Cryptocurrency exchanges provide a platform for traders or investors to buy and sell crypto coins. It is almost similar to how we trade traditional currencies like USD/Euro/GBP or even gold when trading crypto coins.
Since cryptocurrencies are digital assets, not physical items like traditional currencies, they can be traded online through cryptocurrency exchanges. A cryptocurrency exchange is simply an online marketplace for buying and selling digital assets of a specific crypto coin type.
Cryptocurrency trading works on a bid and ask prices.
The bid price is the highest buy order in the exchange or market, also known as ‘the offer’ to sell you crypto coins at a fixed rate.
An ask price is the lowest sell order in exchange, also known as a ‘bid’ to buy you crypto coins at a fixed rate.
With bid and ask prices, traders can either purchase crypto coins at the bid price or sell them at the offer price. But before making a quick decision, it’s better to have complete awareness about cryptocurrency exchanges.
What is Crypto Currency Exchange?
Cryptocurrency exchanges or digital currency exchanges (DCE) allow customers to trade their cryptocurrencies or digital currencies for other assets, such as hard cash money or different digital currencies.
A cryptocurrency exchange can be a market maker that typically takes the bid/to ask spreads as transaction commissions for its service or simply charges fees as a matching platform.
Cryptocurrency exchanges provide an important service within the CryptoCurrency world by offering users a place to buy and sell CryptoCurrency.
In addition, the exchanges serve as a place for people to trade their mined coins or purchase coins for other types of coins or tokens that they wish.
The Top 7 Best Crypto Exchanges Platforms of 2022
Let’s check the best crypto exchanges platforms from our experts:
Best for Bitcoin-oriented and Beginners
Coinbase is one of the most well known and trusted cryptocurrencies exchanges in the world. While there are many reasons to love and trust in Coinbase, there are some key features that make Coinbase stand out from the rest:
The minimum amount required for a coinbase transaction is $ 2. Although it has no fees, it does include transaction charges that vary with a minimum amount of $2 in each Bitcoin withdrawal.
Coinbase is free to install for its users, But it does hold transaction fees that are indirectly proportional to the amount traded.
A large variety of cryptos available for purchase on their platform.
Although many people do not hold such a concept, however, if you are interested in investing more into alternative cryptocurrencies rather than just Bitcoin, this is an important feature to consider. Coinbase supports 5 of the top 6 cryptocurrencies (Bitcoin, Etherium, Litecoin, and Bitcoin Cash).
One of the best platforms in terms of speed.
Many exchanges claim that they offer fast transactions, but Coinbase does. In a world where speed matters, a difference of even a few seconds can be effective between a successful or unsuccessful transaction.
If you plan on trading large volumes of crypto or making multiple purchases over time, then Coinbase is going to save you money in the long run with its low fee structure.
A trusted platform.
Coinbase is the most secure and trustworthy exchange. But, of course, you might witness a security issue happen on Coinbase (just like every other crypto exchange). Still, these issues are rare compared to the number of transactions Coinbase handles every day.
Coinbase is a convenient platform, simple and easy to use for even a beginner in cryptocurrencies. Simple functionality increases the interest and operational flow of the user.
Security Vaults Available.
This is an interesting feature from Coinbase as it allows you to set up multiple levels of security on your account so only those who have the appropriate key can access your coins.
Coinbase has its currency.
Coinbase credits are used only on the platform for one purpose, to pay for fees (which is why it makes sense that they have their currency). However, it is an example of how Coinbase likes to take every step possible to simplify the buying/selling process.
Easy payment system.
One thing that makes Coinbase stand out from other cryptocurrency exchanges is the ease of use when it comes to paying for your coins. When you sign up for Coinbase, you can link a credit/debit card and instantly buy coins (with the fees included), making it super easy.
A mobile app.
Coinbase has its own Android and iOS apps that make buying and selling coins much easier with just a click, no matter where you are.
Coinbase has a very simple, easy-to-use interface that most people will enjoy using. I have used many exchanges personally and can confidently say that Coinbase is one of the easiest ones to understand for beginners.
