Are you looking for secure, fast, and easy crypto exchange platforms to buy, sell, trade, or stake your cryptos?
This ultimate guide to the best crypto exchanges and trading platforms, ranked in 2022 will provide all the answers you need.
Sure, they’re some of the most popular cryptocurrency exchanges but I’ll help you discover some gems here. I want to help you pick the best crypto platform that’s perfect for you.
This in-depth guide will show you:
- What the best crypto exchanges and trading platforms are
- What a cryptocurrency exchange really is
- How crypto exchanges work
- And lots more…
So if you’re just getting started with buying and selling crypto assets or want to switch to a more secure crypto platform that pays 12 – 20% interest, I wrote this guide with you in mind.
Let’s go ‘all in’ and show you the best cryptocurrency exchanges with the potential to grow your money.
What Are The Best Crypto Exchanges And Trading Platforms?
Here are my top picks for the best cryptocurrency exchanges and trading platforms for 2022:
- Interactive Brokers
Alright, let’s dive right in. Let’s break down each of the 23 best crypto exchanges and trading platforms of 2022:
The best crypto exchange platform for low fees
While the Binance crypto platform has a variety of ways to purchase its tokens, its Basic trading platform provides the simplest and most basic experience.
It supports more than 500 coins including Bitcoin, Ethereum, Litecoin, and its native BNB tokens.
With just a few clicks, you can trade a wide range of cryptocurrencies within minutes.
Other features include One Cancel, which enables you to set up a limit or stop-limit order, and a market watch function.
- Buy and sell cryptocurrencies
- Low fees
- Comprehensive charting options
- Buy and trade 500s of cryptocurrencies
- A seamless P2P crypto trading platform
- It supports Bank Credit Cards, Visa, and other Cryptos
- An easy to use crypto platform
- Zero trading fees on Binance P2P
- 150+ payment methods and FIAT currencies supported
- Binance is available globally
- Access to escrow service for large transactions
- The KYC process is a pain in the neck
- Not available in all U.S. states
Binance Fee Structure
$0 ( a FIAT fee is paid by users to cover the cost of moving crypto assets out
Bank Card deposits
1.80% (applies to Pound Sterling (£) deposits only)
Binance is the world's leading cryptocurrency exchange. Their vision is to increase the freedom of money globally. They believe that by spreading this freedom, they can significantly improve lives around the world
The best option for buying/selling crypto at true cost
Crypto.com is an online exchange where you can buy, sell, and spend cryptocurrencies.
It offers a digital wallet and cryptocurrency-backed debit card. The company has an app that lets you track and manage your cryptocurrency accounts. You can use the app to deposit and withdraw cryptocurrency.
This app supports seven fiat currencies and 53 cryptocurrencies. You can also track the prices and buy/sell crypto on the site.
- An inclusive platform to buy and sell crypo assets
- Margin trading
- Trade Derivatives with ease
- Crypto merchant payment services
- An seamless digital wallet
- Low fees (0.036% – 0.144%)
- Cash back cards
- Get Gift cards and phone top ups
- Easily convert your money
- Buy and sell a wide range of cryptocurrencies
- Lack of learning resources for beginners new to crypto investing
- Some coins aren’t supported by other exchanges
- The user interface can be easier for beginners
Credit Card Purchases
0.04% to 0.4%
0.1% to 0.4%
FIAT withdrawal fees
Credit Cards fees
It may apply
The best crypto exchange platform for beginners
Coinbase is a reputable platform that allows users to buy and sell cryptocurrencies. You can withdraw funds from your Coinbase wallet to a bank account.
You can also buy Bitcoin from other exchanges and sell them through the platform.
To use the platform, users must sign up for a free account with a valid email address and password.
To use Coinbase, users need to confirm their age and address. They can also verify their phone number by entering a code sent to them via SMS.
