How to Buy IOTA, Set Up Wallet and Send/Receive Funds

IOTA is an open-source distributed ledger system focused on the secure communication and payments between the machines on the Internet.  For example it can be used to communicate between a gas station and your car. I think this is one of most promising Alt coin on the Coin Market Cap with $5B Market Cap (as of today) and 2.7B total supply.

It uses Tangle instead of blockchain which is the main innovation behind IOTA (MIOTA). It doesn’t require any mining to confirm transactions. Learn more…

It has interesting use cases like Micro transactions, secure data transmission like e-voting, masked messages etc. Also, as there is mining involved, IOTA’s transactions are free regardless of the size of the transaction.

For the first time, true micro, or even Nano transactions are possible due to the unique IOTA architecture. You can do transactions in i, Ki, Mi, Gi, and Ti units if IOTA. Remember, you can’t buy a burger with #bitcoin considering the fees and transaction time. But, with IOTA you can easily do that.

IOTA has backed by Deutsche Telekom, Microsoft, and Fujitsu, the foundation has also opened a data marketplace using this technology.

IOTA can be an awesome long term investment. I am personally holding a small position as long term investment. are you looking to buy too? this guide will help you…

How to Buy IOTA from Binance

You can buy IOTA from various exchanges like Bitfinex, Binance, Coinone, Exrates etc… You can check the full list here.  For this tutorial perpose, I am using Binance as the exchange. Follow the steps below to buy IOTA from Binance.

Register at Exchange

binance register at exchange

  • First, you need to visit Binance official website (https://www.binance.com) look for exact URL. Be careful of phishing sites.
  • Log in to your account

Upload KYC Documents

  • Always upload your KYC documents like identity card, address proof etc.
  • Some of the exchanges don’t require these formalities but some will restrict full access until you submit these docs.

Opt for 2-Factor authentication

This step is very important for extra security. Most of the exchanges offer this feature. Opt for 2-factor through SMS or an Android app like Google Authenticator.

  1. In case you enable 2-Factor using mobile, just give your number and verify it
  2. with Google Authenticator it is much more easy and comfortable. All you need to do is, download the app
  3. Add your Exchange to the Google Authenticator. Click on Add (+) button and it will give you two options like scan a bar code, Enter a provided key
  4. Show it on the exchange page, it will add it to the App
  5. Next time when you try to log in, the app will give you random codes for every few minute. Enter the code on the exchange and unlock important trade options like buy, sell and withdraw

Deposit Funds

Every exchange offer some set of trade pairs like BTC/IOTA, ETH/IOTA. To buy a specific coin like IOTA, you need either BTC (Bitcoin) or ETH (Ethereum). You can purchase BTC from any website like Coinbase. If you are from india, you buy from Uncoin or Zebpay App.

Must Read: Here’s how to buy Bitcoin with PayPal instantly

Later you need to transfer that BTC to exchange like Binance or some other. Follow the steps below to deposit BTC or ETH amounton exchange.

Step #1: Go to Binance, click on Deposit option

Step #2: It will display different coins to choose from. Choose Bitcoin. It will show you a wallet address and a QR code

Step #3: Now Go to Coinbase, select send BTC option. Now it will ask you the wallet address. Scan the QR code on the Binance exchange

Step #4: Enter the amount. You may need to have extra 0.0005B for transaction fee.

Step #5: click on send, it will take some time around 15-30 minutes. Once the transaction gets 3 confirmations, it will be added to the exchange.

Mean while you can see the status on Exchange.  Now you are ready to trade IOTA using BTC balance.

How to Trade IOTA on Binance

Now I assume that you have some BTC balance in your binance account. Now click on Exchange. It will have two options like Basic, Advanced. For start, choose Basic

It will display trading dashboard with different options like below. On the left side you will see sell, buy and on the right side you can see different coins to trade and Trade history.

Choose the trading pair from the right side BTC, ETH, BNB, or USDT. In our case, we will choose BTC. It will display all the available alt coins that you can buy with BTC. Search for IOTA and click on it.

In the screenshot above it is showing IOTA/BTC pair. I have selected BTC and then IOTA coin from wall 3 on right side. On the 5th column, you can buy/sell IOTA or any coin that you choose from wall 3. Now to buy IOTA, you will have 3 options like Limit, Market, and Stop-Limit. I will explain them clearly below.

Trading Options on Crypto Exchange

Market Order

Market order is a traditional order where you want to buy or sell certain coins at the best market price available. Here you don’t need to wait for price to reach certain point before you can by or sell.

Limit Order

Limit order is where you set the price. As soon as the market reaches that price your order will be executed.

