What Are the Points to Consider When Selecting a Crypto Trading Platform?
Cryptocurrency trading platform allows you to buy, sell and trade crypto coin. Without a proper exchange, you cannot purchase or sell your digital assets. Though, there may be some alternatives. But with so many trading platforms around, it gets difficult to find a good one. Sometimes traders may have to deal with incompetent, buggy or costly exchanges in the start. It may take some time to know which trading platform is right for you. Below here is the guide to tell you which cryptocurrency trading platform is the right one for you
Before picking out any random exchange, you should keep factors like fees, history, repute, security, liquidity, and customer service in mind. Selecting a good crypto trading platform may take some effort and time, but it is completely worth it. It is essential to know the different between crypto to crypto platforms and crypto to fiat platforms. The former only allows you to buy crypto with pairs while the latter lets you buy and sell crypto coins with dollars, pounds, euros etc.
How to select a good cryptocurrency trading platform?
When selecting a platform, remember your mileage may vary. You may be looking out for an exchange with particular altcoins, pairs or any specific features like marginal trading or OTC deals. Once you have found a trading platform, look out for these aspects too:
Safety is an important characteristic of an exchange. If an exchange in unsafe, there are chances your funds may get stolen. And you don’t want to lose your money at any cost. So, safety of the exchange should be your top notch priority.
1. The web address of the exchange should begin with HTTPs
2. For the login security, there should be two factor authentication
3. There should be cold storage for offline storage.
4. You can whitelist your IP address or withdrawal wallet address for better safety
1. It is suggested to pick a trading platform from the same nation you stay in, as you can easily comply with the regulatory changes. Note that some exchanges offer support to a lot of nations
2. Some trading platforms insure their funds so in case you lose your money, you can get reimbursed.
1. Does the exchange provides details about its headquarter, owner and other members?
2. Does it publishes their cold storage or presents its audit information?
1. The higher the trading volume, the more liquidity a trading platform has. Liquidity helps you complete transactions quicker without having to tackle with price volatility.
2. Make sure the liquidity can be different for different pairs. It can high for BTC/USD and low BTC/INR.
1. Compare the fees of different cryptocurrency trading platforms. It is usually less than 1% every transaction and may decrease with the increase in trading volume.
2. Check out the withdrawal fee of the exchange.
3. Look out for the deposit fees also. A lot of exchanges offer easy and convenient options to purchase crypto coins via debt and credit card.
Currency.com is a renowned trading platform. It is a secure exchange with indices, commodities, cryptocurrencies, to trade. It is the first regulated tokenized asset exchange meeting all the above stated factors. You can choose it as your trading platform reliably.