Invest in DASH: How to Invest in DASH For Beginners
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
Coined from ‘digital cash,’ DASH is a decentralized protocol that seeks to provide fast and cheap payments in the cryptocurrency industry. Although the project was initially named XCoin, it has gone through numerous rebranding phases toward achieving its aim of becoming a friendly and scalable token focused on secure and private transactions.
In this guide, we show you how to invest in DASH in a secure manner. We also consider the factors that will determine whether or not DASH is a suitable digital asset for your cryptocurrency portfolio.
Table of Contents
#1 Broker to Invest in DASH – eToro
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How to Invest in DASH – Choose a Broker
Once you understand the relevant steps of how to invest in DASH, you can complete the entire process within five minutes. All you need is a suitable broker that makes investing in DASH cost-effective and safe.
Here is a selection of the best brokers that support DASH.
- eToro – Best Place to Invest in DASH
- Coinbase – Easy-to-Use broker to Invest in DASH
- Binance – Great Exchange to Invest in DASH for Asset Diversity
- Capital.com – Trade DASH with Leverage
- Webull – Credible Place to Invest in DASH From $1 (US Only)
How to Invest in DASH – A Quick Guide For 2021
If you want to invest in DASH quickly – all you’ll need is a brief overview of the steps involved. Below, we have summarized the required steps of how to invest in DASH via eToro – a regulated and low-cost brokerage site.
- Step 1: Create an eToro account – You can get started with the investment process by opening an account with eToro. Follow the on-screen instructions after clicking ‘Join Now’ on eToro’s homepage and provide the necessary personal information.
- Step 2: Provide Your ID – As a regulated platform, eToro has to verify the identity of all users. Therefore, you have to submit a copy of your valid ID.
- Step 3: Add Funds – Before you’re allowed to invest in DASH, you need to make a deposit into your account. eToro provides you with various payment options including a debit or credit card, Paypal, and Neteller. You also have the wire transfer option.
- Step 4: Invest in DASH – Input ‘DASH’ into the search box. Once you do that, the broker will display a result tab, from where you should select ‘Trade’, and proceed to enter your stake. After entering your stake, you can then click the ‘Open Trade’ button to purchase your DASH tokens.
eToro makes this entire DASH investment process seamless with its simple user interface. You should be done withiin a couple of minutes and have your DASH tokens safely stored in the broker’s in-built wallet.
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.
Where to Buy DASH – Full Broker Reviews
DASH is a project that seeks to redefine the way payments are processed in the cryptocurrency market. This is an impressive use case, which has contributed to the coin’s popularity. Therefore, it makes sense that numerous platforms will list the token as a supported market.
However, you need to understand the best broker to invest in DASH — as this is the only way you can ascertain you’re buying the crypto asset in a safe manner. Therefore, in this section, we consider the top brokers that offer you a cost-effective service for investing in DASH.
1. eToro – Overall Best Place to Invest in DASH
A crucial feature of eToro is that the broker is heavily regulated. That is to say, eToro is authorized by different regulators across varying jurisdictions including the US, UK, Australia, and more. With multiple licensing bodies behind the broker, you will enjoy an impressive level of regulatory protection when you invest in DASH via eToro. Additionally, navigating the broker comes easy — as the platform is user-friendly. In fact, you can complete the entire DASH investment process on eToro within five minutes from the comfort of your home.
Another reason why eToro ranks first on this list is that the platform supports numerous digital token markets. If you want to invest in DASH while diversifying your portfolio to include other tokens, eToro provides you with the avenue for that purpose. With more than 30 supported markets, you can invest in DASH alongside Chainlink, Ethereum, Bitcoin, Cosmos, and even DeFi tokens such as MANA. For all these supported markets, eToro provides you with lots of different payment methods – including debit/credit cards, Apple Pay, Skrill, Paypal, wire transfer, and more.
On eToro, you’ll need to make a minimum deposit of $200 ($50 for US clients) in your account. After depositing the funds, all you need to do is find DASH via the search box and enter the number of tokens you wish to buy. When you invest in DASH on eToro, the minimum stake you can enter is $25. Notably, eToro is a spread-only broker — which means that you won’t incur variable commissions. Instead, you simply need to cover the spread – which begins at a competitive 0.75% when investing in cryptocurrencies.