- Track your crypto investment on the go with Coinbase app
- A wide range of cryptocurrencies to invest in
- An easy trading interface
- A detailed reporting of trades
- Next-level security for your crypto funds
- Earn up to $16 free crypto to get started
- It offers an easy process to deposit USD
- Easy to use crypto trading platform
- It’s easy to schedule daily, weekly, or monthly crypto buys
- A rich learning center with articles, guides, and videos
- The fee structure is a bit complex to understand
- High fees compared to other crypto exchanges
- Just a handful of altcoins. More will be great
$0.99 – $2.99
Coinbase Pro fee
0.50% (lower fees)
US Bank Account payment
1.49% (conversion fee)
Debit card purchases
Instant Card Withdrawal
Up to 1.5%
Coinbase is a crypto exchange platform where you can buy and sell Bitcoin, Ethereum, Litecoin, and many other cryptocurrencies, through your bank account, credit cards, or PayPal account.
The perfect crypto exchange platform for social investing
eToro is a cryptocurrency exchange and social investing platform that lets users buy and sell digital assets like Bitcoins and Ethereum.
You can also invest in CFDs (contracts for difference), which are derivative investments that do not require you to own the underlying asset.
The minimum deposit via debit card is $10 with a maximum of $40,000 per transaction. You can also withdraw as little as $30 per day, with a $5 standard fee for all withdrawal request.
- Social trading: Copy top investors to mimimize risks
- Crypto staking features
- Build your crypto investment portfolio
- eToro’s earning report calendar
- Demo accounts to get you started at no cost
- Start trading cryptos with as little as $10
- It’s easy to buy Bitcoin, Ethereum and other crypto assets
- A clean and simple account opening process
- An easy to use social trading platform
- Gain knowledge through the educational center
- It only allows one account base currency
- Non-trading fees are quite high
- Only U.S. eToro customers are allowed to trade cryptos
Fees on Spreads
Best crypto exchange platform for altcoins at low fees
KuCoin is a Cryptocurrency exchange platform that provides access to a wide range of altcoins trading at low fees.
If you’re looking for a convenient way to buy and sell cryptocurrencies, KuCoin is a great choice.
You can deposit funds using credit cards, debit cards, or bank transfers.
- Buy USDT with credit cards, SEPA
- P2B crypto options
- 500+ coins to trade and profit from
- Trading Bot: An easier way to earn profit
- Spot Trading: Easily trade cryptos with hands-on tools
- Margin Trading: magnify your profits with leverage
- Lend out your cryptos to earn interest
- Low fees (0.0125% – 0.1%)
- A user-friendly trading dashboard
- Easily minimize risk with Trading Bot
- Earn interests through crypto lending
- Limited payment gateways for making deposits
- Not ideal for new crypto traders
- It’s not licensed in the U.S.
1 ADA for Cardano
Maximum Payout amount
0.0125% – 0.1%
An easy-to-use crypto exchange and trading platform for beginners
Kraken is one of the largest crypto exchanges in the world with users in over 190 countries.
The platform is great for intermediate and advanced users alike and is a popular choice among cryptocurrency beginners.
The platform offers advanced features like margin trading, futures trading, etc.
- Advanced crypto trading features
- 50+ popular cryptocurrencies
- A comprehensive security tools to secure your funds
- Use Margin to trade: get 5X leverage
- Crypto pricing benchmark with indices
- Non-instant purchase fees are low
- Advanced trading platform for experts
- A huge array of cryptocurrencies to invest in
- Maximize crypto futures, with up to 50% leverage
- Withdrawals fees are quite high (0.50% + 0.9% to 1.5%) for ACH transfers
- Lack or insufficient educational resources for new users
$10 (it can be higher. It depends on the crypto asset)
0% – 0.26%
0.50% + 0.9% to 1.5%
Based on volume
$4 – $35 (depending on the volume)
Kraken is one of the largest and oldest crypto exchanges in the world. It offers a wide selection of cryptocurrencies available to buy, sell and trade. It touts its excellent service, low fees, versatile funding options, and rigorous security standards.
The best crypto exchange site for low fees for US citizens/residents
Binance.US provides an interactive way to buy, sell, and trade cryptocurrency in the US. Registered users can trade 60+ cryptocurrencies and pay some of the lowest trading fees in the industry.
If you live in the US, the best way to access the trading platform is to use the US version of Binance.
While Binance.com is available worldwide, the US version is smaller and owned/operated by a different company — BAM Trading Services.