Best Crypto Exchange for Price/fees
Binance platform has become one of the most popular cryptocurrency exchanges in the past few years. With its unique features, it is getting popular and growing rapidly. Some of the features of the Binance platform make it best for the crypto exchange.
The minimum amount required for a Binance exchange is $10.
The fees for Binance is Free to install, but transaction fees vary from 0.5% -4.5%
Top Features of the Binance platform that makes it the best cryptocurrency exchange platform in the world.
Binance offers one of the fastest trading engines to its users, which means you get your transactions processed within a few seconds. The platform has also built in a stop-loss feature which ensures your trades are not executed when prices go beyond expectations.
The trading fee on Binance is 0.1% for all types of trades. This enables the investors to have full control over their funds while making large or small investments without worrying about fees deducting from their profit margins.
The referral program on the platform rewards users for referring new members, which further reduces the cost of your transactions on a long-run basis.
Multiple Payment Options
Binance keeps its list of payment options updated regularly to make it easy for everyone to deposit and withdraw money on/off the platform hassle-free. It allows its users to deposit and withdraw funds using Cryptocurrencies such as Ethereum (ETH), Bitcoin (BTC), and Binance Coin (BNB).
Variety of Coins
The platform offers one of the largest coin trade lists in the market, featuring more than 1,50,000 pairs. This means there is every chance that you might find a pair matching your needs. In addition, the search function available on the platform makes it easier for users to find the pair they are looking for in just a matter of a few minutes.
Binance platform is one of the most secure exchanges available online. Binance, however, takes security very seriously and has better protocols in place to ensure your transactions are kept safe at all times. In addition, a 2-Step verification option is available for users who want extra security on their accounts.
Users on the Binance platform can buy and sell as much as possible without any limits or restrictions. Without the risk of your account getting blocked, the global availability of the platform provides users with an opportunity to trade 24/7 across different time zones.
Fast Customer Support
Binance understands that your time is valuable and responds quickly to all queries made on its platform. In addition, if you are a new user, you can easily reach out to the company’s Customer support team to get guidance.
Binance has a web platform and provides its users with mobile apps for both Android and iOS, which can be used to make trades while on the go. The mobile app is as good as the web platform and has all the features available.
Binance also supports several third-party platforms to make its customers’ lives even easier. Some of the platforms supported by Binance include CEX, Coinberry, Coinmarketcap, and TradingView. This also increases the accountability for the users to increase the exchange circle.
Best for futures & margin traders
Kraken is the most popular exchange in the cryptocurrency industry. It allows customers to buy and sell cryptocurrencies like Bitcoin, Ethereum, Dogecoin, etc. In addition, the exchange provides advanced order types like stop-loss orders while keeping trading fees very low.
Krakens also offers margin trading and a lending market where borrowers can get short-term loans using their cryptocurrency as collateral while lenders earn interest on the loaned funds.
Kraken also accepts direct USD and EUR wire transfers to buy cryptocurrencies without trading for Tether (USDT) or Ether.
The minimum amount required for the Kraken is $10 exchange.
Kraken prices are variational depending upon the cryptocurrency that falls from 0.9% to 3.75%
The lowest trading fees, margin funding fees are 0%.
Kraken is the best crypto exchange for margin trading because it has low fees for margin funding. The fee is 0% both for lenders and borrowers of bitcoins or other coins. That’s much cheaper than Poloniex that charges a 1 – 3% fee to lenders and borrowers.
Cryptocurrency exchange for euro volume, liquidity.
Kraken is the greatest alternative to Coinbase since Kraken is the world’s largest crypto exchange for Euro trading volume. In addition, Kraken is the world’s largest crypto exchange for CAD (Canadian dollar). For GBP ( British Pound), you can use Kraken’s partnership with RationalFX.
The leading Bitcoin trading platform.
Kraken is one of the most authentic and valued cryptocurrency exchanges out there, and they’ve been operating since 2011. As a result, they are an exchange that can be counted on.
