What Is IOTA?
IOTA is an Internet of Things (IoT) project created in 2015 by Sergey Ivancheglo, David Sontesbo, Serguei Popov, and Dominik.
The IOTA crypto was designed to facilitate microtransactions among IoT devices in real-time without any network fees. It is a special crypto as it does not use blockchain, but relies on another decentralized technology called Tangle, which is a Directed Acyclic Graph.
Tangle is what connects the platform data to the user, and there is no need for a miner to clear or validate the transactions like with other cryptos.
IOTA is currently supported on several exchanges, but the highest trading volume is on Binance, hence, our choice of exchange for today’s guide.
Before you start to buy IOTA on Binance there are some things you should have sorted beforehand:
- Get an IOTA wallet: you will need a wallet to store the coins after you have purchased them;
- Have crypto funds: IOTA is not available for trading against fiat for the time being, which means that you will have to own crypto funds in order to trade for the coin.
Getting an IOTA Wallet
Step 1: Go to the official Trinity page and download the appropriate version for your device’s system.
Step 2: Set up your wallet.
Step 3: Click the receive button.
Step 4: Generate new address.
Step 5: Copy your address.
You will need the address you copied from your wallet later in our how to buy IOTA on Binance guide when you will have to transfer your funds from the exchange.
Creating an Account on Binance
Step 1: Create a Binance account.
Go to the official page of the Binance site and register for an account (you can skip this step if you already have one).
Provide a username, password, and valid email address. Click “Register” and wait for your email to be verified. You will receive a confirmation email once the verification is over.
Step 2: Set up 2FA.
Once you have verified your email address log back into your account and activate your 2FA that is an optional step, you will want to have your account secured. You can choose between Google Authenticator or through SMS.
Funding Your Account
If you already have crypto funds in your Binance account, you can skip this step.
IOTA is traded against Bitcoin, Ethereum, USDT, and Binance Coin on the exchange, so before depositing in your account, you will first have to choose with which crypto you want to buy IOTA. Keep in mind that bitcoin has slower transaction times compared to the other three cryptos. In our example, we will show you how to buy IOTA on Binance with Bitcoin.
If you do not own any crypto, you will be required to purchase some, as Binance does not accept fiat currency purchases. If you already own one of the four mentioned cryptos, skip this step.
- Go to a trusted exchange that supports fiat to crypto trading;
- Create account;
- Go through the necessary ID verification process (most exchanges that accept fiat require scans of your ID for KYC reasons);
- Select method of funding (credit cards are faster, but they are more expensive);
- Select how much BTC, ETH, or USDT you want to buy;
- Finalize transaction.
Depositing the Funds
- Get your receiving address from your Binance account. Find Bitcoin and click the “Deposit” link at the right end of the row. This will show your receiving address Bitcoin;
- Copy the deposit address;
- Go to your external BTC wallet or other exchange accounts you may have;
- Click the “Send” button under the wallet of the currency you purchased;
- Then clicking “Send”, a dialogue window will appear and will ask you to enter an address to send your BTC;
- Transfer the BTC by entering the receiving address.
Note: Binance confirmation times may take a few hours, while Ethereum has shorted confirmation times of up to half an hour.
How to Buy IOTA on Binance
- After your funds have been credited into your Binance account, hover your mouse over the Exchange link at the top left of the page beside the Binance logo.
- From the drop-down menu, click “Basic” to get the simplified version of the platform.
- Select the trading pair after you have searched it in the right-hand column. As we are looking to trade using bitcoin, you will have to click on the IOTA/BTC pair. If you want to trade with the other pairs, you can click on IOTA/ETH, IOTA/USDT, or IOTA/BNB.
- Select which type of trade you want to make out of the three kinds available:
- Limit orders enable you to set the maximum price you are willing to pay IOTA or the minimum price you want to sell them. You will have to wait until the buyer or seller accept your price;
- Market orders allow you to exchange the coins at the current market price. This is the easiest and fastest kind of trade you can make;
- Stop-limit orders let you buy IOTA once the coin has reached asset price. This order is mostly used by advanced traders.
- Click on the “Market” if you are satisfied with the current market price and enter the amount of IOTA you want to buy.
- Click the “Buy IOTA” button.
- Withdraw IOTA to your Trinity wallet. We do not recommend keeping funds or crypto on exchanges, as they can be hacked and you risk losing all your assets. We should mention that there were some problems with withdrawing IOTA from Binance because of a bug in their system. The exchange’s customer support announced its users that they are working to fix the issue.
We hope that our how to buy IOTA on Binance guide has been of help to you. Binance is a very user-friendly exchange, so you will have no trouble navigating the platform to execute your trades.
Featured image: namecoinnews.com