- 50+ currencies supported
- Low Flat fee of 0.1% fee for spot trades
- Start trading crypto with a $10 minimum
- Recurring crypto investment options available
- Binance.US uses the Binance.com technology (deposits & withdrawals are fast)
- Low fees (0.1% transaction fees).
- Enjoy low fees when you pay in BNB
- A high liquidity option for users
- It requires a bit of a learning curve
- Security features are not accessible
- Not available in all U.S. states (e.g., Hawaii, Idaho, Texas)
0% – 0.01%
Instant Buy fees
The best platform to lend and borrow crypto assets easily
Vauld is a Singapore-based crypto exchange and trading platform. It offers a number of options to customers looking to buy, sell, and borrow cryptocurrencies.
In addition to trading, Vauld allows customers to lend or borrow crypto assets and make instant payments on these assets.
It offers fixed deposits on more than 30 major cryptocurrencies.
- Earn, Borrow, and Trade Cryptocurrencies
- Multiple trading platforms (iOS, Android, Desktop)
- Earn higher interests rates on fixed deposits
- Compounded interests are paid out weekly
- Borrow cryptos and get approved instantly
- No hidden fees
- The mobile app is easy to use
- No hassles. Payback your loans anytime, by installments,
- Gain access to a crypto community to discuss upcoming tokens
- It’s a relatively new crypto exchange and trading platform (not enough reputation yet).
- Sometimes, you may experience network outage while making a deposit/withdrawal.
Vauld Deposit and Withdrawal Fees
Vauld Interest Rates
Savings Rate (APY)
Fixed Deposit Rate (APY)
Vauld is a Singapore-based crypto exchange and lending platform. It offers a number of options to customers looking to buy, sell, and borrow cryptocurrencies. You can also use Vauld to lend or borrow crypto assets and make instant payments on these assets.
A trusted crypto lending platform that pays up to 20% annual interest
The Nexo crypto exchange is the latest addition to the growing crypto exchange market. Users can trade cryptocurrencies on the platform and earn interest, too.
Nexo also offers a regulated and secure storage facility. In addition to offering a variety of different currencies for an exchange, Nexo also offers a card and a cryptocurrency credit line.
There are no hidden fees, but there are transaction limits and a maximum monthly limit of $10k.
- Earn up to 20% of interests on high-yield savings account
- Borrow cryptos and get approved quickly
- 30+ cryptocurrencies to lend/borrow
- Earn daily interest on Cryptos, EURx, USDx, and GBPx.
- Deposit or withdraw funds anytime
- Easily withdraw funds to bank account
- You can borrow cash with low-interest rates (starting at 0%).
- There are no credit checks before your cash loan is approved
- Get free virtual cards, accepted by 40+ million merchants globally
- Insurance on your custodial assets. This means your fund is safe
- Beginners to Nexo may find it difficult to navigate the mobile app or desktop app
- The app is a bit slow. Speed can be improved.
NEXO Fee Structure
Up to 1% NEXO Tokens in Portfolio
1 Free Crypto Withdrawal each month
1-5% NEXO Tokens in Portfolio
2 Free Crypto Withdrawals per month
5% – 10% NEXO Tokens in Portfolio
3 Free Crypto Withdrawals per month
At least 10% NEXO Tokens in Portfolio
5 Free Crypto Withdrawals each month
Nexo is the world's largest crypto lending platform. You can earn up to 20% interest on your crypto, borrow against it from just 0% APR or swap instantly between 200+ market pairs.
A leading crypto platform to buy and sell crypto in the Middle East
BitOasis is a cryptocurrency exchange based in the United Arab Emirates. It was Founded in 2015 in UAE.
The platform focuses on the emerging markets of MENA and is the largest bitcoin exchange in the UAE.
It offers a multi-signature wallet for storing digital assets. It also provides an exchange service that allows users to sell and buy tokens through a local bank.
