New to Cryptocurrency? Things to Look for in a Crypto Exchange and Trade Platform
Are you new to the cryptocurrency world? And are having trouble with which cryptocurrency exchange and trade platform to pick. Then this article is just right for you.
There are hundreds of cryptocurrency exchange and trade platforms in the market. However, not all these platforms will be a good match for you. When looking for the platform right for you, you should be on the lookout for certain qualities to know whether you are signing up for a good platform or not. Why? Because being on the right platform is one of the reasons for the success of many cryptocurrency enthusiasts.
To help you pick the right cryptocurrency exchange, this article compiled a list of things you should look for to confirm whether the cryptocurrency platform you are registering in is a good one.
So by the end of this platform, you can grasp these things well and find the platform right for you. Let’s begin!
1. Cryptocurrency variation
Why would you go for a crypto exchange platform that only offers one type of cryptocurrency when other platforms offer over 50 types of it. Coinbase offers 96 different cryptocurrencies, while Kucoin even boasts over 500 cryptocurrencies.
Some platforms offer not just cryptocurrencies but also oil, gold, and other commodities like PrimeXBT, Kucoin and Bitcoin Loophole.
So why is it important to have a wide variety of crypto to choose from? It is to have a well-balanced and well-diversified portfolio.
Even if you are a beginner in trading, it is important to have different cryptocurrencies to balance out your portfolio’s risks. And having wide diversity in cryptocurrencies is the way to go, especially if you are already an experienced trader and can handle multiple cryptos on your portfolio.
2. Security and Customer Service
Cryptocurrency platforms are founded on blockchain technology, meaning all transactions are handled without a central authority. To keep your personal information safe and your anonymity, it is crucial to look for the security your chosen platform can provide you.
Look for two-factor authentication, solid encryption technology, and an offer for cold storage. These factors are highly necessary to keep your data safe and your investment.
Also, the platform’s great support and assistance are a good plus factor. Their customer service shall be made up of crypto experts and professionals and can provide you with your needed help 24/7.
Go for a platform with low transaction fees, low registration fees or even free registration, and low start investment. If your platform does not have a high transaction fee, you can get to enter more trade positions and make more profit.
Another crucial thing is the low start of investment and registration fee; if you do not plan on going long-term with your crypto investment, look for the lowest start investment possible. This is because you need to get your money’s worth most, especially if you are new to trading. If you are still gaining experience with trading, it is necessary to remember that you shouldn’t trade more than you can lose.
Once you’ve made your trades, you need to get your profit because you would not want to keep it on the trade market for too long. So it is a good feature if a trading platform can offer you the ease of conversion of your crypto to fiat.
Some platforms even offer debit cards to provide their clients with this ease. Platforms can do this because they have bank partners that provide them with the legal permits necessary for this conversion. So their platform users won’t be as bothered when trying to cash in to fund their accounts or withdraw their profits.
Some cryptocurrency platforms provide their users with wallets, so why not go for these platforms? Why? When a platform provides its users with a wallet, users can trade while managing their portfolios all in one platform.
This provides their users with ease and convenience. Although when you gain enough profit, it is better to have a cold wallet than a hot wallet that your crypto exchange has provided you with.
These are just some factors you can look for when trying to identify which cryptocurrency platform is good and which is not.
Always remember. Cryptocurrency trading is no easy task. It comes with great risks that require full knowledge, skills, and experience.
This article does not necessarily reflect the opinions of the editors or management of EconoTimes