A Review Of The Top 5 Cryptocurrency Exchanges
Congrats, you have decided to take the leap and start crypto trading. However, you don't want to choose just any old exchange. Below is a list of the top five best cryptocurrency exchanges, as well as the pros and cons of each, and other useful information.
When you first start searching for cryptocurrency exchanges, no doubt you'll come across Coinbase. It is considered to be the best place to buy and exchange cryptocurrencies. Here's what you need to know about them:
First, Coinbase has their own insurance. When you store currency in your Coinbase account, you'll have peace of mind knowing that it is covered by insurance. If something were to happen to your funds, such as they suddenly went missing or someone hacked your account and stole your funds, then you should be covered.
Second, Coinbase takes security very seriously. Sure, you should still keep best practices in mind, such as never logging into your account via a device you don't use or share your password with others. However, Coinbase has very strong security features and the chances of your account being compromised are very slim.
Third, Coinbase is beginner friendly and they have been around for many years. In fact, it's safe to say that Coinbase is the most popular place to trade for newbies. The user interface is very easy to use and you shouldn't have any trouble figuring out how everything works.
Fourth, the fees aren't that bad. Coinbase is known for their fair fees, which is another reason why both newbies and expert traders alike love Coinbase. If you're looking to start trading cryptocurrency and you don't want to pay exorbitant fees, then look no further than Coinbase.
First con is the customer support. Although Coinbase makes a solid effort into providing good customer support, there are quite a few complaints out there. If you want a fast resolution to an issue, the chances are you won't get it. It can be a day or two before you hear anything back from Coinbase.
Second, you're really only limited to three payment options, if you're based in America. These options include wire transfer, bank account and debit card. Some people would prefer more options like using credit cards, but in the future that may change.
Third con is that Coinbase isn't available in all countries. Furthermore, if you want to trade beyond Bitcoin, Litecoin and other mainstream cryptocurrencies, then you'll have jump on GDAX, which is an exchange. The good news is that GDAX is owned and operated by Coinbase.
Signing up for a Coinbase account is fast and easy. The only problem some people run into is verifying their identity. This step involves holding a photo of your ID and snapping a picture of you and your ID. If you want to get approved for a Coinbase account fast, then download their app and snap the photo this way.
Coinbase has a number of security features in place. This includes using AES-256 encryption for storing crypto. Also, all accounts have 2-step verification and nearly 100% of their customer funds are not stored online, which gives users peace of mind.
Other Stuff You Should Know
Once your account has been verified, you can buy up to $25,000 per day. However, you'll have access right away to trading your cryptocurrency. This is one of the reasons why Coinbase ranks number one on our list.
Binance is a popular exchange and it lands the number two spot on our list. It supports dozens and dozens of coins for both withdrawal and deposits. Let's cover the pros, cons and other stuff you should know about Binance.
First pro is that the fees aren't that high. What you'll pay depends on various factors, such as the cryptocurrency you decide to trade and the amount of it you're trading. Generally speaking, Binance is known for having some of the lowest fees around.
Second pro is the trading interface. It is impressive and easy to use. Even the most inexperienced trader shouldn't have difficulties figuring out how to use Binance.
Third good thing is that Binance supports various devices and platforms. This includes WeChat, Android and virtually all web browsers. It doesn't matter what you use, Binance's interface should work just fine.
Other good things about Binance is the transaction speed. The exchange is known for processing transactions. If that wasn't impressive enough, Binance makes trading very simple and quick. There's also an array of coins you can trade within the exchange and this includes Bitcoin.
There's only two types of orders you can place on Binance. This includes market orders and limit orders. There are other exchanges that offer more order types than that, but Binance isn't one of them.
Normal currency cannot be used to fund your Binance account because you can only use digital coins on it. With Coinbase, you can fund your account with USD. With Binance, you have to purchase your cryptocurrency via an exchange/wallet like Coinbase and then you can use that crypto to fund your Binance account.
The liquidity isn't really that high on Binance. This is in part to regulations that the Chinese government implemented. Binance has to fall in line with laws from China because they are based in Hong Kong.