- Trade 40+ cryptocurrencies and FIAT pairs
- Advanced trading charts and order types
- Withdraw your AED to your personal bank account
- Invite & Earn rewards
- It’s great for trading in AED
- An easy-to-use mobile wallet for iOS users
- Buy and sell 40+ cryptocurrencies in UAE
- Safe and secure. Trade from anywhere
- High trading fees (up to 0.50%)
- Limited cryptocurrencies supported
>= 0 AED
>= 1,000,000 AED
>= 2,000,000 AED
>= 3,500,000 AED
BitOasis is a cryptocurrency exchange based in the United Arab Emirates. The platform focuses on the emerging markets of MENA and is the largest bitcoin exchange in the UAE.
A simple crypto exchange platform to build your crypto portfolio
Gemini is a cryptocurrency exchange that allows people to buy and sell Bitcoin, Ethereum and more.
It’s available in over 60 countries and has a user-friendly platform. One of the best features of Gemini is its simple interface.
You can use Gemini Earn to earn interest on your digital assets. In addition, you can use this exchange to short sell, which involves investing in the potential for a decline in the value of an asset. This process can be risky, so you should be aware of the risks.
- A digital wallet for users
- 50+ Crypto-to-Crypto trading pairs
- A mobile app for both iOS and Android users
- Peer-to-Peer trading with no min. order size
- Earn up to 7.4% APY with Gemini Earn
- A simple interface to buy and sell 50+ cryptocurrencies on the go
- Site insurance: Your crypto assets are protected against exchange hacks
- It’s available in all U.S. states
- High transaction fee (0.5% – 3.9%), compared to Binance
- Some popular cryptocurrencies aren’t supported (e.g., BNB and CRO)
$0.99-$2.99 fee for web and mobile transactions between $10 and $200 (1.49% fee for transactions over $200)
Debit card transfers
Best cryptocurrency exchange and wallet for business owners
BlockFi facilitates crypto exchanges; offers interest-bearing accounts, and low-interest-rate loans globally.
The company is fully compliant with regulations and offers a low-entry threshold to users.
It allows one free withdrawal per day, allows deposit and withdrawal of fiat currency, and is backed by institutional investors.
- Low-cost crypto trading
- Borrow funds against your crypto assets
- Top-Tier compliance program to safeguard your funds
- Easy to use Digital wallets
- Personalized credit cards for traders
- Zero commission fee
- Available worldwide, except watch-listed countries
- It offers Instant Trades
- It’s U.S-based and regulated
- Savings are not protected. Bank failure can result in loss of money
- It doesn’t offer custodial or joint accounts
- APY and loan rate volatility
Up to 1% spread per trade
Interest Rates on Deposits
Up to 9.25%
By using BlockFi you can not just buy crypto, but you can start earning on it too. Open an interest account with up to 7.5% APY, trade cryptocurrencies, or borrow money without selling your assets.
The best cryptocurrency derivatives platform for traders
FTX crypto exchange offers a range of deposit and withdrawal methods, allowing users to trade a variety of cryptocurrencies and leveraged tokens.
While the company is still relatively new, FTX is a strong competitor of Coinbase and Ethereum.
The company has added a range of derivatives products such as leveraged tokens (ERC20 assets), which reflect the real-world price of an underlying digital coin.
- Exchange cryptocurrency derivatives
- 250+ Perpetual futures and markets
- A wide range of FIAT (USD, EUR, GBP, AUD, etc).
- Get paid on time with FTX Pay
- Trade on the go with FTX mobile trading app (for FTX Pro)
- A low interest rates (0% – 0.4%) on FTX US
- Easy access to advanced trading options
- No withdrawal fees
- You can easily connect your own digital wallet
- Earn rewards by staking cryptos
- Most cryptocurrencies aren’t supported, compared to Coinbase
- Customer support isn’t responsive
- The website is hard to use (a lot of clutter
30-Day Trading Volume
A crypto trading platform with a clean user interface
Voyager is a secure app for trading cryptocurrency assets. It supports 80+ cryptocurrencies.
The Voyager app for iPhone supports Touch ID and Face ID authentication.
Besides offering low transaction fees, the exchange also offers interest rates on some coins.
For example, Shiba Inu and Dogecoin both offer a high rate of interest, something that other exchanges do not offer.
