With a total market capitalization of over $14 billion, Ethereum is the largest and most prominent cryptocurrency after Bitcoin. It has made significant progress as a cryptocurrency, as well as the underlying technology that enables developers to build and manage decentralised apps (dApp) on the blockchain.
Before we discuss the potential that Ethereum has as a currency, let us understand what Ethereum is all about.
Ethereum is a blockchain platform that enables smart contracts to be created and executed with the use of distributed ledger technologies (DLT). Unlike Bitcoin, Ethereum itself is not a currency, but instead a platform that allows other applications to run on it.
Ethereum has its digital currency, called Ether (ETH). But because most users are accustomed to referring to Ether as Ethereum, we will still stick to that name (ethereum) for this article.
Since its Initial Coin Offering (ICO) launch and white paper release in 2015, Ethereum has received massive adoption over the years. Many crypto users and analysts predict that it has a real potential to overtake Bitcoin as the most adopted cryptocurrency in the future.
This is largely due to the dynamic nature of its blockchain platform and the speed by which the team implements new changes on the platform. The chart below shows how Ethereum has fared since its inception as a cryptocurrency.
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Though Ethereum (ETH) and Bitcoin (BTC) are the two most traded cryptocurrency in the world (aside from Tether), they both have major differences in their fundamentals despite their many similarities. Here are some of their main differences:
Ethereum  | Bitcoin  |
|---|---|
| Created in 2015 with a circulating supply of 109,111,534 | Created in 2009 as the first cryptocurrency with a circulating supply of 18,136,987 |
| Proposed by Vitalik Buterin | Anonymous, as white paper was released by someone/group of persons called Satoshi Nakamoto |
| The ethereum platform is programmable and is currently being used to create smart contracts. | Not easily programmable. It is used more as a means of payment. |
| Requires proof of stake | Requires proof of work |
| Ethereum blockchain contains both ether transactions, and smart contracts, distributed on the network. | Bitcoin blockchain contains mostly bitcoin transactions/blocks. |
| The average block time is 15 secs | The average block time is 10 mins |
Now that we have examined the use of ethereum as a currency and the potentials it has due to the ability for it to be easily programmable, I believe you would want to ask the question - How do I get my hands on some ETH?
As we examined in the previous article about how to trade bitcoin in Nigeria, there are 3 main ways of acquiring Ethereum (ETH) in Nigeria:
Ethereum can be received as payment for services rendered or goods sold because it has a value that can easily be converted to fiat money. As an agency, freelancer or a remote worker, instead of waiting for hours or days to receive funds for services rendered, you can instead request for your funds to be sent through the Ethereum network. This takes less than a minute and the fees are much lower than bank wire transfers.
Another way to acquire ethereum is through mining. Mining refers to the process of creating a new block that will be added to the blockchain after proof of work/stake has been established. There are 2 basics ways that you can mine Ethereum:
This type of mining requires the individual to join other miners, by putting their resources together to form a mining pool. So when a block is created, the proceeds are shared between members of that group, irrespective of the particular computer that generated that block.
This increases the likelihood that you will get some ether units in a day since more devices are available for this transaction. Pooling mining can be done physically- members come to a particular location to put their hardware mining equipment together, or it could be cloud-based- where a person subscribes to the services of a mining rig, so they run the whole process of mining on your behalf, for an agreed fee
Mining individually: this is another way that you can generate/create new ether for yourself. All that will be required is to buy the hardware device, install the required GPU cards and software, set up your wallet, and you are set to go. More on this will be discussed in a separate series for mining.
One drawback is that individual mining can be more capital intensive, as you will have to factor in power cost, amongst other things. It is not the best way to get a reasonable amount of ether.
The easiest way to get your hands on some ethereum is to buy from a reputable crypto exchange. There are several types of cryptocurrency exchanges where you can purchase Ethereum. Some exchanges sell Ethereum directly to customers, while others are structured to function as a marketplace (ie., peer-to-peer platforms).
A peer-to-peer platform offers you more flexibility, as you have the option of choosing your preferred seller (and see their ratings and trust scores), speedier transactions, escrowed trades, and competitive pricing.
In Nigeria, Remitano has offered one of the most reputable and efficient peer-to-peer platforms, where you can easily purchase Ethereum (ETH) using Naira from other sellers in Nigeria.
Each seller has a display of his ratings, sale limit and the preferred bank.
For additional information on a particular seller, click on the seller's name. Once you are satisfied with a seller's trade reputation, click on the 'Buy' button on the seller's tab
Make payment to the seller based on the information supplied on the advertisement dialogue box. It is advised that you send in the exact amount that is specified on the trade. After payment has been made, click on the "I have paid seller" button. The purchased units of Ethereum (ETH) will be released to the address provided at the beginning of the trade.
In conclusion, you can see that by following the steps outlined above, you can easily buy Ethereum in Nigeria through Remitano without any issues. Just follow the above steps after you have submitted the required documents for verification. Good luck!
