Buying cryptocurrency has become increasingly trendy. Many are getting on board, worried that they might miss out on the chance of getting rich quick. While some initial investors might be millionaires, that’s not how Bitcoin works anymore.
There’s room for profitability, but you should enter the industry safely. To do that, you have to open an account at the crypto exchange.
You’ll also need a Bitcoin wallet, client-based preferably. But starting your crypto journey with a reliable exchange platform is essential, as many brokerages have weakened credibility. If you’re not sure where to go, consider these five platforms.
For absolute beginners, Coinbase is probably the safest choice. It’s an American-based platform that has been around since 2012.
When you sign up for Coinbase, you’ll be asked to provide your name, place of residence, phone number, and address. They only deal with verified users to ensure the safety of their platform.
The user interface is one of the most appealing features of Coinbase, especially to those who never used a crypto exchange before.
It also offers a learning program to help users manage this environment better. In terms of liquidity, Coinbase continuously ranks high among well-established brokerages. It also provides a non-custodial Bitcoin wallet and a large number of altcoins.
Kraken is another huge crypto exchange platform many novices might want to consider. It has an excellent user interface which goes a long way when you’re just learning the ropes.
It’s also one of the few brokerages that has never been hacked, which indicates their great security features.
Also, it offers over 50 cryptocurrencies for trading, with associated fees that range between 0% to 0.26%. As for fiat currencies, it supports GBP, USD, EUR, CAD, AUD, and JPY. Kraken also has three levels of verification.
You can be a Starter, Intermediate, and a Pro user. To get to the final level, you’d have to trade with large asset volumes. Finally, Kraken stores user data in cold storage wallets.
The crypto community is familiar with the Gemini crypto exchange platform as its founders are famous on their own merits.
The Winklevoss twins started Gemini in 2015. Since then, it has become a favourite for both beginners and advanced crypto users. The platform offers peer-to-peer trading and an easy-to-use interface designed to appeal to everyone.
The trading fees go up to 1.49%, and transaction fees are 3.49% for debit cards. Gemini offers over 50 cryptocurrencies and 21 trading pairs. They also have a designated wallet but allow users to transfer funds to a different Bitcoin wallet, client-side or not.
This crypto exchange with a long history is based in London and has over 20 million users worldwide. Unlike some platforms, it doesn’t offer a wide range of coins but keeps the best tokens in the industry.
You can use eToro to trade Bitcoin, Litecoin, Bitcoin Cash, XPR, Etherum, and XLM. Trading and transaction fees don’t have flat rates but vary by type of cryptocurrency. The company is quite transparent about its activities and offers a lot of information on their website.
You can use eToro as a mobile app, available for iOS and Android devices. However, they do require a minimum deposit for all new users. It ranges between £20-£50 depending on whether you’re using a debit card or bank account transfer.
What sets Coinmama apart from other crypto exchange platforms is the variety of payment options. You can use your Visa or Mastercard to purchase one of the ten cryptocurrencies they have to offer.
The two downsides are that the platform doesn’t support crypto-to-crypto transactions and doesn’t have a designated digital wallet. The platform facilitates fast verification, which is super-useful for first-time users.
All you have to do is take a picture of your photo ID next to a piece of paper where you’ve written “Coinmama” along with the current date.
Choosing the Right Place to Trade Crypto
Savvy crypto investors use more than one trading platform at a time and more than one wallet for asset distribution. Managing your coins across various services shouldn’t be the top priority when you’re only learning about how cryptocurrency works.
It’s much better to choose one user-friendly platform and get acquainted with it before moving on to the next. Well-established platforms with excellent liquidity are the safest choice when you’re a first-time investor. Once you advance, you can move on to more detailed offers from lesser-known platforms.