A crypto exchange is the only thing in crypto more meaningful than wallets. These websites allow you to do various actions with tokens. You trade, invest, buy, sell, and exchange them. Stay tuned and learn a lot about these essential sites.
What are crypto exchanges?
Crypto exchanges are essential places for a cryptocurrency user, trader, or an investor. They’re platforms where you exchange your money for a cryptocurrency, or crypto for another crypto.
Some exchanges limit their users to only converting digital assets to other digital assets. However, the most popular ones also allow conversion using many currencies worldwide. Later in the article, you may find out about these best crypto exchanges.
What these websites allow you to do
First, you might of course exchange one crypto coin for another. For example, if you see Ethereum possibly rising in the next time, then you may exchange your current Bitcoin coins for ETH.
You also store crypto on crypto exchanges, but it’s strongly not recommended, since you don’t have any control over your funds there.
There are many other things to do on these websites, like trading using the trading terminals, investing long-term, and using the sites to look at crypto graphs. The choice is yours.
Some professional crypto exchanges allow trading on their trading terminal. This is a rare function but quite convenient. Trading is a serious profession, where a person makes a lot of money, but might also lose it all. It takes a long time to learn but is worth it in the end.
How we value online exchanges?
Now, it's time to find out about the best criteria to look at when choosing only the best crypto exchanges. Pay close attention to this part of the article, and no mistakes in the future are guaranteed.
Geographical location restrictions
The first thing to look into is if an exchange is available for your country of residence. It doesn’t do a person any good to illegally sign up at an exchange unavailable.
Another thing to look out at crypto exchanges for are restrictions. Due to the unavailability to register from some regions, certain currencies might be unavailable to convert into crypto.
This word might be new for beginners in crypto and trading overall. Liquidity means how fast you convert one currency, or coin into another after placing an order.
Of course, as a buyer or a seller you’d want your transaction to be completed immediately since the price doesn’t stand in one place.
Security and anonymity
Hacks are pretty common for exchanges, due to people wanting to steal your money in crypto. They might do so easily if you don’t choose a secured exchange.
Another great thing is anonymity. Crypto exchanges supporting it don’t immediately require you to enter any personal information on sign-up and allow anonymous operations with crypto.
A vital thing to investigate is how well the support team of exchange works. It needs to operate 24/7 and provide you with full answers, and not half-done ones.
At first, you might seem to think support is pretty unneeded. However, once you accidentally lose money to a scammer or have trouble with a transaction, then there may or not be the support to help you.
Largest crypto exchanges — our top 3 picks
Now you’ve learned how to choose only top crypto exchanges. Look at our list of the safest exchanges and decide if you want to choose one of them.
Binance takes the first place due to all factors being almost perfect. The localization looks good, the website is translated into many languages. It allows trading, investing, and the interface is quite modern as well.
However, the platform is hard for newcomers to get accustomed to and has some complicated functions.
Coinbase takes second place but is a more beginner-friendly platform than Binance. Coinbase has an easy interface, where a new user could immediately learn everything. You get instant access to the graphs and news about crypto.
The con of the platform is its limited localization. You can’t buy any crypto there, apart from the main few coins, like Bitcoin and Ethereum. Moreover, this exchange had a hack happen to it in the past leaving a bad mark on its security.
Kraken is an overall great website, made for trading and investing. It may not be for beginners, but once you become more accustomed to crypto — Kraken is a great choice. The website claims to not have been hacked even once.
You’ve learned all the fundamental info on crypto exchanges. You now understand what they are and how they work with your money. Moreover, you understand the criteria for choosing only great exchanges, and you’ve seen the list of worldwide ones. So, what are you waiting for? Go on and examine these websites closer than ever before!