Accepts payment via cash, bank wire, and others.
Transparency in Kraken is restricted, which means that the transaction will not appear in your name, so any suspicious activity or fraud will be out of the question for Kraken or other crypto exchanges like Kraken.Kraken accepts payment through bank wire and others.
Two-factor authentication & PGP/GPG encryption for email communication.
Kraken takes security very seriously by offering two-factor authentication, which you can set up in a few clicks in your account settings. Also, they use the industry-standard Secure Sockets Layer (SSL) with encryption that is certified to be up to the highest industry standard.
Zero proof, zero access & zero fear of account suspension.
Kraken’s motto and policy is “zero (0) proof, zero (0) access and zero (0) fear of account suspension”. Kraken will never provide your personal information to anyone. They try their best to protect your privacy even from themselves.
- Kraken also employs several servers that don’t talk with one another.
- Withdraw Bitcoins without having to send your photo ID, which protects you from identity theft.
- Kraken never permanently records the secret keys from your account.
Multi-currency accounts with 2 BTC and higher are FREE.
Starting from 2BTC, each currency that you hold in your account has zero fees. This means that if you have 10 BTC, Kraken will not charge any fee on the 9 BTC balance. They only charge fees for 0.001 BTC withdrawals which is 0.0009765625 BTC with the current price of Bitcoin.
Easy fiat withdrawals.
Kraken has recently introduced an “Automatic Money Conversion,” which allows users to convert their coins to fiat according to real-time market price. Considering the fact that you want to cash out your Bitcoins, Kraken will automatically convert them into Euros or US dollars and then deposit the money into your bank account.
Special features for large depositors.
Large deposits are accepted through SEPA Transfers, which are settled within 1-2 working days, or wire transfers are also accepted for sums over $10 000 USD. In addition, Kraken is working on a new feature called “Whaleclub,” which will be available for customers depositing more than 100 000 USD.
Kraken fees are very competitive when compared to other traditional exchanges. They charge a 0.35% fee in all trades, which is a lot lower than most of their competitors who do not have a flat trading fee and, in some cases, charge up to 50% for withdrawals.
CEX.io is a UK-based company operating since 2013, founded by two data processing specialists who are also involved in Bitcoin mining and blockchain development. CEX.io is a website connected to the international network of exchanges. It allows users around the world conveniently and profitably to trade in many cryptocurrencies.
CEX.io demands the user to increase accountability and demands a minimum amount of $20 to get validity.
CEX.io depends upon the trading volume occurring on the month-end. Therefore, the maximum maturity of your 30 day trial period holds the better advantages you will get at the time of buying.
Lowest Fees for Buying BTC with Credit Card.
CEX.io is one of the world’s largest Bitcoin/cryptocurrency exchanges, allowing users globally to buy bitcoin with a credit card as well as bank transfer (SWIFT). CEX.io was launched in 2013 and has risen to become a leading exchange due to its powerful data center and streamlined order processing system.
Instant Buying/Selling Cryptocurrency with Credit Card or Debit Card.
On CEX.io, it’s possible to buy Bitcoin, Ethereum, and Dash with your credit or debit card for a low 2% fee. The site is widely trusted throughout the world because of its ease of use and excellent customer support service.
Users simply put their credit/debit card details into the system and enter the amount of money that they wish to spend. Then they will have the option of choosing the percentage of this amount that is allocated to being exchanged for cryptocurrency.
Buy Bitcoin with Skrill – an E-Wallet Service.
CEX.io allows users who don’t have a credit card or debit card to purchase bitcoins via their e-wallet service “Skrill.” This is a secure way to buy bitcoins with your e-wallet without any fee or verification needed.
Very Low Trading Fees of 0.2%.
CEX offers a very low trading fee of 0.20%, which falls lower than most other exchanges’ fees out there. Their system allows users to purchase BTC with their credit/debit card without having to verify their identity.
Fund Security is Assured with Cold Storage, Multi-Sig Wallets, and SSL Encryption.
