DApp -> Wallet -> ETH
The best way to get started with Ethereum is to use Ethereum-based applications (DApps) and services right now, however because some Ethereum applications require you to have a wallet with Ether (ETH), we will take it step-by-step from the other side.
ETH -> Wallet -> DApp
What is Ether?
ETH is Ethereum’s native currency. It is “digital money” that can be sent over the internet instantly and cheaply, and also be used in many Ethereum-based applications.
Like exchanging into the local currency in a foreign country you’re visiting, you can buy it for different fiat money ($, €, ¥, £,..), by using various payment methods, platforms / apps.
- On centralized exchange
Cons: Requires identity verification and it is recommended for added security to withdraw purchased ETH into a wallet in your own control
Create an account -> buy ETH / DAI with card or bank transfer -> (optional) withdraw funds into your wallet
- Directly into your wallet
Cons: Higher fees
Requires first to create / have your own wallet (see the section “Create Wallet” below)
- Peer-to-peer on marketplace / in-person by cash
Cons: Requires to follow ETH price, as it is set by a seller
Create an account / wallet -> find a seller -> buy ETH with cash or other various payment methods
For more exchanges and payment resources please follow here.
What is a wallet?
Wallet is your window to the Ethereum world.
– it works just like your normal wallet, i.e. it allows you to hold and send ETH / DAI
– allows you to interact with Ethereum-based applications (DApps)
Just as bank account numbers are used for transactions between bank accounts, the Ethereum account address is referenced when sending funds to the account.
Private key / Seed phrase
The main strength of decentralized wallet and difference between the existing banking system is a fact, that user own private key of his wallet.
– smart contract wallets enable additional security and recovery features for users
– wallet SDKs offer login and recovery features just like classical apps
– hardware wallets provide cold storage and are great for storing large amounts of money
There are many varieties of wallets out there to choose.
- Web3 wallets
Cons: You have to carry around your private key / seed phrase, what could be risky and dangerous and could be less user’s friendly
Download an extension / app -> write down the 12-word seed phrase and store it safely -> send ETH to your wallet (required in Metamask)
- Wallet SDKs
Cons: It’s security and privacy rely on a service provider, wallets only work for DApps that integrate them and their advanced functionalities could be priced
Create an account by using your e-mail / phone / password / Google or other accounts -> use supported DApps
Cons: Requires identity verification and you have to carry around your card and private key / seed phrase, what could be risky and dangerous
Download an app -> create a wallet -> apply for a card -> exchange ETH for fiat -> spend it wherever Visa is accepted
- Hardware wallets
Cons: Cost money and you have to carry around your device and private key / seed phrase, what could be risky and dangerous
Buy a device -> set it up -> write down the 12-word seed phrase -> store both on safe place
For more wallets and security resources please follow here.
There are many Ethereum-based applications and services, that you can use today and here you can find a few suggestions and usecases.
- Decentralized Finance
– access decentralized finance to lend, borrow, leverage or swap crypto assets
– it makes transactions easier by rolling several services into a single easy-to-use dashboard
– easily and automatically trade your ETH for other ERC20 tokens
– create a pool for your own tokens
– buy and trade tokens that are pegged to different assets such as gold, Bitcoin, U.S. Dollars, TESLA, and AAPL
– create and manage decentralized communities, companies or organizations (DAOs)
– they wil be global, censorship resistant, transparent, bureaucracy-free and customizable
– create your social profile for Ethereum
– provide all-in-one sign-in to Ethereum, identity and reputation, and personal cloud storage
– participate on a social network where you earn money by posting, curating, and speculating
– buy, sell, and discover exclusive digital assets like Gods Unchained Cards, ENS names, CryptoKitties, Decentraland land and other
– enter a virtual world where you can build and explore 3D creations, play games and socialize
– collect and breed digital collectible cats, buy & sell them with a community and other
– each cat is one-of-a-kind and 100% owned by you; it cannot be replicated, taken away, or destroyed
– build spaceships, explore the galaxy, and colonize collectible planets
– install secure, fast & private web and mobile browser integrated with BAT and ERC-20 tokens
– earn by viewing privacy-respecting ads and reward your favourite content creators
– get paid for doing work in any sphere of activity or get accelerate your own project
PoolTogether – join a no-loss lottery for a chance to win a prize
– all the deposited DAI in the pool earn interest, so the prizes are funded solely by the interest earned
– become a juror and earn arbitration fees each time you rule on a dispute
For more usecases please follow here.