In the modern world, there are many ways to make big money on cryptocurrency. If you are thinking of buying digital coins or starting crypto trading but you don’t know which is the most trusted crypto exchange to bring it to realization, we know how to help you in this matter. With our guide, you can easily navigate through the wide market of crypto exchanges and choose the best and reliable one.
To begin with, it’s necessary to understand what is a trading platform and what it is for. Let’s imagine that there is a certain virtual place where cryptocurrency owners can buy or sell their coins. This digital marketplace acts as an intermediary between the seller and buyer of Bitcoin or other cryptocurrencies. A crypto exchange is an online platform, where the monetary operations like selling and buying Bitcoins take place. We can draw an analogy with the traditional market system. For example, a supermarket is a place where a consumer and a seller meet. As a rule, the store offers a wide range of products with an equally great choice of their manufacturers. Crypto exchanges have the same principle of operation in the digital marketplace. When a market order is selected, the seller vests with full authority the exchange to trade his digital cash for the most favorable price in the world wide web marketplace. With a limit order fix, the seller directs the platform to exchange currency for a price below the current value or above the current request, according to the operation (selling or buying).
In order to start using a crypto exchange, you need to register on the platform and go through steps of verification processes to confirm your identity. After the successful registration process, an account is opened for a new user, with the help of which the first step of the next trade action takes place. How to deposit funds into your account? Actually, there are various ways to load money according to the exchange platforms and their different payment options (debit cards, bank transfer services, banker’s cheques).
The Top 3 Crypto Exchanges
There is a tremendous number of crypto exchanges all over the world, but we have analyzed the market and stand out the top 5 platforms according to such criteria like features, user-friendliness, reliability, security, coin availability, etc. Let’s explore in more details the top rating list of crypto exchange platforms:
1. Coinbase. Coinbase won confidence over the millions of clients around the world and regarded as one of the largest crypto platforms. Here it’s easy to buy, store, and use cryptocurrency. Registered users can purchase digital assets using their wallets or trade cryptocurrencies for other assets of choice between other members. Actually, it’s important to mention that Coinbase has one more main product named GDAX. Compared to Coinbase, which serves as a traditional broker exchange, GDAX is a professional trading platform with low fees and good prices.
The main advantages:
- Only trusted cryptocurrencies (Bitcoin, Litecoin, and Ethereum);
- Good prices and reasonable charges;
- User- and beginner- friendly interface;
- Accepts fiat transactions;
As we mentioned above, the platform provides a storage function for your digital funds. So, is it can be called a wallet? Yes, you can keep your Bitcoins here, but the exchange wallets hard to call the safest in the world.
2. Binance. This platform entered the market in 2017 and became the main competitor for the biggest crypto exchanges. Compared to Coinbase, it offers only crypto-to-crypto services. This means that the platform deals only with digital coins and don’t accept the world fiat currency. Despite this fact, Binance holds a leading position in the marketplace of crypto exchanges and daily commit more than $1 billion in trades. It’s important to highlight the benefits of Binance:
- Wide range of cryptocurrency list (100+);
- Low commission fees;
- Great volume trading;
- Prize drawing;
Binance offers exchange services for all types of crypto traders. It’s easy to deposit, trade, and withdraw money here.
3. Bittrex. It’s not an overstatement to say that Bittrex is another name for security. The platform provides a crypto-to-crypto exchange, using only digital currency as a way of payment. However, you can deposit your account using US Dollar Tether. USDT is a type of digital coin that equal to the 1USD. Bittrex deals with 190 various alt-coins that provide the opportunity to trade both well-known cryptocurrency (Bitcoin, Ethereum) and new ones (Loopring, Tron). There are many advantages to using Bittrex:
- Split-second transactions;
- Identity Verification by Jumio;
- Flat-rate fees;
- Great variety of digital coins list;
In summary, the Bittrex platform is a reliable crypto exchange with a wide range of coins. If you are a newbie in crypto trading, it’s a good chance to start with.
The Law of Supply and Demand
Since the cryptocurrency popularity grows like weeds, the uncountable number of new exchanges are being generated for basic operations with digital coins. This is not surprising, because here the law is triggered by the traditional law of supply and demand. The greater the demand for a certain type of service, the more offers on the marketplace, since the main function of the offer is to keep up with demand. A crowded market with crypto brokers is a two-edged sword. On the positive side, there is a wide range of selection, but at the same time, how to choose a reliable exchange one? Actually, it’s really difficult to decide which platform best suits you according to your main goals (buying, selling, or trading).
We have analyzed the market of crypto exchange platforms and concluded that there is no general notion and concept of “perfect” exchange service, but there are various platforms that are best suit each individual user according to their needs, goals, and preferences in the crypto market. Choose your best one and start trading!