CEX.io makes sure that all of your funds are securely kept in cold storage, meaning they are offline and out of reach of hackers and malware. The site also offers 2-factor authentication to add an extra layer of security.
Hundreds of Cryptocurrencies Can Be Exchanged on CEX.io.
All users can buy, sell or exchange 100+ currencies on the site with ease via bank transfer (SWIFT) and credit card. Although many other platforms entertain such a facility, what makes CEX.io stand out is that it also gives you the facility of making operations through credit cards.
Sell Your BTC with CEX.
On CEX.io, you can sell your BTC and receive funds to your bank account, or alternatively buy more bitcoins and move the balance to your wallet on the site. This is a beneficial feature for users who want to take advantage of arbitrage-like opportunities.
Solid Customer Support Available 24/7.
CEX.io offers 24/7 customer support in 5 languages, with the site’s dedicated team being able to assist you with account verification, password recovery, and two-factor authentication, among other issues. If you are new to Bitcoin or cryptocurrencies in general, then this is an excellent feature as it gives a sense of security.
Instant Withdrawals on CEX.
As soon as a user puts in a withdrawal request for cryptocurrency on their account, the funds will be credited to their wallet almost instantly so they can trade altcoins on other exchanges. Great news for those who want immediate access to their coins without having to wait for their funds to be transferred to their wallet.
Liquidity is Assured on CEX.
Much like other high-profile exchanges such as Poloniex or Bitfinex, liquidity on CEX is assured as the site enables users to trade huge volumes of cryptocurrencies at a time. As more people join the platform, this also adds to greater liquidity within the market.
Gemini is an exchange aimed at traders, businesses, and other institutions. It uses the same security level as financial institutions like banks, which is why it allows for instantaneous trading of USD to BTC or ETH to BTC. Gemini also has low fees compared to other exchanges.
The Gemini crypto exchange platform is regulated by New York state laws. This means that they have to follow the same guidelines as banks, including know your customer (KYC) and Bank Secrecy Act rules.
When you sign up for a Gemini account, they have to know who you are and where you live. They also need this information when you add money to your balance.
Gemini is the most flexible Crypto Trading exchange; it varies from $0.00001 to a certain limit This feature makes it different as there is no certain limitation for users to opt for cryptocurrency as per the exchange platform protocols.
The fees for opting for the Gemini exchange depend on the maturity level obtained in the trial period.
The platform provides customers with access to FDIC insurance via a partnership with a NY-based bank. Also, no personal info is required while receiving 2FA authentication for account protection. Another security measure employed by Gemini is an email confirmation for each withdrawal.
Gemini supports only four coins – Bitcoin, Ethereum, Litecoin, and Zcash. In addition to these coins, the exchange platform accepts bank transfers in US Dollars as well as wire transfers from approved countries. So far, Gemini does not have a mobile app with which you can trade on the go.
The trading panel is simple, with just a few functions that allow users to buy or sell coins by placing market or limit orders. For limit orders, there’s a “post-only” option available, w. Also, there’s a feature for placing stop-loss orders, which is quite useful in terms of risk management.
Gemini charges one of the lowest fees in the market – 0.25% from both buyers and sellers when performing trades. In addition to this, you’ll have to pay 50 cents per bank wire deposit and $5 per withdrawal. The latter applies only to ACH withdrawals with an exception for ZEC/BTC transfers due to low network fees on the given coins’ blockchain.
“Customer support” is an important issue in terms of selecting a crypto exchange platform since many times, users experience difficulties during their work with it. There’s a phone number and email listed on the Gemini website, which enables users to contact customer support representatives.
Ease of use.
The exchange platform is highly intuitive and easy to use, even for those who are new to crypto exchanges. Another point worth mentioning is that some advanced order types – GTC, FOK, and IOC – can be placed only after specifying all parameters in a limit order form.
Gemini is one of those exchanges that have high liquidity due to the fact that it supports bank transfers as well as order books from Cboe and CME, which are two of the biggest options exchanges around the globe. Also, contrary to some other exchanges, there’s no “maker-taker” fee on this platform.
