ERC20 tokens are among the most popular and sought-after cryptocurrencies in the digital asset market. Introduced in 2017, these Ethereum-based tokens have gained significant traction due to their versatility and utility. If you're looking to buy ERC20 tokens, this guide will walk you through two proven methods: purchasing through a crypto exchange or directly via a crypto wallet.
Understanding ERC20 Tokens
What Are ERC20 Tokens?
ERC20 tokens are digital assets built on the Ethereum blockchain, adhering to a standardized set of rules that ensure compatibility across wallets and exchanges. Unlike independent cryptocurrencies like Bitcoin, ERC20 tokens rely on Ethereum’s network for security and functionality.
Why Invest in ERC20 Tokens?
- Interoperability: Seamlessly interacts with Ethereum-based applications (DApps).
- Security: Benefits from Ethereum’s robust blockchain security.
- Liquidity: Widely traded on major exchanges.
- Utility: Used in DeFi (Decentralized Finance), NFTs, and smart contracts.
Best ERC20 Tokens to Buy in 2025
Here are some top-performing ERC20 tokens worth considering:
| Token | Use Case |
|---|---|
| Chainlink (LINK) | Blockchain oracle services |
| Tether (USDT) | Stablecoin pegged to USD |
| Uniswap (UNI) | Decentralized exchange token |
| ApeCoin (APE) | Bored Ape Yacht Club ecosystem |
| Decentraland (MANA) | Metaverse virtual land |
👉 Check current ERC20 token prices
Method 1: Buying ERC20 Tokens via Crypto Exchanges (5 Steps)
Step 1: Choose a Reliable Exchange
Top platforms for purchasing ERC20 tokens include:
- Binance – Low fees, high liquidity.
- Coinbase – User-friendly, ideal for beginners.
- Kraken – Strong security features.
Step 2: Create and Verify Your Account
- Sign up with an email and secure password.
- Complete KYC (Know Your Customer) verification.
Step 3: Deposit Funds
- Deposit fiat currency (USD, EUR) or crypto (BTC, ETH).
- Use bank transfer, credit card, or crypto deposit.
Step 4: Buy ERC20 Tokens
- Search for your preferred token (e.g., USDT/BNB).
- Place a market order (instant) or limit order (set price).
Step 5: Withdraw to a Secure Wallet
- Transfer tokens to a compatible wallet (MetaMask, Trust Wallet).
- Always store private keys securely.
👉 Trade ERC20 tokens with low fees
Method 2: Buying ERC20 Tokens via Crypto Wallet (2 Steps)
Step 1: Set Up a Wallet
Recommended wallets:
- MetaMask (Browser & Mobile)
- Trust Wallet (Mobile Only)
- Coinbase Wallet (Non-custodial)
Step 2: Swap ETH for ERC20 Tokens
- Deposit Ethereum (ETH) into your wallet.
- Use built-in DEX (Decentralized Exchange) to swap ETH for ERC20 tokens.
FAQ: Buying ERC20 Tokens
❓ Can I buy ERC20 tokens with fiat currency?
Yes! Platforms like Coinbase and Binance allow direct purchases via credit/debit cards.
❓ Which wallet is best for ERC20 tokens?
MetaMask and Trust Wallet are top choices due to Ethereum compatibility.
❓ How do I sell ERC20 tokens?
Reverse the process:
- Send tokens back to an exchange.
- Sell for fiat or another cryptocurrency.
❓ Are ERC20 tokens safe?
Yes, but always use verified contracts and avoid suspicious projects.
Final Thoughts
Buying ERC20 tokens is straightforward once you choose between an exchange or wallet-based purchase. For long-term holding, transfer tokens to a secure wallet. If you’re interested in deeper crypto involvement, consider launching your own ERC20 token via platforms like Tradebox.
By following these steps, you can confidently navigate the ERC20 ecosystem and make informed investment decisions.