A Basic Introduction: What is NEM (XEM) Coin and How to Buy It?
- How to Buy NEM (XEM)?
- Create NEM (XEM) Digital Wallet
- Buy NEM (XEM) Coin
- Buying NEM with Fiat Currencies
- Buying NEM with Bitcoin or Ethereum
- What is NEM (XEM) Coin?
- NEM Coin Features
- NEM Coin Digital Wallets
How to Buy NEM (XEM)? – A Step-by-Step Guide
The first step in the process of buying NEM coin is to set up a NEM wallet that can store your XEM coins following the purchase. The wallet will also be used when looking to sell XEM coins, with the coins needing to be transferred to the exchange.
Step 1 – Create NEM (XEM) Digital Wallet
As is the case with other cryptocurrencies, it is always recommended to select a wallet from the cryptocurrency’s website. In the case of NEM, the proposed wallet is Nano wallet, which can be downloaded directly from the NEM website. The Nano wallet is compatible with Windows, OSX, Linux and more.
Once the wallet has been downloaded and run, you can then set the name and create a secure password that, if forgotten, could result in the loss of all coins from within the wallet. The creation of the private keys is next and, once the process is complete, needs to be stored somewhere safe along with a backup of the wallet. (The private key will be a series of numbers and letters that allows a wallet holder to open their wallet from any computer). The loss of the private key could also result in losing all XEM coins held.
Step 2 – Buy NEM (XEM) Coin
Once the wallet has been created, there are two ways in which XEM coins can be purchased. The first option to buy NEM (XEM) would be with fiat currencies, the second option is obviously with Bitcoin or Ethereum.
Buying NEM with Fiat Currencies
Currently, not many exchanges allow the purchase of XEM with fiat currencies. However, you can still find XEM/USD in HitBTC.
For XEM/USD pairings, the largest trading volume is on the Hitbtc exchange, with the pairing’s volume accounting for 0.68% of total volume. With that in mind, buying and selling XEM coins with Bitcoin would provide significantly more liquidity on the leading exchanges.
Buying NEM with Bitcoin or Ethereum
The most common way to buy XEM is through exchanges that allow the purchase of XEM with Bitcoin or Ethereum.
- Open an account at Coinbase, and purchase Ethereum or Bitcoin. Another option to purchase Bitcoin is through LocalBitcoin.
- Now, after you bought ETH or BTC via one of the exchanges above, sign into HitBTC or Cryptopia and open an account.
- Withdraw your ETH or BTC from the exchange into your HitBTC or Cryptopia account. In order to do that, click the “Funds” tab and search for BTC or ETH, choose “deposit”, copy the ETH or BTC deposit address and paste it to the exchange that you withdraw the money from. The process might take up to one hour (vary according to different exchanges).
- After completing these steps, in HitBTC trading platform, Search for XEM/BTC and proceed with the transaction.
- Now, after you purchased XEM, search for a digital wallet that supports NEM and transfer the coin into the wallet. Click here for NEM (XEM) wallets.
Below are some of the most well-known exchanges that provide XEM:
Trading volumes should also be considered in the selection process, with low trading volumes likely to lead to lengthier time frames when looking to sell the coins.
What is NEM (XEM) Coin?
“New Economy Movement” (NEM) was originally an NXT fork, launched in the summer of 2014 before the stable platform release at the end of the 1st quarter of 2015, before becoming a completely new codebase, following the eventual dismissal of the NXT fork.
NEM’s blockchain technology is referred to as a Smart Asset System and is considered to be the world’s first Smart Asset blockchain.
NEM is a P2P cryptocurrency and blockchain technology that builds on and improves the basic functionality of pioneering cryptocurrencies, delivering a platform for the management of any kind of asset, including currencies, supply chains, notarizations, ownership records. NEM’s Smart Asset system allows the customization of the use of NEM’s blockchain, with features including domain-like namespaces and full on-blockchain multi-signature control.
Namespaces is a domain naming system, consisting of higher-level domains and subdomains, allowing persons or businesses to create multiple subdomains that form Mosaics.
Mosaics are custom assets on the NEM blockchain, which once sent to the NEM network results in a special fee payable in addition to the standard transaction fees.
NEM Coin Features
NEM’s blockchain protocol uses a proof-of-importance (POI) algorithm, with importance decided based upon the number coins a user has and the number of transactions made to and from the users’ NEM wallets, ultimately taking into account a user’s support of the network.
For users to be eligible to harvest XEM coins, a harvester’s wallet must have at least 10,000 vested XEM coins and, with the total supply of XEM being 8,999,99,999, that means that there can be a maximum total of 899,999 accounts that have an importance score of greater than zero. In the world of NEM, a harvester is essentially a miner, receiving transaction fees upon the formation of a new block created by a harvester.
An additional characteristic that exists in the NEM world, is the existence of delegated harvesting. Harvesters are able to delegate the harvesting so that a harvester continues to earn transaction fees.
Features that are particular to NEM can, therefore, be summarised as:
- Two-tier architecture, connecting out of the purview of the rest of the network, with transactions saved without having to download the blockchain, enhancing transaction speeds.
- Built on Test Driven Development method, which avoids unnecessary codes and inefficiencies.
- Proof-of-Importance algorithm, giving the right to harvest to those that have a vested interest in NEM.
- Particularly fast transaction times of 1 minute, which is significantly faster than the likes of Bitcoin.
- The ability to delegate harvesting of XEM coins.
- NEM implements multi-signature technology on its platform, which means that multiple users must sign a transaction before it can be updated on the blockchain. This is particularly important, as it means that XEM coins cannot be spent from a wallet unless another wallet signs in.
NEM.io is a non-profit organization founded in Singapore, dedicated to the ongoing development of NEM blockchain technology and the promotion of an ecosystem of NEM users and developers in all walks of life, including governments, industry, and academia.
NEM Coin Digital Wallets
A cryptocurrency wallet is a virtual wallet which stores cryptocurrencies and from where coin holders are able to send and receive cryptocurrencies. Investors are able to buy, hold and sell cryptocurrencies without a private digital wallet, but this will leave the coin holder exposed to possible cyber-theft.
As is always the case with cryptocurrencies, having the right wallet is extremely important. For those looking to trade XEMs, a hot wallet is the most appropriate type of wallet. Hot wallets are connected to the internet and allow for the easy transfer of XEM coins, which is important to those looking to make a short-term gain and exit. In contrast, cold wallets are off-line and such wallets are ideally used when looking to hold XEM coins for the longer-term. For those looking to hold XEM coins for the longer term, it would be advisable to also have a hit wallet to which coins can be transferred in order to facilitate the sale of the coins, held on a cold wallet.