The Beginners Guide to Trading Cryptocurrencies

A business that deals in the exchange of digital currencies, such as bitcoin, for other assets like cash or other digital currencies is known as a cryptocurrency exchange or digital currency exchange. It is a web service that offers electronic transactions in electronic forms and collects fees for them.

Debit and credit cards, postal money orders, and other forms of money transfer are all acceptable methods of payment for any transactions or operations involving the Digital Currency Exchange. In this article, we’ll talk about the different cryptocurrency exchanges that make it easier for newcomers to trade cryptocurrencies, as well as what services they provide in terms of accessibility, usability, security, deposit/withdrawal options, and fees. We wish you luck as you begin trading cryptocurrencies after reading this guide.

Coinbase/GDAX

One of the biggest cryptocurrency exchanges is called Coinbase, and it is based in San Francisco, California. More than 10 million customers are currently served, and it is accessible in 32 countries. It was introduced in 2012, and because of its user-friendly interface, even non-techies can easily exchange digital currencies. Additionally, it is accessible on iOS and Android. Coinbase is only an exchange, which means it does not offer beginner-friendly crypto mining.

It currently supports Bitcoin, Bitcoin Cash, Ethereum, and Litecoin. In addition to digital currency, it also exchanges US dollars, Euros, and British Pounds. Coinbase is the ideal exchange platform because it has low transfer fees and has never had a security breach. In addition, Coinbase also provides GDAX, a fully functional advanced exchange. It provides better trading fees than Coinbase and more sophisticated features.

Bitstamp

The exchange of digital currencies is also offered by Bitstamp. It is comparatively simple to use and, through TradeView, provides more sophisticated features. Bitcoin, Litecoin, Ethereum, Bitcoin Cash, and ripple are among the currencies that Bitstamp offers. It exchanges digital currency for US and Euro currency. In this exchange, you can use the most up-to-date strategies for trading digital currencies.

It supports debit and credit cards and offers flat deposits through bank transfers. The slightly high fees and the fact that Bitstamp only experienced one security breach in its seven years of operation may be the only drawbacks to the service. The exchange is still one of the most trustworthy ones. Android and iOS devices both support it.

Gemini

The Winklevoss twins founded Gemini in 2015; it is based in the UK. Few nations, including the United States, Canada, Hong Kong, Singapore, and South Korea, offer it. This platform’s lack of user friendliness is one of its drawbacks. Thus, it is not advised for beginners to use this platform.

Bitcoin Cash, Ethereum, and US Dollars are the two coins and one FLAT currency offered. As of 2018, Gemini has not experienced any security breaches thanks to its strict adherence to security protocols, making it one of the most trustworthy and secure platforms for digital currencies. Prior to beginning your trading, you should have a plan for your digital currency investments.

Digital Ticks

Attempting to change the game in this industry is the modern cryptocurrency exchange Digital Ticks. They have put many of the most recent techniques into practice, which makes it simple for anyone to begin trading.

The traders can view all of their holding positions in one place thanks to a special feature on it called a Single Portfolio View. Using this special feature would make it simple for traders to decide intelligently about the cryptocurrency exchange. Additionally, it supports Dashcoin, Litecoin, Ethereum, and Bitcoin.

Kraken

One of the first cryptocurrency exchange platforms is Kraken. In terms of volume and liquidity for EUR trading pairs, Kraken, which was launched in 2011, is the largest exchange. It provides services everywhere, including the US.

Among the coins available on Kraken are Bitcoin Cash, Ethereum, Monero, Augur, Litecoin, and many more. In addition, bank transfers and cryptocurrency withdrawals are supported. Although it has a less than ideal user interface and has stability and performance problems, it is still a good platform for cryptocurrency exchanges.

Bitfinex

The biggest platform for trading cryptocurrencies is Bitfinex. It was introduced in 2012 and offers a variety of cutting-edge features, including margin funding and trading on margins. Both Android and iOS are supported by it. It offers BTC, BCH, ETH, LTC, IOTA, XMR, and NEO.

The exchange supports withdrawals via bank transfers using US dollars and euros, just like the earlier cryptocurrency exchanges. Two security incidents have occurred at Bitfinex, the first of which cost $330,000 in May 2015. And the second occurred in August 2016 and cost $72 million in losses.

EtherDelta

A decentralized exchange that directly supports peer-to-peer connections is EtherDelta. Compared to the cryptocurrency exchange platform that was previously discussed, it is very different. You are solely in charge of making deposits into and withdrawals from the funds held in this smart contract on the Ethereum network. At this time, EtherDelta only supports tokens that are Ethereum-based.

Users find it challenging to conduct cryptocurrency exchange operations on EtherDelta due to its interface’s relative complexity. One time, someone attempted to purchase 750 Kyber at a cost of 0.007 ETH each but instead purchased 0.007 KNC for 750 ETH.

Conclusion

After examining the various cryptocurrency exchange platforms, it is safe to say that Coinbase and Bitstamp stand out for having excellent features like security, a user-friendly interface, a variety of withdraw/transfer methods, and many more.

Although I wouldn’t describe them as perfect, I would advise that it is the safest bet you can place. Each exchange platform for cryptocurrencies is distinct in its own right and has benefits and drawbacks. Just pick the one that best suits our requirements. We wish to give you a head start on your journey into cryptocurrency trading with this guide on basic crypto currency exchange and trading.