Furthermore, eToro stands out when it comes to user-friendliness, not least because the broker offers different tools to make it easy to invest in DASH. The first notable feature in this regard is the copy trading tool – which allows you to replicate the positions of other experienced investors like-for-like. This provides you with a way to invest in a passive manner, especially as a beginner in the cryptocurrency space. Additionally, the broker offers you a research tab where you can learn more about DASH.
Finally, eToro provides personal wallet services, which you can leverage to store your DASH tokens in a safe manner. Therefore, when you want to cash out your DASH investment, you can elect to sell your tokens from your wallet directly. With the provision of an in-built wallet, eToro makes it possible to buy, store, and sell your DASH tokens all on one platform. This, alongside all other features discussed above, makes eToro the number one broker to invest in DASH.
Pros
- Invest in cryptocurrencies on a spread-only basis
- Minimum investment per trade from just $25
- Supports debit/credit cards, e-wallets, and local bank transfers
- Registered with FINRA/SEC and regulated by the FCA, CySEC, and ASIC
- Minimum deposit of $50 and no transaction fees for US citizens
- Used by over 20 million people
- Perfect for beginners
- Social and copy trading tools
Cons
- Perhaps too basic for technical traders
- No support for MT4 or MT5
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.
2. Coinbase – Easy-to-Use broker to Invest in DASH
Coinbase continues to maintain its reputation as the leading newbie-friendly broker – despite being in the cryptocurrency scene for nearly a decade. The broker provides beginners with a platform that makes it convenient to navigate the steps involved in buying and selling DASH. To get started with this broker, visit the homepage to open an account and provide the required details. Following that, you’ll have to undertake an identity verification procedure, after which you’ll be allowed to invest in DASH.
However, in terms of fee structure, Coinbase doesn’t have a great score. While the broker allows you to invest in DASH through different payment options, you pay variable commissions on Coinbase. For instance, you incur nearly 4% of the purchase amount when you invest in DASH with Visa or MasterCard. This means that if you decide to put $500 behind DASH using your debit or credit card, you’ll only receive $480. This indicates that Coinbase has a high fee structure, which will affect the returns you make from your DASH investment.
Regardless of the fees and commissions charged, Coinbase is a top broker that prioritizes security. The broker has a policy of storing 98% of users’ funds offline to ensure all assets are safely secured. Furthermore, Coinbase is great for long-term investment plans — as the broker has a feature through which you can schedule purchases. This way, you can instruct the broker to execute a buy order every day, week, or month. These impressive features account for why Coinbase is now used by over 68 million people worldwide.
Pros
- One of the most popular cryptocurrency exchanges
- More than 68 million users
- Supports instant debit card purchases
- Dozens of digital currencies to choose from
- Institutional-grade security practices
Cons
- Debit card deposits are expensive at 3.99%
- You will pay a standard trading commission of 1.49%
at eToro, #1 Broker in the Crypto Space
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.
3. Great Exchange to Invest in DASH for Asset Diversity
Binance supports over a hundred cryptocurrencies and this is one of the great features of the exchange. Therefore, if you want to invest in DASH and several other tokens, Binance is a great place for asset diversity. Notably, in terms of fees, what you will incur on this exchange is based on your location. For instance, a US client will incur a fee of 0.5% when investing in DASH with a debit/credit card.
However, in other jurisdictions, clients can pay up to 4% in fees when using the same debit/credit card service. As such, it’s important to understand the fee structure for your specific location before opening a Binance account. Nonetheless, once you invest in Dash tokens, Binance provides you with different options to store them. You can choose to store the tokens directly on the exchange, benefiting from its safe and convenient facility. Alternatively, you can choose to move the tokens to Trust Wallet, which is backed by Binance.
Furthermore, Binance allows you to trade digital asset derivatives such as options, futures, and leveraged markets. However, you only gain access to these if you’re located in a region that permits such trading activities. Notably, to invest in DASH using Binance, you’ll first have to buy a renowned token like Bitcoin or Tether. Following that, you can then proceed to exchange the token for DASH at a commission rate of just 0.10%. Although this might sound cumbersome, the exchange process should take you no more than a minute.
