When buying crypto, there is one thing that comes to our mind first – a trustworthy crypto exchange. You want a secure crypto exchange with wide selection of coins, attractive fee structure and responsive customer support on top of it. Today we present you best crypto exchanges for beginners and seasoned traders.
Choosing a crypto exchange is a bit like dating – you might have to try a few before you find the perfect match. A crypto exchange is your door to the crypto world and you want to make sure you trust your precious crypto coins to a platform that is reliable, safe, has no hidden fees, has enough liquidity and provides a good customer support when you need it. Having all that in mind, we’ve compiled a list of best crypto exchanges for 2024. Let’s get right to it.
What Is a Crypto Exchange?
Imagine a bustling marketplace where traders are shouting out offers for spices, textiles, and exotic fruits. Now, replace those tangible goods with digital assets like Bitcoin, Ethereum, and a plethora of altcoins. That’s it; you’ve got yourself a crypto exchange—a digital platform where you can buy, sell, and trade cryptocurrencies. You start by buying crypto with fiat money (that’s a word for money – euros, dollars, pounds…), and then you can trade crypto-for-crypto and back crypto-to-fiat.
How Does It Work?
When you buy or sell cryptocurrency on an exchange, you’re essentially placing an order. Your order will be matched with the order of another trader who is willing to buy or sell at the same price. The price of a cryptocurrency on an exchange is determined by supply and demand. If more people are buying a cryptocurrency than selling it, the price will go up. If more people are selling a cryptocurrency than buying it, the price will go down. Generally, there are two types of orders:
- Market order: These are orders to buy or sell immediately at the current market price. They’re quick and easy but might not get you the best deal. Market orders are therefore ideal for fast-moving markets where you’re less concerned about the price and more focused on securing a position.
- Limit order: Here, you set the price at which you want to buy or sell. The trade only happens if the market reaches your set price. Limit orders are more suitable for strategic trades where you’re aiming for a specific price point and are willing to wait.
Trading pairs: You’ll often see combinations like ETH/BTC or ADA/USD. These are trading pairs, and they dictate what you’re trading and what you’re trading for. The first currency (ETH, ADA) is what you’re selling, and the second (BTC, USD) is what you’re buying it with.
Two Types of Crypto Exchanges
You’re about to get your answer if you’ve ever wondered what sets a Coinbase apart from a Uniswap. Mainly there are two types of crypto exchanges:
- Centralized exchanges (CEX): Binance, Kraken, and Coinbase platforms dominate the crypto trading landscape. Centralized exchanges act as intermediaries between buyers and sellers. They hold your funds, facilitate trades, and often provide a range of services like spot trading, futures, and even staking. These platforms usually offer a sleek, user-friendly interface complete with charts, indicators, and all the bells and whistles. With massive trading volumes, CEXs provide high liquidity, making it easy to execute large trades without significantly impacting the market price.
- Decentralized exchanges (DEX): On the other side of the ring, we have decentralized exchanges like Uniswap, Sushiswap, and PancakeSwap. DEXs facilitate direct trades between users. There’s no middleman here; it’s just you, your trading partner, and a smart contract to automate the deal. You maintain control of your funds and personal data, which are never stored on a centralized server. There is no need for lengthy KYC (Know Your Customer) processes; your business is your own.
How to Choose the Right Crypto Exchange?
First, let’s get one thing straight: not all crypto exchanges are created equal. Some are as secure as a Swiss bank, while others might as well have “Hack Me” written all over them. Some offer many coins, while others only serve the basics, such as Bitcoin and Ethereum. There are several factors you should pay attention to when choosing a crypto exchange:
1. Security
Let’s start with the most critical factor: security. You wouldn’t store your life savings in a bank with no locks, would you? The same principle applies to crypto exchanges. Look for platforms that offer two-factor authentication (2FA), cold storage options, and insurance against theft. Exchanges like Coinbase and Kraken have built a reputation for being secure, but always do your own research. Some exchanges go the extra mile by undergoing regular security audits. This is a good sign they’re committed to keeping your funds safe.
2. Liquidity
Liquidity refers to how easily you can buy or sell an asset without causing a significant impact on its price. In simple terms, you want an exchange where your trades can be executed quickly and efficiently. High liquidity often indicates a large user base, which can be a good sign of the exchange’s reliability and reputation.
