How to buy Ethereum (ETH) in Australia

Much like Bitcoin, Ethereum is one of the most popular cryptocurrencies in the world, and it offers so much more than just digital currency transactions. As a decentralised platform, Ethereum enables smart contracts and decentralised applications (dApps) to potentially revolutionise a range of industries, from finance to digital art and beyond.  

Buying Bitcoin in Australia has become more straightforward and secure in recent years, with many investors using local platforms like CMC Invest to sign up, verify their ID quickly and deposit AUD instantly via PayID. This process allows investors to purchase Bitcoin within minutes, starting with as little as $25. 

What you’ll learn about Ethereum in this article: 

• What Ethereum is and how it works 

• Benefits and risks of investing in Ethereum 

• Different methods of investing in Ethereum 

• How to buy Ethereum step-by-step with CMC Invest  

What is Ethereum? 

Ethereum is a blockchain-based platform that supports decentralised applications and smart contracts. While a cryptocurrency such as Bitcoin is often viewed primarily as a store of value or potential medium of exchange, Ethereum is designed to enable developers to build and deploy applications on its blockchain, supporting a broader range of functionality beyond simple value transfer. These smart contracts are self-executing agreements with the terms directly written into code. In other words, they allow transactions to take place automatically without any third-party involvement. The native currency token for the Ethereum blockchain is known as Ether (ETH) and acts as the primary economic fuel.

Why invest in Ethereum over other cryptocurrencies? 

If you want to start investing in Ethereum, it’s a good idea to familiarise yourself with some of the top reasons why it’s become such a popular investment among cryptocurrency enthusiasts: 

• DeFi: Ethereum is the backbone of the DeFi ecosystem, letting users take advantage of financial services like lending, borrowing and earning interest – without the need for traditional banks. 

• Smart contracts: Because Ethereum supports smart contracts, digital agreements are much more seamless, and there’s no need for intermediaries. 

• Strong community support: The Ethereum network is backed by a huge community of developers who continuously work to improve the platform. The result? Ongoing upgrades and plenty of innovation. 

• Ethereum 2.0 upgrades: The Ethereum 2.0 upgrade, also known as ‘The Merge’, has transitioned the Ethereum Blockchain from proof-of-work (PoW) to proof-of-stake (PoS). This change enhances the network's scalability, security and energy efficiency. Transactions on the blockchain can now be completed much faster, improving the overall functionality of the ETH token. 

• NFTs and digital collectibles: Many of the most active NFT platforms are run on the Ethereum blockchain. Whether you’re interested in digital art or in-game items, Ethereum is the workhorse behind it all. 

• Potential for growth: Given the wide-ranging use cases and continued development, many investors see Ethereum as having big growth potential over the long term. 

Different ways to invest in Ethereum 

There are several ways to gain exposure to Ethereum. It’s important to thoroughly research each option before investing, as they can carry varying levels of exposure and risk:

Buy Ethereum (ETH) directly

• One way to invest in Ethereum is to purchase it directly through a broker like CMC Invest, allowing you to gain exposure to its price movements. 

• Buying Ethereum through a broker means you retain beneficial ownership of your holdings while the platform manages secure storage using institutional-grade, enterprise-level digital asset infrastructure. 

Invest in Ethereum ETFs (exchange-traded funds)

• In Australia, some brokers, including CMC Invest, offer Ethereum ETFs through a standard share trading account. 

• A few of the more popular options include the Grayscale Ethereum Trust, iShares Ethereum Trust and Fidelity Ethereum Fund.  

Invest in companies using Ethereum

• Another way to get exposure to Ethereum is by investing in companies that build on or benefit from the base underlying technology.  

• Companies like Visa and Shopify have also been looking at integrating Ethereum technology or have already done so, although the impact on their stock prices remains to be seen.  

Things to consider when buying Ethereum  

Fees 

Fees can vary depending on the platform you use to buy cryptocurrency. For example, CMC Invest charges a flat 0.90% brokerage fee on the total value of Ethereum and other cryptocurrency trades. As cryptocurrency ETFs available on CMC Invest are traded in USD, an FX spread will also apply to your order.  

Payment method 

When buying cryptocurrency with CMC Invest, you can fund your account using a credit or debit card, bank transfer, PayID or PayPal.  

How to buy Ethereum in Australia with CMC Invest 

If you’re an investor in Australia looking to buy cryptocurrency, CMC Invest offers access to Ethereum and a selection of other coins through its integrated investing platform, providing an accessible way to start investing. Below is a step-by-step guide for new and existing CMC Invest customers on how to invest in Ethereum: 

Open a CMC Invest account

Get started by opening a CMC Invest account. You’ll get access to a wide range of investment products, including Ethereum and other cryptocurrencies like Bitcoin and Solana, as well as traditional asset types. 

Opt-in for cryptocurrency investing

Once your account is set up, you’ll have access to over 45,000 stocks and ETFs as standard. If Bitcoin or other crypto interests you, you’ll need to opt-in to access unregulated blockchain assets like Bitcoin. 

Research Ethereum

Before investing, you’ll want to give yourself a solid foundation in Ethereum’s fundamentals and general market trends. CMC Invest has a range of educational resources and powerful charting tools to help investors make the best decisions for their portfolios. 

Start investing in Ethereum

Once you’ve opted in, you can start buying Ethereum directly from the CMC Invest platform via the mobile app or desktop version. 

Why buy Ethereum with CMC Invest 

1. One platform. One account 

Build your portfolio in one place with shares, ETFs and crypto. 

2. Easier and clearer 

No wallets. No transfers. Just crypto investing like buying a share.   

3. Trusted platform  

Invest in crypto on the award-winning platform backed by 30 years' experience.   

4. Transparent, flat-fee pricing 

A flat brokerage of 0.9% applies to all cryptocurrency orders. With no ongoing fees, there are no surprises, and you only pay when you trade. 

Risks of investing in Ethereum 

While Ethereum has plenty of growth opportunities, there are also potential risks to consider, including but not limited to: 

• Volatility: Ethereum’s value can fluctuate greatly over short periods of time, driven largely by factors like market sentiment, regulatory news, market cycles and even geopolitical events. Investors must be prepared for unexpected price swings, so consider whether you have the risk appetite for such volatility. 

• Regulatory risks: As Ethereum and other cryptocurrencies have gained popularity, they have faced regulatory scrutiny. Changes in regulations could impact Bitcoin’s price and long-term viability as an investment. 

• Speculative nature: Ethereum is still a relatively new asset, and its long-term role in the global financial system remains to be seen. As a speculative investment, you should only commit capital you are willing to lose. 

Conclusion 

Ethereum is a popular and highly innovative blockchain, with its native crypto Ether influencing a wide range of applications. It’s no wonder many Australian traders see it as a compelling investment to help diversify their portfolios. 

To get started investing in Ethereum, sign up for a CMC Invest account today and see exactly how this innovative cryptocurrency can fit into your overall investment strategy. 

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