Pros
- Facilitates billions of dollars in daily trading volume
- Supports hundreds of digital asset pairs
- Near-instant deposits via debit/credit card
- Trading commission starts at just 0.1% per slide
- Offers crypto savings accounts
- Ideal for both beginners and experienced traders alike
Cons
- Not all supported cryptocurrencies can be purchased with a debit/credit card
- No e-wallet deposits or withdrawals
at eToro, #1 Broker in the Crypto Space
4. Capital.com – Trade DASH with Leverage
Capital.com allows you to invest in DASH by utilizing contracts-for-differences. Meaning, when you trade DASH, you won’t take ownership of the tokens. Instead, you trade the token based on the underlying value. This is a beneficial way of trading the coin if you’re looking to open and close positions within short intervals — as you will have no need to store the tokens in a wallet.
Furthermore, an impressive perk we found with Capital.com is that the platform supports over 200 crypto markets. This makes it convenient to diversify your trades when you use the platform to invest in DASH. Additionally, Capital.com allows you to trade DASH using leverage. Meaning, you can open positions in the market with more capital than you have in your account.
Nonetheless, where Capital.com stands out significantly is in the platform’s fee structure. You can trade DASH on Capital.com on a commission-free basis. The broker also offers super-tight spreads, meaning you can open and close DASH trades in a cost-effective manner. As a CFD provider, Capital.com also allows you to short-sell Dash. This means you can make a profit if the value of DASh goes down. Finally, you can begin your trading journey on Capital.com by adding a minimum of $20 through your debit/credit card or e-wallet.
Pros
- Top-rated spread betting and CFD broker
- Regulated by the FCA
- Minimum deposit just $20 (debit/credit cards and e-wallets)
- 0% commission on all markets
- Tight spread and no deposit/withdrawal fees
- Thousands of financial markets supported
- Great for beginners
Cons
- Advanced traders might find the platform too basic
- Minimum deposit of $250 on bank transfers
- Not available in the US
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76.25% of retail investor accounts lose money when trading spread bets and/or CFDs with this provider.
5. Webull – Credible Place to Invest in DASH From $1 (US Only)
Webull is the fifth option on our list of the best brokers to invest in DASH. Launched in 2017, Webull has grown in popularity owing to the cost-effectiveness of the platform and in terms of its minimum deposit requirement, particularly for US clients. You can get started on Webull by adding just $1 to your account. Therefore, if you’re a beginner looking to invest in DASH with minimal risk, this broker is worth exploring.
However, while Webull is a 0%-commission broker, the platform has spreads, which you incur when you open and close trades. This means that when you invest in DASH, you’ll need to cover the mark-up between the ‘ask’ and ‘bid’ price to secure a profit from that trade. Additionally, it’s crucial to note that Webull has an asset library that includes DASH among other tokens. This is great for diversification. purposes, as you can invest in several tokens from just $1.
Lastly, Webull is a great broker if you’re overly concerned about the security of your funds. The broker offers a two-factor authentication safeguard to ensure the security of users’ accounts. Additionally, the broker’s customer support is available 24/7, meaning you can always get help before and after investing in DASH. You also gain access to indicators and customizable charts through which you can further understand the market and make informed decisions. Finally, you can invest in DASH using Webull through the main website or the mobile app — supported by both iOS and Android.
Pros
- User-friendly trading app for both iOS and Android devices
- 0% commission policy across all assets
- No minimum deposit
- ACH deposits and withdrawals are fee-free
- Regulated in the US
- Invest from just $1
Cons
- Crypto spreads start at 1%
- Too basic for experienced traders
- No support for e-wallets or debit/credit cards
at eToro, #1 Broker in the Crypto Space
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.
How to Invest in DASH – Detailed & Explained in Full
It’s only right to require a more extensive guide if you’re investing in DASH for the first time. Therefore, we have expanded on the steps we discussed earlier by offering a detailed and explained guide on how to invest in DASH at eToro.
Step 1: Open a DASH Investment Account
The best decision you can make when investing in DASH is to utilize a credible broker. In this regard, eToro stands out among the platforms our research team examined. This is because the broker is a spread-only platform and enjoys the backing of leading regulators such as the SEC and FCA.
To open an account on eToro, start by visiting the platform’s website. Then click on ‘Join Now’ to begin the account opening process. Here, you’ll need to enter some personal information. This includes your name and home address. After that, you can follow the on-screen instructions and provide the required details.
