IOTA
Now that you’ve deposited or bought a cryptocurrency to exchange for IOTA, click on “Trade” and then on ‘Basic.” This is Binance’s trading interface.
You’ll need to select your preferred cryptocurrency, BTC, ETH, BNB, or USDT, to exchange it for IOTA.
Check the exchange rate first, and if you’re happy with it, input the desired amount of IOTA you wish to buy and click on Buy IOTA.
Step 5: Transfer IOTA Back to Your Personal Wallet
Now you can withdraw your IOTA to your personal wallet as it’s safer than holding it in an exchange.
Go back to your wallet and click on Withdraw, select IOTA, and input the desired address. The minimum withdrawal is 1 IOTA. Binance will take a transaction fee of 0.5 IOTA.
How to Buy IOTA on OKEx
OKEx is a derivatives cryptocurrency exchange offering a wide variety of trading options. The exchange is currently available in 195 countries. However, customers from the U.S. are not allowed to use its services.
Step 1: Create an OKEx Account and Verify It
As with most exchanges, creating an account on OKEx is simple. The platform allows new users to sign up with their email or mobile phone.
Once you receive the confirmation email and you verify your account, you’ll be ready to buy IOTA.
You’re required to pass the KYC verification to withdraw your funds from OKEx.
For the first level, you’ll only be asked for your ID document, name, and nationality. Once you have completed the basic verification level, you’ll benefit from a 100 BTC 24-hour withdrawal limit.
Step 2: Deposit Your Crypto or Buy It Within the Exchange
IOTA has four different trading pairs on OKEx, including OKB, BTC, ETH, and USDT, so if you already own any of those coins, it’s best to deposit it and exchange it for IOTA on OKEx. If you own other coins, you can exchange them for one of the four trading pairs and then purchase IOTA.
If you don’t own any crypto, OKEx allows users to buy cryptocurrencies directly through the exchange. For Bitcoin, OKEx offers a wide variety of payment options like a credit card, bank transfer, SEPA, Bpay, Payid, and many others. For other coins, the payment options might be more limited, but credit card options are always available. You can even buy USDT (Tether stable coin) with your credit card.
Step 3: Buying IOTA
Now that you own one of the four cryptocurrencies that IOTA is trading against, navigate to OKEx markets and click on the desired IOTA trading pair.
OKEx trading interface is relatively simple; pick whichever order type you want, we recommend “Limit” and input the amount of IOTA coins you wish to buy and click on “Buy IOTA.”
Step 4: Withdraw Your IOTA
If you’re not looking to trade with your IOTA coins, it’s highly recommended to withdraw the funds to your wallet. OKEx does charge withdrawal fees on all coins. However, these fees are substantially lower than most exchanges.
How to Buy IOTA on Bitfinex
Bitfinex is one of the oldest and most established cryptocurrency exchanges in the world. It offers high liquidity and a professional trading environment. The platform supports fiat currencies like Euro, CNH, or US dollars, as well as dozens of cryptocurrencies.
The exchange was launched in 2012, and it’s highly trusted and has unlimited withdrawal options but doesn’t offer its services to US citizens as it was forced to do so back in 2017.
Step 1: Create a Bitfinex Account and Verify it if Needed
First, you’ll need to create a Bitfinex account, and click on “Sign Up.” You’ll be required to choose a username, use your email, and set a secure password. Once you’ve confirmed your email, you’ll need to set up your 2FA for your safety.
Although you don’t have to verify your account if you wish to trade fiat currencies and some stable coins, you’ll need to verify your account through a KYC process.
The verification process on Bitfinex is quite simple. You’ll need to pick between verifying an individual account or a corporate one. The KYC process for the individual account involves your passport or some form of ID document as well as a bank statement with your name. Your first wire deposit to Bitfinex must be from this bank account. You’ll also need to provide Bitfinex with a proof of address and some more personal information.
The KYC process can take up to 1-2 weeks due to high demand.
Step 2: Deposit or Buy Crypto
You can deposit a wide variety of cryptocurrencies, stable coins, and fiat currencies to Bitfinex. IOTA currently has six different trading pairs on Bitfinex, EUR, GBP, JPY, BTC, USD, and ETH.
