How To Buy Arweave (AR)?

A common question you often see on social media from crypto beginners is “Where can I buy Arweave?” Well, you’ll be happy to hear it is actually quite a simple and straightforward process. 

Step 1: Create an account on an exchange that supports Arweave (AR)

First, you will need to open an account on a cryptocurrency exchange that supports Arweave (AR).
We recommend the following based on functionality, reputation, security, support and fees:

In order to sign up, you will need to enter some basic information, such as your email address, password, full name and, in some cases, you might also be asked for a phone number or address.

Note: On specific exchanges, you might need to complete a Know Your Customer (KYC) procedure in order to be able to purchase cryptocurrency. This is most commonly the case with licensed and regulated exchanges.

Step 2: Deposit funds into your account

Many cryptocurrency exchanges will allow you to purchase Arweave (AR) with fiat currencies, such as EUR, USD, AUD and others. Furthermore, they will also provide you with multiple deposit methods through which you can fund your fiat account, such as credit and debit cards, ewallets or direct bank transfers.

Note: Some payment methods will have higher fees than others, such as credit card payments. Before funding your fiat account on your chosen exchange, make sure to do your due diligence to find out the fees involved with each payment method to avoid unnecessary costs.

Step 3: Buy Arweave (AR)

This process is similar across almost every cryptocurrency exchange. All you have to do is find a navigation bar or a search bar, and search for Arweave (AR) or Arweave (AR) trading pairs. Look for the section that will allow you to buy Arweave (AR), and enter the amount of the cryptocurrency that you want to spend for Arweave (AR) or the amount of fiat currency that you want to spend towards buying Arweave (AR). The exchange will then calculate the equivalent amount of Arweave (AR) based on the current market rate.

Note: Make sure to always double-check your transaction details, such as the amount of Arweave (AR) you will be buying as well as the total cost of the purchase before you end up confirming the transaction. Furthermore, many cryptocurrency exchanges will offer you their own proprietary software wallet where you will be storing your cryptocurrencies; however, you can create your own individual software wallet, or purchase a hardware wallet for the highest level of protection.

For more in-depth instructions, our ‘Absolute Beginner’s Guide To Cryptocurrency Investing‘ will take you through the process step-by step. In addition to providing instructions for sending and receiving your cryptocurrency.
And if you’re completely new to crypto our beginner, intermediate and advanced level articles will get you up to speed with everything you need to know about the cryptocurrency space starting out. 

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What Is Arweave (AR)?

Arweave is a protocol that allows you to store data permanently, sustainably, with a single upfront fee.

The protocol matches people who have hard drive space to spare with those individuals and organizations that need to store data or host content permanently. This is similar to how Uber connects drivers with people who need transport. This is achieved in a decentralized network, like Bitcoin, and all data stored is backed by a sustainable endowment ensuring it is available in perpetuity.

On top of the core Arweave protocol lives the permaweb: A global, permanent web of pages and applications.

What is the Permaweb?

The permaweb is a permanent and decentralized web built on top of the Arweave. The permaweb is comprised of a set of modular and interchangeable protocols.

The original vision of the traditional web was to enable humanity to build an accessible collection of everything known to us. While this project has been largely successful, it suffers from one critical flaw: the web has no memory. When documents are removed from one server in the network, they are lost from the knowledge base. Further, applications that were once hosted in this system are no longer available when their authors and maintainers remove or change them.

The permaweb on Arweave is the next evolution of the web, allowing developers and users to share a resilient knowledge base that is replicated in vast numbers across the world, perpetually.

The base protocol of the permaweb is Arweave. This system is powered by two fundamental components, a scalable blockchain-like structure that uses a new mining system and a sustainable endowment to ensure the availability and permanence of arbitrarily-tagged data. On top of the Arweave protocol is a decentralized network of gateway servers that makes the data easily accessible to web browsers, without the need for modification or specialist software.