3. Fees
The fees are the necessary evil. No one likes fees, but they’re a part of the game. Exchanges charge fees for trading, withdrawing, and sometimes even depositing funds. These can vary wildly, so understand the fee structure before diving in. Some exchanges offer lower fees for high-volume traders, so if you plan to trade like a Wall Street wolf, this could be a crucial factor.
4. User Experience
If you’re new to the crypto world, an intuitive user interface can make your life much easier. Exchanges like Binance and Coinbase are known for their user-friendly design, making them excellent for beginners. However, if you’re an advanced trader, you might prefer platforms that offer more detailed analytics and trading tools.
5. Selection of Cryptocurrencies
Are you a Bitcoin maximalist, or do you like to dabble in the exotic world of altcoins? Your choice of exchange should reflect your trading interests. While most exchanges offer the big players like BTC and ETH, not all of them will have a wide selection of altcoins.
6. Customer support
Last but not least, consider the quality of customer support. When things go awry, and believe me, they sometimes do in the volatile crypto world, you’ll want a responsive support team to sort things out.
Which are the Top Crypto Exchanges?
As of 2024, the crypto exchange landscape is dominated by several key players, each with its own strengths and specific offerings that cater to a diverse range of users, from beginners to seasoned traders. Among these, Binance and Coinbase are often highlighted for their robust user bases and extensive security measures.
1. Binance – The Largest Crypto Exchange in the World
- Offers 500+ cryptocurrencies
- Largest crypto exchange by trading volume
- Implements advanced security measures to protect user assets
- Suitable for both beginners and seasoned traders
- Some advanced features might be overwhelming for new users
Founded in 2017 by Changpeng Zhao (CZ), Binance has skyrocketed to become the world’s largest cryptocurrency exchange regarding trading volume in just a few short years. With users from over 180 countries, Binance is a truly global exchange. Its multi-language support ensures that you’re never lost in translation. At this point, it’s not just an exchange; it’s an innovation hub. From its Binance Smart Chain to the Binance Launchpad for new tokens, this platform is always ahead of the curve. The native Binance Coin (BNB) offers various use-cases within the Binance ecosystem, including discounted trading fees.
Security: Binance employs an array of security protocols that would make even Fort Knox jealous. We’re talking cold storage for the majority of funds, advanced encryption, and a robust internal risk control system. In the unlikely event of a security breach, Binance has a Secure Asset Fund for Users (SAFU) that acts as an insurance policy for your funds.
Coin selection: 500+
2. Coinbase – Best Crypto Exchange for Beginners
- Beginner-friendly crypto exchange
- Being one of the oldest in the crypto space, Coinbase has built a solid reputation
- Widely regarded as one of the safest exchanges
- 250+ cryptocurrencies
- Usually higher fees than other crypto exchanges
Launched in 2012 by Brian Armstrong and Fred Ehrsam, Coinbase has become the go-to platform for many, especially in the US. Its recent IPO has further solidified its position as a major player in the financial world. Coinbase’s sleek and intuitive interface makes it a favorite among crypto newbies. Whether you’re buying your first Bitcoin or diversifying your portfolio, Coinbase’s user experience is unparalleled. Coinbase is like the Apple Store of crypto. Everything is designed to be intuitive. You don’t need a manual to navigate through the platform. Whether you’re a crypto virgin or a blockchain boffin, Coinbase has something for everyone.
»Coinbase effect«: Have you heard of the “Coinbase Effect”? When a new coin gets listed on Coinbase, its price often surges. That’s the kind of market influence this platform has. It’s not just an exchange; it’s a trendsetter.
Security: 98% of customer funds are stored in cold wallets. For the uninitiated, that means these funds are stored offline, far away from the prying eyes of hackers. And if that’s not enough, Coinbase also provides insurance coverage for digital assets. So, in the unlikely event that something goes awry, you’re covered.
Coin selection: 250+
3. Kraken – The Swiss Army Knife Among Crypto Exchanges
- Kraken was never hacked
- Compared to other major exchanges, Kraken generally offers lower trading fees
- Kraken is known for its high liquidity, making it easier to execute large trades without significant price impact
- The platform provides advanced trading features like futures and margin trading for seasoned traders
- The user interface can be overwhelming for beginners due to its advanced features
- Kraken has fewer fiat deposit options compared to some other exchanges
Well, it’s not just because of its cool nautical name, although that’s a bonus. Kraken has been around since 2011, making it one of the oldest exchanges in the game. Its longevity speaks volumes about its reliability and reputation. But that’s not all; Kraken is known for its robust security measures, diverse coin selection, and user-friendly interface. It’s like the Swiss Army knife of crypto exchanges—versatile, reliable, and sharp. This platform has everything from spot trading to futures and even margin trading. It’s not just for the pros, though; with some learning, even a newbie can navigate the waters.