If you already hold any of these currencies, the simplest way to buy IOTA cryptocurrency is to deposit one of them on Bitfinex and then exchange it for the digital asset. If you don’t have any crypto and wish to deposit fiat currencies to Bitfinex, you can do so once you have verified your account.
You can also purchase a wide variety of cryptocurrencies using your credit card through third parties like OWNR and Mercuryo.
Step 3: Buying IOTA
Now that you’ve deposited your crypto or fiat currencies, navigate to the ‘trading’ section and select the trading pair that you need. Bitfinex interface might seem a bit confusing at first, but it’s not once you get used to it. Use a limit order to set your desired price and then input the amount of IOTA you want to buy, click on ‘Exchange Buy’ and you’re done!
Step 4: Withdraw Your IOTA
If you wish to withdraw your IOTA coins to your wallet, navigate to the withdrawal section and pick IOTA. Bitfinex charges a 0.5 IOTA fee for withdrawals but has no limit on how many coins you can withdraw.
How to Buy IOTA on Huobi Global
One of the most liquid exchanges in the market, Huobi, offers its customers the possibility to buy a wide variety of cryptocurrencies through a credit card or to participate in their own established OTC Desk.
Leon Li founded Huobi in September 2013, and it’s one of the oldest cryptocurrency exchanges.
Step 1: Sign Up to Huobi and Verify Your Account
If you don’t have a Huobi account, you need to sign-up and complete the registration process. This process involves setting up a password and filling out some necessary information like your email or phone number and nationality.
Once you receive the confirmation email, you’ll be able to log in and start using Huobi. Unfortunately, if your account is unverified, you won’t be able to deposit anything. The level 1 verification process only requires you to provide your first and last name, your residential address, a phone number, the last four digits of your SSN, and your DOB.
Once you’ve completed the level 1 verification process, you’ll be able to deposit cryptos and profit from a 2,000 USD daily withdrawal limit and a 10,000 USD monthly withdrawal limit.
Step 2: Deposit Crypto or Buy it
IOTA has three trading pairs, USDT, BTC, and ETH. If you already own one of those or any cryptocurrency, deposit it by navigating to your account and selecting the correct deposit address for your funds. Huobi doesn’t have deposit fees.
You also have the option to buy cryptos using your credit card or fiat currencies through the OTC desk.
Step 3: Ready to Buy IOTA
Now that you’ve deposited your coins, you’re ready to find out how to purchase IOTA. Navigate to the ‘Exchange’ section and pick the right IOTA trading pair. Use the limit trading order to set the price, then input the amount of IOTA coins you want to buy!
Tips on Keeping Your IOTA Safe
Now that you have IOTA coins, you should keep your funds safe, and unfortunately, exchanges aren’t the safest option.
Your personal IOTA wallet will be one of the best options. You can download the official IOTA wallet which is available on mobile and desktop.
An even safer option is a hardware wallet. IOTA is currently supported on the Ledger Hardware wallet, one of the most secure hardware wallets in the world. This option isn’t free but keeps your funds safe.
If you need the safest option to store your cryptocurrency funds, create your paper wallet.. A paper wallet is an offline storage method that allows you to print out your public and private keys on a piece of paper that you can save somewhere else. Keys are usually printed in the form of QR codes.
If created correctly, a paper wallet is the safest way to store your funds as you don’t have to worry about hackers, malware, malfunctions or errors. All you need to take care of is your piece of paper.
There are plenty of exchanges to choose from when buying IOTA. They all offer different pros and cons. Some of them will require you to verify your account through a KYC process, while others allow you to withdraw crypto funds with an unverified account.
If you’re looking at how to buy IOTA in the US, you’ll have fewer options, but you can still find plenty of professional exchanges where to buy IOTA like Binance US. If you want to withdraw large amounts of IOTA coins, Bitfinex is probably your best bet, as it has no withdrawal limits.
Regardless of how you buy IOTA, using a hardware wallet is the best way to secure your cryptocurrency.