The crypto market has boomed in recent years, and mainstream adoption is now unfolding before everyone’s eyes. If you’re considering investing in cryptos, you aren’t the only one! This industry appeals to many people – it’s like it has magnetic power. And that’s quite understandable. After all, who wouldn’t want to benefit from a decentralized financial system with no mediator involved? But before jumping right into it, there are some things you should know about the crypto sector. One important thing to remember is that the market is highly volatile, which means you must be aware of price fluctuations and always rational. And this goes without saying, but you don’t want to put all your hard-earned money into cryptocurrencies.
But do you know what else is crucial when starting your crypto journey? Choosing the right exchange. This can make or break your experience as an investor, which is why it’s essential to make the best decision. Many platforms are available, including Binance, which provides real-time data on the current BTC and ethereum price, multiple digital assets, increased security, and low fees. Exchanges offer different prices, and coins, so make sure to do your research before committing to one. It’s best to avoid unnecessarily high fees, as they can hurt your financial health in the long run. Without further ado, here are some things to keep in mind when looking for an exchange.
Security
When investing in crypto, the worst thing that could happen is having your money stolen. Fortunately, you can avoid this by choosing a trustworthy exchange that puts security at the forefront. So, look for a platform with features like 2FA, cold, offline storage, a KYC policy, and multi-layered security with regular updates. Password recovery options are also vital, as well as any other measures that are designed to keep your account safe. Any additional features are worthless if the exchange doesn’t prioritize security. This is because cyberattacks are widespread in the crypto sector, making investors’ funds susceptible to hacking attempts. So, consider looking into the exchange’s reputation to determine whether they are reliable in terms of security. Their track record will prove if you can trust them, so make sure to avoid those exchanges which have been previously hacked.
User experience
Buying and selling crypto was once a complicated process, but things have changed, and using an exchange makes trading very straightforward! While experienced traders look for advanced features, most people want the process to be as stress-free as possible. So, if you don’t want to get lost in the maze of crypto, choose an exchange that offers:
- an easy-to-read display of your assets and the market;
- a design that focuses on simplicity rather than providing way too many features and making trading look too difficult;
- educational content which you can easily understand, thus helping you make the best trades;
- useful trading features like dollar-cost averaging;
- a mobile app for a more enjoyable trading experience.
Number of coins offered
As you’ve probably noticed already, crypto isn’t only about Bitcoin anymore. Other coins, such as Cardano, Ethereum, and Litecoin, are quite popular among retail investors. So, if you’re looking to make a profit from your crypto investments, our advice is to look for an exchange that provides multiple coins. Many innovative altcoins have been developed and have valuable applications in everyday life. And it’s a good idea to buy into new projects to maximize your gains. This is a lucrative strategy, especially considering the volatility of cryptos. Putting all your eggs into one basket is not advisable, but rather to diversify your portfolio by investing in a good selection of valuable altcoins.
Customer support
Many disregard the importance of customer support. But your experience can quickly become a nightmare if you need this service but can’t benefit from it. Crypto is a new ball game for almost everyone, and there is a huge chance that you will get confused at some point. When that happens, you will want to seek help from someone at the exchange. That said, make sure the platform prioritizes this aspect by offering responsive and personalized customer support. Ideally, team members from the exchange should be active in crypto forums and Facebook groups. If you have any doubts, you can always look for testimonials to ensure the exchange is reliable. Remember that any crypto platform with good customer support will always be more than glad to answer all your questions and get back to you as quickly as possible. So, before signing up, test them out – this will give you peace of mind and make the crypto journey much easier!
Fees
Your goal for investing in crypto is to make a profit, so it’s only natural to look for a platform that requires low fees. The fees vary from one exchange to another, and unfortunately, not all platforms are transparent regarding their fee structure. So, it’s imperative to pay extra attention to this and dig for hidden fees if necessary. Here are some things to remember about charges:
- Exchanges often claim that they don’t charge fees when they do, so you should be careful;
- Look for an exchange that has instant orders and offers quotes, as this proves they are transparent regarding the price that appears on the exchange;
- Trading fees vary depending on the exchange, and their impact is significant in the long run, so you should take the time to compare prices and choose a platform which won’t burn a hole in your pocket.
The exchange’s location
It is always a good idea to pick an exchange based on location, as this has many advantages. By choosing a local exchange, you can stay up to date with regulatory and legal changes and buy crypto using your country’s currency. At the same time, this also ensures you have access to reliable customer support. However, some traders prefer international exchanges, as they provide more features and coins than a local exchange.
Last words
The crypto exchange you use will impact your journey more than you think, so choose wisely by considering all the aspects mentioned above.
