How to buy Steem

Someone asked me recently how to buy Steem and I typed this explanation for them on Discord. I thought others might benefit from it, too, so here it is!

If you live near a cryptocurrency ATM, you can purchase BTC, BCH, ETH, LTC, and DASH. To see if one is close to you, check: https://coinatmradar.com

Otherwise, read on...

If you wish to buy Steem from fiat ("fiat" = the money issued by your government), you need two things:

1. A wallet-app that allows you to buy, sell, transfer, and store digital currency

2. An exchange, to convert the digital currency you purchase into Steem

The 'wallet' app/website connects to your bank account or credit/debit card and can be https://coinbase.com or https://netcoins.ca or one of several others. The choice you make should first be based on the area where you live, as each one is licensed to do business only in certain countries. For instance, https://coinbase.com is not licensed to do business in Nigeria yet, so Nigerians will have to rely on Luno Wallet (https://luno.com/en) or one of the others. Visit their websites to see a list of where they are licensed to do business. Secondary criteria would be other concerns, such as the fees they charge and the speed at which they process transactions.

Once you have chosen a wallet-app that can be connected to your bank account or a credit/debit card, you will need to link the account/card to it. Since financial accounts are a sensitive thing, the wallet-app will probably insist on verifying who you are before they will allow you to link an account. This step is called KYC (Know Your Customer) and is for your protection as well as theirs. Without proper KYC, any fool could link your bank account into their wallet and drain your funds, so KYC is a good thing, despite what some people say.

Once your bank account is linked to the wallet-app, you should be able to buy/sell crypto with it!

Check to see what crypto they handle. The one I use can handle BTC, LTC, ETH, EOS, and several others — but not Steem. So, I have to buy ETH or one of the others first. Then that intermediary-crypto can be sent to an exchange which handles hundreds or thousands of cryptocurrencies, including Steem. (NOTE: I have heard that BTC transfers are slower and more expensive, which is why I chose ETH, instead.)

Note that https://netcoins.ca handles Steem directly, which eliminates the need for using an exchange. At one time, Netcoins also had physical locations where cash could be handed to a clerk, in person, and receive Steem in a matter of minutes. I am not sure if that is still an option or not, but perhaps @crimsonclad could cofirm this for us in a comment. I also think Netcoins is available only to Canadian residents.

The exchange you choose can be https://blocktrades.us or https://bittrex.com or https://www.kraken.com or others. The choice of exchange you use is largely based on your preference and what crypto you hold, but since https://blocktrades.us is connected to the Steem blockchain and run by Steemians, it is probably the best if you don't have another preference.

So, I buy ETH with https://coinbase.com on my computer/phone and then send that ETH to https://blocktrades.us and it is very quickly converted and added to my Steem account, boom! 💥 It is a very simple process! Thank you, @blocktrades!

If the need ever arises to cash-out any of your Steem earnings, the process is the same, but in reverse: you would send your Steem to an exchange such as https://blocktrades.us and then send a crypto such as ETH to your wallet-app where it can be placed into your bank account or credit account.

HOWEVER: should you not need the money right away, it is better to hold your earnings in your Steem Wallet as Steem Power (SP). That will give you a bigger upvote and bigger curation rewards on the platform when you upvote others! 🙌