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How To Buy Synthetix Online in 2022

Last updated 23rd May 2022
Disclosure

Synthetix (SNX) is a platform that lets users create their own synthetic assets. These assets are derivatives, meaning investors can gain exposure to products like Bitcoin, silver, and gold without owning them.

This page covers the essential information about investing in Synthetix in 2022. We’ll cover the best exchanges and brokers, along with their pros and cons. Also, we’ll provide step-by-step guidelines for trading the token.

Best Brokers To Buy Synthetix in 2022

Synthetix is available on the most popular crypto platforms. We’ve put them together in the easy-to-understand table down below.

Key Takeaways

  • Synthetix aims to broaden the investment opportunities in crypto by providing non-blockchain assets.

  • SNX is a decentralized exchange and a platform for synthetic assets.

  • The platform tracts the underlying assets by using smart contract price delivery protocols.

  • Synthetix eliminates the need for third-party facilitators. Therefore, users can trade synths through the exchange without slippage or liquidity issues.

  • Investors can stake SNX to earn passive income.

What Is the Difference Between Owning Synthetix VS a Derivative Product

Owning cryptocurrency means that you have full control of your tokens. You can transfer them between wallets, deposit to an exchange, and trade freely. Crypto investors often choose to own their coins for freedom and not have to rely on a broker.

However, you won't own the coins with a derivative product like CFDs, ETFs, and futures. Instead, the broker issues a contract for your investment that states the type of derivative product and asset.

Different Ways To Buy Synthetix

Synthetix is in the top 150 of all cryptos, making it an established coin. Therefore, multiple platforms offer investment opportunities in SNX.

Brokers:

  • Perhaps the easiest method to invest in SNX is with a broker since they require little trading experience. For example, eToro is an excellent site that offers a variety of coins, including Synthetix. Additionally, you can buy crypto directly with your bank card, making it accessible for complete beginners.

Banks:

  • Your bank can have an investment section that lets you buy stocks and cryptocurrencies. However, the fees are much higher with banks compared to brokers and exchanges.

Centralized Exchanges:

  • Crypto exchanges have the lowest fees, which means you’ll get more coins with your budget. Also, these platforms offer multiple trading pairs for convenience. The biggest negative is that some exchanges can be banned depending on your location.

Decentralized Exchanges:

  • Those who want to buy crypto anonymously can use a decentralized exchange since they don’t require users to verify their identity. This method requires technical knowledge of creating a crypto wallet and connecting it to the platform.

Where To Buy Synthetix

eToro

eToro is a great service for beginners, thanks to its friendly user interface. The trading platform is easy-to-use and lets investors buy SNX with fiat currency. Also, you can look at successful portfolios and see how they diversify their assets. However, with eToro, you will own a derivative product and not a real cryptocurrency. Therefore, if ownership is important, a platform like Binance is your next best option.

Pros

Accessible to new investors
Lets clients buy Synthetix with fiat currency
Investors can look at successful portfolios

Cons

Larger fees compared to Binance
Investors won’t own real cryptocurrency
$200 minimum deposit

Binance

Binance is a great platform because it has multiple trading interfaces and investment options. Clients can buy SNX with various coins as the platform provides multiple trading pairs like SNX/BTC, SNX/USDT, SNX/BUSD, SNX/BNB. Moreover, their staking programs let users earn passive income with their assets.

Pros

Low trading fees
Multiple staking options
Great variety of trading tools

Cons

Binance is not available in the US
The support team is slow due to an overwhelming amount of inquiries
Deposits with credit or debit cards have high fees

How To Buy Synthetix Online?

Investing in Synthetix is easy when using Binance due to their convenient convert page. Below is a guideline to purchase SNX with the convert platform:

Step 1: Sign up for an account
Step 2: Write your email and create a strong password
Step 3: Click the link sent to your email
Step 4: Verify your identity
Step 5: Deposit money into your account
Step 6: Select the relevant currency pair for SNX
Step 7: Click the convert button

How To Trade Synthetix?

Using a service like eToro is easier because of its straightforward design. Below are the steps to trade Synthetix with a broker:

Step 1: Create an account and verify it
Step 2: Transfer money
Step 3: Purchase SNX
Step 4: Press the buy button
Step 5: Check your portfolio

Crypto Investment Strategy

Creating an investment strategy is crucial for beginners to avoid impulse decisions. The biggest mistake newbies make is panic sell once their coin goes -20% in a day. However, this is normal for cryptocurrencies as the market is highly volatile.

Here are the two main investment strategies:

Short-term Holding:

  • This investment strategy is known as day-trading. It requires investors to purchase coins and sell once the price increases. Afterward, you wait for the price to decrease and repeat the process. However, this strategy carries more risk since the price of SNX is volatile.

