Risk Warning: Your Capital is at Risk.
NEO, a “smart” blockchain cryptocurrency competitor to Bitcoin, can be purchased or exchanged in various ways. Traders can also speculate on its price changes via derivatives instruments.
In this crypto trading guide, we’ll show you how to trade NEO, where to find a regulated broker in , and why people are interested in trading this commodity.
In a hurry? If you want to get started trading NEO, here are brokers available in that offer NEO-based derivatives like options and CFDs:
Disclaimer: Availability subject to regulations.
Between 74-89% of retail investor accounts lose money when trading CFDs.
Contents
Where to Trade NEO With Brokers
One option to gain exposure to NEO price movements is to not buy cryptocurrencies at all but instead trade options, forex, CFDs, futures, and other derivatives through a regulated broker.
Trying to find a regulated broker offering NEO instruments can be challenging. Luckily, we’ve already done the heavy lifting for you.
IMPORTANT: CFDs are not available in the USA due to local regulation, and regulated brokers do not accept US citizens or US residents as clients.
Crypto Brokers Available in
Here’s a list of regulated brokers available in that offer CFDs and other cryptocurrency derivatives, including NEO.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74%-89% of retail investor accounts lose money when trading CFDs. You should consider whether you can afford to take the high risk of losing your money.
Please Note: Availability subject to regulations. Cryptocurrency CFDs are not available to UK retail traders.
How to Buy NEO On Exchanges
So you’re convinced that NEO will be the next big thing? The next problem is figuring out how to buy NEO.
It isn’t as simple as purchasing Bitcoin or Ethereum. The best way to acquire NEO is to first buy BTC and then exchange that for some NEO. Here are popular exchanges and platforms:
Buying NEO On Coinbase Via Bitcoin
One of the most popular exchanges for purchasing Bitcoin is Coinbase.
They are one of the oldest and most well-established exchanges. They allow users to purchase Bitcoin, Litecoin, and Ethereum using credit/debit cards or bank transfers.
Buying NEO On LocalBitcoins.com Via Bitcoin
You can also buy Bitcoin through a peer-to-peer Bitcoin Exchange with a less rigorous identification process. One of the best options is LocalBitcoins which allows users to buy Bitcoin with almost any currency.
Once you have the Bitcoins you will then be able to trade these for Neo at another exchange.
Is It Risky To Purchase NEO Through An Exchange?
When you’re deciding how to buy NEO keep in mind that there is always a risk. Cryptocurrencies are volatile commodities and even if you use a more reputable exchange you could still lose all your digital purchases.
If the market moves against you and you don’t sell in time there’s a very real chance you could make a big loss.
You also need to be wary of phishing scams, viruses, and other risks.
Reasons You Might Trade NEO
Here are some reasons you may decide to trade NEO as a cryptocurrency.
- It’s considered a Chinese Ethereum rival
- Business-friendly programming language and support
- Dedicated support from Chinese tech companies
Important: This is not investment advice. We present a number of common arguments for and against investing in this commodity. Please seek professional advice before making investment decisions.
NEO Is Considered a Chinese Ethereum Rival
There is no denying that the Chinese economy is a dominant and growing market that is primed for innovation in the financial-tech (FinTech) sector.
One of the key barriers in Ethereum penetrating the Chinese market is the language barrier as most of Ethereum development and market exposure has occurred in the west.
Find out about the delegated Byzantine Fault Tolerance (dBFT) and how NEO’s blockchain design works in our NEO Cryptocurrency Guide.
A Chinese homegrown ‘Ethereum like’ platform can gain explosive adoption within China.
If NEO develops within the established business norms, culture and regulations of the country, it has a better chance of befriending regulators.
Business-Friendly Programming Language & Support
Unlike Ethereum, which has its own programming language and environment, developers can interact with the NEO network in programming languages they are already familiar with.
This means a potential reduction in development costs for businesses that are interested in launching services on the NEO network, bringing down the barriers to entry.
Dedicated Support From Chinese Tech Companies
NEO has managed to spark the interests of large tech giants.
Microsoft Azure has partnered with NEO on a competition, also known as developer bounties, designed to attract developers to the platform.
Any milestones that the NEO network achieves are likely to draw the attention of other tech giants within China who will find it easier to interface with the ‘local’ platform.
Reasons You May Not Trade NEO
- Lagging development due to Chinese regulation
- Ethereum as a powerful competitor
Important: This is not investment advice. We present a number of common arguments for and against investing in this commodity. Please seek professional advice before making investment decisions.
Lagging Development Due To Chinese Regulation
Being associated with the Chinese market, one of the pillars of the world economy would normally evoke positive associations for any business or trading venture, but with cryptocurrencies, this can be seen as a centralized point of failure.
Cryptocurrencies are already beyond spooked by the Chinese regulators having banned all Initial Coin Offerings (ICO).
In addition to the closure of unregulated Cryptocurrency Exchanges in China, the Chinese-based NEO is exposed to potential limitations.
Ethereum As A Powerful Competitor
In terms of platform development, NEO is competing alongside other networks that are competing in the same space.
Although NEO is making all the right moves in terms of open sourcing their platform and offering developer bounties, it is yet to be seen if it’s developers can compete with the huge Ethereum development community.
Further Reading
Before you begin trading NEO, you may want to find out more about the coin’s history, and how it’s technology functions — you can do so in our NEO Cryptocurrency Guide.
If you prefer to trade the #2 cryptocurrency Ethereum, NEO’s more accomplished rival, see this Ethereum Trading Guide.
To learn about the types of cryptocurrency derivatives you can trade, see our guides on CFDs and options trading.
