Ethereum

If Bitcoin is the original cryptocurrency platform, network and coin, Ethereum is not far behind. In recent years, Ethereum, or ETH, trading and investment have become important parts of the crypto landscape. But what does all this talk of Ethereum mean? How does the network function, and what are its advantages and risks? Here at 

, we've compiled a handy guide to help you get the answers you need to all of these questions. Read on to learn more as we examine the practical aspects of 

 coins. In addition, we'll deliver the technical information you need to enrich your understanding of this exciting payment network.

Ethereum is a little younger than other cryptocurrency big hitters, such as Bitcoin, but not much younger. Bitcoin emerged back in 2008 and was growing rapidly in value by 2009. 

 was a little slower off the mark. It first appeared as an idea from the developer

 back in 2013 and was initially called Frontier. Development work began in 2014, and by the end of July 2015, the network was up and running.

When Ethereum was first floated on the market in August 2015, 

. This value fell sharply, halving by September of the same year before beginning its first rapid rise in January 2016. After a series of ups and downs, Ethereum was worth US$4,766.35 on November 11, 2021 — the currency's highest value to date.

. Between December 2020 and February 2021, for example, the currency more than doubled in value, rising from US$746.06 to US$1,495.81. In March 2016, the currency broke US$10 for the first time, while in May 2017, Ethereum broke US$100 and US$200 for the first time in the same month. It's been an exciting ride for anyone engaged in 

 or investing, and that exciting ride promises to continue.

Like most cryptocurrencies, Ethereum works using a blockchain system that supports decentralised transactions. The blockchain is basically a distributed ledger that is used to record transactions across the Ethereum platform and the broader network of nodes. Whenever a transaction takes place, the information regarding this transaction is written into the blockchain. This process of writing a new block to be added to the blockchain is called mining, but we'll discuss this in more detail later on. Once a new block is mined, or written into the chain, a copy of the entire blockchain is sent to each node on the network. It is the consensus between all network nodes that protects the network from fraud, data corruption, or other discrepancies.

This is a generic look at how the blockchain works. But what makes Ethereum different? How does Ethereum's blockchain work? The Ethereum blockchain is in fact designed to do more than just store wallet data and transaction values — like the Bitcoin blockchain, for example. Ethereum is actually intended to help users store computer coding structures and even applications. These applications can then use the Ethereum network's enormous resource of computing power to complete tasks.

Basically speaking, this makes the scope of the Ethereum blockchain much broader than that of Bitcoin. With Ethereum, businesses can build and launch applications that then run on the CPU power of the nodes themselves. What's more, these applications integrate with the Ethereum (ETH) cryptocurrency itself, making it easy to carry out secure, digital transactions.

What does "mining Ethereum" mean? As we've touched upon above, mining is the process of 

recording transactions in the Ethereum blockchain

 and then distributing a copy of this blockchain to all other nodes on the network — achieving full network integrity and reliability thanks to a consensus across each copy. Without mining, the network would not function, as transactions and other data could not be recorded into the blockchain. This is why miners are rewarded for their work as part of a process that builds value and makes crypto mining a lucrative endeavour. We'll explore this further in the Halving section below.

But what about Ethereum specifically? How does Ethereum mining work? One way in which Ethereum mining works a little differently from other similar networks lies in the type of consensus protocol it uses to ensure network integrity. Bitcoin has traditionally been based on a Proof-of-Work, or PoW, protocol. With the PoW protocol, when 

 agree on the state of the network, a consensus is said to have been reached. Anyone who wanted to defraud the network would need to have control of 51% of the nodes — something which would be very difficult, and expensive, to achieve.

