Buy Maker in Canada

A free beginner guide on how to buy Maker in Canada.

What is Maker?

Maker (MKR) is the governance token of the MakerDAO and Maker Protocol — respectively a decentralized organization and a software platform, both based on the Ethereum blockchain — that allows users to issue and manage the DAI stablecoin.

Initially conceived in 2015 and fully launched in December 2017, Maker is a project whose task is to operate DAI, a community-managed decentralized cryptocurrency with a stable value soft-pegged to the US dollar.

MKR tokens act as a kind of voting share for the organization that manages DAI; while they do not pay dividends to their holders, they do give the holders voting rights over the development of Maker Protocol and are expected to appreciate in value in accordance with the success of DAI itself.

The Maker ecosystem is one of the earliest projects on the decentralized finance (DeFi) scene: the industry that seeks to build decentralized financial products on top of smart-contract-enabled blockchains, such as Ethereum.

1. Create accounts

Good news. Maker is one of the easier cryptocurrencies to buy in Canada. Certain local exchanges can sell you Maker directly. Which is not common for most cryptocurrencies.

If you want to directly buy Maker currently we recommend Newton. They have a trading pair which allows you to buy it directly with Canadian dollars.

Another way you can gain access if you do not want to get a Newton account is with Shakepay and a Binance account.

For a more comprehensive guide and comparison of the various exchanges, see the Exchanges Guide.

This step is not needed if you create a Newton account. You can buy Maker directly on Newton.

If you are using Shakepay or another service which does not offer Maker you will need a Binance account or a another global exchange account.

For a more comprehensive guide and comparison of the various exchanges, see the Exchanges Guide.

In order to fund your account you will need to verify your identity. This often involves sending in copies of your drivers license, a utility bill, and in many cases a selfie of you holding your ID. This is normal ask for verification.

As for verification on global exchanges, the verification is usually faster and less intense, as long as you are strictly using cryptocurrencies and not doing fiat transactions. For example on Binance you do not need to verify if you are withdrawing 2 BTC or less.

2. Buy Maker

This step will depend on which accounts you have. If it is Newton, then it is pretty simple. If it is Shakepay (or similar) and Binance there are a few more steps.

Once you have an account, Maker offered directly through Newton. Just go ahead an place a order, it is that easy.

If you are consistantly buying and selling Maker want to save a bit of money, consider opening a Binance account. It will give you the closest to market price, has the lowest fees, and the most advanced trading platform.

This process is if you don't have a Newton account, or want a more efficient way to actively trade Maker.

Step 1: On Shakepay buy BTC. On Newton buy XRP. On another service, review withdrawal fees and minimums, pick the cheapest.

Step 2: Login to your Binance account and goto the "Fiat and Spot" wallet. Find the currency you bought on the other service and click Deposit.

Step 3: On the service you used in Step 1, withdraw the cryptocurrency and send it to the Deposit address from step 2.

Step 4: Wait for the transaction to complete. Once you see the funds appear in your global exchange account you are ready to proceed to the next step.

Step 5: Trade for Maker on Binance. MKR/BTC trading pair. MKR/USDT trading pair.

3. Storing your Maker

If you just bought some Maker you are currently storing it on the exchange you bought it on. This is OK if the value is small. However, if you own a significant amount it is best practice to transfer your cryptocurrencies to a wallet that is not an exchange.

If you are just getting started you will probably want to use a software wallet. They are typically free and are considered more secure than leaving Maker on a exchange.

Feel free to do a google search to research what wallets are available and know what the options are. Consider looking for "decentralized" wallets.

The safest way to store Maker, or any cryptocurrency, is with a hardware wallet that is not connected to the internet. This is to prevent it being stolen or hacked from a exchange or a wallet connected to the internet.

Consider looking at the Ledger line of hardware wallets. They have been in the industry a number of years and offer one of the widest selections of devices.

Make sure you take the time and save your recovery information! Many people have lost small fortunes not doing this.

Once you have decided on a wallet, follow the instructions to get it setup then withdraw your Maker from your exchange account. Newton will cover the first $5 in network fees.

This is generally not recommended. However, you might want to do this if you are actively trading Maker. Be aware you are taking an extra risk. Exchanges have been known to get hacked or disappear, search QuadrigaCX scandal.

The main advantage of doing this is instant access to your Maker, and saving the fees associated with transactions and withdrawing.

Always consider the reputation and size of the exchange if you are storing a cryptocurrency asset on it.

Generally speaking, I do not keep a balance on any of the local exchanges. If I am going to hold a balance of a cryptocurrency coin/asset on an exchange it will be Binance as they have the most robust platform. However, use this information at your own risk. The safest place for your crypto assets is a hardware wallet like Ledger.

Regardless of the exchange, if you are holding assets on the exchange, make sure you enable two factor authentication and use a separete secure password on the account.

Summary

  1. Create an account on Newton or similar
  2. Buy or Trade for Maker
  3. Consider storing Maker in a private wallet