How and where to buy Tezos in 2020: 3 easy steps to buy XTZ

If you are interested in how to buy Tezos, then you have come to the right place, because that is what this article is all about. Tezos is a blockchain network linked to the digital token known as Tez/Tezzie (XTZ). It was created with the purpose of using Smart Contracts, which are very similar of Ethereum. Tezos takes the smart contract concept to a whole new level by allowing its players to directly determine the rules of the network themselves. Tezos differs from other crypto currencies in that it does not support the mining of native tokens. Instead, token holders receive rewards for participating in the mechanism of proof-of-stake consensus.

For those in a hurry: Buy Tezos (XTZ) CFDs in three steps

Before you can buy Tezos, the first step is to create an account with a trading platform that supports the currency. Our choice is eToro. Here, opening an account is particularly easy and doesn’t even require verification for trades up to $2,000. Furthermore the provider is state-regulated and therefore subject to deposit protection.

To open an account you just need to enter your personal details in the login form on the start page.

Now you will receive an email from eToro with a link that you need to confirm. Then you’re ready to go.

To top up your trading account with real money you have to click on the “Deposit money” button at the bottom left. This will open a window where you can select the desired payment method, such as instant bank transfer.

Depending on the chosen method, the payment can now be made and the trading account can be topped up.

If the deposit was successful, the new account balance is now displayed at the bottom of the screen.

With it now the desired currency, in this case Tezos CFDs, can be bought. The easiest way is to enter the currency in the search field and thus find it. Now in the purchase field the desired adjustments can be made. Here it is also determined for how many Euro you want to buy Stellar.

If you do not want to trade real Tezos but rather Tezos CFDs, these can also be found via the search field. 

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 62% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

Should one invest in the Tezos (XTZ)?

In the same order of ideas, it is also important to consider the technical perspectives. In this respect, Tezos 2019 broke all paradigms and became the most profitable crypto currency in the top 20 of CoinMarketCap. The growth in terms of capitalization was also remarkable, allowing XTZ to quickly move up into the top 10 crypto currencies by market capitalization. 

With limited growth of 200% in 2019 – and highs of almost 300% – Tezos managed to attract the attention of both the media and investors. If this were not enough, the currency rose by another 210% in the first few weeks of 2020 until the coronavirus crisis brought it back to January levels. So is this an ideal time to invest?

Generally speaking, cryptocurrencies such as Bitcoin, NEO or Stellar Lumens are becoming more widespread and more interesting to the general public. While various industries are now using the blockchain technology for themselves, several countries are thinking about using digital currencies to help them get back on track after their failing Fiat system. So it could well be that the crypto currencies will gain in importance in the future!

The current rate

How to buy Tezos?

If you want to purchase genuine Tezos coins, you should look for a suitable crypto exchange. If you prefer to bet on Tezos CFDs, a reputable online broker will help you.

In both cases, you should pay attention to the transparency of the offer and the seriousness of the provider. The crypto market is booming and new offers appear on the market almost daily. For newcomers it can be quite difficult to keep track of the large offer. Unfortunately there are many fraudulent offers and scams among the many really good exchanges and brokers. For your own safety, it is important to research thoroughly before investing, what you should look out for when making your choice and what possibilities the various offers should offer you, you will find out now.

Differences between Tezos CFD brokers and stock exchanges

CFD brokers

  • Regulated by government & depositor protection
  • No complicated setup of a wallet necessary
  • Leveraged trading possible
  • Several deposit and withdrawal options
  • Mobile Trading: Apps for Android & iOS available
  • Demo account
  • Only possession of a certificate, not "real" XTZ
  • Obligation could raise to make additional contributions
  • Risky investment

Stock exchanges

  • Real ownership of genuine XTZ coins
  • Learning how to handle crypto currencies
  • Wide range of crypto currencies on offer
  • (Partial) trading via leverage possible
  • (Partial) Mobile Trading: Apps for Android & iOS
  • Whoever wants to hold XTZ in the long term has an advantage here in terms of fees
  • No regulation & deposit insurance
  • You are responsible for the administration of the keys yourself
  • Risky investment

