The cryptocurrency market is still in its early stages and it’s not yet ready for mass adoption. However, the industry is growing rapidly and investors are looking for ways to invest in cryptocurrencies with ease. This article will examine 12 of the best crypto exchanges that will be available by 2021.
The best crypto exchange 2021 is a list of the top 12 cryptocurrency exchanges.
Do you want to make a crypto investment? To handle all of your transactions, you’ll need a good crypto exchange.
However, with dozens of exchanges to choose from, choosing the one that’s perfect for you isn’t easy. We’ve compiled a list of the top crypto exchanges to help you get started.
We’ll go through what makes each exchange distinct, as well as the benefits and drawbacks of each platform. By the conclusion of this article, you’ll have all the knowledge you need to choose the finest cryptocurrency exchange for your trading requirements.
The Best Cryptocurrency Exchanges
Cryptocurrency investment does not have to be difficult. The top crypto exchanges to consider when you expand your digital asset portfolio are listed below. To understand more, see our articles on how to invest in cryptocurrencies and the best cryptocurrency to invest in.
1. Coinbase is the best overall option.
Coinbase is a remote-first platform that operates in over 100 countries and is one of the most popular exchanges. The company features a user-friendly interface, a large number of supported currencies, and a sophisticated trading platform called Coinbase Pro.
Coinbase also provides excellent instructional resources as well as a chance to earn free cryptocurrency by viewing videos. A free personal online wallet, limited staking, and a crypto-backed Visa debit card for everyday transactions are also available.
Coinbase has a complex pricing system, which is one of its disadvantages. Coinbase is significantly more costly than competing exchanges, according to most users. In addition, all accounts need picture ID verification, and customer assistance is restricted. To understand more, read our whole Coinbase review.
- Platform that is very user-friendly
- For sophisticated transactions, use Coinbase Pro.
- A chance to win free cryptocurrency
- Provides a Visa debit card backed by cryptocurrency.
- Supports a little amount of staking
- Pricing structure is complicated.
- Fees that be too high
- For verification, a photo ID is needed.
- Limitations in customer service
Gemini is the best sign for earning interest.
Gemini is a US-based crypto business that works in all 50 states and is marketed as a security-first exchange. The business is a New York Trust corporation that protects digital assets with high-end security and insurance. In addition to the United States, Gemini is accessible in over 50 additional countries.
It offers both a simple and sophisticated trading terminal, both with user-friendly interfaces. Gemini offers a credit card with crypto rewards that allows you to earn interest on a variety of currencies. Gemini also provides custody and clearing services for high-net-worth individuals and big transactions.
The main disadvantage of Gemini is its complicated and expensive pricing structure. Gemini is likewise not as well-known outside of the United States, and it does not provide staking (though you can earn crypto interest). Finally, Gemini does not provide phone-based customer service for general account inquiries, which is inconvenient. To discover more, read our whole Gemini review.
- Security and insurance features of the highest caliber
- Easy-to-use interface
- Two different trading terminals
- Provides warehousing and clearance services.
- Possibility of obtaining a cryptocurrency rewards credit card
- Earning interest on cryptocurrency is simple.
- Transaction costs that are too expensive
- Fee structure is complicated.
- There is no customer service phone number.
- There isn’t any staking available.
3. Kraken: The Best Trader
Kraken is one of the world’s oldest exchanges and a genuine trader’s platform. It has a global presence in more than 150 countries and offers cutting-edge charting tools and platforms. Kraken is also a low-cost exchange, which makes it appealing to price-conscious traders.
On Kraken’s regular Trading Platform, you may buy and sell cryptocurrency. Cryptowatch, a quality, low-cost trading terminal with excellent real-time charting capabilities, is another option. Kraken also offers non-US citizens futures and margin trading, as well as staking and OTC trading services.
Despite having sophisticated capabilities, Kraken’s platform is less user-friendly than those of many of its rivals. Furthermore, many of Kraken’s services aren’t accessible in the United States, and the company’s fiat financing alternatives are complex. In addition, the company lacks phone-based customer service and charges rather large deposit fees on several fiat currencies. To discover more, read our entire Kraken review.
- Platform for low-cost trading
- It’s available in over 150 countries.
- Possibility of using the Cryptowatch terminal
- Futures and margin trading are also accessible.
- Supports the staking of cryptocurrency
- Provides over-the-counter (OTC) trading services.
- Deposit costs in fiat money are very high.
- In the United States, there are few features.
- The user interface isn’t particularly welcoming.
- Fiat currency financing alternatives are complicated.
4. Binance is the best exchange for altcoins.
Binance, one of the biggest cryptocurrency exchanges in the world, is a low-cost crypto powerhouse with a plethora of services for traders in hundreds of countries. Binance also has a platform called Binance.US, which is intended for investors in 43 states in the United States.
