Cryptocurrencies are becoming more and more common in daily life. Digital money takes more significant parts in the financial market and is already getting the interest of governments who try to determine how to regulate cryptocurrencies.
All of this sounds very intriguing, but you may wonder how cryptocurrencies can be exchanged if they do not exist in physical form. Let’s understand how.
Exchange platforms
For cryptocurrency exchanges, there are some elements to take into account.
- Fees – Crypto exchange fees can be high.
- KYC (Keep Your Customer) – Each exchange has its process for verifying those using the deal. Each holder creates a customer portal to access the exchange platform.
- Location – Various countries support exchanges, and some already have different exchange platforms, such as Binance USA of Binance. Binance is the parent firm of Binance USA, which offers the exact cheap trading costs of the US. The main difference is that the US platform includes ten VIP levels, but the foreign platform only has nine.
Binance does not have a presence in the US. The New York Bit Licence legislation is why the United States prohibited the standard Binance exchange. Getting one takes a lot of time and effort, and it comes with a lot of challenges. However, BNB is readily available on US exchanges, allowing you to buy Binance coins using US dollars.
- Reputation – If you are searching for an exchange, make sure you find the right platform. Take into account all the factors mentioned above.
- Security – Cryptocurrency exchanges have a history of being hacked.
Best for the Service and Security is Kraken, which makes enrollment fast and easy. Their only available transfer option is by wire, which makes exchanges safer. In addition, they offer 2FA security for each action from deposits to trading, which makes them the most secure cryptocurrency exchange platform. They also provide round-the-clock fast customer service to establish trusting relationships with their customers.
Binance is the world’s largest cryptocurrency exchange platform and has its own BNB coin, making significant moves because of its Binance Smart Chain. Their fees are second to none; their holders pay 0.1% trading fees, according to Investopedia. Besides low prices, Binance offers fees with common withdrawal along with fast transfers. At the same time, the customer service is not at its highest level.
Coinbase fees and the rate of tokens rank at the low point of the trade. However, with an easy-to-use platform, it offers moderately competitive fees on its platform. Coinbase is the easiest to use; it has improved customer support; meanwhile, fees are high.
Also read: 5 Cryptocurrency Trading Sites You Should Consider
Conclusion
These online services are comparable to stockbrokers in that they allow you to purchase and sell digital currencies such as bitcoin, ethereum, and dogecoin. However, with minimal fees and robust security features, the top crypto exchanges make it simple to purchase and sell the currencies you desire.
It’s crucial to consider supported currencies, price, withdrawal choices, and security when choosing the best crypto exchange for your requirements, which we did while compiling the list above of the best crypto exchanges.