The 5 Best Crypto Exchanges

It can be tough enough to purchase BTC, ETH, or any other cryptocurrency using cold hard cash, so in this article we’ll guide you through the best cryptocurrency exchanges to use. But before handing over your hard-earned cash, there are a few things to consider when choosing an exchange.

Are you looking to buy coins with a credit or debit card, or do you want to trade coins for other coins? Do you want to interact with an exchange, who will hold the coins on your behalf, or are you happy to configure wallets and negotiate the deal yourself?

And here are a few more things to consider:

Reputation. Before anything else, is the cryptocurrency exchange reputable? Does it have a solid history without bungling payments, withholding user funds, or stealing everyone’s currency? The big exchanges listed below may have occasional minor issues, but they have generally proven themselves to be trustworthy and reliable.

Fees. Next up, how much is it going to cost you to use the exchange? The vast majority of exchanges charge a nominal percentage of your transaction, varying between exchanges. You don’t want to pay over the odds. But sometimes paying more secures a better overall experience, so it is about finding a happy balance.

Payment Types. How many different ways can you purchase cryptocurrencies on the exchange? Do they accept bank transfers? Debit and credit cards? Few sites accept PayPal as a valid payment type due to the high risk of fraudulent transactions (stolen accounts and so on).

Verification The vast majority of sites require at least some form of user identification. Verification varies between sites but usually involves a driver’s license, passport, or similar. Some sites require multiple forms of user identification before allowing access.

Geography. Does the exchange have any geographical limitations? Some cryptocurrency exchanges only serve customers in certain locations.

Binance is one of the top cryptocurrency exchanges by both trading volume and usability. Often the first of the big exchanges to list a new coin, Binance offer a substantial number of cryptocurrencies

Binance has traditionally been a strictly crypto-to-crypto exchange, with all trading pegged relative to Bitcoin, Ethereum, USDT (Tether), or Binance’s in-house currency, BNB. Recently, Binance has started opening fiat trading pairs in selected countries. Hopefully, this will open up around the world given time.

The Binance interface is slightly clunky, but advanced users will quickly find their way around. Newcomers might need some extra time, but it isn’t overwhelming. Finally, Binance trading fees vary between 0.05% and 0.1%, which is quite reasonable.

Useful for: Intermediate users and onwards, day traders.

Not useful for: Trading fiat currency, beginners.

Bitfinex is another huge exchange. Trading over $300 million a day, you can be sure to find a buyer here. With an interface very similar to Coinbase Pro (see below), you’ll soon pick up the basics.

Not only can you trade a huge variety of coins, but Bitfinex allows funding via wire transfer, and trading of fiat currencies USD, EUR, GBP, and JPY.

Bitfinex fees start at 0.1% for selling and 0.2% for buying. While not the lowest around, this is still very reasonable. If you’re a big spender, then fees continue to go down the more you trade every month.

There is one blot on Bitfinex’s record, however. Bifinex lost 120,000 Bitcoins through a hack in 2016. This was worth $72 million at the time and is the second largest hack of all time. Bitfinex issued an “IOU” in the form of the BFX token. While there was some skepticism around this, Bitfinex were true to their word and redeemed 100% of the BFX tokens. Want to know more? Read about the biggest cryptocurrency hacks