Traders may access over 50 cryptocurrencies, including Binance Coin, via Binance.US. Investors in the United States may use the Basic and Advanced trading platforms, as well as OTC trading, Recurring Buys, and Trust Wallet. Futures and margin trading, Binance Finance, Binance Launchpad, and the Binance NFT Marketplace are available to all other account users.
Binance’s main disadvantage is that it only has restricted functioning for US citizens. Furthermore, all of Binance’s platforms are extremely complicated, making it unsuitable for novice traders.
- Provides a diverse range of cryptocurrencies.
- There are many trading systems available.
- Binance. The United States encourages over-the-counter trade.
- You’ll get access to the well regarded Trust Wallet.
- Binance Finance and Binance Launchpad are two more services.
- Binance NFT Marketplace is available for usage.
- Trading systems that are difficult to use
- Binance.US has limited features and functioning.
BlockFi is the best option for crypto-backed loans.
BlockFi is a fintech startup with a range of revolutionary financial solutions that it expects to take the globe by storm. The company’s signature feature is its crypto-backed loans, which enable you to get fiat money without having to sell your digital assets.
Hundreds of nations and all 50 US states may establish a BlockFi Interest Account and earn up to 7.5 percent annual percentage yield. The company also offers a cryptocurrency trading platform with no commissions. Finally, BlockFi provides a cryptocurrency rewards credit card, over-the-counter (OTC) trading, a referral program, and the option to set up regular transactions.
BlockFi, on the other hand, offers a small range of cryptocurrencies and a rudimentary trading interface. Using crypto-backed loans has a significant risk, and BlockFi does not provide more sophisticated trading alternatives like margins or futures.
- The interface and design are very user-friendly.
- Loans backed by cryptocurrency are available.
- Trading platform with no commissions
- Opening a cryptocurrency rewards credit card is one option.
- Excellent referral program
- There are no advanced trading features available.
- Only a few coins are supported.
- Trading platform that is quite simple.
- Crypto-backed loans carry a high level of risk.
6. Crypto.com is the best place to get cash back rewards.
Crypto.com, which was founded in 2016, is a fast expanding exchange that aims to make investing as simple as possible. With the exception of New York, the company provides trading services in more than 150 countries and all 50 states of the United States. You may invest in over 90 cryptocurrencies with Crypto.com.
The firm offers a low-cost trading platform that allows you to place sophisticated order types and trade margins and derivatives. Crypto.com also has an NFT marketplace, as well as crypto-backed loans and credit cards, as well as certain interest-earning alternatives.
One of Crypto.com’s biggest flaws is its complicated interface, which isn’t suitable for novice traders. Furthermore, many of the platform’s most popular features aren’t accessible in the United States, thus Crypto.com is frequently the best option for non-US citizens.
- A large number of cryptocurrencies are available.
- Opportunity to trade derivatives, non-financial derivatives, or on margin
- Provides a cryptocurrency-backed credit card.
- Low trading commissions
- Some ways to get money via earning interest
- In the United States, functionality is limited.
- The trading interface is difficult to understand.
7. eToro is the best platform for advanced traders.
eToro, a self-described social trading network, is a multi-national online exchange offering global services. eToro also provides a US-specific trading platform with somewhat different features, such as a trading platform that allows you to trade 17 different cryptocurrencies.
The built-in social network on which you may debate market movements with others is eToro’s standout feature. Plus, eToro’s CopyTrader and CopyPortfolio, which are similar to automatic trading for crypto, allow you to replicate other people’s transactions. If you’re an experienced trader, you may earn money on the site by joining the CopyTrader program as a Popular Investor.
However, you should keep in mind that eToro does not enable you to deposit cryptocurrency into your account and only accepts market orders for trading. The business also has high minimum deposit requirements and, depending on the cryptocurrency, possibly high trading fees.
- A crypto-focused social network is built-in.
- CopyTrader and CopyPortfolios allow you to create automated portfolios.
- As a well-known investor, you may make money.
- accessible everywhere around the globe
- Provides a platform tailored to the United States.
- There isn’t a way to deposit cryptocurrency.
- Only a few coins are supported.
- Requirements for a large minimum deposit
- Trading commissions may be very high.
Bisq is the best decentralized exchange in the world.
Bisq is a decentralized peer-to-peer cryptocurrency exchange where anybody may trade cryptocurrency. You may trade anonymously and securely since the exchange runs on open-source desktop software and needs no registration.
Bisq allows traders from any nation in the globe to join the network without having to provide any personal information. Accounts may be financed using a variety of fiat payment methods or any of the dozens of cryptocurrencies that are supported. The platform’s trading costs are usually minimal, and the exchange never keeps your money for additional protection.