Security: Security is paramount in the crypto world, and Kraken takes it seriously. The platform uses cold storage for the majority of its funds, minimizing the risk of hacks. Add two-factor authentication (2FA) to the mix, and you’ve got yourself a veritable fortress that has never been hacked.
Coin selection: 230+
4. KuCoin – Altcoin Paradise
- Best crypto exchange for altcoins
- KuCoin’s trading fees are competitive, often lower than many other major exchanges
- The platform boasts a user-friendly interface suitable for both beginners and experienced traders
- The exchange has its own native token, KCS, which offers various benefits like trading fee discounts and participation in token sales
- The user interface can be overwhelming for beginners due to its advanced features
- it lacks fiat currency support, which can be a barrier for those wanting to buy crypto directly with traditional money
Founded in 2017, KuCoin has quickly risen through the ranks to become one of the most popular exchanges out there. Often dubbed The People’s Exchange, KuCoin aims to provide easy, safe, and seamless trading options for everyone, from crypto rookies to seasoned traders. KuCoin is like that indie coffee shop that only the locals know about but serves the best brew in town. It’s user-friendly, feature-rich, and offers a range of trading options from spot to futures. It’s an exchange that caters to both the crypto-curious and the crypto-savvy.
KuCoin gem hunt: Ever heard of “KuCoin Gems”? These are lesser-known, high-potential altcoins that KuCoin lists before they hit the mainstream. It’s like discovering an indie band before they become famous; you get the bragging rights and potentially, the profits.
Security: KuCoin understands the importance of security and has implemented a multi-layered security strategy that includes cold wallets, dynamic multifactor authentication, and an insurance fund. Think of KuCoin’s security as a fortress with multiple layers of defense. Even if one layer is breached, there are several more standing guard. It’s not impenetrable—no exchange is—but it’s as close as you can get in the ever-volatile crypto landscape.
Coin selection: 700+
5. Crypto.com – Best Mobile App
- Offers a number of services, including trading, staking, and even a crypto debit card
- Offers competitive trading fees, especially for users who stake its native CRO token
- Suitable for both beginners and experienced traders
- The platform is primarily designed for mobile use, which might not be ideal for traders who prefer a desktop experience
Launched in 2016, Crypto.com has been trying to accelerate the world’s transition to cryptocurrency. With over 10 million users and many notable partnerships, this exchange isn’t just a platform; it’s a full-fledged ecosystem. From trading and staking to debit cards and even its own blockchain, Crypto.com has evolved to become like the Amazon of the crypto world.
If you’re interested in purchasing and holding cryptocurrencies such as Bitcoin and Ethereum, Crypto.com might be a suitable option for you. The platform charges a maximum fee of 0.40%, which can be reduced based on high trading volume or substantial holdings in its native CRO token. With support for 250 different cryptocurrencies and the availability of advanced order types, Crypto.com also provides the option to trade crypto futures.
Security: In an industry where security breaches can spell disaster, Crypto.com has invested heavily in fortifying its digital walls. The majority of user assets are stored offline, and Crypto.com also follows ISO/IEC 27001:2013 Certification, an international standard signifying that Crypto.com meets rigorous information security requirements.
Coin selection: 250+
6. OKX – Best for Seasoned Traders
- OKX supports over 300 cryptocurrencies, giving traders a wide array of options for diversification
- With a presence in 150 countries, OKX has a broad international user base, enhancing its liquidity and market depth
- Offers staking, mining pools, and DeFi strategies like lending
- Boats with one of the highest trading volumes
- The platform’s advanced features can make the user interface intimidating for beginners
- Unlike some other exchanges, OKX does not offer insurance on digital assets, adding a layer of risk
Known initially as OKEx, OKX has its roots in the OK Group, a blockchain technology company founded in 2013. The exchange itself was established in 2017 in Seychelles under the leadership of CEO and Founder Star XU. OKX has expanded its reach to 150 countries worldwide today. The platform offers support for more than 300 cryptocurrencies and features over 500 trading pairs. With access to over 700 liquid crypto markets, OKX boasts a 24-hour spot trading volume nearing $650 million.
