If you want to buy or sell cryptocurrencies, you'll need to use a cryptocurrency exchange. These online firms often act similarly to brokers, allowing you to buy and trade digital currencies including Bitcoin, Ethereum, and Dogecoin. With cheap fees and solid security measures, the best cryptocurrency exchanges make it simple to purchase and sell the currencies you want.
When searching for the best cryptocurrency exchange for your needs, analyze the supported currencies, pricing, withdrawal options, and security, all of which we took into account when developing our list of the best cryptocurrency exchanges. Continue reading to discover which cryptocurrency exchange can be the greatest match for your requirements.
Coinbase and Coinbase Pro
- No. of Tradeable Currencies: 107
- Fees for Transactions: $0.99 to $2.99 (Coinbase), a maximum of 0.50 percent (Coinbase Pro)
- Included Wallet: Yes
While the cryptocurrency sector has been plagued by counterfeit currencies and dubious exchanges, Coinbase has mainly remained out of the spotlight. Coinbase provides an exceptionally user-friendly exchange, significantly decreasing the entry barriers for cryptocurrency investing, which is sometimes seen as complicated and complex.
Coinbase also provides investors and traders with guaranteed custodial wallets for storing their assets. They are covered from data theft and fraud, and your assets are held in FDIC-insured bank accounts, which is critical given reports of accounts being stolen and payments being siphoned. While the Coinbase custodial accounts are very handy for novice users just getting started, Coinbase controls the encryption information to the coins, not the investor.
Additionally, Coinbase provides the free Coinbase Pro edition, which has a different but lower cost structure and much more charting and indicator choices. Coinbase Pro is an excellent next step for those who have already got their feet soaked with Coinbase, and it helps to round out the overall offering by giving features that a more skilled user would need.
Cash App
- No. of Tradeable Currencies: 1
- Fees for Transactions: Varies
- Included Wallet: Yes
Cash App is similar to Venmo in that it is a peer-to-peer fund transfer mechanism. This application enables users to divide meals with a roommate, pay the mortgage to a roommate, and even purchase online at retailers who accept Cash App. Cash App may be used in the same way as a bank account, and customers can get Cash App debit cards. While this service is quite handy on its own, Cash App adds additional functionality.
Cash App, like Robinhood, also enables users to buy in equities, exchange-traded funds (ETFs), and bitcoin. This exchange's mobile-first layout is very simple to navigate and operate, making it perfect for a first-time investor.
While its primary function is money transfers, like Venmo, it also includes a simple bitcoin investing option akin to Robinhood. Users may withdraw cryptocurrency assets with their own wallets, which is the primary reason we recommended Square's Cash App over Robinhood as the available alternatives for newbies wanting to acquire bitcoin.
Withdrawing Bitcoin from an exchange is critical in the cryptocurrency ecosystem. Robinhood allows you to invest and trade bitcoin, but not to withdraw or spend it as you like. However, similar to Coinbase, one disadvantage of Cash App is that you have no control over the private keys.
This notion is referred described as "not your keys, not your coin" by many in the bitcoin world. This implies that unless you own the encryption information to the wallet in which the coins are held, you essentially do not own them.
See also: Post COVID-19: The Rise or Decline of Fintech?
Bisq
- No. of Tradeable Currencies: 63
- Fees for Transactions: 0.05 to 0.70 percent
- Included Wallet: Yes
Bitcoin's principle is that it provides open and unrestricted access to a unit of account. Banking products, such as a bank savings account, are really only available to those who possess legally recognized government-issued identities. This is not essential with Bitcoin—it may be accessed irrespective of country or location and requires no identification.
While some claim that this accessibility facilitates criminal behavior (the same could be said of utilizing cash), it also provides citizens in nations with less established banking institutions with rapid access to units of account. Millions of people worldwide lack access to bank accounts and other forms of commerce, either because their governments lack the necessary financial infrastructure or because the individuals lack government-issued identity. Bitcoin, when combined with a decentralized exchange like Bisq, may be an excellent option in these situations.
Bisq is a peer-to-peer decentralized bitcoin and cryptocurrency exchange that is available for download. This implies that Bisq, like Bitcoin, has no single point of failure and cannot be taken down. Bisq is a non-custodial service, which means that no one but the user has access to or control over the user's cash.
This is in contrast to centralized exchanges like Coinbase, which store user money in a custodian account for which the customer does not have access to the private keys. Coinbase reserves the right to block your account in this circumstance if it believes your account behavior is suspect, regardless of whether the conduct is truly unlawful in your region.
Bisq is instantaneously available to anybody with a smartphone or computer due to the absence of a registration procedure or Know Your Customer (KYC) requirement. This makes it suitable for anyone seeking privacy, dissidents living under hostile regimes, and anybody without an official identity.
Bisq allows users to trade a variety of fiat currencies, including the US dollar and bitcoin, as well as various other cryptocurrencies. Due to its decentralized and peer-to-peer nature, it may have low trade volumes as well as slow transaction speeds, but this may be well worth it for many.
Binance
- No. of Tradeable Currencies: 100+
- Fees for Transactions: 0.015% to 0.1%
- Included Wallet: Yes
Binance is a cryptocurrency exchange that was created in 2017 with a significant emphasis on altcoin trading. Binance supports over 100 different cryptocurrency trading pairings. Additionally, it supports a large number of fiat-cryptocurrency pairings.
Since about September 2021, Binance is the market leader in the worldwide exchange arena, accounting for a significant share of daily cryptocurrency trading activity.
Although the exchange only accepts deposits in US dollars through the Society for Worldwide Interbank Financial Telecommunications (SWIFT), it does enable customers to acquire a limited number of cryptocurrencies directly using a credit or debit card. Deposits are accepted in twelve different fiat currencies, such as the Euro.
Binance is ideal for those interested in trading or investing in lesser-known cryptocurrencies. Binance allows users to trade over 50 different cryptocurrencies and is a fantastic alternative for those seeking more comprehensive charting capabilities than most other exchanges provide. The tools, graphing capabilities, plus data that emerge with your account are extremely outstanding, particularly in light of the low prices.
Final Verdict
If you're new to cryptocurrency exchanges or investing, it's critical to choose the finest exchange for your needs. Whether you're looking for the most currencies, the lowest costs, or the simplest experience, there's a suitable alternative for you. Whether it's our overall winner Coinbase or a rival like Binance, all you need now is a funded account to make your first bitcoin purchase.
Featured image: Gold photo created by master1305 - www.freepik.com