Beginners might struggle at first. In our opinion, the user interface is simple and easy to navigate, but not everyone is going to feel this way. This is a matter of personal opinion, so you might think it's easy to use, while others won't be a fan of Binance's interface.
You follow the simple instructions, which involves choosing a password and providing your email, which you'll have to verify. However, one of the downsides is that residents of the United States or those who are in the United States are not allowed to create an account with Binance.
One of the best things about Binance is that they work hard to protect your digital assets. They have implemented a multi-cluster and multi-tier system to protect its users' assets. Not only that, but funds are secured thanks to their Secure Assets Fund for Users guarantee, which is a form of assurance offered by Binance.
Other Stuff You Should Know
There's no deposit limits, but there are limits when it comes to withdrawals. If your account isn't verified, then once every 24 hours you can withdraw up to 2 Bitcoins. If your account is verified, then you can withdraw up to 100BTC every 24 hours.
Also, there are fees to withdraw your funds. These fees are not set in stone. This means you want to check the rate daily because Binance does update their withdrawal fees on a regular basis.
Another top cryptocurrency exchange is Kraken. This exchange has been around since 2011, making it one of the oldest BTC exchanges around. Throughout the years, the platform has evolved and they now let you trade many alt-coins, not just BTC.
Order types are not limited to only one or two, which isn't the case with a lot of other exchanges. With Kraken, you can place market orders and limit orders. Other orders you can do include duration, stops and conditional.
Experienced and intermediate traders will love Kraken. It is a popular exchange for traders with experience. This is one of the reasons why it is rankled on many lists of the top crypto exchanges in the world.
Free deposits are offered on certain currencies. This includes the Canadian Dollar, the Euro and the Yen. Besides that, you can trade and withdrawal in fiat currencies, which isn't that expensive.
Small capital can be used to fund your account. There is no minimum amount you have to deposit into your account. If you don't want to trade with a large amount of money, at least not at first, then Kraken is a good place to trade at.
Not many payment methods are offered. You can make deposits via ACH and international wire transfer. You cannot use debit or credit cards to fund your account. The same goes for withdrawing funds.
Beginners probably won't be excited about Kraken's interface and ease of trading. If you're a newbie, then be prepared to become overwhelmed. It will take a bit of time and frustration to get used to how Kraken works.
Customer support isn't exactly the best either. Kraken is known for their slow customer service. If you run into issues and need a fast resolution, the chances are you won't get it with Kraken.
Creating an account on Kraken is straightforward. All you do is click on the create an account link on Kraken's website. You fill out a short form and then verify your account. Once verified, you can use cash or crypto to fund your account.
Kraken has audits performed, which are done to verify the number of crypto that Kraken is holding. Also, cold wallets are used to store most of the coins, and each and every wallet is encrypted for additional security. Those who have an account on Kraken have peace of mind because their documents that are uploaded, and their account info, are all encrypted.
Other Stuff You Should Know
One of the best things about Kraken is its low trading fees. Kraken charges on a per-trade basis and the volume you are trading at factors into how much you'll pay in fees. However, fees starts at 0%, but in general the fees are pretty low.
There are also withdrawal limits. On a tier 1 account, your monthly limit is $20K, and this is for digital currency only. On tier 2 accounts, your monthly limit is $10K per month and on a tier 3 account your monthly withdrawal limit caps out at $200K. There are daily limits too, which range anywhere from $2K to $25K.
One of the newer exchanges out there is Changelly. It has been making some serious waves in the industry because of how fast it allows you to change cryptocurrencies. Let's cover the pros, cons and other useful info you should know about Changelly.
For starters, Changelly is one of the very few instant crypto exchanges out there, which is exactly how it sounds. You can use your bank card to buy cryptocurrency, all in an instant. Best of all, Changelly supports well over 100 different coins you can exchange, so the chances are that the coins you want to trade can be found via Changelly.
Secondly, your funds are not held by Changelly. This means you don't have to worry about whether or not your funds will go missing due to a mishap with Changelly. It is your responsibility to store your own funds.
The third good thing about Changelly is it can be integrated with various exchanges and wallets. You don't actually trade crypto-for-crypto on the platform, but you can quickly trade them when you are using another exchange that can be integrated with Changelly. This sounds confusing, but it's really not once you start getting the hang of things.
