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If you want to buy Cardno in Canada, there are various methods and crypto exchanges that are safe and legal to use. For example, you can buy Cardno with fiat currencies, including Canadian dollars, and transfer funds from your bank account to a crypto exchange.
Cardano and other cryptocurrencies are excellent investments for those with a high risk tolerance and long holding period. Cardano is known as one of the most popular coins to invest in, next to Ethereum and Bitcoin.
Cardano’s market capitalization is much lower, but if it becomes more popular than its primary competitor Ethereum, it has the potential to provide massive returns.
If you want to know how to buy Cardano in Canada, continue reading to discover the various exchanges you can use as a Canadian investor.
What Is Cardano?
Cardano is a public, open-source, decentralized blockchain with consensus achieved using proof of stake. The Cardano network utilizes its internal cryptocurrency, ADA.
Ethereum’s co-founder Charles Hoskinson began developing Cardano in 2015. Crypto investors recognize Cardano as one of the best alternatives to Ethereum as it provides low trading fees and is energy efficient due to its proof of stake consensus.
Smart contracts are programs that are stored on the blockchain that activate when specific conditions are met. They help provide security and trust to their users since there is no need for a middleman. Additionally, smart contracts make international trade more efficient as crypto is a technology that is available worldwide without the need for any banking system to operate.
Is Cardano Safe and Legal in Canada?
It is legal to trade Cardano in Canada on the appropriate exchanges. However, crypto is not legal tender in Canada, meaning you cannot spend it to purchase most items. Additionally, if you buy Cardano and sell it for a profit, you are subject to paying taxes on the capital gains.
Canadian investors must understand that crypto is a volatile investment, meaning its value will increase and decrease rapidly. It is also possible to make a mistake and end up losing your crypto assets.
For example, if you accidentally send your coins to the wrong wallet address, it will be unlikely you can recover the crypto. To avoid this, it is recommended you start by sending a small amount of crypto to the new wallet before transacting all of your holdings.
Trading crypto also comes with various fees. For example, all transactions on the Cardano network require you to pay a small fee. Cardano is known for having low trading fees, but exchanges may also tack on their own fees.
Is Cardano a Good Investment?
Like other digital assets, Cardano is a relatively newer financial product that comes with various risks. However, significant risk is continuously coordinated with considerable return potential. Investors with a high risk tolerance and a long holding period should consider Cardano a solid investment as blockchain and crypto technology continue to improve.
The primary risk of investing in cryptocurrencies is the risk of the crypto platform failing. For example, FTX, one of the largest crypto exchanges, went bankrupt and left all of its investors scrambling to remove their money from the platform. However, the exchange risk is easily refuted by using a cold storage method for your crypto holdings.
Crypto Trading Platforms to Buy Cardano in Canada
Many exchanges are available for Canadians to purchase Cardano. Examples of these exchanges include Crypto.com, Coinbase, Kraken, and many more. Buying Cardano on an exchange is safe, but holding your crypto on most exchanges doesn’t give you access to your private keys.
Crypto also doesn’t rely on any banks, so it is usable anywhere worldwide where you can access the internet. However, you must research the best cryptocurrency exchange available in your area so you can purchase Cardano using fiat currencies.
Coinbase is one of the largest and most trusted crypto exchanges and is a great platform for buying Cardano in Canada.
KuCoin is a centralized crypto exchange that allows Canadian users to buy and store Cardano.
Kraken is another centralized crypto trading platform that is available for buying and storing Cardano for Canadian users.
How to Buy Cardano in Canada
Once you select a crypto exchange that works for you, you can easily connect your bank account to buy, sell, and hold Cardano and other coins. Depending on the exchange you choose, additional trading and withdrawal fees may apply.
Buying Cardano is simple once you connect your bank account to a crypto exchange. All you must do is open your platform, navigate to the ADA trading page, and buy it with your fiat currency using a debit card, credit card, or a wire transfer.
After buying Cardano, you can keep your coins on the exchange, or you can transfer them to separate Cardano wallets. Cold storage Cardano wallets are considered the most secure since your coins will be stored on a device and completely off the internet.
Cardano Wallet Guide
While most cryptocurrency exchanges will provide you with a wallet to hold your coins, if the exchange goes bankrupt, you risk losing your crypto assets. When you use a separate wallet, you will own your private keys, which is crucial for your safety.
Examples of wallets you can use are Trust Wallet and Exodus Wallet. The most popular cold storage wallet is Ledger. The main downside of using a cold storage wallet is that you can’t access your crypto as easily. Therefore, you should research the various wallets so you have total control of your crypto assets.
How to Buy Cardano in Canada | Bottom Line
Buying Cardano in Canada is safe and legal, but it is not legal tender. Most investors are currently buying Cardano as an investment rather than a way to pay for items.
Before transferring your crypto to a separate wallet, you must use a cryptocurrency exchange to buy it with fiat currency. Once the crypto is in your exchange wallet, you are free to send it over to any other compatible crypto wallet.