Whether you’re a novice or a seasoned crypto trader, OKX offers a wide array of options, from hundreds of trading pairs to advanced features like leveraged trading and perpetual swaps. If you’re looking to delve deeper into the crypto ecosystem beyond just trading, OKX provides opportunities for staking tokens, participating in mining pools, and exploring DeFi tactics such as lending. We’ll dive into each of these aspects in the sections to follow.
Security: The exchange employs a multi-faceted approach to security that includes multi-signature wallets for an extra layer of protection, akin to a drum so tightly wound it’s impenetrable. Additionally, a substantial portion of user assets are safeguarded in cold storage, rendering them as unreachable as a sunken treasure chest.
Coin selection: 300+
7. Bitstamp – The Oldest Operating Crypto Exchange
- The oldest crypto exchange that is still operating (since 2011)
- Quick and No-Cost SEPA and ACH Transfers from the U.S. and Europe
- Bitstamp was hacked in 2015 and lost 5.2 million dollars in BTC
Bitstamp stands as one of the most venerable and reliable crypto exchanges in the market. Registered in Luxembourg and operating out of the UK, it serves a diverse clientele ranging from novices to seasoned traders. The platform allows users to trade a variety of cryptocurrencies, including Bitcoin (BTC), XRP, Ethereum (ETH), Litecoin (LTC), and Bitcoin Cash (BCH) against fiat currencies like USD, EUR, and GBP. Additionally, it offers the convenience of depositing and withdrawing fiat through credit and debit cards. With its user-friendly and intuitively designed trading and currency dashboards, Bitstamp is an excellent option for traders of all experience levels.
Bitstamp stands out for offering phone support, a relatively uncommon feature in the crypto exchange landscape. If direct phone communication with customer service is your priority, Bitstamp deserves your consideration. On the other hand, if you’re more inclined towards text-based support, you might want to explore other options. While Bitstamp doesn’t provide live chat support, they do allow you to submit queries through email tickets.
Security: In 2015, Bitstamp fell victim to a phishing attack that resulted in the loss of nearly 19,000 Bitcoin, valued at approximately $5 million back then. However, the platform made amends by reimbursing affected users and has since bolstered its security measures. To enhance its security, Bitstamp claims to store the majority of its digital assets in cold storage, offline and insures them against various types of criminal activity. Despite these improvements, Bitstamp’s security ranking remains on the lower end in our review, as assessed by crypto exchange security evaluator CER.
Coin selection: 76
Conclusion
Well, in the Wild West world of crypto, it’s good to find some solace and stability in a crypto exchange. You can choose from hundreds of them, but only a handful provide the security your coins and you deserve. Here’s catch: there’s no one-size-fits-all when it comes to crypto exchanges. Whether you’re a newbie looking for your first Bitcoin or a seasoned trader aiming to diversify with some exotic altcoins, there’s a platform out there tailored just for you. Let’s not forget the cornerstone of any crypto venture—security. While exchanges like KuCoin and Bitstamp have made significant strides in fortifying their digital fortresses, always remember that the crypto world is still widely unregulated. Do your own research, enable two-factor authentication, and never, I repeat, NEVER, invest more than you can afford to lose.
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FAQ
Why is it important to choose the right crypto exchange?
Choosing the right crypto exchange is like choosing the right wand in the wizarding world; it can make or break your crypto journey. Factors like security, coin selection, fees, and user experience are crucial for a smooth and profitable trading experience.
Are all exchanges safe to use?
Not all exchanges are created equal. While the top exchanges like Binance, Kraken, KuCoin, and Coinbase have robust security measures, it’s essential to do your own research and ensure the platform you choose has a good track record and employs strong security protocols.
What security features should I look for in a crypto exchange?
Look for 2-factor authentication (2FA), cold storage options, insurance funds, and regular security audits. The more layers of security, the better.
Why is cryptocurrency selection important?
A diverse coin selection allows you to diversify your portfolio, reducing risk and increasing potential for profit. It also gives you the freedom to trade popular coins as well as explore emerging tokens.
Can I use multiple crypto exchanges?
Absolutely. Many traders use multiple platforms to take advantage of different features, coins, and fee structures. Just make sure to keep track of your assets and maintain strong security practices across all platforms.
