Cryptocurrency in modern society has become an integral part not only in the subculture of online anonymity and mutual settlements, but also a convenient, and most importantly, safe way to receive, store and transfer funds. Consequently, for this, specialized crypto-exchanges focused on working with cryptocurrencies appeared. The key feature of their work is the high security of transactions, secure storage of assets and a huge number of trading pairs and additional directions for making a profit. This article contains the main parameters that you should pay attention to when choosing a crypto exchange for trading and investment.
Trading platforms from our review were selected according to the following parameters:
| Rank | Exchange Name | Rating | Bonus Offer | Start trading |
1 |  Binance | Commission: $1 | Registration Review  | |
|---|---|---|---|---|
2 |  ByBit | Commission: $1-3 | Registration Review | |
3 |  OKX | Commission: 2-5% | Registration Review | |
4 |  Coinbase | Commission: $1-3 | Registration Review | |
5 |  Gemini | Commission: 0% | Registration Review | |
6 |  Kraken | Commission: $0-5 | Registration Review | |
7 |  Kucoin | Commission: 3-12% | Registration Review | |
8 |  Crypto.com | Commission: $0-1 | Registration Review | |
9 |  FTX | Commission: $1-3 | Registration Review | |
10 |  Huobi | Commission: 0,0001 ВТС | Registration Review | |
11 |  Gate.io | Commission: 2-8% | Registration Review | |
12 |  Coincheck | Commission: ¥407-1018 | Registration Review | |
13 |  Bitfinex | Commission: 0,1-0,2% | Registration Review | |
14 |  Bitstamp | Commission: 0,1% | Registration Review | |
15 |  eToro | Commission: 1-50$ | Registration Review | |
16 |  Phemex | Commission: 0-2% | Registration Review | |
17 |  Coinmama | Commission: 0-5.50% | Registration Review | |
18 |  Coinlist Pro | Commission: 0-0.50% | Registration Review |
How do cryptocurrency exchanges work
Crypto exchanges work like real currency exchanges in New York or London, only 100% online.
All derivatives are divided into trading pairs, that is, buying, for example, BTC takes place for USDT.
The current offers of buyers and sellers are broadcast in the trading window, from which the actual price of the asset is formed. For example, BTC costs 45,000 USDT, which means that the seller agrees to sell the amount of BTC indicated in the order at 45,000 USDT per unit. The buyer has the opportunity to purchase the amount of crypto put up for sale according to the order.
There is a difference between cryptocurrency exchanges and traditional trading – the actual ownership of assets.
Classic Forex involves risk in every trade if the price goes against the trader. When the price moves against an open position, profitability goes into negative territory and if a stop order is not set, it can destroy the entire deposit of the trader.
Cryptocurrency trading is a transaction between a seller and a buyer, which is guaranteed by a crypto exchange, for its own commission. When buying BTC, the trader becomes the owner of the purchased asset, for example, 1 BTC coin and can do whatever he wants with it:
- Sell;
- Exchange for another asset;
- Buy something for it at retail outlets that accept crypto;
- Keep as much as you want on the exchange account;
- Withdraw for storage on a cold wallet.
After the purchase of a crypto asset, it remains with the holder permanently, regardless of the rise or fall in its price. Cryptocurrency, even with the wrong investment time, allows you to safely sit out periods of price drawdown, and then profitably sell at new peaks.
Rating of the best cryptocurrency exchanges – TOP 10
The ranking does not mean that Kraken is the worst or any other platform is better in everything. Each platform is better in several areas, while in others the conditions are weaker than competitors. The choice of a cryptocurrency exchange depends on the goals of the trader. For frequent transactions, the one where the one-time commission is less is suitable, for investments – offers with a large percentage, and so on.
Where to buy cryptocurrency
The purchase of a cryptocurrency is necessary not only for investment purposes, for example, on cold wallets, but also in a situation where one of the parties to the transaction accepts only cryptocurrencies as payment, or the cryptocurrency exchange you chose to place on accepts only digital tokens, without fiat deposit options:
- Another cryptocurrency exchange. For those who hold assets on several sites. You can deposit funds on Binance in many ways and in any currency, both through the exchange machine of the crypto exchange itself, and through transactions with other users. After receiving the coins, they must be sent to the address of another exchange;
- Exchange machines and services. Here, the purchase takes place, as in the currency exchanger we are used to, there is a current rate fixed at the time of the transaction, we pay for the currency that is available, and we receive the required number of coins directly to the crypto exchange wallet (if it supports such transfers). There are also full-fledged exchange services where transactions take place in a semi-automatic or manual mode. Here you need to trust large, authorized sites.
- Transactions P2P. Exchange, but directly involved in exchange transactions between private clients. A number of cryptocurrency exchanges have implemented this method of buying/selling crypto. The transaction takes place using orders to buy or sell coins, or fiat money, at a fixed rate. The buyer pays the amount of the transaction, the seller sends the crypt.
How we rank the best crypto exchanges
The ranking consists of many variables, and the crypto exchanges at the top of the list are more “balanced” regarding all of these variables.
Security
For the crypto industry, with its anonymity and difficulty in tracking transactions, security is key.
Security includes not only identity verification, but also authorization of devices and locations for work. This includes two-factor authentication, SMS or email confirmation.
For exchanges that offer anonymity to users, the risk of account hacking is higher, since there is no way to prove that the withdrawal was made by the owner of the account, but they also have additional anonymous “verification” tools.
Security of funds storage. One of the key issues that you should pay attention to when opening accounts. Crypto exchanges have implemented secure storage of coins in cold storage, excluding hacking or remote control. Online accounts contain only funds to cover current deposits and withdrawals among clients. Companies form insurance funds from profits, so that customers actually lose nothing even with a hack, except for confidence in the chosen exchange.
Purse
Each cryptocurrency exchange is also a wallet for storing and handling funds. Several sites divide assets between those that a trader operates in transactions, invested, and those that are available at any time for withdrawal or payment for goods/services.
The reliability of such wallets directly depends on the platform policy and on the security options that the user has activated.
Functionality
Considering competition, companies are constantly expanding functionality and offering new perks and options for earning and investing.
Example. Automatic investment system in Binance, deducting money from the specified account to buy the selected asset at any price. The scheme of periodic fractional investment has been operating since the beginning of the 19th century and has again proved its worth.
Since each crypto investor or trader sees his future differently, it is impossible to describe all the functionality in one material and compare all the pros and cons.
Course notifications
A timely notification of a sharp price movement allows you to buy cheaper, for investment or speculation. Or exit the trade when the situation becomes incomprehensible.
Notifications can be configured both for the selected asset and for the percentage price movement. For example, a notification about all assets whose price has changed by more than 10% per day.
Mobile version and application
Without mobility, profitable work in the modern market is impossible. Notice of unusual exchange rate movement may occur at any time. An important point is the security of the device itself and the need to constantly keep the application downloaded, or be authorized, in it. This question remains on the user’s conscience, since there are cases when assets are transferred from a found or stolen phone to anonymous wallets.
Conclusion
The cryptocurrency industry is the future that everyone will face in one way or another. The choice of an exchange for investment or speculation is an individual matter, in addition, no one forbids having accounts at least on all sites at once.
Study trading platforms according to our reviews and guides and profitable work is guaranteed to you.
