Cryptocurrencies are pretty new and decently complicated so the learning curve with them can be quite steep. There are various ins and outs that you need to learn and understand if you don’t want to make basic mistakes and end up losing a lot of money for no reason. One of the biggest issues that newer crypto traders run into is choosing a good exchange for themselves.
If you are new we recommend starting to follow crypto news now and not stopping for as long as you’re traexchange offers them otherwise it would be pointless to consider using them. If you aren’t sure which cryptos you want to trade then it’s a decent idea to consider an exchange that offers as many as possible while still having the most popular ones ding as you can find lots of helpful resources including this text. So let’s dive into it.
Security Trumps All
One of the most important, if not the most important, characteristics of a good exchange is good security. We recommend doing your research into each exchange that you consider and making sure that they have high-quality security. Considering you are trusting them that their security is competent enough for you to trade is paramount to finding a good exchange to use. It’s really not worth sacrificing your online safety for other less important traits.
Which Cryptos Are Offered
Depending on the exchange they may have different cryptocurrencies available for trading. If you’re looking for specific cryptocurrencies then you’ll have to make sure your available.
While you can choose an exchange that has very few cryptos and contains the one you want we wouldn’t really recommend it. Generally, you will want to diversify your portfolio as much as possible so having as many different options for purchase, sale, and trading is a good bet. Even if you aren’t interested in them now you might be down the line and this way you may not need to look for new exchanges.
Make Sure You Can Use It
Certain exchanges have limitations for countries that can use them. This means that you’ll have to check with any exchanges you are considering if they allow people from your country to buy and sell there. If for whatever reason they don’t then you’ll sadly have to write them off and find a new one as it’s quite difficult to get around such limitations so it’s just a better idea to cut your losses and find a different one that does support your country.
Fees Vary Greatly
As you may expect exchanges need to somehow make money and that’s mostly through relatively small fees for every single purchase and trade that occurs on their site. Not every exchange has equal fees though and generally, you’ll want the fees to be as low as possible and the site quality to be high. Oftentimes better quality sites have higher fees though so you’ll have to find a nice balance in that case.
You don’t want to lose too much in terms of potential profits to fees so you’ll want to keep them low while still retaining site quality as much as humanly possible. This can sometimes be a trial and error process but if you do your research and due diligence then we’re certain that you’ll be able to find one that has the perfect balance of the two.
Simplicity Is Key
If you’re new to crypto trading then you’ll want things to be easy to navigate and relatively simple to use. That’s why one of the most important traits you should be looking for in exchange is the ease of use. You’ll want it to be intuitive so that you don’t accidentally do something that could negatively impact your funds such as purchasing something you didn’t mean to or other things that can certainly happen by accident if the site isn’t tailored towards newer traders.
Finding the right exchange for yourself can be quite the challenge but it’s well worth it to have one that you trust completely instead of having to hop between them constantly. We highly recommend going through the effort so that you can save yourself a lot of energy and hassle down the line.
Disclaimer: The above references an opinion of the author and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice. Invest responsibly and never invest more than you can afford to lose.
If you are interested in even more business-related articles and information from us here at Bit Rebels, then we have a lot to choose from.