Besides crypto-to-crypto trading, Gemini allows you to trade BTC directly against USD or ETH. In addition to this, users may place market orders in terms of market capitalization, which means that they’ll automatically buy all coins at the best price available based on their total value in circulation.
There’s also an “overview” section with detailed information about prices for different cryptocurrencies as well as charts from multiple exchanges. Additionally, there’s a real-time tracker for BTC fees in addition to a converter showing the latest conversion rates in USD and EUR.
Best for Account Security
Bittrex has earned a strong reputation in the cryptocurrency space as being one of the most secure platform out there. More than 99% of user funds are stored offline, while all online hot wallets are closely monitored 24/7 by multiple individuals in separate locations, and all withdrawal requests are processed manually.
Bittrex cryptocurrency exchange is available in more than 190+ countries worldwide. Bittrex charges a flat fee of 0.25% per trade while the average industry trading rate is around 0.20%. As for fees, there is no deposit or withdrawal fee, but a fixed percentage fee of 0.25% is charged for each trade made on the exchange platform.
Bittrex is an online crypto exchange with a standard price of $3, but its fees range from 0.1-0.35 %, depending upon the market of cryptocurrencies.
Bittrex implements two-factor authentication to keep your account safe from unauthorized access. The second way of authentication is a Google authenticator app that sends a code every time you sign-in on the Bittrex website.
Google reCAPTCHA Authenticator.
Bittrex has been using Google’s reCAPTCHA service for additional login security. Make sure you have 2FA enabled when signing up for an account or if you want to add extra layers of protection, enable it anytime through your settings.
Bittrex uses a two-step verification process, which requires you to enter a code whenever you register for an account or change your password. This is done to confirm that the person trying to create an account on a Bittrex account belongs to the owner of the email ID registered with Bittrex.
IP Address Restrictions.
Bittrex upgraded its security measures by enforcing restrictions on IP addresses from accessing accounts based on geolocation. It means if your IP address shows that you are not in a particular region where you want to access then, it’ll be automatically blocked and thus cannot log in to your account.
The Bittrex servers use SSL encryption for HTTPS protocols, which means the communication between your browser and the bittrex server is encrypted. And only hashed/encrypted passwords (for now) are stored in their database.
Lack of Phone Support.
This is one shortcoming of the Bittrex exchange platform as they lack phone support, but you can still contact them by email to resolve any issues regarding account security.
Best Decentralized Exchange
Uniswap is a decentralized exchange for trading ethereum tokens. It provides liquidity by connecting all participating wallets through a common interface, so the prices are the same on each side of the trade.
The Uniswap protocol can be viewed as an automated version of traditional exchanges that match buy and sell orders to achieve maximum liquidity. The difference is that it does not store any assets or hold balances on behalf of users.
The minimum amount required for Uniswap Crypto exchange is $0.3.
Uniswap is a decentralized crypto exchange platform, and the fees are distributed according to the liquidity providers as per their reserves.
Unlike connected exchanges, where orders between different sites need to be routed through a central party, and the prices don’t match up, Uniswap orders can be matched across different exchanges allowing users to get better rates on their trades.
Stable Price Mechanism.
Uniswap Crypto exchanges maintain stable pricing for their users since reserve demands are held in smart contracts instead of through a centralized party, there is no risk for users to lose money due to price volatility or exchange hacks.
ERC20 is a standard way of creating and issuing smart contracts in blockchains generated that is compatible enough to entertain the platform. Since the platform is built on Ethereum, it allows for seamless trading with any Ethereum token.
No Registration Required.
No sign-ups are required to get started using Uniswap, which makes it easy for users to save time and effort for investing in lengthy processes.
Since the platform is decentralized, there are no authorities that can censor or limit trade volume on the platform meaning users can always trade their tokens without any restrictions placed by third parties.
