5 Tips for Choosing a Crypto Exchange

Selecting a cryptocurrency exchange is all about understanding your own personal needs. Investors in the United States are flocking to Gemini, Kraken, Coinbase, and Binance (among many other cryptocurrency exchanges out there) in order to start investing in these fascinating new opportunities. Almost 50 million investors in the United States now own Bitcoin (BTC), and a great many more have bought into altcoin offerings like Ethereum (ETH), Tether (USDT), Ripple (XRP), and Litecoin (LTC).

While investing in Bitcoin or Ethereum might sound like a great idea for the future growth of your portfolio, facilitating these purchases and the trades to come will require a cryptocurrency exchange. Finding the best crypto exchange for your needs will take a little research, but the end result is guaranteed to excite if you put in the effort. Many investors like the flexibility of Coinbase or Binance, but some BTC owners prefer the simplicity that’s baked into purchases made with Robinhood or eToro. Finding the best cryptocurrency exchange is a moving target that only you can hit for yourself. Check out Binance review

Consider the fees.

Consider the fees
Consider the fees

Fees are an essential part of any trading opportunity. Brokers will always chase down their slice of the pie, which holds true in the cryptocurrency market as in every other commodity trading space. Whether you’re investing with Coinbase, Gemini, or Kraken, understanding the way that fees are imposed on your trades, holdings, and exchanges is a great first step to selecting the perfect platform for your ongoing trades.

Tease out additional features.

Tease out additional features
Tease out additional features

The features that are included in the platform can make or break a crypto exchange. With Robinhood and eToro, for instance, features are almost nonexistent. However, this may be the right approach for some investors. With traditional stock market brokers, buying crypto works just like the purchase of a share.

You can’t exchange the coins like you would on a more traditional cryptocurrency exchange, but this might be the best way to get in on the action for long holders. Others will want a more robust set of inclusions for their native trading space.

Explore the user interface.

Explore the user interface
Explore the user interface

In addition to included features, it’s important to play around with the user interface to decide if you “like” the way the app or website behaves. Some traders will prefer the way that Gemini apps perform over their Coinbase or Bittrex counterparts; others will swear by Kraken, Binance, or Bitfinex. No matter which application design you like best, this must become a part of your ultimate decision on where to do your trading.

Access to external bank accounts and liquid fiat currency movements are important.

Access to external bank accounts
Access to external bank accounts

Trading within the cryptocurrency atmosphere can make you forget that other forms of financial products exist. Access to external accounts and translating crypto coins into fiat currencies, and vice versa, is important for liquidity purposes with any trader. The ability to add or withdraw funds without hassle or delays is a key feature in the trading repertoire of many investors across asset classes.

Investigate staking and other savings account offerings.

Investigate staking and other savings account offerings
Investigate staking and other savings account offerings

Staking is a great option for Bitcoin and altcoin investors. Lending your crypto assets to the exchange itself will net you a healthy interest rate that can generate extreme profits over the long term. Building up a range of tokens with the help of staking and savings opportunities can come to form an important part of your overall strategy. Exploring these and other options for greater flexibility in your investments is a great idea.

Also Read: Anchored Coins: The Up-And-Coming Cryptocurrency Sensation

With these five action items in mind, selecting the perfect trading platform for a beginner or seasoned crypto investor can be made easy.

Micheal Nosa
Micheal Nosa
I am an enthusiastic content writer, helping people to be financially free by giving them real insights of money-making skills and ideas

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