Table of Contents
- 1 What Is Cardano (ADA)?
- 2 Best Australian Platforms To Buy Cardano in 2022
- 3 The 5 Steps To Buy Cardano In Australia
- 4 Guide To Buying Cardano In Australia
- 5 Buying Cardano In Australia: Things You Should Know
- 6 What Is A Cryptocurrency Exchange?
- 7 Types Of Cryptocurrency Exchanges
- 8 How Do I Choose A Crypto Exchange?
- 9 Storing Cardano In Australia
- 10 Frequently Asked Questions
Cardano (ADA) is available for purchase by everyday Australians as well as seasoned traders. All top Australian-based crypto exchanges provide this service. So how does one buy Cardano in Australia?
This step-by-step guide outlines the process that a beginner can undertake to start their ADA investment journey.
What Is Cardano (ADA)?
Cardano is a third-generation, decentralized Proof-of-Stake blockchain network that was launched in 2017 as an alternative to Ethereum. The platform is a multi-asset ledger with verifiable smart contracts. The main Cardano cryptocurrency is called ADA. The key applications of the blockchain relate to identity management and traceability. At the time of writing, the net worth of Cardano was approximately $31.4 billion.
Best Australian Platforms To Buy Cardano in 2022
Finding a secure and reputable crypto exchange is the first step to take in obtaining digital currencies in Australia. To make your crypto investing the easiest process possible, you should be looking for a local exchange with low trading fees and an easy-to-use interface.
The comparison table below shows the best four platforms in Australia where you can safely buy altcoins including Cardano. These platforms have been selected based on a comprehensive review of each of their crypto features, fees, ease of use, customer support, and other aspects.
|Exchange||Assets||Trading Fees||Our Ratings||Learn More||Promotion|
|Swyftx||312||0.6%||4.8/5||Visit Swyftx Swyftx Review||$20 Free Bitcoin for creating a new account|
|Digital Surge||300+||0.5%||4.7/5||Visit Digital Surge Digital Surge Review||None available at this time|
|CoinSpot||330+||1%||4.6/5||Visit CoinSpot CoinSpot Review||None available at this time|
|Independent Reserve||30||0.5%||4.5/5||Visit Independent Reserve Independent Reserve Review||None available at this time|
|Binance Australia||600+||0.1% (maker) and 0.1% (taker)||3.7/5||Visit Binance Australia Binance Australia Review||None available at this time|
Since Swyftx is our best-rated crypto exchange in Australia, we have used the platform to demonstrate each step.
Any affiliate links with our partners may result in MoreCrypto earning a small commission or compensation at no extra cost to you whatsoever.
The 5 Steps To Buy Cardano In Australia
An overview of the five steps to buy Cardano in Australia is as follows:
- Open an account with Swyftx.
- Verify your identity and activate 2 Factor Authentication (2FA).
- Deposit Australian Dollar (AUD) funds into your account.
- Enter in the amount of Cardano to buy.
- Review the transaction details and confirm.
Guide To Buying Cardano In Australia
Step 1 – Open An Account With A Crypto Exchange
Using our link to collect $10 BTC, go to the Swyftx website and click on the “Sign Up” button. This will redirect you to the registration page where an email address, password, and phone number will be required to be provided.
Once the details are entered, accept the terms and conditions and click on “Create Account”.
Step 2 – Verify Your Identity
Using the new login details, login into the Swyftx account to commence the ID verification process. Since Swyftx is an Australian-based crypto exchange, it is legally required under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 to obtain customer details and verify identities. This process must be completed before any AUD can be deposited into the account wallet.
The following will be required to complete ID verification:
- Email – login into the nominated email account and click on the email verification email sent by Swyftx.
- Phone number – Swyftx will send an SMS message to the nominated phone number.
- Identity – Swyftx will require copies of one Australian government-issued document such as a passport or driver’s license.
The ID verification process with Swyftx takes less than 5 minutes to complete.
After the ID verification process is complete, we strongly recommend setting up 2 Factor Authentication (2FA). 2FA provides a basic level of security for the account where two methods of verification are needed to verify the account and also when funds are withdrawn. The 2FA setup page can be found under the “About” tab on the user account dashboard.
We suggest downloading Google Authenticator on a mobile device. The process will involve the use of the authenticator to scan a QR code or alternatively input a provided code to enable authentication of the device.
Tip: If the six-digit code provided by Google Authenticator does not work, then go into the settings and sync the time correction for codes. This should rectify the issue.