Ethereum has also used this protocol over the course of its development, and so mining occurs in much the same way. However, it looks like Ethereum will eventually transfer to a 

 in order to validate a transaction. Once the stake is paid, this node joins the validator pool and may be chosen at random, along with other user nodes, to perform a validation. They will be remunerated for this validation, but they risk losing their stake in the event that the node is unavailable or if something else goes wrong during the process. There are major advantages to this. The network becomes more scalable, for example, and Ethereum's carbon footprint is reduced. However, it will bring significant changes to the way in which Ethereum is mined. Traditional mining — the kind we see on the Bitcoin network — will be a thing of the past for Ethereum users.

When a user mines a block into the Ethereum blockchain, their efforts — and those of their CPU — are rewarded. This reward is delivered in the form of an amount of Ethereum currency. This amount will be a percentage of the value of the transaction that is being recorded in the blockchain. In order to maintain the stability of the network and keep Ethereum supply steady, the rate at which Ethereum miners are remunerated will be reduced periodically over time, in a process 

This may seem a little underhand at first glance. After all, nodes and miners support the network, and it seems unfair that the reward for this support becomes less and less over time. However, this is all part of the standard operation of a crypto network, and halving events will always be shared publicly well in advance so no one is left in the dark.

As the Ethereum currency is set up a little differently from 

, there was no planned halving built into its timeline. In other words, a halving event was not guaranteed. However, in April 2021, it was predicted that Ethereum will need to implement some kind of halving to stabilise its finances over the coming two years. Experts predicted something equivalent to "

" would need to take place on the Ethereum network before 2023, so we may be heading for significant mining reward decreases in the near future.

Before Ethereum hashes can be explained, we need to return to the topic of crypto mining and think about the technical aspects of how this works. Mining requires nodes to solve cryptographic calculations. Once the calculation is solved, the new block of information is written into the blockchain and the process is completed. This process creates a hash value — an encrypted representation of the data held within the block. Without hashing, the data in the blockchain rapidly becomes unwieldy and difficult to manage. Hashing solves this problem by ensuring that all input values produce an 

The hash value is also secure. It is impossible for users to examine the hash value and to deduce any of the data from the transaction itself, as the hash's encryption is one-way only. All that other nodes can do is verify that the hash value is the same as the value they have recorded for the same block — i.e. checking and validating. The Ethereum network uses the 

 standard to create its hash values, which makes it different to some other crypto networks that use FIPS-202 (or SHA-3) to complete hashing tasks.

On the Ethereum network, the hash rate — or the frequency and volume of completed hashes — is increasing. As of November 18 2021, there were 

 on the network, up from 876.39 the day before and from 266.83 this time last year. In other words, the hash rate has grown by 1.81% in 24 hours, and by 234.4% in the last year.

One of the most important Ethereum uses — just like with any other cryptocurrency — is peer to peer transactions. This is what the Ethereum coin and the network are designed for, at least in part — to provide a reliable network for peer to peer purchases and wealth transfers.

, you are effectively signalling to the network that you want to make a change. The most basic changes involve one to one transactions — you signal to the network that you want to send X amount of Ethereum tokens out of 

 and into the wallet of another user, then the other user signals that they want to accept this amount. Provided that an agreement is reached regarding the size and nature of the transaction, this process should be completed quickly, and the Ethereum currency will be transferred between the two wallets. In most cases, information regarding the recipient, the transaction value and the signature of the sender will all be written as part of the transaction, along with other data related to the exchange.

Traditionally, Ethereum transaction protocols have been a little more sophisticated than Bitcoin's. This is because Ethereum utilizes smart contracts that provide more flexibility and agility to transactions. Smart contracts involve a series of agreed-upon parameters and an automated transfer of funds once these parameters are met. However, it was 

 that Bitcoin will be working with something similar to a smart contract system after a major upgrade on its network, bringing the competing Bitcoin and Ethereum networks closer together.

Peer-to-peer technology in the Ethereum network

When you're learning how to use Ethereum, you don't necessarily need to know the technical aspects of what the network does and how it does it. In fact, it's likely that a great many Ethereum users do not know how Ethereum works on a technical level. With this handy guide, however, we want to shed some light on the more technical side of things to give you a better understanding of what is going on beneath the service.