As well as storing static files, the permaweb can also host full, decentralized web applications. These applications live independently inside the permaweb, governed purely by their own code, answering to no person or higher authority. Once launched, a permaweb application cannot be modified by anyone and can be used by everyone, permissionlessly. These applications also exist and continue to run with zero maintenance or upkeep costs to the original developer.

Two unique mechanisms make this possible: proof-of-access, and the data storage endowment.

Proof-of-Access 

In order to compete to mine a block, a miner must prove that they have access to a randomly selected byte from a previous block of stored data. To do this, the miner must produce the chunk containing the selected byte, plus a proof demonstrating that the chunk is in the appropriate position in the blockweave. Miners are therefore incentivized to store as many unique blocks as possible, ensuring that data is widely replicated.

The Data Storage Endowment 

When you pay to store data on Arweave, you pay upfront for 200 years of storage. This sounds like it should be expensive, but data storage is so cheap that storing a megabyte for 200 years with Arweave only costs $0.005. It is so inexpensive because the cost of storing data continually decreases due to various improvements in technological innovations. Arweave’s data storage endowment mechanism utilizes this fact to provide affordable, permanent storage. As the cost of storage declines over time, interest is earned on the initial upfront payment in the form of additional storage purchasing power.

The rate of storage cost decline over the last 50 years has been on average 30.5% per year. However, the Arweave network uses an extremely conservative estimate for the decaying cost of storage, assuming a decline of 0.5% per year. This ensures with an exceptionally high degree of probability that there will always be funds available to pay for the storage of data. You can read more about storage endowment here.

Together, these mechanisms allow anyone to store data on the Arweave network permanently.

Who Are the Founders of Arweave?

Arweave was founded by Sam Williams and William Jones, two Ph.D. candidates at the University of Kent. Williams came to the project with experience in decentralized and distributed systems, having developed an operating system called HydrOS as a part of his studies, while Jones’ focus was on graph theory and neural networking. While Williams dropped out of graduate school to focus on the company, Jones left the project early on in mid-2018 and completed his Ph.D.

According to Williams, he came up with the idea while walking up a mountain in Scotland, later bringing the concept to Jones, with whom he developed the technical details. After launching Arweave, Williams was later named an advisor to Minespider, a company providing blockchain-based supply chain tracking for the raw materials industry, and he has served as a mentor for the Techstars accelerator program.

Although Arweave was founded with centralized leadership, it launched a decentralized autonomous organization (DAO) in January 2020 comprised of core community members to further the development and expansion of the network and its ecosystem.

Arweave development updates in 2023

Arweave, known for its innovative approach to data storage using blockchain technology, has seen several significant developments in 2023. Here’s a summary of the key updates:

• DeChat Backend Development with Rust: DeChat has initiated a new backend development project, inviting enthusiasts of Rust programming language and blockchain technology to participate. This project is crucial for enhancing decentralized communication and addressing the challenges of multichain data management, vital for platform scalability and user experience​​.

• Dojima Network’s AMA Event and Collaboration with Energi: Dojima Network conducted an AMA event featuring Tommy from Energi, providing a platform for knowledge sharing and discussion. Additionally, Dojima Network announced a joint campaign with Plena Finance on the Gleam platform, offering participants a chance to win rewards and engage with both entities​​.

• Gitcoin’s Community Building Efforts: Gitcoin shared their successes in fostering innovation and supporting projects that align with their mission. They have focused on contributions to the Optimism Foundation, particularly through the #RetroPGF3 (Retroactive Public Goods Funding Round 3)​​.

• Glosseta’s Educational Initiatives on Layer 1 Blockchains: Glosseta highlighted the importance of Layer 1 blockchains as the foundation of the Web3 space. They explained the critical role these blockchains play in crypto transactions, NFT marketplaces, and decentralized applications (DApps), including those involving Arweave’s own Atomic NFTs and smart contract functionality​​.