Step 3 – Deposit AUD Into Your Account
Before Cardano can be purchased, Australian Dollars will need to be deposited into the account wallet. When it comes to depositing funds, it is wise to be mindful of the fees and the time taken to complete the transfer of funds.
Most Australian exchanges will offer several ways to deposit AUD, with the most common being direct bank transfer, POLi, and PayID. Swyftx is one of the few exchanges which offer deposits via credit card. Most of these methods will instantly deposit AUD into the account with the exception of bank transfers (unless via OSKO which is instant) and deposits made from credit cards. Swyftx does not charge any fees to deposit (or withdraw) funds into the wallet.
Note, that Swyftx will send an automated email notifying you of the successful deposit of AUD funds into the wallet.
Step 4 – Enter In The Purchase
The buying window can be found under “Trade”. Next, click on “Buy” to view the screen below. The page will present the following:
- Amount of AUD in the wallet and available to spend.
- The current market price of ADA.
- Several order types (market, limit, stop, and recurring)
The default order type is “Market” which allows beginner investors to easily and quickly purchase Cardano in a single transaction. The other order types are for intermediate to advanced investors and a discussion of each type is detailed in our Swyftx review. You will have the option of either entering in the amount of Cardano they want to purchase, or the amount of AUD they want to spend to buy ADA.
Step 5 – Review & Confirm The Purchase
After an amount of AUD is entered in, the amount of Cardano that will be purchased will be presented and will be inclusive of the trading fee (0.6%). Click on “Instant Buy” to review the transaction details and “Confirm Buy” to complete the purchase. Note, that once the purchase is confirmed, it cannot be reversed and AUD funds are recovered.
Buying Cardano In Australia: Things You Should Know
Is Buying Cardano Legal In Australia?
The purchasing, trading, and selling of Cardano (ADA) and other digital assets is legal in Australia. The Australian Tax Office (ATO) recognizes Cardano as property or an asset that is transferrable via monetary transactions between parties. Since 2017, laws and regulations have been progressively introduced to control the crypto market.
What Is The Best Platform To Buy Cardano In Australia?
Based on our review of top Australian-based crypto exchanges, Swyftx is our recommendation for buying Cardano. Swyftx is suited for Australian beginner and experienced traders and investors alike.
Swyftx offers a vast range of over 300 cryptos to buy which makes it an ideal choice for obtaining altcoins in Australia. The trading interface is well designed to offer a streamlined trading experience, as well as low trading fees and tight spreads.
What Is A Cryptocurrency Exchange?
A cryptocurrency exchange is an online platform where cryptocurrencies and digital assets can be bought and sold in exchange for tokens at market prices. There are three types of crypto exchanges:
- Fiat-to-crypto exchanges that involve the local currency (e.g. AUD, USD) are traded for crypto (e.g. ADA).
- Crypto-to-crypto exchanges where digital assets and coins can be traded for other assets, otherwise known as trading pairs (e.g. BTC-ADA).
- A combination of the above.
Types Of Cryptocurrency Exchanges
There are three types of cryptocurrency exchange:
- Decentralized Exchanges (DEX) – A crypto exchange that is not governed by a central authority and transactions are made from peer-to-peer. Blockchain technology is the vector for the trading of assets between customers.
- Centralized Exchanges (CEX) – A cryptocurrency exchange that is governed and regulated by a central authority.
- Typically offer higher liquidity and trading volumes than DEC
- Fiat-to-crypto trading only
- More susceptible to security breaches
- High functionality
- Typically lower liquidity and trading volumes than CEC
- Crypto-to-crypto trading only
- Increased security due to the distribution of nodes on the Blockchain
- Limited functionality
How Do I Choose A Crypto Exchange?
With so many Australian-based crypto exchanges available, beginners may find it difficult to know which exchange is best for them. Before you start buying Cardano, here are a few important considerations to take on board to assist with comparing exchanges.
- Interface Usability – Beginners should ideally be seeking out a User Interface (UI) that is simplistic, intuitive to use, and therefore making the trading experience easier and more enjoyable. Features that beginners should be on the lookout for include instant deposits and withdrawals, instant buying, and selling.
- Deposit Method – The method of depositing AUD funds into the account wallet will vary from exchange to exchange. The most common ways include direct bank transfer, BPay, POLi, and credit/debit cards. The fees incurred and the speed of the transaction should also be considered.