The Ethereum network can function as a whole. This means it can bring together the vast resource of computing power and draw upon this power en masse. At the outset, this was the aim of the Ethereum network — to create a resource of computing power that application designers and developers could tap into. So, if Ethereum is basically a huge computer made up of lots of different distributed nodes, how do all these nodes come together? How do we achieve consensus and communication across the network?

Firstly, network nodes send data to one another using a 

. This protocol is different to the hash protocol mentioned above and supports the transfer of data that has been pre-encrypted and serialised. Before the data is encrypted and transferred, however, the sending node must make sure that the recipient node is indeed able to decrypt and access this data. A public key is sent to the recipient node to begin the data transaction process. We'll talk about keys in more detail in the Keys and Wallets section below.

, and that's because it is. Fortunately, users do not need to know what is going on down below in the Ethereum engine room and can execute tasks and transactions without this high level of knowledge. The reasoning behind all this complexity and encryption is actually quite simple — it's an effective way to ensure that there is no centralised control over the network and to make sure that Ethereum remains distributed and decentralised.

The Ethereum network relies upon wallets. These are effectively the interfaces by which human users can interact with the Ethereum network, arranging transactions and managing the amount of Ethereum in their user account. In addition to this function, these wallets also store the Ethereum coins or tokens in a secure fashion, ready for use.

In order to access the wallet, users need to have access to a private key. This is essentially the password that protects the wallet itself. We've already mentioned the public key above, i.e. the key that is shared between nodes during a transaction. This private key works in a similar way, but it is not shared — it is simply entered to allow a user to gain access to the wallet.

Generally, the wallet and user account will include the following information:

The amount of the Ethereum currency in the account

The number of transactions created and sent by the account

— The encrypted code that handles transaction processing

— The encrypted code relating to assets stored in the wallet

 for crypto enthusiasts. What's more, the nature of the Ethereum network is ushering in a new era for application development — an era in which distributed networks provide vast computing power for software structures. That said, there are risks to using Ethereum, just like there are risks to using any technology, and any cryptocurrency for that matter.

Ethereum has fluctuated wildly in value over the years. If you had purchased Ethereum at the very beginning, your investment would now be worth thousands of times its original value, making this a very shrewd purchase indeed. However, the nature of crypto makes this value unstable, and you are at risk of losing your investment at any time.

We've noted above that Ethereum is changing the way in which it is mined. While the network has traditionally used the Proof of Work mining system, it looks likely that Ethereum will adopt the PoS system in the future, which will require transaction validators to stake a certain amount of Ethereum before the validation can begin. In the unlikely event that there is a problem with the validation, this stake is put at risk. The user may even lose all of their stake in some rare cases.

In this article, we've focused on Ethereum and the differences between Ethereum and Bitcoin. However, this is only scratching the surface. There are loads of other crypto networks out there — such as 

 — each with its own advantages and disadvantages. Some of these networks even use the smart contracts system made famous by Ethereum. Ethereum is still one of the main networks out there, but there is no guarantee that this will remain the case in the future.

Diversify your investment: buy Ethereum today

Ethereum is a great way to grow your wealth and to connect with a new and exciting way to handle digital transactions. Sign up for a 

, and get started with an Ethereum investment today.

What Is Ethereum & How It Works

Cryptocurrency is bought and sold in different ways.

Trades are commonly made on public exchanges like BTC Markets. Others are settled ‘over-the-counter’ (OTC).

OTC refers to trading privately between two parties. Trades are made outside of public exchanges. OTC is an effective way to save money on large trades.

What is OTC and how does it differ from exchange trading?

OTC trades are negotiated deals made between two private parties. Stocks, currencies, and other assets, like cryptocurrency, can be bought and sold OTC.

This differs from exchange trading which occurs in marketplaces hosted by exchanges. For example, the Australian Stock Exchange (ASX) hosts stock markets. Similarly, BTC Markets hosts trades between digital assets, including cryptocurrencies, and Australian dollars.