Long-term Holding:

  • HODL (hold on for dear life) is a great strategy if you’re not an experienced trader and don’t want to watch the market daily. The plan is to invest in good projects and hold for years, waiting for the price to increase. Historically, it’s the best investment plan and great for those with a hands-off approach.

How To Store Synthetix?

After purchasing Synthetix, the final step is to store them safely in a hot or cold wallet. Often new investors leave their coins on a crypto exchange, which leaves them vulnerable to hacks. Hot wallets take minutes to set up and provide better security than exchanges. Additionally, they are great if you plan to do a short-term strategy because hot wallets allow quick transfers.

However, if you decide to hold Synthetix long-term, a cold wallet is a better option since they’re unhackable. The only method to steal your coins would be with your seed phrase, which should be kept in a secure location. Although cold wallets require an initial investment, the benefits in return are worth the price.

Below are the best wallets to store Synthetix:

Hot Wallets

  • AlphaWallet

  • MetaMask

  • Exodus

Cold Wallets

  • Ledger Nano S

  • Ledger Nano X

  • Trezor One

  • Trezor Model T

What Are the Different Ways To Pay For Synthetix?

Nowadays, investors have multiple methods to pay for Synthetix. However, the payment options depend on the broker or exchange you’re using. Crypto platforms will have at least one of the following options:

Cryptocurrency

Crypto payments are available on decentralized and centralized exchanges. These platforms offer multiple trading pairs for the token, which is convenient if you hold a variety of cryptocurrencies. This also lets users buy SNX without having to reveal their identity.

Pros

Can stay anonymous while investing in Synthetix
Fast payment times
Multiple trading pairs for Synthetix

Cons

Exchanges built on the Ethereum blockchain have huge gas fees
Not available on brokers

Bank Transfer

Bank transfers are an easy and secure way to deposit funds into a broker or exchange. Afterward, you can purchase SNX via the platform’s trading interface. Also, double-check the transfer details and reference number before sending the money.

Pros

Secure payments
Available on most platforms
Local transfers are very fast

Cons

International transfers are slower
Your bank can deny transfers to crypto platforms

Debit and Credit Cards

The quietest method to buy SNX is with your debit or credit card because transfers are instant. Moreover, the payment option is available on all centralized exchanges and brokers. Also, future payments are convenient as the platform will save your information.

Pros

Widely available
Payments are instant
Convenient to use

Cons

Not available on decentralized exchanges
Buying crypto directly with your card has high fees

What To Consider When Buying Synthetix?

When buying any cryptocurrency, there are some factors to consider. Here are a few aspects you should think about before buying Synthetix.

Fees:

  • Crypto platforms apply transfer, withdrawal, and trading fees for using their services. All platforms have different fee structures, so research the best available option in your country.

Volatility:

  • The crypto market is highly volatile, so the prices swing regularly. Therefore, you should expect red weeks and rely on your investment plan to reach your goals. Also, don’t invest more than you can afford to lose. This is because Synthetix is a volatile altcoin and not as reliable as Bitcoin or Ethereum.

Regulations:

  • Before buying SNX, ensure that a government authority licenses your selected platform. Unregulated platforms cannot be trusted since they have no obligation to deliver a fair experience.

Investment Strategy:

  • It’s crucial to create an investment strategy to prevent yourself from emotional trading. Beginners often panic when they see a huge dip in the market and sell their coins. Therefore, new crypto investors should create a plan and stick to it.

Is It Safe To Buy Synthetix Online?

Synthetix is safe to buy online using a regulated platform with multiple security layers.

Moreover, the biggest crypto platforms have insurance plans to cover any losses you may face from hacks. Also, after buying SNX, transfer them to a hot or cold wallet since they are safer than exchanges.

How To Sell Synthetix?

Go to your platform’s trading interface and select the SNX token. Then write the number of coins you want to sell in the required section. Afterward, review the trade to ensure everything is correct and click the sell button to complete the order.

Is It Worth Buying Synthetix Right Now?

Synthetix has a market cap of $473 million and a total supply of 215 million. This results in a price of $4.12 per coin, which is a lot lower compared to the all-time high of $27. Remember, Synthetix is a volatile altcoin, so invest accordingly.

Synthetix is a great project that aims to create synthetic assets that users can invest in. Furthermore, the platform gives investors opportunities to stake and diversify their portfolios to minimize risk. It’s a great short and long-term hold due to SNX's small market cap.

Final Thoughts

Synthetix has multiple payment methods across different platforms. When buying SNX, only use regulated platforms as they can be trusted and have multiple layers of security. Moreover, after buying Synthetix, you should transfer them to a hot or cold wallet since they provide the most protection.

FAQs

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Dominikas Pupkevicius

Dominikas is a content and research writer with over 6 years of experience. He is passionate about blockchain technology and believes cryptocurrency is the future of humanity. Dominikas lives in the countryside with his 3 dogs and enjoys long walks.