- Fees – Australians should be aware of the various fees that may be incurred when trading Cardano on a cryptocurrency exchange. Fees may include deposit fees (most exchanges charge zero deposit or withdrawal fees), withdrawal fees, and trading fees (between assets, e.g. Ethereum to Cardano). Although not considered a fee, spreads will apply to each transaction. The spread is the difference between the buy and sells price for a quoted cryptocurrency.
- Supported Crypto – Almost all exchanges will provide Cardano as a purchasable and tradeable asset. However, if there is a possibility of diversifying into other cryptocurrencies then the number and type of supported cryptocurrencies and trading pairs (e.g. BTC-ADA) should be assessed.
- Liquidity & Volume – The larger and more established digital currency exchanges will tend to have access to greater liquidity compared to smaller cryptocurrency exchanges. Liquidity refers to how easily one asset is converted into a fiat currency or another asset. The higher the liquidity of an exchange, the easier and faster it will be to complete fiat-to-crypto and crypto-to-crypto transactions. Price slippage will also be at a minimum as well.
- Security Measures – Before you choose a crypto exchange, ensure that they are registered with AUSTRAC. Industry-standard security measures for Australian crypto exchanges typically include multi-location and offline cold wallet storage of funds, a combination of hot and cold fund storage, multi-signature verification withdrawal process, and 2FA. Other features may include user private key control, ID verification, notification on account activity (i.e. email and/or SMS), proof of reserve, email encryption, and 24/7 security protocol monitoring and penetration testing by third parties.
- Quality of Customer Support – Most exchanges provide a ‘knowledge’ or ‘education’ section of their website, however, some exchanges do this better than others. Beginners should explore the customer support features of the exchange. Support tools to assist with immediate troubleshooting advice or assistance may come in the form of a ticket system or live chatbot.
Storing Cardano In Australia
Deciding on how to store Cardano in Australia comes down to two options. Firstly, ADA can be kept in the exchanges storage system, which can be cold storage (wallet), or a combination of hot and cold storage. Secondly, cold-storage wallets may be used by individuals to hold ADA offline and usually in a physical state.
- Hot storage refers to a wallet that is connected to the internet and can be accessed at any time. Examples include online cloud wallets, mobile wallets, software wallets, and exchanges. Hot wallets are great for keeping an amount of ADA available for frequent buying, trading, and selling.
- Cold storage refers to a physical means of keeping crypto in a storage device and is only accessible by the wallet owner. Examples include hardware wallets such as CoolWallet Pro and the Ledger Nano X. Cold-wallets are not connected to the internet.
Since hot-wallets (e.g. exchanges) are connected to the internet, ADA may be susceptible to loss, damage, or theft, albeit the risks are low. With this in mind, investors and traders should be seeking a reputable and trustworthy exchange that has a stellar security record. The best way to mitigate against this potential risk is to store Cardano in a cold-storage wallet.
The key function of a cold wallet is to provide an extra security mechanism between the internet-connected device (e.g. computer) and the asset. All wallets will have a private key that legitimizes access to the stored asset. Most wallets usually come equipped with a variety of recovery options in case the wallet is lost or damaged.
Frequently Asked Questions
Can I Buy Cardano Using A Credit Card?
Cardano can be purchased using a credit card however it depends on what exchange you are using as not all with providing this service. An exchange that accepts credit cards as a method to make AUD deposits will be essential. The fees are typically higher however the method provides a level of convenience. Reputable and trustworthy exchanges should be used to buy ADA with a credit card such as Swyftx, Binance, or Coinbase.
How Do I Get Cardano In Australia?
Purchasing Cardano in Australia can be done in five easy steps:
- Open an account with a secure and reputable Australian crypto exchange like Swyftx.
- Verify your identity and activate 2FA for enhanced account security.
- Deposit AUD funds into your account using one of the supported payment methods.
- Select Cardano (ADA) and enter the amount to buy.
- Confirm the transaction and receive Cardano.
Is Buying Cardano Safe In Australia?
Buying Cardano (ADA) in Australia is safe as long as transactions are made using a secure and reputable cryptocurrency exchange. The top crypto exchanges in Australia are required to be registered with AUSTRAC, a government body that is responsible for the prevention, detection, and response to organized criminal activity in the financial industry.
Industry-standard security measures that most crypto platforms implement include 2FA, multi-layer encryption techniques (SSL), hot and cold wallet storage, and third-party security audits to safeguard customers’ funds and assets against theft or loss.