These markets consist of digital order books. Buy and sell orders go ‘onto the books’ when created. Orders are taken ‘off the books’ when matched with other trades.

OTC contrasts this. There is no order book. Prices are privately negotiated and agreed upon by two parties.

One benefit of OTC is fixed rates. This reduces the risk of exposure to price slippage. Slippage refers to prices changing while orders are being placed. This results in entering or exiting a trade at an undesired price.

Slippage commonly occurs in volatile markets.

How does OTC save money on large cryptocurrency trades?

OTC trades can result in a lower average purchase price. This is especially beneficial for high-volume trades. Large trades executed on exchanges can have the opposite outcome. This has to do with order books.

Say an individual, Mary, wants to buy 5 Bitcoin at market value. Bitcoin is trading at AU$15,000 per coin. She looks to buy on an exchange.

The order book shows 1 Bitcoin is available at AU$15,000 – not enough to fulfil Mary’s 5 Bitcoin trade. However, more volume is available. Other sell orders sit at higher prices. Mary’s trade is settled by taking from these orders. She now owns 5 Bitcoin but has paid more than intended.

What if Mary made the same trade OTC? She engages with a dealer to buy 5 Bitcoin. Both parties agree on a deal. Mary buys 5 Bitcoin at $15,000 per coin. The fixed rate results in cost savings on her purchase.

Who supports OTC trade for cryptocurrency?

Our OTC desk is for discrete, high-volume trades.

We facilitate your deal directly, and you gain access to our global network of liquidity providers.

The OTC service is open to individuals, institutions, and Self Managed Super Fund (SMSF) clients, for orders worth AU$100,000 or more.

 to find out more information about over-the-counter trading.

How to Save Money on Large Cryptocurrency Trades

Bitcoin

It is important to remember that while selling Bitcoin is similar to buying Bitcoin, you must first have BTC in your cryptocurrency wallet to do so. Whether you prefer a quick and simple method or a slower but more private one — there are a variety of answers to the question of how to sell your cryptocurrency.

Each of the platforms where you can go to sell Bitcoin has its own pros and cons, and you will have to find the one that works best for you. The avenues available include online cryptocurrency exchanges like 

, direct peer to peer transactions both in-person and online, and through a Bitcoin ATM among others.

One of the simplest and most automated ways to turn your Bitcoin into cash in your bank account is through an exchange platform. It effectively acts as a middleman who sells this famously decentralised cryptocurrency on your behalf. Since it is the most popular and well-established cryptocurrency exchange in Australia, we recommend using 

There are also other well-known international cryptocurrency exchanges like Coinbase and Binance, although it is necessary to note that some exchanges have banned certain regions and countries from being able to use their platform. Signing up for an account on any exchange platform is relatively easy, but there are certain non-negotiable steps you will need to take.

By this, we mean having to comply with whatever form of “

” the platform uses. This will usually involve uploading some form of identification such as your identity card, driver’s licence, or passport, as well as a proof of address. Once your account is created and linked to your bank account, selling your Bitcoin for cash is as easy as clicking a button.

The one downside to using an exchange is that they have to charge a fee to keep the service running. This means it’s not always the cheapest option. There is also the fact that a centralised organisation, namely the exchange platform you’re using, will be monitoring the transaction — the exact thing that you may be trying to avoid by using Bitcoin.

Always be mindful of the withdrawal fees that your platform of choice charges when selling your Bitcoin. Some platforms will also limit how much money you can withdraw within a fixed period, a limit that may be raised the longer you have an account with them.

Hackers can also target cryptocurrency exchanges that offer wallet services — so be sure that the exchange you are using is a reputable one with a long-standing history as a trustworthy platform. Another option is to store your cryptocurrency in an offline digital wallet that is not tied to a specific exchange platform.