Bisq isn’t for everyone, as is the case with many decentralized exchanges. It’s more difficult to use than a centralized exchange, and it lacks any additional features for the crypto-savvy investor. Bisq also has less market liquidity than larger exchanges, which may slow down and increase transaction costs.
- Decentralized to the max
- There are no geographical limitations.
- approbation in a flash
- able to trade almost any coin
- Fees are quite cheap.
- Aside from a trading terminal, there are no additional features.
- Interface that is difficult to use
- Market liquidity is in short supply.
Voyager is the best option for mobile traders.
Voyager is a mobile-first exchange intended for US investors. It is one of the few publicly listed crypto brokers. Except for New York, the app is accessible in all 50 states, with ambitions to expand internationally.
Voyager describes itself as a cryptocurrency broker that enables transactions for more than 50 cryptocurrencies via third-party exchanges. It does not charge a commission and provides up to 9% interest on cryptocurrency. Voyager offers sophisticated graphing capabilities as well as a crypto rewards debit card.
However, Voyager does not provide a desktop or internet trading platform. Geographic limitations make it unsuitable for non-US residents. Voyager’s authentication procedure is extremely lengthy, and the platform only allows for fiat-to-crypto transactions, so it’s ideal for long-term investors.
- Platform that is optimized for mobile devices
- a publicly traded corporation
- There are no commission costs.
- Advanced charting tools are available.
- Earning interest on cryptocurrency is a possibility.
- Geographical availability is limited.
- There is no internet or desktop platform available.
- Processing and verification take a long time.
- There is no support for crypto-to-crypto trading.
Bitcoin IRA is the best option for IRA accounts.
Bitcoin IRA is a US-based exchange that specialized in cryptocurrency-related individual retirement accounts (IRAs). Using a tax-deferred Traditional IRA, you may invest in nine cryptocurrencies and even real gold while reducing your tax burden.
You may invest in cryptocurrency and receive income on part of your coins with a Bitcoin IRA. Custody insurance is available for up to $100 million. The platform is simple to use and is based on the sophisticated security features of BitGo wallets.
However, taxable accounts are not supported by Bitcoin IRA. It also only accepts a limited amount of coins. Bitcoin IRA fees may be very expensive, and you can’t conduct crypto-to-crypto transactions. Finally, since the company’s exchange has little liquidity, transaction verification may take a long time.
- Provides a tax-advantaged IRA account.
- Purchases of gold are also encouraged.
- Insurance for custody worth $100 million
- Simple and quick to use
- Exceptional security features
- Low liquidity in the foreign exchange market
- Fees that be too high
- There are no taxable accounts.
- There are no crypto-to-crypto transactions available.
11. Hodlnaut: Savers’ Favorite
Hodlnaut is a simple method to earn income on your crypto assets and is excellent for long-term savers. Hodlnaut allows you to profit from rising crypto market values by lending your assets to other investors and earning passive income.
Interest rates vary, but Hodlnaut offers rates ranging from 6.2 percent to 10% on six different currencies, including BTC, ETH, and USDT. There are no deposit minimums, no lock-in periods, and no withdrawal restrictions. You may also choose to enroll in a fixed-term loan program with a higher interest rate and purchase optional custodial insurance.
The platform’s restricted currency support is one of Hodlnaut’s drawbacks. Withdrawal fees are also charged by the company. Furthermore, Hodlnaut is a brand-new business with a shaky track record and minimal exchange liquidity, which should always be taken into account before investing.
- A simple method to generate money on a regular basis
- In a fixed-loan scheme, there is an option for higher rates.
- Additional custodial insurance may be purchased.
- You have the option to opt-out at any time.
- Withdrawal fees are charged.
- a shaky track record
- Only six coins are supported.
12. Best For Multi-Asset Holders: Uphold
Uphold is a multi-asset digital money platform that lets you trade anything from precious metals to equities to cryptocurrency straight from your bank account, debit/credit card, or cryptocurrency holdings. The best thing is that Uphold charges no fees for trading.
- There is no need for a minimum investment.
- Assets may be purchased in fractions.
- There are no account or dormancy fees.
- Beyond crypto, you may trade a variety of assets.
- Desktop and mobile applications that are easy to use for beginners
- Spreads are higher than on other exchanges.
- There are few instructional materials available.
What to Look for When Choosing a Cryptocurrency Exchange
Choosing a crypto exchange for your trading activity isn’t simple, especially with so many excellent choices. The following are the most essential characteristics to look for in a trade.
Cryptocurrencies to Choose From
When looking for an exchange, the first thing to think about is whether or not it supports your chosen cryptocurrency. Simply stated, if you want DAI but an exchange doesn’t support it, it won’t help you much.
However, don’t be fooled into believing that exchanges that accept hundreds of currencies are better than those that support fewer ones. An exchange may handle hundreds of currencies, but if the majority of those coins have little trading activity, price volatility will be significant.
