Ethereum (ETH) is the second largest cryptocurrency network. It supports loads of ERC-20 tokens on its blockchain, and it’s traded on most crypto exchanges.
But if you’re not careful?
You’ll get ripped off. You might end up (unnecessarily) paying high fees when buying ether (ETH) with GBP in the UK.
In this post, I’ll show you the cheapest way to buy ethereum (ETH) in the UK with GBP.
Intro: Cheapest Way to Buy Ethereum with Each Payment Method
Buying ethereum (ETH) as a UK resident used to be difficult and expensive.
In 2019, it’s easier and cheaper than it’s ever been before.
Here are the cheapest ways to buy ethereum (ETH) with the most popular payment options in the UK.
|Binance||Bitcoin (BTC) & Altcoins||0.1%||Official Website|
|Coinbase Pro||UK Bank Transfer (Faster Payments)||0% (maker) & 0.3% (taker)||Official Website|
|Wirex||Debit & Credit Card||0.5%||Official Website|
|Vimba||UK Standing Order||3.5%||Official Website|
|Localethereum||Cash (In-Person)||5%||Official Website|
This post is about how to buy ether (ETH) directly with GBP in the UK.
If you’d like to buy ether (ETH) with bitcoin (BTC), then you’ll want to check out this guide to learn how to buy bitcoin (BTC) at the cheapest possible rate.
Once you have bitcoin (BTC), you can exchange it for ether (ETH) in loads of places.
Here are just a few options:
#1. Cheapest Route: Coinbase Pro
Coinbase Pro (previously GDAX) is the cheapest way to buy ethereum (ETH) in the UK with a UK bank transfer.
Coinbase Pro was the 1st major cryptocurrency exchange to accept GBP deposits through the UK Faster Payments Service (FPS). This means deposits to Coinbase Pro will usually be credited in less than an hour!
On Coinbase Pro, you’re able to buy ethereum (ETH) at the REAL market rate without incurring ANY fees with GBP.
Yep. Absolutely no fees. 0%.
You can withdraw your ethereum (ETH) from Coinbase Pro for free too. (Numerous other options force you to pay high withdrawal fees.)
Coinbase and Coinbase Pro (formally GDAX) are owned by the same company. When you create a Coinbase account, you’ll automatically have access to Coinbase Pro (using your Coinbase credentials).
Coinbase is intuitive, easy-to-use, and perfect for beginners. Coinbase is the world’s most well-recommended and popular cryptocurrency broker.
In contrast, Coinbase Pro is a cryptocurrency exchange which is targeted at cryptocurrency traders and high-value cryptocurrency purchases. The fees on Coinbase Pro are much lower (0% for makers & 0.3% for takers), but it’s harder to use and intimidating for beginners.
In the long-term, you’ll probably save a lot of money by learning to use Coinbase Pro.
Buy Ethereum (ETH) on Coinbase Pro (GUIDE)
Create an account on Coinbase
If you haven’t already, take advantage of Coinbase's signup bonus. It’s a no-brainer.
You’ll get a $10 (approx. £7) bonus when you buy more than $100 (approx. £77) of bitcoin (BTC) on Coinbase.
Signup through this link to get your bonus.
Link your UK bank account.
You can add your UK bank account by going to ‘Settings > Linked Accounts > Link a New Account’ and following the on-screen instructions.
Send GBP funds to your GBP wallet on Coinbase Pro.
Coinbase supports UK Faster Payments (FPS), so deposits are usually credited in less than an hour.
Here’s how you find Coinbase account information (and reference number):
- Login to pro.coinbase.com
- In the left sidebar, select ‘Deposit
- In the dropdown box, select ‘British Pound’
- You’ll be shown everything you need to transfer GBP directly to your Coinbase Pro account.
Buy ethereum (ETH) on the ETH/GBP market on Coinbase Pro.
To avoid all fees, you’ll need to submit a limit purchase order.
There’s a good explanation of how to submit a limit purchase order in this video.
If you’d rather read a text guide, check out this.
Withdraw ethereum (ETH) from Coinbase Pro.
Here’s how you can withdraw ethereum (ETH) without paying ANY fees:
- In the left sidebar on pro.coinbase.com, select ‘Withdraw’
- In the dropdown box, select ‘Ether’
- You’ll then tell Coinbase Pro how much ethereum (ETH) you’d like to send, and where you’d like it to go.
- If you don’t have your own ethereum wallet, jump to the wallet section at the end of this post.
#2. Fastest Route: Wirex
Wirex is a crypto-friendly currency account. With Wirex, you can effortlessly buy ethereum (and other cryptocurrencies) with a debit or credit at market-leading rates.