Unlike traditional cryptocurrency exchanges, peer-to-peer (P2P) exchanges let you 

 before you sell your BTC. The platform then finds a buyer who is willing to pay that price. Once a buyer is found, the two of you will decide how payment is made. In some cases, you can do this on the site, which is known as a direct trade, but most of the time, people choose to use a separate bank transfer.

More reputable platforms will typically use an escrow system so that both the sellers and buyers have a certain level of security during the transfer of their digital assets. When using a P2P trading platform, you can sell any cryptocurrency, including 

And because you’re setting the price as well as choosing how you want to receive payment, you could accept gift cards for popular online stores, meet up in person to exchange cash for your Bitcoin and even accept goods like computer equipment, expensive art and more. However, be aware that some P2P marketplaces will limit or exclude certain payment methods, so investigate more thoroughly before committing to a particular site.

There is nothing wrong with using a cryptocurrency market or peer-to-peer exchange platform to sell your Bitcoin. But ultimately, that money ends up in your bank account and not as cash in your hand. With a Bitcoin ATM, you can skip right past all the hassles of waiting for your Bitcoins to be exchanged for a traditional currency, deposited in your bank account and only then being available for withdrawal.

 originally designed to be used for online transactions, Bitcoin ATMs make it possible for you to withdraw cash directly from your Bitcoin wallet. However, you will need to remember all your Bitcoin wallet address details or have its QR code saved somewhere to do so. These ATMs also allow you to buy Bitcoin if you don’t want to use your own computer to do so.

One problem with Bitcoin ATMs is that there are not many around Australia yet. In fact, at the time of writing, there are 

 available. They also tend to charge incredibly high transaction fees when compared to the other methods we have listed. It’s also important to note the fact that not every Bitcoin ATM offers both buy and sell functionality.

These days, there are also several crypto-focused payment cards available. These are effectively the same as your traditional Visa or MasterCard; however, the balance is linked to your crypto wallet. Different cards operate in different ways, but they usually exchange your 

 into cash at the point of sale. This means that they can be used anywhere that accepts cards, including establishments that allow you to withdraw cash at the till point.

Bitcoin’s value fluctuates from minute to minute, just like any traditional currency. We recommend visiting our site to have a look at the 

 for Bitcoin and the other cryptocurrencies we support.

Digital assets like Bitcoin and other cryptocurrencies are considered property and are legal tender in Australia. Therefore, you can use your SMSF to invest in listed digital assets. 

Can I earn interest on my Bitcoin balance?

Yes, it is possible to earn interest on Bitcoin. However, you have to use a process known as staking, which is effectively the same as opening a fixed deposit. Find more information about 

Now you have some answers to the question “how do I sell my Bitcoins?” and a few others, so you’re ready to start with your 

. Whether you are planning to use your Bitcoin for investment purposes, are interested in a secure way to store your funds, or are simply looking for a completely private way to conduct your business online, Bitcoin is a wise choice. Backed by its revolutionary blockchain technology, it has been around for 12 years now, and it is here to stay.

 and start your Bitcoin investment today? Among the options that we listed for selling your Bitcoin, which one do you think you will use?

How to Sell Bitcoin

Buying Bitcoin in Australia is easy with BTC Markets. The world’s most popular cryptocurrency is synonymous with the industry and many Australians are wondering how they can open an account and start trading in a safe and reliable way. 

 can be a great addition to your investment portfolio depending on your comfort towards potential volatility and appetite for risk, and like any other investment, you should always do your own research before making any investment decisions.

With the increasing interest in Bitcoin and other cryptocurrencies (known as altcoins), many Australians are looking to get on board and join the cryptocurrency revolution, which has taken the world by storm.

Before you get started with buying Bitcoin, there are a couple of things you’ll need to be aware of. First of all, you will need to find a cryptocurrency exchange that sells it (which is different from a regular stock exchange). These exchanges specialise in the sale of cryptocurrencies. Second of all, you need to be aware of the two main ways in which you can store your Bitcoin once you have purchased it: using hot wallets or cold wallets.