- Trade cryptocurrencies with as little as $10
- Get access to 80+ cryptocurrencies and stable coins
- Zero fees on trades
- Earn up to 9% APY
- Trade crypto everywhere with the mobile app
- IT has a clean user interface
- Trade cryptos at no cost with 0% fees
- Enjoy up to 9% APY
- Trade with confidence with FDIC Insurance of up to $250,000
- It doesn’t support coin-to-coin trades
- Verifying your identity is stressful
0% (if Voyager helps you execute your order at the perfect time, it makes money)
FDIC Insured on USD
A better cryptocurrency trading platform for Bitcoin and Ethereum
Bittrex is a trusted crypto exchange that makes it easier for registered users to trade Bitcoin and Ethereum in U.S. dollars.
offers more than 190 cryptocurrencies, allowing users to trade a wide range of digital assets. The platform has a clean user interface and supports hundreds of different trading pairs.
- Zero fees for USD and ACH deposits
- Buy and sell cryptocurrencies instantly
- Invite your friends and earn cryptos
- Bittrex Global mobile app lets you secure, trade, and track your crypto assets
- Submit your token for listing
- The verification process is smoother than Binance and Coinbase
- Your crypto assets are safe. It uses 2-factor authentication (2FA)
- You can withdraw up to 3,000/day
- The fee structure is straightforward
- It’s fully regulated in the U.S.
- No margin trading
- Liquidity is low with some coins
0 – 0.35 for Maker/Taker fees
The best cryptocurrency market for trading digital assets
Bitfinex offers next-level cryptocurrency security, exchange, and trading. It allows you to trade cryptocurrencies and tokens with Fiat.
The software offers a proprietary trading terminal with leverage of 1:10 and scalable orders.
If you’re new to trading, you can try out the exchange by signing up for a free demo account and using it to test your skills. You can also deposit and withdraw funds via bank cards.
- Easily exchange Bitcoin, Ethereum, EOS, etc
- Top-tier liquidity options
- Algorithmic orders types for traders
- Customizable interface to organize your trading workspace
- Advanced security features for user funds and information
- It’s easy to deposit and withdraw crypto funds through bank wire
- Easily exchange 100+ cryptocurrency coins anywhere you are
- Maximize your profit with 300+ trading pairs
- A better crypto trading platform for professionals
- It’s not a regulated crypto exchange
- Debit/Credit card deposits not allowed
Bitfinex Fee Schedule Chart:
Crypto to Crypto
Crypto to Stablecoin
Crypto to FIAT
Taker discount LEO holders
Net Taker Fees
Taker discount LEO holders
Net Taker Fees
Taker discount LEO holders
Net Taker Fees
0bps / 0bps
Maker / Taker discount LEO holders
0.0200% / 0.0650%
Net Maker / Taker Fees
Bitfinex's mission is to give users the ultimate cryptocurrency trading experience. It aims to do this with state-of-the-art trading tools, innovative technology, and unparalleled levels of customer service.
The best all-in-one platform to invest in stocks, crypto, and metals
Bitpanda is an all-in-one investing platform that makes it easy to invest in stocks, crypto assets, and metals. You can open a free account in minutes, and start investing with a minimum of €1.
You can also purchase cryptos using a credit card. Although not a popular option, a handful of high-quality exchanges support this payment method.
You can still only withdraw EUR2500 with your credit card, but the first transaction is capped at EUR2500.
- Invest in stocks, crypto, and metals
- Bitpanda Crypto Index: catch the newest asset
- Get a Savings Plan for Bitcoin
- Swap: Instantly exchange digital assets
- Pay or send money via Bigpanda Pay
- Buy, trade, and exchange crypto assets
- Supports 5 FIAT currencies (such as USD, GBP, AUD)
- Flexible payments and withdrawal methods
- Get Bitpanda cards accepted by online 1000s of merchants
- No insurance security for your crypto funds
- Crypto staking not allowed
Bitpanda Pro Fee structure:
≥ 0.0.0 BTC
≥ 100.0 BTC
≥ 250.0 BTC
≥ 1000.0 BTC
≥ 5000.0 BTC
Bitpanda crypto exchange enables the purchase of cryptocurrencies from both desktop and mobile, and its excellent security features and fast support make it perfect for beginner crypto traders.
