9 Points To Check Before Selecting A Cryptocurrency Exchange For Trading
If you want to purchase any crypto coin, your journey starts with crypto exchanges. They are the platforms where you can trade digital coins with other coins as well as other fiat currencies. Most of the exchanges operate in crypto-friendly countries. Cryptocurrencies exchanges comes in various features and benefits and it depends which one is easily accessible by you and whether the given exchange meets your requirements. Businesses have the option to go with white label crypto exchange to build their own exchange with their specifications. Thus, it is very important for you to read their whitepaper or contact their customer service before selecting the crypto exchange.
Finding the right exchange platform
So if you need to pick the best crypto exchange platform as per your needs, it requires to go through numerous factors.
It is the best way to check out about an exchange platform by searching through individual users as well as reputed sites. There are plenty of forums available such as Reddit or Bitcoin Talk if you want the answer to your query.
If a trading platform that you choose is not safe, there is a risk of fund stolen. A secure exchange must offer their customers banking grade security to their fund and sensitive personal information with an encryption technique. Many businesses use cryptocurrency exchange software that facilitates them to provide optimal security to their customers.
Higher liquidity is equal to higher trading volume. It helps to make trading process swifter with great ease. There is no need to deal with major changes take place in crypto prices.
Almost every trading platform demands only few ID verification for deposits and withdrawals. Some exchanges let the users stay anonymous. It may happen that some exchanges take a couple of days but it safeguards from multiple fraudulent activities.
- Legal phases
It’s suggested you utilize a trading platform from the same country you are based in. It helps to meet the terms with the regulatory changes. You can also use other exchanges as well. But keep in mind that some trading platforms support only a limited number of countries.
Almost every trading platform comprises charges regarding details on the sites. So before you link with any of the exchange, assure the charges of deposits, transactions as well as withdrawal. Compare different charges. It can vary significantly liable on the platform you utilize.
Check out either an exchange platform is revealing its owners or team members. If a platform is completely transparent, it will also publish addresses stored in cold storage and enable others to check auditing information as well. So just keep that much fund on the platform you need for trading. Store others in your crypto wallets for safety.
- Payment procedures
Check out different payment available on the exchanges such as credit/debit card, wire transfer, PayPal and much more. If a trading platform is offering only limited option, it’s not that much convenient to utilize the platform.
Web address of a platform should contain https:/. For a log-in purpose, it should utilize two-factor authentication as well. Cold storage must be there to store customer deposits. There must be auditing programs which keep monitoring activities 24/7.