Guarda wallet team has already described our partnering cryptocurrency exchange services. In this article, we want to review the most popular services to set the rules for the cryptocurrency exchange.
Cryptocurrency Exchange is a trading platform that allows users to make a purchase and sale, storage and exchange of cryptocurrencies. The functioning of the sites is similar to ordinary stock exchanges; prices are determined by the market on the principle of “supply/demand” for each token.
Except trading, cryptocurrency exchanges also offer the service to store cryptocurrency. However, we do not recommend storing your assets on crypto exchanges, as it is not very safe. So in case of storing it is advisable to use crypto wallets such as Guarda.
Besides, cryptocurrency exchanges, you can also buy and trade cryptocurrency on trading platforms or exchange aggregators. Generally, they have a bit higher fees as an intermediary that helps two parties carry out a business transaction and trading platforms charge fees for their services (most often fees are already included in the exchange rate). However, smaller cryptocurrency exchange platforms often differ from bigger exchanges in much more advanced functionality and convenience of digital asset management.
How to find the best cryptocurrency exchange?
What to look out for before starting working with an exchange:
Reputation. Before using an unfamiliar exchange, it is better to read reviews about it on forums such as Bitcointalk or Reddit;
Fees. All cryptocurrency exchanges charge a percentage of the fee for their services. It varies depending on the exchange, an average of 0.2%;
A number of trading pairs. Some users prefer most-traded cryptocurrencies from the “top-10”, others prefer least volatile altcoins;
Payment methods. Some exchanges support a variety of payment methods, including bank transfers, while others allow to deposit and withdraw funds only in cryptocurrency;
Verification requirements. Most trading platforms require some sort of ID verification in order to make deposits and withdrawals in order to avoid the risk of scams and money laundering. Some exchanges allow you to remain anonymous;
Geographical restrictions. Some sites operating on the territory of one state may be closed to users from other countries.
Liquidity. This indicator largely depends on the trading volume. Volume refers to the number of coins that have been traded in exchanges in the past 24 hours. Essentially, the volume reflects the market activity of a specific coin; a higher volume indicates that more people are buying and selling the coins.
Popular cryptocurrency exchange services
Guarda has already presented more detailed information on our partner cryptocurrency exchanges in the previous blog article.
Coinbase – exchange with a name
Coinbase is one of the most reputable exchanges, which has been operating since 2012. The exchange has a very simple interface with a large number of graphs that help analyze and evaluate the current state of the crypto market. The main benefit of this service is “cold” storage of funds, 98% of which are stored on servers that are not connected to the network that provides a high level of security. The rest of the digital currency that Coinbase holds online is insured.
Poloniex – largest exchange service
Poloniex is the world’s largest cryptocurrency exchange by capitalization which focuses on the operations with Litecoin. Trades are held in 95 currency pairs. The exchange has a maker-taker trading model which means that the buyer of cryptocurrency pays a higher fee rate. For example, when selling 500 BTC, the seller will pay 0.15%, while the buyer – 0.25%. Such a model increases the liquidity of the market, as well as trading volumes. The exchange has a very simple interface that allows you to simultaneously monitor trading in several currency pairs.
Binance – major exchange with a variety of cryptos
Binance differs from its competitors primarily in its speed (fast execution of a large number of simultaneous transactions). The exchange also has the lowest fees in the industry (0.1%) and high-security standards (two-factor authentication and CCSS). Binance supports a large number of coins, including BTC, ETH, LTC and BNB.
ChangeNOW – limitless non-custodial exchange
ChangeNow is a platform created for the simple and fast exchange of any cryptocurrency. The users do not need to register or fill in personal information. The non-custodial service allows users to avoid identification and any kind of financial theft. For the convenience of customers, ChangeNOW has removed all limits – you can exchange absolutely any amount of cryptocurrency. You can also use your Visa or MasterCard card to quickly purchase a cryptocurrency. For its work, the service takes only 0.5% of the amount of the exchange.
Changelly – fast exchange
Changelly is not an ordinary exchange service. The platform robot is integrated into large cryptocurrency exchanges such as Bittrex, HitBTC, Poloniex, and others. It tracks the best offers and selects the most favourable exchange rate at the moment. Registration takes less than a minute, verification is not required. The reliability of the exchange is out of the question as it is guaranteed by the long-term reputation of the MinerGate resource. Exchanging – on Changelly, however, requires an account.
Bittrex – convenient exchange
Bittrex is one of the most popular exchanges on the cryptocurrency market. Initially, Bittrex was developed as a regular small exchange platform, but with the increasing popularity of the site, its developers decided to expand the functionality to a full-fledged exchange. Today at Bittrex you can see a wide range of trading, financial and analytical tools, there are more than 300 currency pairs and more than 190 different altcoins. It has many advantages over competitors, such as convenient interface, fast speed of transactions, high level of security and rather low fees.
CoinSwitch – massive cryptocurrency exchange aggregator
CoinSwitch has become the largest cryptocurrency trading services. It presents more than 400 digital assets and 45 thousand trade pairs. CoinSwitch allows you to trade on several cryptocurrency exchanges, including Changelly, IDEX, HitBTC, and KuCoin, without the need to register an account.
CoinSwitch has three main functions: a comparison of the cryptocurrency rate on different exchanges, cryptocurrency exchange and tracking of orders. The trading service also provides information on cryptocurrency trading volume and market capitalization level.