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.
Step 2: Provide ID
eToro requires you to complete an identity verification process by uploading a valid ID. This process takes less than 2 minutes once you provide the necessary documents.
The documents you have to provide include the following:
- A valid ID which can be your passport or driver’s license.
- A document validating your home address such as your utility bill.
The need for submitting these documents arises from the fact that eToro is a regulated broker that must comply with anti-money laundering laws.
Step 3: Add Funds
You cannot invest in DASH until you’ve funded your account. On eToro, the minimum deposit you need to make is $200 ($50 if you’re from the US). eToro supports many different payment methods with which you can make this deposit.
This includes the following:
- Debit/Credit Cards
- Skrill
- Paypal
- Neteller
- Bank Wire
- ACH
- Apple Pay
If you’re looking for a fast payment method, a wire transfer is not your best option. This is because it might take a few days for the funds to arrive in your account. All other payment methods are processed instantly – meaning that you can then invest in DASH straightaway.
Step 4: Search for DASH
To find DASH on the eToro website, all you have to do is to enter the token’s name into the search box.
Once the token appears, click on ‘Trade’ and this will take you to the last stage of the DASH investment process.
Step 5: Invest in DASH
The order page will present you with an ‘Amount’ box. Here, you’ll input the amount you intend to invest in DASH. Suppose you want to invest the $25 minimum stake, you can simply adjust the number in the box accordingly.
After confirming the details entered, you can complete the DASH investment process by clicking on the ‘Open Trade’ button.
How to Sell DASH
You can secure a profit on your DASH investment by selling the tokens after a price increase. But before you can do this, you need to understand how to sell DASH. With eToro, you can elect to sell DASH tokens 24/7.
- You can complete this process in a couple of minutes.
- Start by opening your portfolio on eToro.
- Chose a market order to sell your tokens immediately.
- The broker will execute the order and add the funds to your existing cash balance.
Depending on your investment plan, you can choose to withdraw your funds or reinvest the capital into another digital currency.
Ways to Invest in DASH
In the mini-sections outlined below, we have discussed the two best ways to invest in DASH. Typically, you need to decide on whether you wish to use a broker or an exchange.
DASH Broker
When you choose to invest in DASH with a broker, the chances are that the platform will be regulated. eToro, for instance, is licensed by the SEC, FCA, and ASIC, meaning the broker is highly credible.
- As a licensed platform, eToro has to operate a fair trading system. Meaning, the broker has no hidden fees.
- When you choose to utilize a broker like eToro, you can add funds to your account through a debit or credit card.
- Essentially, this means you can invest in DASH with US dollars.
- eToro also provides you with other payment options including numerous e-wallets such as Paypal.
After purchasing DASH tokens, you can store them securely on the platform — as eToro offers personal wallet services.
DASH Exchange
Investing in DASH through a cryptocurrency exchange means you likely don’t have to reveal your identity. This is because most exchanges, such as OKEx, are unregulated. This makes it possible for users to trade anonymously. For some investors, this is a great perk.
However, while you might find this anonymity feature appealing, it’s crucial to note that unregulated exchanges do not offer you security over your funds. Additionally, you cannot invest in DASH with US dollars when using an unregulated exchange — since the platform does not have the authorization of relevant financial authorities.
Should I Invest in DASH?
As a smart investor, you should research extensively to consider whether DASH is a good buy. Doing this is crucial to ensure you understand the project adequately. With a volatile token like DASH, you can incur huge losses if the market moves in an unfavorable manner.
Therefore, we prepared this section to help you gain insight into the DASH project — as that will allow you to understand the benefits and drawbacks of the token.
Operational Since 2017
A factor you might want to consider when evaluating a project is how long the token has been operational. CoinMarketCap lists over 12,000 tokens, the bulk of which were launched within the space of the past 24 months.
On the other hand, DASH was created in 2017. When compared against many other cryptocurrencies, this project is relatively established in the digital tokens market. As such, the coin has a sufficient market trajectory that you can assess to form an opinion on the project’s performance.
Fast Transactions
DASH’s whitepaper states that the project was created to serve as a fast payment option in the cryptocurrency industry. To achieve this purpose, DASH leverages its InstaSend feature to execute transactions almost instantly.