Hot wallets are web-based and can include the exchange platform you are buying and selling Bitcoin and other cryptocurrencies on, in both desktop form and as a mobile app. A hot wallet can also be a dedicated, online wallet that you can transfer your cryptocurrency to, that is compatible with certain external hardware wallets (known as a cold wallet). Generally speaking, because a hot wallet is connected to the internet, it is more vulnerable to security issues (such as being hacked), than a cold wallet is.

A cold wallet, as mentioned above, is a physical hard drive that you connect to your computer, load up with your cryptocurrency, and then unplug and store in a safe place. A cold wallet is a more secure option for storing your cryptocurrency since for someone to hack and steal its contents, they would need physical access to the hardware. A cold wallet is usually the size of a USB drive, but there is one catch: if you misplace your cold wallet, that means you have lost all access to your cryptocurrency as well, so it is always best to store it in a safe location—in fact, buying an actual safe, and keeping it in there, is advised.

Create a BTC Markets Account to Buy BTC in Australia

The best way to buy Bitcoin in Australia is to sign-up for a BTC Markets account. BTC Markets is Australia’s largest, most trusted cryptocurrency exchange, with more than 350k users on our platform, who have traded more than $23bn.

Create your account and start trading in three easy steps:

Add AUD or crypto to your wallet using one of our secure deposit methods.

You're ready to place your first trade! You can buy, sell and trade BTC immediately.

BTC Markets is renowned for its cybersecurity protocols. They were the first exchange in Australia to be Gold Certified by Blockchain Australia, are registered as a Digital Currency Exchange with the regulator AUSTRAC, and also have been awarded the much-coveted ISO 27001 Information Security Management certificate by the British Standards Institution (BSI). If you’re wondering how to buy Bitcoin safely, then BTC Markets is your best bet.

Suitable for retail and institutional investors, as well as self-managed super funds

BTC Markets is a great platform for both retail and institutional investors looking to invest in some of the most popular cryptocurrencies. Whether you are just starting out and want to dip your toe in with a small amount until you feel confident trading more, or you are a seasoned investor who wants to start trading large amounts right away, the BTC Markets platform is perfect for both types of investors.

BTC Markets also offers trading services to those with self-managed super funds. In fact, in 2020, the crypto exchange’s self-managed super funds clients grew by a multiple of five—showing that more and more Australians are looking to take greater control over their superannuation and the types of assets they gain exposure to. As with other investment strategies, it is usually a good idea to diversify your holdings to mitigate a portfolio’s total risk, while allowing the fund to benefit from market fluctuations in different market and asset categories.

BTC Markets also offers Over-the-counter (OTC) trading for those investing large sums of money per transaction. These types of clients are eligible for lower trading fees that are on a sliding scale, depending on the amount they are investing. Those conducting OTC trades will receive a direct line to a personal account manager who will talk them through the trade over the phone, from consideration to execution. Additionally, family offices and trusts are also accepted by BTC Markets as clients.

The exchange is easy to use for both newcomers and seasoned investors. The interface is clear and simple to navigate, offers a dark mode for your viewing preferences, and allows you to start trading with both fiat and Bitcoin. You can view live charts that show market price fluctuations, the 24-hour high and low of the crypto asset as well as the percentage appreciation or depreciation, the bid and ask price, and volume traded, amongst other options. This holistic overview of the cryptocurrency market makes it easy to not only see exactly how your investments are performing but to see in real-time, other cryptocurrencies that may spark your interest for investment consideration.

BTC Markets is the preferred cryptocurrency exchange for Australians. It has the largest customer base and by far the most volume traded, which is more than 15 billion dollars. It is also one of Australia’s oldest exchanges, having been founded in 2013—well before Bitcoin and cryptocurrencies hit the mainstream. They also have excellent customer support and release new features regularly, making the user experience smooth and reliable.

