Every year more and more people are trying to invest in cryptocurrency. Today it is one of the famous and reliable ways of making money. One of the most sensational coins in the history of its existence was bitcoin. Bitcoin causes rapid price hikes and lures in supposedly fast profits. Stock market experts are even talking about digital gold. That’s why bitcoin is considered so popular. Where can cryptocurrency exchange invest in virtual coins? What is a cryptocurrency exchange, and how to use it? We will tell in the article.
What Is A Cryptocurrency Exchange?
Initially, digital trading platforms for cryptocurrencies developed. It can be thought of as an ordinary marketplace where buyers and sellers meet. The peculiarity of such a digital marketplace is that the platform operator provides only the necessary infrastructure. On the other hand, individual transactions occur between the relevant marketplace participants. The disadvantage is that transactions can take longer.
A crypto exchange is a digital trading platform where cryptocurrencies can be bought, sold, and exchanged: In the classic stock exchange, the price of a coin is formed according to the principle of supply and demand. Examples of large crypto exchanges are WhiteBIT, Binance, Coinbase, Crypto.com, and Kraken.
Besides trading hundreds of digital coins, however, a crypto exchange offers numerous other features in the context of blockchain and cryptocurrencies. These include, for example, applications from the decentralized financial sector (DeFi), NFTs, derivatives, crypto credit cards, and much more. However, most such extras are irrelevant to the typical retail investor, as they require an in-depth understanding of cryptocurrencies.
In general, crypto exchanges are less user-friendly than online brokers. On the one hand, this is due to the numerous functions, and on the other hand, crypto exchanges are usually based abroad.
Popular Crypto Exchanges Today
On the other hand, crypto exchanges score with the option to dispose of the acquired cryptocurrencies freely. Customers can deposit and withdraw them to and from the exchange wallet. This means that Bitcoin can also be used practically, for example, for payments or within staking programs – a type of investment for digital coins.
For many users, securing their cryptocurrencies is particularly important. For this purpose, they transfer their digital gold to USB-like storage devices, also called hardware wallets. Because they are stored offline, they are even protected against hacker attacks.
What are crypto exchanges popular today? Here are the top five best cryptocurrency exchanges:
- WhereBit. This is one of the largest cryptocurrency exchanges. The platform was founded in 2018 in Ukraine. During all the time of its existence, it has passed a long way in its development and received the status of the best centralized European exchange. Customers are presented with 350 pairs for business. WhiteBIT has more than 270 cryptocurrency assets and six fiat currencies USD, UAH, EUR, KZT, TRY, and GEL. On the platform, all customer data is securely protected. In addition, the platform has the highest level of security AA!
- Binance. It began operating in 2017 and has since earned the status of the largest platform where financial transactions with cryptocurrency are available. The platform also offers the most favorable conditions for transactions. The level of the trader could be more critical. Novice or pro – everyone will figure out how to trade digital currency. Advantages of the platform – 1450+ trading pairs, own exchange and P2P platform, low commissions, 24-hour operation.
- Ku.Coin. The cryptocurrency exchange platform offers its clients more than 700 pairs for exchange. This is one of the crypto exchanges with favorable terms of cooperation. Klynet does not pay high exchange fees. Here it is possible to predict income, as well as to get 24-hour support.
- Kraken. The American cryptocurrency exchange, Kraken, started operating back in 2011, so its reliability is beyond doubt. At the site, you can buy popular digital currencies (VTC, ETN, etc.), as well as other variants of coins. Including a cryptocurrency exchanger allows you to exchange for another digital currency or fiat money.
- Huobi. There are over 600 cryptocurrency assets on the platform. Customers can quickly exchange and invest in virtual coins. The advantages of this platform are its own promising NT token, the availability of a mobile application for trading, a loyalty program, and the use of “cold” wallets.
Today it is cryptocurrency investing that is considered more promising. Choose platforms with the lowest fees for cryptocurrency exchange. That way, you can save on hidden fees and make more money. Cryptocurrency exchanges are a modern and safe way to make money.