With this mechanism, the protocol removes the need to await blockchain network confirmation before executing payments. This is an impressive use case that makes DASH stand out in the crypto marketplace. Therefore, if you’re looking to learn more about the token, this is one of the areas you should consider while researching.
Private Transactions
Another feature of DASH is that the protocol allows users to send and receive funds on the blockchain in an untraceable manner.
- This is made possible through Masternodes.
- When a user elects to make a private payment, the platform will mix up the funds. It does this by using the existing DASH tokens of the sender before executing the transaction.
- Following that, the protocol will further break the transaction down into denominations.
The process also involves a tool known as a change address. Leveraging these mechanisms, the protocol is able to facilitate private transactions within seconds.
Community Governance
The structure of a token’s governance is one of the most important factors worthy of consideration when evaluating a cryptocurrency project. First, the DASH protocol has masternodes, which are responsible for facilitating transactions on the network. There are also miners tasked with the responsibility of updating the blockchain with transaction blocks.
Worthy of note is that 10% of earnings generated for mining goes back into the DASH protocol. This goes towards achieving the ecosystem’s long-term goals. Ultimately, DASH has an active community of users who contribute significantly to developing the platform and driving meaningful growth.
What are the Risks of Investing in DASH?
After taking the important step of knowing whether or not DASH is a good buy, it’s only right to complement this by learning the risks that come with the token. This is because, if you disregard these risks, you might end up losing some, or all, of your money after investing in DASH.
Below are the main risks you should note before putting your money behind this token
Speculation and Volatility
The challenge of volatility is not limited to DASH — as all digital currencies suffer constant price fluctuations. Nonetheless, the token’s price can rise or drop abruptly based on the market forces.
- Essentially, you’ll need to prepare for any possible market movement before investing in DASH, as this will ensure you have a plan in place should the token witnesses any extreme alteration.
- This accounts for why you should always make moves to hedge your risks when investing in DASH.
A common strategy you can leverage to reduce these risks is via dollar-cost averaging. Here, you’ll invest in DASH regularly but with small amounts — for every buy order that you place. This is an effective way to absorb the shock from fluctuating market prices.
Notable Competition
If a token faces stiff competition in the cryptocurrency marketplace, you’ll have to carefully assess these rivals. Concerning DASH, the token has a transactional use case which is similar to that of other assets like Litecoin and Bitcoin. Not only are these two tokens listed globally and across thousands of platforms, but they have a much larger market capitalization than DASH.
Additionally, Bitcoin enjoys the first-mover advantage in this regard. Some other tokens with similar use cases include Ethereum, Bitcoin Cash, and more.
Ultimately, these coins pose a threat to DASH, as they might limit the traction that the token is able to generate. This risk can negatively impact the potential of DASH’s value in the market, especially if its developers are unable to create new projects and use cases.
How Much Does it Cost to Invest in DASH?
When you make general purchases online, the fees you incur often depend on the vendor from which you bought your goods. In the same manner, when you choose to invest in DASH, the amount you’ll be charged during the process will depend on the broker you select.
- You can invest in DASH through a debit/credit card, as this is a fast payment option. However, this will come at a high fee on some brokers.
- For instance, Coinbase will charge you 3.99% when you use MasterCard or Visa.
- On the other hand, if you want to incur minimal fees or none at all, you can elect to use a wire transfer. The challenge here, however, is that the funds won’t reflect in your account quickly. In fact, this might take more than 48 hours.
However, you can choose a broker that provides a low-cost service without compromising the security of your funds. eToro is an option that fits the bill in this regard – because the broker only charges a 0.5% fee when you invest in DASH through a debit or credit card. In fact, if you’re a US client, you won’t pay anything at all.
This establishes the importance of evaluating a broker’s fee policy before deciding on whether to choose the platform to invest in DASH.
How to Invest in DASH – Conclusion
Our goal with this guide was to show you that investing in DASH is a simple process. You’ll realize this when you choose a safe broker that offers you a cost-effective service – like eToro. This broker ticks all the right boxes, not least because it allows you to begin investing in DASH from just $25.
With the steps we’ve discussed in this guide, you can complete the DASH investment process in under five minutes. Then, you can look towards a price increase to sell your tokens and secure your profit – all from within the eToro platform.
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