The BTC Markets team is amongst the best in Australia, and the crypto exchange is often mentioned in mainstream media and features on premier industry panels alongside everyone from MasterCard and PayPal to Government regulators and politicians. In this respect, BTC Markets is taken seriously as an industry leader in Australia’s cryptocurrency scene, making it the preferred crypto exchange platform for a majority of Australians.

You can also learn more by downloading the 

How Can I Buy Bitcoin

Most attacks can be avoided with vigilance and a little technical knowledge. Online criminals are often trying to make their money as quick and easy as possible. The more difficult you make it for them, the more likely they will move on to an easier target. The tips below will assist you in protecting yourself and your identity online.


Do not allow anyone to access your account or devices

A very common trick used by scammers is to pretend they are helping or teaching you how to trade. By taking control of your devices or asking for information that will allow them to access your account they can gain entry to bank accounts and steal your funds. They may ask you to install third party software, to use remote desktop, or ask you to verify your account details including passwords and two-factor codes.


Given that these scams result in the largest total losses for Australians it is important to be vigilant and aware of them when browsing the internet and looking for advise/knowledge on cryptocurrency. These scams are initiated by clicking on fake advertisements/social media post and entering in personal information or filling out surveys.


Scammers who claim to be brokers/portfolio managers will then contact you via email or telephone and attempt to coax you into investing in cryptocurrency, either on your behalf, or offer to coach you via remote access software. You will be shown various fake data of profits which are hosted on fake websites, all in an attempt for you to transfer more money to these scammers.


It is common in these scams for the ‘broker’ to claim to be located overseas and try to be seen as sophisticated and trustworthy by showing you falsified documents and credentials to coax you into investing.
These scammers may allow you to withdraw a small amount of your total investment, but this is a tactic used to build trust, which will be abandoned if you request to withdraw all funds. At which time these scammers will stall on returning funds and most likely request further funds to withdraw. The conclusion to these sorts of scams ends in these scammers cutting all contact.

One of the best ways to keep attackers away from your computer is to apply patches and other software fixes on a regular basis. By regularly updating your computer, you help prevent attackers from being able to take advantage of vulnerabilities in the software that they could otherwise use to break into your system.


Choose strong passwords and keep them safe

Avoid using easy-to-guess passwords or passwords based on your personal information such as your last name or login name. Use a mixture of lower- and uppercase letters as well as numbers. Select especially strong, unique passwords for protecting activities like online banking. BTC Markets recommends using a password safe with generated passwords.


Exercise caution when sharing personal information such as your name, home address, phone number, and email address online. Attackers will attempt to get your information in many ways.


If you are not sure about a link or file attachment in an email, don't follow the link or download it, just simply delete it. If you are unsure, you can also contact the entity directly via their website or phone number to confirm. It could be malware that once executed can allow attackers to access the data on your machine remotely.


Things that indicate a message may be fraudulent are misspellings, poor grammar, odd phrasings, website addresses with strange extensions or entirely numbers where there are normally words, and anything else out of the ordinary. Additionally, phishing messages will often tell you that you have to act quickly to keep your account open, update your security, or urge you to provide information immediately or else something bad will happen. Don't take the bait.


Spammers and phishers sometimes send millions of messages to email addresses that may or may not exist in hopes of finding a potential victim. Responding to these messages or even downloading images ensures you will be added to their lists for more of the same messages in the future. Also be careful when posting your email address online in newsgroups, blogs or online communities. Pay attention to privacy policies on websites and in software. It is important to understand how an organisation might collect and use your personal information before you share it with them.


BTC Markets and many other websites support two-factor authentication. Utilise it where possible, especially on financial accounts and your email address. If you do manage to leak your online credentials the attacker will not be able to steal your personal information (or Bitcoins) if they do not physically have access to your phone at the same time.


The old saying "there's no such thing as a free lunch" still rings true today. Supposedly "free" software such as screensavers or smileys, secret investment tricks sure to make you untold fortunes, and contests that you've surprisingly won without entering are the enticing hooks used by companies to grab your attention.
The creators of a cryptocurrency, rich or famous people, are not going to double your money if you first send them your funds.