The best crypto exchange platform with bank-grade security and insurance
Bitstamp is the most popular crypto exchange in Europe. Its popularity has increased rapidly in recent years, and it now boasts more than one million users.
The fees on Bitstamp are very reasonable, and it allows users to buy and sell cryptocurrencies with fiat currency.
The company doesn’t offer a native wallet, so users must use a web wallet to store their funds.
- Highly encrypted personal data
- Whitelisting and transaction confirmations
- Intuitive crypto trading interface
- Instant deposit options
- It’s easy to use
- A reliable 24/7 customer support
- Stake your cryptos and earn interests
- Your crypto assets are protected by bank-grade security and insurance
- You can’t withdraw FIAT funds to eWallets
- verification of account is hard
Here’s the basic fee structure of Bitstamp:
30-Day Volume (USD)
Note: You may see a 5% fee for any credit card or debit card purchases.
Bitstamp is one of the world's longest standing crypto exchange, starting in 2011. You can buy and sell leading cryptocurrencies such as Bitcoin, Ethereum, and more.
The easiest platform to buy and sell cryptocurrency assets
Coinmama is a cryptocurrency exchange and trading platform with a great reputation.
Coinmama supports a wide range of cryptocurrencies, including Bitcoin, Litecoin, Ethereum, and XRP.
A major advantage of Coinmama is its regulatory status. It’s a registered member of the U.S. Department of Treasury and is a non-custodial brokerage. This means that your private keys are secure, and you retain control of them.
- Buy cryptos with debit/credit cards, Apple Pay, or Bank transfer
- Instant coin delivery, no delays
- Fast-track verification of accounts
- High spending limits
- Exchanging cryptocurrencies is quick and easy
- A helpful support team
- Zero fees for crypto deposits and withdrawals
- It offers a range of payment methods
- Higher fees compared to other crypto exchanges
- No mobile app or crypto wallet
Buy/Sell: Coinmama charges commission on top of the rate for both buy and sell transactions, depending on your loyalty level:
One of the cryptocurrency exchanges in Europe
EXMO is a Bitcoin trading and cryptocurrency exchange that aims to provide a safe and convenient platform to its users.
The platform offers various payment methods and multiple interface languages. Its features include IEO services, OTC trading, merchant services, and cashback.
This exchange allows you to invest in 180+ cryptocurrencies.
- Full-featured interface for crypto trading
- Buy and sell cryptos with ease
- A large pool of 180+ currency pairs
- A simple trading interface
- Stay up to date with EXMO app
- No withdrawal fees
- Use leverage to multiple your profits
- Save up to 100% on trading fees with Cashback
- High deposit fees
- Trading fees is high compared to other crypto exchanges
EXMO Fees and Chargebacks
The best peer-to-peer open-source Bitcoin exchange software
Bisq is a decentralized Bitcoin exchange network and P2P software. This means that there are no central servers or central people running the exchange.
Instead, Bisq consists of a system of two-of-three multi-signature addresses, which are used for transferring funds and holding them.
- A free website builder
- Signature templates to choose from
- Branded content with GoDaddy Studio
- Site security via an SSL certificate
- Email and social media marketing
- Start trading cryptos in minutes. No KYC required
- Instant approval for withdrawals
- It works on a P2P network
- You can save 50% if you pay fees in Bitcoin or Bisq native coin (BSQ)
- Trading fees are high compared to Crypto.com
- The trading platform is too basic
This table shows the trading fees per 1 BTC
The best commission-free crypto trading platform for beginners
Robinhood is a popular cryptocurrency exchange app with zero commission. You can also invest in stocks with a minimum of $1.
With the Robinhood app, you can buy and sell Bitcoin, Ethereum, Dogecoin, and other cryptocurrencies 24/7.
The new digital wallet from Robinhood is a game-changer.
