Cryptocurrency exchange or digital currency exchange is a business that involves exchanging cryptocurrency for other assets such as money or any other digital currency. It is a web service that provides electronic transactions in electronic forms and the collection of fees for them.
Any transactions or transactions with the digital currency exchange can be made using debit and credit cards, postal money order or any other type of money transfer. This article is dedicated to discussing the various cryptocurrency exchanges that facilitate cryptocurrency trading for beginners and what they offer in terms of affordability, ease of use, security, deposit/withdrawal methods, and fees. We hope this cryptocurrency trading guide will help you get started with cryptocurrency exchanges.
Coinbase/GDAX
Coinbase is one of the largest cryptocurrency exchanges in San Francisco, California. It is available in 32 countries and currently serves more than 10 million customers. Launched in 2012, it has an easy-to-use interface that makes exchanging digital currency an easy task for a non-technical person. It is also available for iOS and Android. Unfortunately, Coinbase does not provide cryptocurrency mining for beginners and is only an exchange.
It currently offers four coins: Bitcoin, Bitcoin Cash, Ethereum and Litecoin. It exchanges digital currency for US dollars, Euros and British pounds. With minimal transfer fees, Coinbase has never experienced a security breach, making it the ideal platform for exchanging digital currency. In addition to this, Coinbase also offers a full-fledged advanced exchange called GDAX. It offers more advanced features and different and better trading fees than Coinbase.
Bitstamp
Bitstamp is another platform that provides digital currency exchange. It is relatively easy to use and offers more advanced features through TradeView. Bitstamp offers coins such as Bitcoin, Litecoin, Ethereum, Bitcoin Cash and Ripple. It exchanges digital currency for US dollars and Euros. You can put into practice all the latest crypto currency trading methods on this exchange.
It offers flat deposits via bank transfers and supports debit/credit cards. Perhaps the only downsides to be found with Bitstamp are the slightly high fees and the fact that it has suffered one security breach in its 7 years of operation. However, it is one of the most reliable exchanges. It is available for both iOS and Android.
Twins
Gemini is a British company founded in 2015 by the Winklevoss twins. It is available in several countries including the US, Canada, Hong Kong, Singapore and South Korea. One of the disadvantages of this platform is that it is not very user-friendly. So, beginners are not advised to use this platform.
It offers two coins and 1 FLAT currency Bitcoin Cash, Ehtereum and US Dollars. Gemini follows strict protocols when it comes to security, and as of 2018, not a single security breach has been detected, making it one of the safest and most reliable digital currency platforms. However, it is important to have digital currency investment strategies before you start trading.
Numeric check marks
Digital ticks is a modern crypto exchange that aims to change the game in this sector. They have implemented many latest techniques that make it easy for anyone to start trading.
It has a unique feature called Single Portfolio View that allows traders to see all positions in a single portfolio. With this unique feature, it would be easy for traders to make informed decisions regarding the cryptocurrency exchange. It also supports Bitcoin, Ethereum, Litecoin and Dashcoin.
Kraken
Kraken is one of the oldest cryptocurrency exchange platforms. Launched in 2011, Kraken is the largest exchange in terms of volume and liquidity for EUR trading pairs. It serves worldwide, including the United States.
Kraken offers a variety of coins including Bitcoin Cash, Ethereum, Monero, Augur, Litecoin and many more. It also supports deposit/withdrawal via bank transfers and cryptocurrencies. Having a not very friendly user interface, it also suffers from stability and performance issues, but it is nevertheless a good platform for cryptocurrency exchanges.
Bitfinex
Bitfinex is the largest cryptocurrency exchange platform. Launched in 2012, it has an easy-to-use interface and offers advanced features such as margin trading, margin financing, etc. It is available for both iOS and Android platforms. It offers BTC, BCH, ETH, LTC, IOTA, XMR and NEO.
Like previous cryptocurrency exchanges, it supports withdrawals in USD and EUR via bank transfers. Bitfinex has suffered two security breaches, the first was in May 2015, resulting in a loss of $330,000. And the second in August 2016, which resulted in a loss of $72 million.
EtherDelta
EtherDelta is a decentralized exchange that directly supports peer-to-peer connections. It is very different from the cryptocurrency exchange platform discussed earlier. Here, the funds are stored in a smart contract on the Ethereum network, for which you are fully responsible for deposits and withdrawals. Currently, EtherDelta only supports Ehtereum based tokens.
EtherDelta has a rather confusing interface that makes it difficult for users to perform cryptocurrency exchange transactions. Someone once tried to buy 750 Kyber at 0.007 ETH each but ended up buying 0.007 KNC at 750 ETH.
Conclusion
After reviewing various cryptocurrency exchange platforms, we can confidently say that Coinbase and Bitstamp stand out with good features such as security, user-friendly interface, multiple withdrawal/transfer methods, and more.
I wouldn’t call them perfect, but I would recommend that they are the safest bet you can make. Each cryptocurrency exchange platform is unique in its own way and has both advantages and disadvantages. We just need to choose the one that suits our needs. We hope this guide to basic cryptocurrency exchange and trading gives you a head start on your cryptocurrency trading journey.