Stop-Limit Order

This is little complex to explain. But, I will try to keep it simple. In the volatile market conditions, this option is very useful. You can use it if you can while trading in such situations.

It works this way:

You will see 2 components here. One is Stop price and other is Limit. The Stop field is where you put some price. And the limit price will be executed as soon as the market reaches the Stop price. That means when the market reaches stop price, the order will be executed just as a normal Limit order.

This way you can escape from severe losses. However, to succeed in crypto investing, I will suggest you to HODL and stay away from any negative emotions. Of course, If you already got some profit you can sell them. But don’t ever sell in the loss.

You can adjust the amount of coins by percentage wise. Once everything is okay with your order, click on Buy/Sell. You can track your orders in the Open orders section.

Tip: Play with the options for some time to get familiar with the dashboard.

Withdraw

It is always a good idea to move your coins from the exchange to a wallet as there might be some losses due to hacks. So, to store IOTA safely, we need an IOTA supported wallet. You can use Ledger Nano S which is a hardware wallet stores multiple alt coins. However, you can also use IOTA wallet from gihub, which is fine for now.  Follow the steps below to set up IOTA wallet and receive your IOTA which you have bought from an exchange.

How to Set up IOTA Wallet and Generate Seed

You can download IOTA wallet for your Windows, Mac and Linux machines. Download the latest version on your PC. Currently, I am running v2.5.6 for myself.

Installing wallet is very simple. Once you finish installing the wallet, you need to have seed (password) of 81 characters including Alphabets and Number.

Here, you need to very smart.

There are tons of online seed generators for IOTA wallet. But, don’t trust them for a second.

Follow the steps below, to create a random seed for yourself.

Below is HTML code to generate seed for IOTA wallet.

<html> 
<style type="text/css">
body { background-color: #000;}
body,td,th {color: #0F0;}
</style>
<script>
function ran(){ 
var chars = "9ABCDEFGHIJKLMNOPQRSTUVWXYZ";
var string_length = 81;
var randomstring = '';
 for (var i=0; i<string_length; i++) {
 var rnum = Math.floor(Math.random() * chars.length);
 randomstring += chars.substring(rnum,rnum+1);
 }return randomstring ;
}</script>
<div align="center"><img src="http://blog.bitfinex.com/wp-content/uploads/2017/06/iota_logo-1024x254.png" width="1024" height="254"><br>
</div><p align="center">
<button type="button" onClick="document.getElementById('d').innerHTML = ran()"> Generate random 81 Trytes IOTA Seed </button>
<br><br><br><br><br><p align="center" id="d"></p>
</html>

Copy this code and paste it in notepad. Save the file something like seed.html.

Now turn off your wifi/internet connection. Then click on Generate seed. It will give you random codes every time you click on the button. Copy some random code and save it in a safe place.

Now it’s time to open the wallet. Your seed is like key to your wallet. Paste the seed and click on Login!

Damn! You have setup your wallet and now ready to use.

Note: Don’t forget your seed you will literally loose all your funds.

How to Send/ Receive IOTA from Wallet

First, we will learn how to receive our IOTA from the exchange. Follow the steps below

Step #1: To receive IOTA, click on Receive. It will give you a address. Add it to the tangle.

Step #2: Once it’s added. Now we can give it in exchange. Go to Binance (or whatever exchange) where you have bought IOTA. Go to Withdraw section.

Step #3: Select the coin (in our case IOTA). It shows the available funds to withdraw. Give the Address that we just added to the Tangle in Step #1.

Step #4: click on Send. It will ask 2-fact Auth code. Just confirm it. You will receive your IOTA shortly which you can see in the Balance section on your Wallet.

Send IOTA from Wallet

The best thing about IOTA is that you can make small transaction like i, Ki, Mi, Gi and Ti. But, you’ll purchase in MIOTA.

To send IOTA to anyone, you need to have the address of the wallet and amount to send. Give it the details and click on SEND IT NOW!

That’s it. Guys!

[Fix] IOTA Missing from Wallet

It is very shocking to see zero balance in our IOTA wallet. It is due to some transitions currently IOTA is going. Don’t panic. You can have a work around here.

Sometimes, you can simply solve this issue by reattaching the address we have in our wallet.

Keep an eye on IOTA update. Take precautions to escape from this kind of sudden shocks.

Over to You

That’s all it guys, this is my experience with buying IOTA. Hope it is helpful for you. If you have any doubts, shoot them in the comment section below. I am always happy to help you.

How to Buy IOTA, Set Up Wallet and Send/Receive Funds
4.7 (94.29%) 7 votes

2 Comments

Leave a Reply

Your email address will not be published. Required fields are marked *