How to Buy Solana
Solana Price in USD: Convert to US Dollar
Solana is an open source high-performance blockchain that supports smart contracts, non-fungible tokens (NFTs), and decentralized applications (dApps). The Solana blockchain is based on the SOL token, which provides network security through staking, and is also used to pay transaction fees and smart contract operations.
Further on what is the Solana cryptocurrency and how to buy it.
What is Solana
Solana (SOL) — is a token for Solana blockchain, the purpose of which is to increase the efficiency of blockchain transactions. Solana’s uniqueness is in a special PoS-based consensus mechanism known as Tower BFT.
That is why Solana is often referred to as the “ethereum killer”. Like Ethereum, the Solana (SOL) blockchain supports various decentralized finance (DeFi) projects such as NFTs, smart contracts and application development (dApps).
The SOL token has two use cases:
- Transaction fees: SOL can be used to pay fees for sending transactions or executing smart contracts;
- Staking: You can lock your SOL coins to keep the blockchain running, or delegate them to an active validator to secure the network. Users are rewarded for staking. Profitability depends on the number of staked coins.
Where to buy Solana
SOL cryptocurrency can be bought on a p2p platform, on crypto exchanges, etc. The best choice is crypto exchange. The advantages of buying crypto on the exchange: the most favorable rate, high liquidity, a large selection of payment options (bank transfer, payment cards, p2p, etc.). On many trading platforms, you can buy cryptocurrency for fiat (EUR, USD), etc.
Solana Buying Instructions
Step-by-step instructions for a profitable purchase of Solana consists of several steps, presented below.
Decide on the level of risk
When investing in cryptocurrencies, you need to understand how to manage risk and develop a strategy that will help reduce losses. The main rule is to avoid investing money that you cannot afford to lose.
Choose a crypto exchange
Crypto exchanges differ from each other in terms of trading conditions: deposit methods, trading commissions, deposit and withdrawal fees, verification requirements, etc. Therefore, it is important to choose a trading platform with the parameters correspond to all user’s requests.
The list of the most popular exchanges for buying SOL is presented in the table:
Register an account
To buy Solana you can choose any crypto exchange where the coin is traded. In this article, we will consider buying SOL using the example of the largest crypto exchange — Binance.
New users must register on exchange and to create an account before they can start trading. For this:
- Open the official Binance website;
- Click on Register in the upper right corner;
- Choose a country;
- Press Create Personal Account;
- Specify e-mail, password and referral code (if have one), click Next;
- Enter the activation code that will be sent to e-mail → repeat this procedure with the phone number;
- After completing these steps, the account will be registered.
Top up your account
Buying Solana through a crypto exchange requires a deposit with the amount of crypto needed to complete the purchase.
On Binance, Solana is traded with fiat and in particular with Euro. Therefore, let’s consider how to replenish an account in EUR:
- Press Wallet in the upper right corner of your personal account → select Fiat and Spot;
- Specify EUR in the search bar;
- Select Deposit;
- Specify payment method, for example, bank card → click Continue;
- Enter amount → card details → make a transfer.
Buy Solana (SOL)
To buy SOL with EUR on Binance:
- Open Trade → Spot in your personal account;
- Select the SOL/EUR trading pair;
- Specify order type, for example, Market;
- Enter amount of payment currency;
- Press Buy SOL.
How to sell Solana
To sell SOL you have to repeat almost the same sequence of steps:
- Press Trade → Spot;
- Select a trading pair SOL/EUR;
- Specify order type, for example, Market;
- Enter amount of payment currency to sell coins;
- Press Sell SOL.
Where to store SOL
When choosing a place to store cryptocurrency, you should pay attention to the following points. If long-term storage strategy is chosen and no daily transactions are planned, it is better to choose a reliable hardware cold wallet. There are two well established wallets in the market: Ledger and Trezor.
If active trading on the exchange or frequent transactions with cryptocurrency are expected, it is better to choose a “hot” wallet.
Among the reliable “hot” multi-currency crypto wallets that support Solana, we feature:
- Mobile Wallet Trust Wallet;
- Desktop and mobile wallet Atomic Wallet;
- Desktop and mobile wallet Exodus.
When using this type of storage, you need to remember about additional security measures, such as two-factor authentication, a strong password, etc.
How to withdraw Solana to a wallet?
Let’s see how to withdraw SOL coins from the Binance exchange to the Exodus wallet:
- Go to your personal account on the Binance exchange;
- Choose Wallet → Fiat and Spot;
- Press Withdraw;
- Select SOL and the network. You should write in received address in your Exodus wallet;
- Open the mobile or desktop version of the crypto wallet (for example, use Exodus);
- Select SOL in the list of supported coins and press Receive;
- Write in the received address;
- Paste the copied address into the exchange appropriate field, specify the number of coins to be transferred, and confirm the transaction.
- Sign up on an exchange (for example, on Binance) and verify the account;
- Top up account;
- Select spot market;
- Specify trading pair (for example, SOL/EUR);
- Select the order type, for example, Market;
- Enter the amount of payment currency to buy a coin;
- Press Buy SOL.
- High throughput: 50,000 transactions per second, made possible by Proof of History technology;
- A Proof-of-Stake (PoS) consensus mechanism whereby miners use coins to validate transactions and create new ones;
- The platform team is working on new growth drivers such as fintech. The Solana Pay payment solution was launched to allow users to purchase goods and services using the Solana token and stablecoins.
However, when deciding to invest in Solana (SOL), you need to be aware of the high risks associated with buying cryptocurrencies. The market is subject to significant price fluctuations, so you can make money or lose them.