From my research, Wirex looks like the cheapest way to buy ethereum with a debit or credit card in the UK. Wirex is also the cheapest way to buy bitcoin in the UK with a debit or credit card.
Here’s how Wirex compares to their closest competition.
Wirex’s have ethereum (ETH) rates which are at least 3.5% lower than their closest competition (Coinbase). To put that into perspective, you’ll (needlessly) lose an extra £35 in fees for every £1000 of ethereum (ETH) you buy from Coinbase.
Wirex also issues GBP, EUR, and USD debit cards. In my recent roundup, I actually ranked Wirex as the #1 best crypto debit card which is currently available.
Signing up and getting verified takes less than 10 minutes.
#3. Peer-to-Peer Route: Localethereum
Localethereum is a peer-to-peer (P2P) marketplace where you can buy and sell ethereum (ETH) with other people. It’s available worldwide and supports all traditional (i.e., fiat) currencies. Across the world, there were over 6000 active offers (when I checked).
Like other P2P crypto marketplaces, it supports all payment methods – as long as you can find someone willing to accept that payment method.
In the UK, these are the most popular payment methods on Localethereum:
- UK Bank Transfer (via Faster Payments)
- Cash (in-person)
- PayPal (+ other similar services)
Unfortunately, there were only 23 sellers with open offers when I checked (on a weekend). The lowest rate I found was approximately 4% above the real ETH/GBP exchange rate.
When buying ethereum (ETH) through Localethereum, the seller will need to place the ETH you’re buying into an escrow smart contract on the Ethereum blockchain.
This is pretty cool! Here’s how they explain it:
“Escrows are decentralised using the Ethereum blockchain, which means that the seller is not sending ether to a trusted third-party (although it works similarly) but instead a ‘smart contract’… in short, this makes localethereum trustless; there’s no way for staff to access this ETH — we can only intervene and send it to one of you if either party opens a dispute” (Source)
You can read more about this here.
Communications between buyers and sellers are also end-to-end encrypted so that you can communicate privately with one another.
Registration takes less than a minute.Check it Out
#4. Regularly Save Ethereum: Vimba
Vimba.co is a platform which allows you to setup automatic regular purchases (i.e., cost-average) of ethereum (ETH) from your UK bank account.
It’s really simple to get started with Vimba:
- Create an account (+ verify your identity).
- Setup a standing order (every week, every half-month, or every month) to leave your account on Monday morning. It needs to have a minimum value of £10.
- You’ll receive ethereum (ETH) direct to your wallet every Friday (after receiving the payment).
Vimba charges a fixed fee of 3.5%. That’s not great, but it’s not terrible either.
If you want to setup smaller (less than £100 per week) automatic purchases of ethereum (ETH), then Vimba is a great choice. There’s no cheaper way to setup automatic cryptocurrency purchases than this.
Want to know more?
Check out my full Vimba review or their official site.
Don’t like the options above?
Here are some other places you can buy ethereum (ETH) directly with GBP in the UK.
|Website||Payment Method||Fees (Approx.)||Full Review|
|Bittylicious||UK Bank Transfer||4%||Bittylicious Review|
|BC Bitcoin||UK Bank Transfer||4%||BC Bitcoin Review|
|London Block Exchange (LBX)||UK Bank Transfer||4%||LBX Review|
|Coinbase||Debit or Credit Card||4%||Coinbase Review|
|CoinCorner||Debit or Credit Card||5%||CoinCorner Review|
EXTRA: Best Ethereum Wallets
Ethereum Hardware Wallet (Recommended)
Once you’ve bought ethereum, it’s best practice to immediately move it into an external crypto wallet which YOU control.
Hardware wallets are extremely popular and well-recommended across the world. They make the process of securing your cryptocurrency simple and easy – even for non-technical users.
I’ve reviewed nearly every cryptocurrency hardware wallet that’s available. I’ve ranked the 5 best cryptocurrency hardware wallets in this post.
My #1 recommendation is the Ledger Nano S.
It’s the most popular crypto hardware wallet, with over 1.4 million units sold worldwide.
Other Ethereum Wallets
This isn’t an exhaustive list, but these options appear well-recommended across the crypto-community. My favourite is the Atomic Wallet.
- Mist Wallet: Ethereum wallet created by the Ethereum Foundation.
- MyEtherWallet or MyCrypto: Both are well-recommended ethereum web wallets.
- Atomic Wallet: Feature-packed multi-currency wallet which lets you manage ethereum, as well as 300 other coins and tokens.
- Exodus Wallet: User-friendly multi-currency wallet which allows you to manage over 95 cryptocurrencies.