The difference between real Tezos and Tezos CFDs

Since there are two ways to buy Tezos, there are therefore also two different types of Tezos investments:

  1. Brokers trade Tezos CFDs, as financial instruments that use the Tezos price as a basis
  2. With stock exchanges, one trades with “real” Tezos

Benefits to use a Broker

Functionality: When you buy Tezos CFDs, you bet on the performance of the coins and do not receive any real coins. You do not own this crypto-currency in its physical-digital form, but rather deal with the price development. You can imagine the whole thing like this: If the Tezos price rises or falls, your CFD also rises or falls. You can choose the Tezos price in a 1:1 ratio or work with a lever.

Leverage: For example, if you use a leverage of 10, then your CFD rises and falls 10 times as much as the actual Tezos price. This has the advantage that your profit is also 10 times as high. The disadvantage is that this CFD leverage is also associated with great risks.

If you do not cope with price fluctuations and excitement so well, the CFDs are perhaps not the right investment for you. Ready to invest in Tezos? We recommend this via the following platforms:

Top 3 Broker to buy Tezos CFDs

Buy crypto currencies with our first choice for crypto broker 
5/5

✔ Our first choice for crypto broker 
✔ Regulated by FCA, ASIC, CySec 
✔ 2000+ trade products
✔ Easy to use and fair pricing

Trading leveraged products such as CFDs carries a significant risk of loss and may not be suitable for all investors. 76.4% of individual investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

eToro - buy crypto currencies with award winning trading platform
4.5/5

✔ Award winning trading platform
✔ Regulated by FCA, CySec 
✔ 11 payment methods
✔ Social trading and copy trading

Trading leveraged products such as CFDs carries a significant risk of loss and may not be suitable for all investors. 66% of individual investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

4/5

✔ Broker since 1997 and 2.2M customers 
✔ Regulated by CySec 
✔ 213 tradeable assets
✔ no spreads, but transaction fee

Trading leveraged products such as CFDs carries a significant risk of loss and may not be suitable for all investors. 83% of individual investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

How stock exchanges work

Tezos token: Buying Tezos token has the great advantage that you can hope to increase the value of the currency here. If Tezos is developing as rapidly as Bitcoin, an investment could definitely be worthwhile at this point in time. Because at the moment prices are low and hopes are high. To store your coins safely, you need a wallet. When choosing your wallet, make sure you choose a reputable provider.

Crypto bots: this way you can see Tezos coins as a long-term investment or you can sell them on at the next possible high, i.e. actively trade them. Here too, there are opportunities for profits. You can also leave trading to a crypto bot. These crypto trading robots are becoming increasingly popular on the crypto scene because they take over trading fully automatically. The disadvantage is that you do not have to do the trading yourself and trading crypto currencies can be quite exciting!

Top 3 stock exchanges to buy Tezos

5/5

✔ Our first choice Crypto Exchange 
✔ High liquidity and low fees
✔ Secure Asset Fund for Users
✔ Binance Academy

Buy cryptocurrencies with our first choice crypto exchange
4/5

✔ High liquidity and low fees
✔ Many possibilities for trading
✔ Deposit via VISA, MasterCard
✔ Smartphone app available

Buy cryptocurrency with award winning trading platform
4/5

✔ Best known US Bitcoin exchange
✔ Emoney license in UK and US 
✔ Deposit via VISA, MasterCard, SEPA
✔ no spreads, but transaction fee

What happens after the Tezos purchase?

Especially as a newcomer to the world of crypto, you may wonder what happens after buying digital currency. This is how it continues:

The storage

If you have bought coins, you need, as already mentioned, a digital wallet. If you have already opened an account at a so-called crypto exchange, you also have such a storage facility – but if you do not have an account at an exchange, you have to look for a wallet provider.

