An investor can buy and sell crypto directly, without using online platforms. But this method is not suitable for trading. Operations are performed slowly, and there are no tools for market analysis. Therefore, traders use the services of exchanges.
A cryptocurrency exchange is a platform that provides convenient opportunities for trading cryptocurrency assets. As a rule, a trader receives everything he needs in a complex. He opens an account with assets and can make transactions using built-in tools. A built-in or separate service is provided for chart analysis. How to choose an exchange for trading so that it is reliable and profitable? Let’s consider in more detail. We are recommended to choose xtrade.
Criteria for choosing an exchange for trading
When compiling a list of exchanges for trading and choosing a suitable platform where you can safely earn money, the following criteria are taken into account:
- Site reputation and reviews. To make trading operations, a trader needs to deposit his own money. In addition, the user’s crypto assets will be stored there. Therefore, it is important that he be sure of the reliability and safety of their storage. Do not give preference to unknown projects, even if they offer the most favorable conditions.
- The number of available coins or tokens. The possibility of trading the selected crypto depends on this. The larger the listing, the better for the trader. In addition, in this case, it will be possible to store more different assets and diversify your portfolio. But keep in mind that coins that are not listed in the listing cannot be stored on the site.
- Volume of operations. The more transactions the crypto exchange conducts, the faster the exchange operations will be performed. The asset will always be liquid.
- Ability to make transactions in fiat. Newbies to crypto trading may not have cryptocurrencies to buy or sell. Therefore, they usually deposit real money and then exchange it for cryptocurrency. This possibility should be provided by the selected site. Otherwise, you will have to use an exchanger, which will require additional time and money.
Exchange examples
You can track the ratings of exchanges on the Internet. But the most popular among users are:
- Binance is the largest platform in the world with hundreds of listed cryptocurrencies, the ability to store assets and conduct transactions with fiat;
- Coinbase is a cryptocurrency exchange platform where you can perform all the necessary operations to make a profit;
- Cex.io is an online service for the exchange of digital and fiat currencies, as well as the owner of the largest mining pool.
You can also open accounts on several exchanges and use them depending on what operations you need to complete. In this case, risk diversification is additionally achieved. If one of the sites goes bankrupt, the investor will not lose all capital.