Before you start trading or investing in cryptocurrency , you need to choose the right crypto trading platform. The right choice will help minimize mistakes, protect against possible financial losses and allow you to enjoy the process. In this article, we will tell you what you should pay attention to when choosing a trading platform.
Commission
An important factor in choosing a crypto trading platform is an adequate commission. For example, Coinbase is considered one of the best trading platforms due to the simple process of investing in cryptocurrencies. As of April 2022, it is the second largest cryptocurrency exchange in the world.
An important “plus” of this site in terms of payment methods is the ability to use bank cards. However, Coinbase services are expensive, which is unacceptable for many beginners.
In addition, you need to know that there are several types of commission.
Trading commission
In some cases, a registered user must pay a commission to the exchange for the opportunity to start trading.
- Coinbase charges 1.49% on each trade (i.e. you are charged this percentage when you buy cryptocurrency, and then when you sell it)
- Binance – only 0.1% of the amount
- You can buy and sell crypto without commission on Quantum AI
Safety
The selected platform must be licensed and externally audited. This is a guarantee of transparency of its work and protection of customers from fraud.
Exchange reputation
To protect yourself and your capital, it is worth looking for information on whether the exchange was subjected to hacker attacks, whether user data was leaked, and whether there are complaints about the operation of the trading platform.
By and large, no crypto exchange can guarantee 100% protection of its clients’ funds, since networks and computers that cannot be hacked do not exist.
Even reputable marketplaces have problems. However, crypto exchanges that survived even after user accounts were hacked, managed to close losses with insurance premiums and return customers, are trustworthy.
Based on this, it is better to give preference to well-known sites: they have more income, part of which is directed to improving the protection system, ensuring the improvement of the company’s reputation.
Methods of depositing and withdrawing funds
The number of withdrawal and replenishment options can confirm the reputation of the company. The more of them, the more convenient it is to use the exchange.
As a rule, popular payment systems do not work with trading platforms that are seen in illegal activities or have confirmed complaints from customers.
Account replenishment methods
Thanks to the digitalization of mutual settlements, there are many ways to deposit funds into the account. The ideal option for instant replenishment is by card (cashless) or using an electronic wallet (PayPal, Skrill, etc.).
Recall that since March 17, 2022, the PayPal service has been fully operational in Ukraine. And until June 30, Ukrainian users are given the opportunity to transfer money without commission.
Cryptocurrency withdrawal deadlines
On some sites, you can withdraw funds only once a day. Or in a certain period, as on the BitMEX platform. So that the processing time for withdrawal requests does not become a problem, if you need money urgently, you should study this issue in advance.
List of available cryptocurrencies
Bitcoin is the most popular cryptocurrency. But lately, it has been seriously in a fever: during 2022, bitcoin lost 46.8% in price, and the capitalization of the crypto market sank to $1.18 trillion in May. One of the main reasons for the protracted, according to experts, the fall of this currency is Russia’s military invasion of Ukraine.
But the crypto world does not live by bitcoin alone, it develops, changes and improves. Therefore, beginners are advised to choose exchanges that work with a large list of different digital assets of crypto assets – from ten or more. After all, the more currencies are represented, the more opportunities for trading and investing.
There is only one “but”: if the site lists dubious coins, the trader working on it is at risk of investing in a token issued by scammers. So it is still better for novice traders to work with the most famous cryptocurrencies and currency pairs.