First con is you need a wallet address. This is how you will receive the currency you exchanged. If you do not have an existing wallet, then you'll want to get one ASAP, otherwise you won't be able to use Changelly. Unlike many other exchanges, Changelly does not store deposits that their users make.
Security measures really aren't that impressive. There are security features that Changelly has implemented. However, they aren't that good when compared to other exchanges. Nonetheless, Changelly has never really been at the center of any serious security issues, so make sure to keep that in mind if you are thinking of using Changelly.
Changelly only requires you to provide them with an email to create an account. However, you can create an account with your Twitter or Facebook account, which is extremely easy and fast. It's up to you to decide which way to go about it.
Just like many other exchanges, Changelly uses 2FA authentication. It is a security method that keeps account secure and protected. If you want to log into your account, then you have to download what is known as a Google Authenticator app.
Other Stuff You Should Know
Changelly offers low trading fees. They charge a trading fee of 0.5%, which is extremely low. However, if you trade fiat currencies, then you'll be charged a fee that varies because of exchange rates and other factors. These fees do change regularly, so make sure you check out what the current fees are before placing trades in Fiat.
There are limits to be aware of. Your first transaction is limited to $500, and then after four days your limit goes up to $1,000. After a month, there are no transfer limits. This means if you remain a Changelly user for a month and have conducted a number of transactions, then you won't have to be subjected to transfer limits.
Robinhood is a popular stock trading app. However, they moved into the crypto world and now they operate Robinhood Crypto. Although they are the new kid on the block, they are worthy of taking the number five spot. Here's what to know about them:
Instant access to funds is the best thing about the platform. As soon as you fund your account, you can use it to buy crypto. It takes a few days for your cash to clear, but Robinhood still lets you trade with it while they clear it.
The watch-list is a great feature. You can add crypto to your watch-list. This makes keeping an eye on your coins easier to do, and you can do it all from one screen.
Let's not forget to mention how easy Robinhood is to use. You will love how easy it is to navigate. Not only that, but if you have any questions at all, feel free to ask them via their support menu. Robinhood is known for their outstanding support.
The only downside to using Robinhood is there is only a handful of crypto you can trade. You can trade Bitcoin, Dogecoin, Bitcoin Cash, Litecoin, Ethereum, Ethereum Classic and Bitcoin Cash. Those are the only currencies you can trade, but the platform may introduce more options sometime in the future.
Also, not everyone can use Robinhood. Only those who are residents of the United States can join and use Robinhood. If you travel overseas and use your Robinhood account, then you may be asked to prove your identity before you can continue to use it.
Signing up is fast and easy because all you do is provide your personal info and then you'll need to prove your identity to Robinhood, as well as link your bank account. Your bank account is how you'll fund your account, but don't worry because you don't need to make any minimum deposits or anything like that.
Generally speaking, it should take no more than a week to get started. Many people are able to start trading within a day or two of creating an account. Every person's experience is different, but Robinhood is known for being fast.
The platform uses various security measures to protect its users' information and assets. Robinhood has good security features to keep hackers and would-be thieves at bay. If you want complete peace of mind knowing you are trading on a platform that takes security seriously, then look no further than Robinhood.
Other Stuff You Should Know
Robinhood allows you to make trades for free. There is no commissions to pay or anything of that nature. If you're new to trading and you want to trade regularly, but don't want to be subjected to a bunch of fees, then Robinhood is for you. Robinhood truly offers free trading, but when you do purchase crypto via the platform, you'll notice that the price will be marked up slightly, but this is normal due to how fast the markets move.
Robinhood Crypto might not be as impressive as other exchanges, at least in the eyes of novice and experienced traders. However, beginners will love using Robinhood Crypto because of how easy and simple they have made things. Trust us when we say you will love using their platform.
If you're serious about trading cryptocurrency, then you want to use only the best exchanges. The ones above are the top five exchanges out there. As you can see, each one has their own set of pros and cons. All you have to do now is decide which exchange/exchanges you should signup for. If you have any questions feel free to leave a comment down below or reach out to us here. If you want to learn more about cryptocurrencies, head over to our Homepage for more information!