25 July 2020
An exchange platform allows you to buy, sell, or exchange cryptocurrencies. However, there are varying products and services that the top crypto exchanges offer – ranging from custodial services to staking – that differentiate them.
Since the Bitcoin surge in late 2017, the cryptocurrency market has emerged from the shadows to attract new investors. Selecting the one that suits your needs can be challenging, especially if you are a beginner; however, we have listed three of the top crypto exchanges to assist as you get started.
1. Coinbase (Best For Beginners)
Coinbase is one of the oldest and most popular platforms in the cryptocurrency market. Based in the United States, the service is renowned for its reliability and blockchain applications.
With 20 million customers and extensive experience in the cryptocurrency market, Coinbase is one of the most important platforms on the market. Created in 2012 in San Francisco, the exchange is subject to the laws and regulatory bodies of the United States.
As such, it guarantees the security of the funds invested, but it also ensures their origin and use. Your Coinbase wallet will be frozen if you make a cryptocurrency transfer with a questionable site, the darknet, or with an online casino. The service is renowned for its simplicity, which makes it an essential player to start in cryptocurrency.
2. Binance (The Most Varied)
In just three years of existence, Binance has established itself as a major player in the cryptocurrency market. The platform is endowed with a complete offer and advanced trading options while remaining relatively accessible to novices. With more than a hundred cryptocurrencies, numerous trading pairs, and over a billion daily trading volume, Binance is among the platforms offering the widest variety of assets.
Binance is a Hong Kong-based exchange platform created by Changpeng Zhao in 2017. The project was launched following an Initial Coin Offering (ICO) for a cryptocurrency, the Binance Coin (BNB). Since then, it has grown exponentially to become one of the market leaders. Its success is explained by the diversity of its offer, its reduced costs, and its reliability.
Binance was originally an exchange platform between cryptocurrencies only, but it now offers to buy or sell them for fiduciary currencies. The service has a modern interface and intuitive tools that make it suitable for any type of user.
3. Gemini (Lowest Fees)
Gemini is considered to be one of the most trusted legitimate Bitcoin exchanges. Publicly developed by Tyler and Cameron Winklevoss, it has been building an encouraging brand of public support since 2015.
The Winklevoss duo work with regulators to make their product a leader in compliance with banking and legal legislation. Primarily a U.S.-based stock exchange, it doesn’t maintain the same market capitalization as the upper echelons. Fees are slightly below market averages, the only downside is the minimum currency flexibility.
Binance, Coinbase And Gemini Comparison
|Market Capitalization||$23.7 billion||$6.62 Billion||$6.62 Billion|
|No. Of Trading Coins||4||200+||18|
|User Friendly||Very High||Medium||Medium|
How Do I Choose A Cryptocurrency Exchange?
Although most trading places share the same basic functionalities, each cryptocurrency exchange has its specificities. Here are some key elements to look at when choosing from the top crypto exchanges:
Exchange fees are proportionally declining in volume on most platforms (0.30% for a small exchange, 0.10% for a large one). Do not forget to inquire about the deposit or withdrawal fees in euros. Also, you need to remember that card purchases are certainly faster but remain the most expensive (up to 10% on some sites).
2. Security And Legislation
Due to the fight against the financing of illegal activities, the marketplaces ask the user to enter their personal information to access the exchanges. Photographs of an ID are often necessary. Several levels of verification are possible, and some platforms remain more flexible than others.
3. Exchange Volume
The sales volume makes it possible to appreciate the confidence and success of a cryptocurrency exchange. The latter is significantly linked to the number of cryptocurrencies available for crypto exchange. However, a high volume promotes fair trade compared to the average price on all marketplaces.
Choosing the right cryptocurrency exchange is the first step to a successful trading career. Each of the top crypto exchanges in this article is unique in its own way, as they all offer outstanding features to make your trading worthwhile.