The platform is already known for its ease of use, but now users will have the option of selling their crypto holdings instead of just purchasing them
- An intuitive investment app with a clean user interface
- Invest in cryptocurrencies with ease
- A 2-step verification process secures your funds
- Manage your digital asset portfolio
- Crime insurance against theft and security breaches
- Robinhood app is easy to use
- Get free stock when you sign up
- Start investing in crypto with as little as $1
- Easily invest and pay zero commissions
- Trade digital assets in real time
- Robinhood doesn’t allow you to send your Bitcoin to another cryptocurrency wallet
- Most cryptocurrencies are not available
Start with $1
Withdraw directly to your bank account
A better crypto platform to trade crypto for less coin
The Interactive Brokers crypto exchange is a new trading option.
The company has partnered with Paxos Trust Company to offer a crypto trading platform.
The cryptocurrency offering will allow investors to view their account balances through a single platform.
- Gain access to crypto markets through intuitive mobile and web platforms.
- A secure crypto trade execution by Paxos Trust Company.
- Trade stocks, bonds, funds, in one place.
- Quick access to cryptocurrency futures
- Low commissions – 0.12% to 0.18% of trade value.
- No custody fees or markup fees
- Trade more, pay less in commissions.
- Enjoy a waiver on spreads and custody fees.
- An easy-to-use IBKR’s platform futures & spot currencies.
- An intuitive mobile platform to trade on the go.
- Complex desktop trading platform
- Customer support can be improved
Interactive Brokers IBKR Lite
$0 Per Trade
What Are Crypto Exchanges and Trading Platforms?
A crypto exchange and trading platform is a marketplace where you can buy, sell, and trade cryptocurrencies such as Bitcoin, Ethereum, Dogecoin, Litecoin, and more.
How Do Crypto Exchanges Work?
A crypto exchange works like a brokerage.
You can use ordinary FIAT currency such as USD, GBP, AUD, CAD to buy Bitcoin, Ethereum, or any other cryptocurrency. Most crypto exchange lets you trade one crypto for another.
Each transaction executed on a crypto exchange platform is facilitated through the Blockchain technology.
You can also deposit money via bank transfer. A crypto trader will pay a currency conversion fee to be able to trade between cryptocurrencies.
The best crypto exchanges functions as an institutional bank that allows you to trade money from different countries.
Crypto Wallet vs Crypto Exchange
The main difference between a crypto wallet and a crypto exchange is that the exchange platform is used to trade one coin against another, while the crypto wallet is primarily useful for storing your digital assets securely.
This table shows the difference between Crypto Wallet vs Crypto Exchange:
Secure your cryptos (e.g., BTC, ETH)
Buy, Sell, and Stake Cryptos
Access tokens whenever you want
Easily convert FIAT currency (such as USD) into cryptocurrency (like BTC)
Store your cryptos for long-term
Send crypto to a wallet
Different Types Of Crypto Exchanges
What options do you have when it comes to buying, sell, and trading cryptocurrencies
Let’s go through each type of crypto exchange and how they work:
Centralized Exchanges (CEX)
A centralized exchange is a regulated marketplace. It’s governed by a specific company. It provides wallet services and facilitates the trading of cryptocurrencies.
These centralized exchanges must comply with strict government standards and regulations. They must also adhere to strict regulations, which top investors may not appreciate.
See how it differs from a decentralized exchange:
The centralized exchanges have higher security measures and protect the user’s assets.
The centralized crypto exchanges provide an easy-to-use platform. They enable customers to purchase cryptocurrencies with fiat currency. Examples are Binance, Crypto.com, Coinbase, Binance.US, Kraken, etc.
Decentralized Exchanges (DEX)
Decentralized exchanges allow you to trade tokens with other users, with no intermediary. An example is UniSwap.
A decentralized exchange operates on a network of nodes, which allows it to function at a low cost. This illustration explains it better:
This allows it to charge lower transaction fees than a centralized exchange.
Another major benefit of a decentralized exchange is that there are no central server.
Instead, the network is maintained by its users, meaning that there’s no risk of downtime. The network is more secure because no one is able to hack the network.
A hybrid cryptocurrency exchange is a unique type of cryptocurrency exchange. According to Analytics Insights, it was created to solve the problems of CEX and DEX.
The name suggests that the platform combines the best features of decentralized and centralized exchanges.
A hybrid exchange provides users with access to their private keys, offers the security, privacy, and convenience of a centralized platform with the anonymity of a decentralized exchange.