While you may not directly pay for the software or service with money, the free software or service you asked for may have been bundled with advertising software ("adware") that tracks your behaviour and displays unwanted advertisements. You may have to divulge personal information or purchase something else in order to claim your supposed contest winnings. If an offer looks so good it's hard to believe, ask for someone else's opinion, read the fine print, or even better, simply ignore it.


Review bank and credit card statements regularly

The impact of identity theft and online crimes can be greatly reduced if you can catch it shortly after your data is stolen or when the first use of your information is attempted. One of the easiest ways to get the tip-off that something has gone wrong is by reviewing the monthly statements provided by your bank and credit card companies for anything out of the ordinary.

Additionally, many banks and services use fraud-prevention systems that call out unusual purchasing behaviour (e.g., if you live in Sydney and all of a sudden start buying goods in Russia). In order to confirm these out-of-the-ordinary purchases, they might call you and ask you to confirm them. Don't take these calls lightly—this is your hint that something bad may have happened and you should consider pursuing the activities described in the area covering how to respond if you have become a victim.


Only transfer funds to trusted recipients. Bitcoin transactions are irreversible. Before transferring funds from BTC Markets, always double-check you have the correct destination BTC address.


Ransomware (such as CryptoLocker) is usually propagated via infected email attachments in the form of an executable file. Once activated, the malware encrypts certain types of files stored on local and mounted network drives using cryptography. The private key is required to decrypt the data but this will only be provided if a payment (through either Bitcoin or a pre-paid cash voucher) is made by a stated deadline.


The best defense against ransomware is preventing infection in the first place. Take precautionary steps, such as backing up your data so you can restore to a last known uninfected state. CryptoLocker has been known to target Remote Desktop Protocol (RDP), so disable RDP if you are not using it. Never open an executable (.exe, .bat, .vbs, etc.) and filter for such files to prevent receiving emails that may be harmful. You can create rules within Windows or with Intrusion Prevention Software to disallow a particular, notable behaviour used by Ransomware, which is to run its executable from the App Data or Local App Data folders. If (for some reason) you have legitimate software that you know is set to run not from the usual program files area but the App Data area, you will need to exclude it from this rule.


Use of our services for illegal activities

BTC Markets is committed to reducing and preventing crime by reporting any issues or suspicious activity to the appropriate authorities. BTC Markets prohibits the use of our services for illegal activities including paying ransoms for ransomware or any other illicit activities. The addresses used to send bitcoins on our service are public information and each transaction is recorded for future traceability.


Below are some useful resources about protecting yourself online:

 - is run by the Australian Competition and Consumer Commission (ACCC) and provides information to consumers and small businesses about how to recognise, avoid and report scams

 - on this page you can find some helpful guides created by the Australian Cyber Security Centre.

 - is where to go if you have been a victim of a scam or fraud online and want to report it to police.

 - is Australia and New Zealand’s National Identity and Cyber Security Support Service and provides free phone consultants and advice for the community.

 – is an important tool for consumers and small businesses to learn about scams.

For more information about any of the topics mentioned above, feel free to 

Protect Yourself Against Cybercrime

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What Is Ethereum & How It Works

How to Save Money on Large Cryptocurrency Trades

How to Sell Bitcoin

How Can I Buy Bitcoin

Protect Yourself Against Cybercrime

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.css-10i63lj:hover{-webkit-text-decoration:underline;text-decoration:underline;}.css-187z2gv:hover{-webkit-text-decoration:underline;text-decoration:underline;}What Is Ethereum & How It Works

How to Save Money on Large Cryptocurrency Trades

How to Sell Bitcoin

How Can I Buy Bitcoin

Protect Yourself Against Cybercrime

Scheduled Maintenance Downtime: Fri 15th Oct 2021 3am-7am AEDT

Get BTC Markets content delivered

What Is Ethereum & How It Works