UNDERSTANDING CRYPTO EXCHANGE PLATFORMS || 10% beneficiary to tron-fan-club

KYC (know Your Customer) simply means that the exchange platform will be collecting your data like your name, phone numbers, and also your picture. The exchange platforms collect this information in case of any future fraudulent activities by the user and if there is any tax fraud, they will forward the person's details to the government. Although, some exchange platforms don't require KYC.

Deposit Method

There are different ways to fund your account. Some exchange platforms like Binance and Coin base will allow you to connect your debit card or credit card while some exchange platforms will allow you to do a wire transfer and bank account transfer. Most exchange platforms will allow you to deposit the cryptocurrency asset you already had or some trying to send.

Exchange platforms are very smart and they will connect to your bank account in a very smart way. What they will do is to connect to your bank account is that they ask you for your account and routing number and they will send you two different amounts. For instance, they could send you $0.35 and $0.21, and they will ask you the amount they sent, if you can answer it correctly, they will know that you are the owner of the account and they will allow you to withdraw money from that account. Most exchange platforms do something that might be hassling for some people like they will allow depositing money but can withdraw your money until some days.

Trading fees

Of course, exchange platforms have trading fees because that is the way they make their money. They have two types of fees, they have something called a taker fee and a maker fee. The difference between the taker fee and maker fee is that the taker fee is automatically transacted which means you are buying is a market price while the taker fee is not automatically transacted that is, someone has agreed with the price.

Withdraw Availability

Withdrawal fee is different in many exchanges on many exchange platform. For example, the bitcoin transaction fee is always different from the Ethereum network because of the number of people transacting the network. It might be annoying to discover you are charged $30 for attempting to transfer $80.80

NYKNYC

Not your keys, Not your crypto - what it means is that when your cryptocurrency is in a crypto exchange platform, the crypto is not yours and this might sound funny to some people. It's just like you to a store to buy something and after purchasing your goods, you then live it there. The store owner can decide to put it on the balance sheet. The best thing to do is to withdraw your cryptocurrency from a centralized wallet to a decentralized wallet like a trust wallet

Exchange Platform Reviews

Coinbase

Coinbase is very easy to use and the interface is very neat. They have any cryptocurrency that anyone might be looking for. Their transactions fee are cheap but they might get expensive when you trade with a lot. They have a problem with poor customer support because they take very long to respond.

Binance

Just like Coinbase, the Binance exchange platform has many coins and tokens and its transaction fee is very low. They have an advantage for their users who have hold a lot of BNB because they will lower their transaction fee. I love their website because it is well designed.

Kucoin

They don't have KYC (know your customer), they had lower fees as well and you can trade as many cryptocurrencies you want to trade. There is no way to deposit your money from the bank account to Kucoin or use a wire transfer or use a credit card, you can only deposit coins that you have purchased from other exchange platforms.

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