Traders worldwide benefit from the ability to choose a hybrid exchange.
It offers the security and usability of a centralized platform, and the anonymity of a decentralized one.
The biggest advantage of a hybrid exchange is that users are in complete control of their funds. They can deposit their tokens directly into their wallets or use a robust smart contract to make deals.
How Crypto Exchange Fees Work
Some crypto exchanges have complex exchange fees that leave the user confused. What exactly are you charged for?
There are basically two main fees to pay attention to:
- Exchange fees
- Network fees
These fees keep the crypto exchanges afloat. THat’s exactly how they make money to run the platform. There service fees covers:
- Trading fees: We often refer to these as “maker/taker” fees. This trading fee shows whether a crypto order provides liquidity or not. This is also applicable when converting FIAT currencies.
- Deposit fees: When a user deposits money via debit card, credit card, or PayPal instead of through a direct bank transfer, a percentage is deducted from the total deposits charged.
- Withdrawal fees: When users withdraw FIAT currencies or a crypto asset, they’re charged a fee.
- Account fees: This can be charged monthly or quarterly.
These fees are paid to cryptocurrency miners, who handle the processing and security of crypto transactions on the blockchain.
A lot of centralized crypto exchanges like Binance incur this cost, instead of putting the burden on its users. If you’re using a decentralized exchange (DEX), you’ll have to pay network fees yourself.
What To Look For When Choosing The Best Cryptocurrency Exchange
Before you choose a particular cryptocurrency exchange, how can you be sure it’s legitimate and secure?
First, you have to be careful about the next ‘shiny’ crypto exchange out there. Look out for fake websites and unsecure mobile apps.
Become a copyeditor, check for misspellings in the domain, branding, or copy. Make sure there’s a small lock near the URL bar. This is an indication of a secure site.
In general, investing in any cryptocurrency should be done with utmost care.
I always advice my friends and people in my audience to ONLY invest money they’re willing to lose. Keep your investments below 5% of your total investment portfolio.
Because cryptocurrencies are quite volatile. They can be influenced by economic changes, political issues, and you can’t accurately predict its future. .
How to Open a Cryptocurrency Exchange Account Today
The process of opening an account with a cryptocurrency exchange is mostly straightforward.
Although some will require new users to go through an extensive “Know Your Client” (KYC) process to comply with government regulations and prevent fraud.
Other crypto exchanges will let this verification slide — so that you can start buying and selling cryptos — until you’re ready to withdraw your funds.
Be ready to supply these information when opening a cryptocurrency exchange account:
- Your full name and date of birth
- Your phone number and email address
- Your physical address
- Your Social Security number (for US-exclusive crypto exchanges)
- A government-issued ID (e.g., passport, driver’s license) and a clear and non-reflective picture of you holding it.
After the sign up process, you’ll get an email or SMS that your account has been successfully verified.
Next, you’ll be required to add a payment method to deposit funds so that you can buy and sell cryptocurrencies.
Best Crypto Exchanges and Trading Platforms – FAQs
Here are some frequently asked questions about the best cryptocurrency exchanges and trading platforms.
Best Crypto Exchanges – Summary
Did you benefit from going through this ultimate comparison review of the best crypto exchanges and trading platforms?
Cryptocurrency has changed how we exchange money and invest in today’s world.
So it’s important to choose the right cryptocurrency exchange with lower fees and easy to use features.
Here are my final crypto exchange recommendations:
- Binance – The best overall crypto exchange (as well as low fees).
- Crypto.com The best crypto platform for buying/selling crypto at true cost.
- Coinbase – The best cryptocurrency exchange for beginners.
- Binance.US – The best crypto exchange platform for US citizens.
Now I’d like to hear from you:
What cryptocurrency exchange and trading platform will you use?
Or maybe I missed out on a great crypto exchange platform you’re already using in this guide?
Either way, let me know by leaving quick comment below right now.
Further reading on navidm.com: To dive deeper into the world of cryptocurrency, you can check out my in-depth guides to the best crypto lending platforms, the best crypto interest accounts, best crypto portfolio trackers as well as the best crypto tax software.