Trading with cryptocurrencies became very popular for investors in the last few years, mostly because they offer similar opportunities to the stock market. Most of you have heard about Bitcoin and some other popular cryptocurrencies. The most common method of trading with them is simply buying and waiting for their value to become higher. However, you should know the right choice of exchange platform can have an important influence on your efficiency and success in trading.
There are two main types of cryptocurrencies, ones that support trades with fiat currencies, and others that don’t. When it comes to those platforms where you can trade with regular money, you can choose less trading options and only the most popular digital assets like Bitcoin, Litecoin, and Ethereum. On the other hand, platforms that require only trades with blockchain-based currencies offer a wider selection of assets to trade with.
When you decide to start trading in this sector, you should know that finding a secure and stable exchange can have a positive effect on your trades. Therefore, we have selected some of the best cryptocurrency trading platforms in 2020.
Binance is one of the most popular exchange platforms when it comes to services that allow only trades with cryptocurrencies. The total market share of this company is around $1.3 billion. The founder of Binance is Zhao Chengpeng from China. However, the company is now located in Japan since China is still reconsidering whether the crypto market should be legal in that state. One of the benefits of using this platform is low fees of only 0.1% per transaction. Moreover, there is also a token related to this company called Binance Token, and they are trying more people to buy it by offering a 50% discount for anyone who trades by using this token.
The main features are that you can use a mobile app for trading, a wide selection of languages, and a great choice of cryptocurrencies available. Also, there are no limits on deposits, while the security is advanced since the platform requires a valid ID, passport, photo, and other private information. You can read more about Binance and all of its features and possibilities at cryptotips.eu.
This platform is based in Honk Kong, and it is available since 2012. Bitfinex represents another very successful company and online platform for trading with virtual assets. When it comes to fees, this platform is using a scaling system that will calculate fees according to the number of funds being traded over it. However, you can expect fees lower than 0.1% only in the case that you trade with amounts bigger than $500,000. An interesting fact is that you won’t have to pay any fees for transfers above $7.500,000.
The main advantage of Bitfinex is that you can use fiat currencies such as Euro and Dollar to trade on the market or make a deposit. ON the other hand, the interface is more complex and focused on professionals rather than on beginners. When it comes to security, this service is using two-factor authentication, which represents one of the safest methods today. The only downside might be that there is a limited number of digital coins you can trade with.
Bittrex is similar to Binance, and also doesn’t support fiat currencies. However, it has a great number of currencies with great potential that you could not trade with on some other platforms that accept real money. On the other side, this exchange has fees that are higher than most other exchanges, with 0.25%. The main features are a wide selection of coins and altcoins, a simple process of registration, no limits for a deposit, and you can withdraw a maximum of $3,000 each day. Also, it has an advanced security measure with 2FA and alerts connected to your email address.
Similar to Bitnifex, this online exchange platform also allows people to trade by using fiat currencies. The main focus is on big players and professionals who are making big trades. Also, it is connected with Coinbase. When it comes to fees, you will have to pay between 0.1% and 0.3% depending on the number of funds you are using during the trade. The main features are that you can make deposits without limitations and pay with a credit card like Visa or MasterCard. Also, you will get insurance for up to $250,000 for your funds in fiat currencies. Furthermore, this platform is using the FDIC security system and 2FA. The only downside is that you can only choose the most popular cryptos like Bitcoin, Bitcoin Cash, Ethereum, and Litecoin.
The most important thing related to this service is its support to involve the most recent technology solutions to create innovative trading options, especially on mobile phones. Also, there are no fees required on this platform, while there are some particular trades where you will have to pay less than a dollar per contract. The main benefit of this service is a desktop platform that provides you with advanced insight tools where you can make better research of the market. There is a mobile app available as well, and you will have to pay for a subscription to use all of its features.
As you can see, there are many interesting options when it comes to trading with cryptocurrencies. The main difference between them is related to the support of fiat currencies. Also, you should choose one by your current knowledge and experience, which means that you should use one that is more simple in case you are a beginner. When it comes to the potential of this market, many types of coins could become much more valuable in the future. Also, since most of the cryptocurrencies are highly volatile, you can create a great income by trading with them every day. However, you will have to deal with a lot of analyses and predictions to become able to notice if there are some digital currencies with a foundation to become more or less valuable in some moments.