The crypto market is one of the fastest-growing in the world at the moment, with more and more people and companies showing interest in investing their money in crypto and digital currencies all over the world. This has been a trend that has been accelerated since the beginning of 2020, as the market has seen a huge rally, with the likes of Bitcoin, Dogecoin and Ethereum delivering stunning returns. Cryptocurrencies are also entering mainstream financial markets, as big banks and financial institutions look to get in on the act by investing in this market as well. At the same time, we are seeing crypto ETFs being launched in some countries, which will increase access to crypto for retail investors as well. While there are many countries that are restricting access to crypto by banning activities, the general trend is one of acceptance, with regulators trying to understand the market and apply rules to protect investors while also allowing the sector to grow.
In this situation, it is extremely important for traders to know where and how they can invest in cryptocurrencies, as there are thousands of exchanges out there. Thus, here is a list of some of the best crypto exchanges to use for both new investors as well as those who are more experienced in the market.
Coinbase is the world’s largest cryptocurrency exchange, offering more than 50 tokens, including Bitcoin, Ethereum, Litecoin and Dogecoin. There are many investment options for both retail and institutional investors, with mobile apps available as well for ease of use. The Coinbase Earn option allows traders to earn in crypto for watching educational videos, while there are also staking options, which allow traders to earn passively from their crypto assets. Fees range from $0.99 to $2.99, while there is a 0.50% spread for buy-sell transactions. Advanced and experienced traders can make use of Coinbase Pro, which gives them access to trading bots, charts and real-time order books, while Coinbase Prime is for high net worth individuals and institutional investors, with cold storage options, commercial services and an Asset Hub that allows issuers to list their tokens on the platform as well.
Bittrex is the best exchange out there for those concerned with security. It offers two-factor authentication, as well as multi-wallet storage to keep tokens secure, along with offline and cold storage options as well. The fee schedule on offer is a maker/taker schedule, based on your 30-day trading volume, and fees generally are around the 0% – 0.35% range. One of the biggest advantages of this exchange is that it does not charge anything for USD deposits or withdrawals, while there is a minimum overall network fee to be paid. This makes Bittrex one of the cheapest exchanges out there, along with its safety measures. However, with just 25 cryptocurrencies available for trading, it does not have the biggest selection of tokens, although the largest and most popular tokens are available, and Bittrex is working to add others to its platform.
Binance is primarily aimed at American investors, and it offers both individual and institutional accounts, with access to more than 50 cryptocurrencies. It has features such as staking rewards, recurring investments, where money can be invested through a defined schedule in specific cryptocurrencies, OTC trading, crypto pairs and so on. Users can also invest in stablecoins, which are digital currencies backed by the US dollar. Staking rewards can range from 1% to as high as 9% annually, depending on the cryptocurrency staked. Institutional clients can take advantage of features such as a Websocket feed to provide real-time market data and analysis, a trading API, monthly staking rewards, an OTC trading desk and 24/7 customer service. There is a 0.1% spot trading fee, with a 0.5% instant fee applied on sales and purchases, which makes Binance quite cheap – however, deposits through US debit cards have a 4.5% fee.
This is a global exchange that has a presence in virtually every country in the world. It also has one of the largest crypto markets, with access to more than 80 cryptocurrencies provided. Other features include an instant buy option, staking rewards and crypto-backed loans. Advanced traders can use spot-trading options, as well as margin accounts, while institutional investors have access to its payment management and aggregator services. It has a maker/taker fee schedule that works in a similar manner to Bittrex, with fees ranging from 0.16% to 0.25%, but debit and credit card transactions have higher fees.
Kraken operates in over 200 countries and offers more than 50 cryptocurrencies for trading, making it one of the most comprehensive exchanges available. Kraken also supports margin lending and futures trading, and it is one of the few crypto exchanges to do so. Users can borrow up to five times of their account balance for margin trading, while futures trading is available for Bitcoin, Ethereum, Litecoin, Ripple and Bitcoin Cash. Institutional clients have access to expert consultations, one-on-one sessions and account management support. Staking rewards are available to all users, while fees range from 0% to 0.26%.