• idOS’s Focus on Decentralized Identity in Web3: idOS co-founder discussed the importance of decentralized identity in the Web3 space, emphasizing the shift from traditional identity models to a decentralized approach enabled by blockchain and cryptography​​.

• Kyve’s ‘Devnet’ Glossary Promotion: Kyve focused on defining core Web3 terms, including ‘Devnet’, a development network crucial for testing and building applications without affecting the main network. Kyve’s Korellia Devnet allows developers to create their own devnet data pools, facilitating experimentation and development​​.

• Data Storage Milestone and ANS-104 Update: Arweave announced that the data stored on its blockweave had exceeded 11 terabytes. The ANS-104 update, which allows multiple data items to be written as a group, has significantly increased the flow of data written to the Arweave network. This update follows the ANS-102 update, which enabled the upload of 10,000 files on Arweave for a minimal cost​​.

• Market Performance and Price Updates: Arweave’s native token, AR, has seen notable market performance. It reached an all-time high of $70, with a substantial 80% increase. The AR token is used within the Arweave network for various purposes, including paying for storage and bandwidth, staking, voting on network upgrades, tipping content creators, and transactions on the Arweave marketplace​​.

These updates underscore Arweave’s commitment to innovation in decentralized data storage and its growing role in the Web3 ecosystem. The platform continues to push boundaries in permanent, sustainable data storage on the blockchain, marking its significance in the blockchain and cryptocurrency domain.

Official website: https://www.arweave.org/

Best cryptocurrency wallet for Arweave (AR)

There are plenty of different crypto wallets available. The best one for you depends on your general trading habits and which provides the most security in your situation. There are two main types of wallets: hot storage wallets (digital) and cold storage or hardware wallets (physical). Both have their pros and cons, and there is not necessarily a right or wrong answer when it comes to figuring out which crypto wallet is best for you.

HOW DO I DECIDE WHICH cryptocurrency WALLET TO USE for Arweave (AR)?

Deciding which type of wallet to use depends on a variety of factors, including:

• How often you trade. In general, hot wallets are better for more active cryptocurrency traders. Quick login ability means you are only a few clicks and taps away from buying and selling crypto. Cold wallets are better suited for those looking to make less frequent trades. 
• What you want to trade. As mentioned earlier, not all wallets support all types of cryptocurrencies. However, some of the best crypto wallets have the power to trade hundreds of different currencies, providing more of a one-size-fits-all experience.
• Your peace of mind. For those worried about hacking, having a physical cold wallet stored in a safe deposit box at the bank or somewhere at home, provides the safest, most secure option. Others might be confident in their ability to keep their hot wallets secure.
• How much it costs. It is important to investigate the costs associated with each wallet. Many hot wallets will be free to set up. Meanwhile, cold wallets, like any piece of hardware, will cost money to purchase.
• What it can do. While the basics of each cryptocurrency wallet are the same, additional features can help set them apart. This is especially true of hot wallets, many of which come with advanced reporting features, insights into the crypto market, the ability to convert cryptocurrencies and more. Security features can also be a good differentiator.

For a more in-depth overview of cryptocurrency wallets visit our “Cryptocurrency Wallets Explained” guide.

If you’re going to be dealing in larger volumes of crypto, investing in cold storage might prove advantageous.
Most widespead examples of this being the Ledger Nano and the Trezor.

Ledger manufactures cold storage wallets designed for users who want increased security. Their wallets are a physical device that connects to your computer. Only when the device is connected can you send your cryptocurrency from it. Ledger offers a variety of products, such as the Ledger Nano S and the Ledger Nano X (a bluetooth connected hardware wallet).

Trezor is a pioneering hardware wallet company. The combination of world-class security with an intuitive interface and compatibility with other desktop wallets, makes it ideal for beginners and experts alike. The company has gained a lot of the Bitcoin community’s respect over the years. Trezor offers two main models – The Trezor One and Trezor Model T (which has a built in touch screen).