What is Ethereum?
Ethereum (ETH) is a smart contract platform. It is not just a currency, but the infrastructure for running decentralized applications (DApps). DeFi, NFTs, and most tokens are built on Ethereum.
ETH vs BTC: A Simple Comparison
| Comparison | Bitcoin (BTC) | Ethereum (ETH) |
|---|---|---|
| Purpose | Digital Gold / Store of Value | Smart Contract Platform |
| Total Supply | 21 million (fixed) | No hard cap |
| Transaction Speed | Slower (10 min/block) | Faster (12 sec/block) |
| Use Cases | Holding, Payments | Holding, Gas fees, DeFi |
Steps to Buy ETH on Binance
Steps
- Ensure your account has USDT (deposit via C2C)
- Go to "Trade" → "Spot"
- Search for the ETH/USDT trading pair
- Select "Buy", choose order type "Market"
- Enter the USDT amount, click "Buy ETH"
- Check your ETH balance in "Wallet" → "Spot"
Things to Note When Buying ETH
- ETH price volatility is higher than BTC, meaning higher risk
- To experience DeFi/NFT, you need to withdraw ETH to a wallet like MetaMask
- Ethereum network Gas fees are high, making small transactions costly
💡 Beginner Tip: If you just want to invest, holding ETH on Binance is sufficient; no need to withdraw to an external wallet. Consider participating in DeFi only after you become more familiar.
⚠️ Risk Warning: ETH prices are highly volatile, having dropped over 80% within months historically. Only use idle funds and do not invest with borrowed money.