Crypto exchanges provide the opportunity to exchange, buy, and sell different types of cryptocurrencies. Users of such services also exchange fiat currencies for tokens and vice versa. Depending on the specifics of the regulation and functioning of such platforms, crypto exchanges are centralized, decentralized, or mixed. Traders and investors also use crypto exchanges to check current prices or withdraw funds to regular bank accounts.
Why are there so many crypto exchanges?
You can use different platforms to exchange crypto. For example, it is important for you to find rare pairs of cryptocurrencies and perform transactions as quickly as possible with low fees, which is why you choose Emirex. It happens that exchanges offer different prices, so the trader selects the one where the offer is the most profitable and potentially brings more profit. Such a wide variety covers all current requests and needs of users. Which platform is the best fit for each situation, and are you deciding between dozens of options to get what you're looking for?
Rules for choosing the best crypto exchange
Since there is no single universal option that fits all cases, it remains to focus on different factors that may be decisive and essential for you. Specialists advise paying attention to the following criteria:
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Security. It is not only about encryption and data protection methods but also directly about the assets on your balance sheet. Cryptocurrency can be stored in different types of wallets: hot or cold. Thanks to hot wallets, transactions are carried out quickly, but cold storage is more secure, so crypto exchanges often reserve a certain percentage of funds in cold storage for security. If the exchange does this, it is a sign of a responsible attitude toward clients' funds.
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The fee is the main profit of the crypto exchange, but if every transaction ceases to be profitable because of this, it is worth looking for a platform with an optimal fee structure.
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Liquidity refers to how many assets you can exchange with other traders. That is, it is actually an available reserve within which trading operations are available.
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Coin offering. Platforms differ in the available coin pairs and fiat currencies that can be exchanged. If you are aiming to trade specific coin pairs, you need to make sure that the desired offers are available in the system.
Additional criteria are no less important. For example, beginners should look for platforms with a quality knowledge base, and those who are constantly on the move should pay attention to the speed and functionality of the mobile application. Analyze the platforms according to these criteria, and you will very quickly find the crypto exchange that best meets your needs.