Crypto Exchanges: Table Comparison
|Platform||Fees||Min . Amount||Editor Rating (out of 5)|
|CEX.io||Variational (T&C applied)||$20.00||4.17|
|Gemini||$0.99 -$2.99||$ 0.00001(T&C applied)||4|
|Bittrex||$3||$3.00 (T&C applies )||4.15|
|Uniswap||Variational (T&C applied)||0.3% on each bitcoin drawn.||4.2|
Types of Cryptocurrency Exchanges
Some CryptoCurrency exchanges do not hold customer funds and only serve as an automated way to swap one type of CryptoCurrency for another. In contrast, other exchanges offer a hybrid approach where they provide an automated service to exchange cryptocurrencies and allow users to place custom orders on the exchange platform.
For a brief overview, the user needs to know which type of crypto exchange would benefit them. Among various types, the following are considered the most influential in terms of exchange rates and trading.
There are three types of exchanges that work for cryptocurrency trading –
This is a direct peer-to-peer exchange where users can deal directly with each other. In these exchanges, both buyers and sellers place their orders which are then matched. Thus, the users can place their orders or simply copy market orders from those posted on the site.
This type of exchange is like a stock trading account where you don’t have full control over your money. All the actions you do on the site are automatically done by the broker on your behalf, including order executions and withdrawals.
These exchanges are more like Craigslist for Cryptocurrency. It is a marketplace that requires users to create advertisements with specific terms. The buyers then place bids, and the seller can either accept them or not.
What Should You Look for When Choosing a Crypto Exchange?
A cryptocurrency exchange is a platform where you can buy or sell your crypto tokens. There are different types of exchanges in which one can deal with cryptocurrencies like spot trading, futures contract, and leveraged day trading.
Choosing a crypto exchange is always crucial as it holds a great amount of benefit, and so does the damages. A user should go through the following factors when choosing a platform that best compliments their needs.
Acknowledge your need
The first factor would be the exchange or platform that is suitable for you in terms of its interface and features. For e.gIf you are a newbie, then it would be difficult for you to understand the interface of an exchange having advanced trading tools.
The second factor would be the payment modes, which include bank transfers, debit cards, credit cards, and e-wallets. This also includes the percentage of each transaction cost for the trading of cryptocurrency.
The price of cryptocurrency should always be a factor to consider. Exchanges charge different fees for buying and selling cryptocurrencies. This fee might differ from exchange to exchange based on their service charges. The lowest fee can be found in the case of peer-to-peer exchanges where you deal with individual buyers/sellers.
Geographical access to your crypto exchange platform should be the primary focus, as you never know when you need to trade your cryptocurrency. This means that you should look for an exchange platform that is easily accessible in your country of residence.
Always go for the platform that has the maximum security as it involves your personal information that can be a threat. A secure platform will use advanced security protocols like 2-factor authentication and will have advanced encryption technologies to secure the confidentiality of your data.
The sixth factor is the exchange’s history, that is, whether it has been hacked or not, or whether it has blacklisted any users. You should check if their customers are happy with their services.
Lastly, look for an exchange platform that also provides you with a mobile application for easy access and trading features. With convenient mobility to your crypto exchange platform, you could easily trade, sell or Buy depending upon the statistics of investments.
In conclusion, choosing the right cryptocurrency exchange is an important factor to be considered.
A good exchange would provide you with a safe platform with advanced security features, easy accessibility in your country of residence, different payment options, a low transfer fee compared to other exchanges, and a user-friendly interface.
The main benefits of cryptocurrency trading are zero limits on transactions, fast transaction speeds, low fees, security, transaction transparency, and worldwide availability.
The main downside to cryptocurrency trading is that there is no centralized authority overseeing all trade which means that it gets hard at times to find the best price for your currency of choice.
Cryptocurrency trading is important because cryptocurrencies were created to serve as a medium of exchange and store value.
Cryptocurrencies like Bitcoin(BTC) and Ethereum are the most widely accepted forms of cryptocurrency. However, there are other digital currencies that can be used to purchase goods or services online, which makes them relevant for trade.