Liquidity in a crypto exchange refers to how easy it is to swap assets without influencing the asset’s price. Large Bitcoin transactions may be supported by a liquid exchange with minimal price fluctuations.
Examining an exchange’s daily trade volume is a decent, though imperfect, method to evaluate its liquidity. Larger transactions may be handled without significant price fluctuations on exchanges with greater trading volume, suggesting better liquidity and more stable asset pricing.
Fees & Commissions
If you want to trade cryptocurrency (or any other asset), you must be willing to pay some fees. Most exchanges earn money by charging trading fees or pocketing the difference between an asset’s asking and selling price (known as the spread).
Some exchangers, on the other hand, have very minimal costs. In general, more user-friendly exchanges have higher costs, while less user-friendly platforms are less expensive. However, before opening an account with a platform, check the fee schedule carefully so you know what you’ll be charged for each transaction.
Security and dependability
Crypto investors are concerned about security and dependability. When it comes to exchanges, it’s critical to evaluate a platform’s security measures to ensure your safety. Multi-factor authentication, account verification, and asset cold storage systems are all things to keep an eye out for.
You should also look into whether or not an exchange has been hacked in the past. If it has, attempt to discover more about what the exchange did following the assault to enhance asset protection. Exchanges that have been hacked in the past should be avoided.
There are two types of cryptocurrency exchanges. The first is user-friendly, practical, and easily accessible. These usually come with a higher price tag and less sophisticated features.
The second kind of transaction is more complicated and geared at experienced dealers. These exchanges are generally less expensive to use, but novice investors may find their interfaces to be confusing and overwhelming.
Characteristics that are unique
The last factor to consider while choosing an exchange is its distinct characteristics. Some exchanges also provide services such as crypto-backed loans, crypto-rewards credit cards, and interest-bearing accounts in addition to trading terminals.
These additional functionalities may not be necessary if you just want to purchase and sell cryptocurrency. However, if you want to learn more about crypto, you should look at additional aspects that may help you expand your portfolio.
Best Crypto Exchanges Frequently Asked Questions
Here are some of the most often asked questions regarding the top cryptocurrency exchanges.
What Are Crypto Exchanges and How Do They Work?
Buyers and sellers are connected via cryptocurrency exchanges. Exchanges bring buyers and sellers of a certain item together. The exchange then executes the transaction and, if necessary, sends crypto or fiat money to each side to complete the transaction.
What Makes Crypto Exchanges Profitable?
Trading and account fees are how most cryptocurrency exchanges earn money. Even exchanges that don’t charge trading fees benefit from a practice known as “taking the spread.” This implies that the exchange keeps the spread, which is the difference between the selling and asking price on a transaction.
What Is the Difference Between a Brokerage and a Crypto Exchange?
Both cryptocurrency exchanges and brokerages allow users to purchase and sell a variety of assets. Brokerages, on the other hand, concentrate more on stocks, ETFs, mutual funds, futures, and even commodities, while crypto exchanges mainly serve as a platform to trade cryptocurrencies and other digital assets.
What Is the Difference Between a Wallet and a Crypto Exchange?
An online platform where you may buy and sell cryptocurrency is known as a crypto exchange. A wallet, on the other hand, is a storage location for crypto and digital assets. Many exchanges provide clients with hosted hot wallets, which are where your cryptocurrency is kept until you move it to a cold storage wallet.
What Are Some Crypto Exchange Alternatives?
A brokerage that allows crypto purchases, such as Robinhood, Webull, or SoFi Invest, is the main alternative to a crypto exchange. Additionally, crypto ATMs are internet-enabled kiosks where you may deposit cash and purchase supported cryptocurrency. Most crypto ATMs, on the other hand, only accept Bitcoin or a small number of altcoins.
What Is the Distinction Between a Centralized and a Decentralized Exchange?
Centralized exchanges operate under the supervision of a third entity, such as Gemini. Meanwhile, via peer-to-peer trading, decentralized exchanges are governed by everyone who utilizes them. Centralized exchanges are more convenient and user-friendly than decentralized exchanges, although they demand larger fees.
There are hundreds of good cryptocurrency exchanges available, but you’ll likely only use one or two for the majority of your trading.
At the end of the day, no one transaction is optimal for all parties. What matters is that you choose a platform that provides the appropriate balance of security, usability, price, and extra features to help you get the most out of your investment.
The crypto exchange with lowest fees is a cryptocurrency exchange that offers the best rates for traders. It has low fees, high liquidity, and offers an easy interface.
Frequently Asked Questions
Which Cryptocurrency has the most potential in 2021?
Bitcoin has the most potential in 2021.
Which exchange supports the most crypto?
Binance is the most popular exchange that supports a wide variety of cryptocurrencies.
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