The problem here is that the private key with which the wallet is controlled remains in the possession of the exchange. This means that there is actually a small security risk here. Even if today’s stock exchanges are all at the cutting edge of security technology, this does not mean that a hacker cannot succeed in getting hold of the private key.

The sale

If you want to sell your coins because the price has risen, they can be offered on an exchange at any time. Due to the fact that you don’t have to offer your coins on the exchange where you bought them, you can compare fees in advance. The fees charged by the exchanges differ greatly, so it is advisable to get an overview in advance.

Tezos - The conclusion

If you want to buy Tezos, it’s relatively easy as fast as possible – even a beginner, who hasn’t been interested in the topic so far, will probably have no problems. Due to the fact that there are different possibilities as well as platforms, you can make a comparison in advance and answer the question for yourself, which possibility seems to be especially attractive.

But even if there are some experts who think that the price of the Tezos will go up, in the end they are only prognoses – you never know if there will actually be a rise in the price. So no matter how good the forecasts are, you should always remain cautious.

Frequently asked questions about buying Tezos

Tezos is a blockchain provisioning technology that allows custom rules to be changed with minimal network disruption through an on-chain governance model. Token holders receive rewards for participating in the mechanism of proof-of-stake consensus.

Tezos can update itself through an internal protocol change process without the need for a hard fork. This is done to accelerate innovation, reduce the likelihood of controversial splits and coordinate stakeholders within a network over a long period of time, it says on the homepage of the project.

As with Bitcoin and Ethereum, developers have the opportunity to let the network vote on suggestions for improvement. While in the case of proof-of-work-based blockchains, the computing power of the miners ultimately decides whether a change is accepted or not, in the case of Tezos, this is done by the so-called “bakers”.

“Baker” is the name for block producers in the Tezos network. In order to qualify as a baker, a network subscriber or node must have a stack of at least 10,000 units of the crypto currency XTZ used in Tezos. Network participants with less than 10,000 XTZ can lend their XTZ to Baker to be indirectly involved in the verification of blocks.

If you are toying with the idea of investing your money in Tezos, you will ask yourself at the beginning how secure the trade is at all. At this point it must be said that the market is extremely volatile – price jumps are simply part of it. This means that the price can rise or fall 15 percent overnight.

If you want to invest your money in crypto-currencies, especially in Tezos , you will need nerves of steel. It’s also important to follow the news and watch the markets – in other words, to see how they react to various events.

In order to buy Tezos, you must register with a stock exchange or broker, so registration is not missing.

The only way to get Tezos without registration is mining.

Despite the great predictions for the crypto world, you should not forget that investing in cryptocurrencies involves a high risk. The high volatility does not exist in any other speculative investment objects. Although the Tezos share price seems to be quite stable, even inconspicuous news can have a quite strong influence on the performance. The crypto market is sensitive, yet more and more people are abandoning conventional investments and prefer to invest in the promising crypto currencies.

Only you can decide whether or not you want to buy Tezos.

After set-up of a free account and completion of ID verification process you can earn Tezos for the completion of lessons. Each lesson only takes a few minutes and you can earn XTZ worth up to 50$.

Take a look at the introductory lessons on Tezos and XTZ here.

Best Broker

Safe Crypto Trading

✔ Extensive trading platform: choice between real coins and CFDs

✔ Depositor protection: No risk of loss in case of hacks or bankruptcy

✔ Diverse deposit options: Bank transfer, credit card, PayPal, Skrill etc.

eToro is a multi-asset platform offering CFD and non-CFD products. 66% of individual investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Disclaimer All content on our website is for information purposes only and does not constitute a recommendation to buy or sell. This applies to assets as well as products, services and other investments. The opinions expressed on this site do not constitute investment advice and independent financial advice should be sought whenever possible. This website is not intended for use in jurisdictions where the trading or investment described is prohibited and should only be used by persons and in a manner permitted by law. Your investment may not be eligible for investor protection in your country or country of residence. You should therefore carry out your own due diligence. This website is available to you free of charge, but we may receive commissions from the companies we offer on this website.
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