Choosing An Exchange
The main factors for choosing an exchange are, in order of priority:
1. Its credibility
4. Availability of altcoins
5. Pricing of coin (or spread)
Notice MissBitcoin doesn’t care about fees. In the grand scheme of things, the crypto market can swing more than 10% a day and if you want to buy or sell a coin, you just need an exchange that offers it. If you are in the space of trading alt coins and buying ICO, it is advisable to open multiples exchanges as it gives you the best options to buy and sell your coins.
Exchanges below are some that MissBitcoin have come across. The list is not exhaustive, it’s more than enough to get you started. (Below reviews are referenced from websites listed at bottom of page.)
BTCMarkets is one of the largest BTC and ETH exchange in Australia. It provides a platform to trade and exchange BTC, BCH, ETH, ETC, LTC, XRP to AUD and
have multiple withdrawal and deposit methods.
LocalBitcoins is a P2P Bitcoin exchange. Buyers and sellers agree on trade terms, and LocalBitcoins is used as escrow. Look for sellers with over 100 trades and 100% positive reviews. Beware of scammers.
Coinspot is a popular Australian exchange. It allows users to buy and sell more than 50 cryptocurrencies with AUD. Users can convert fiat to altcoins directly. Coinspot is easy to navigate, buy and store. Fees are high, buys and sells in AUD are charged 3%.
CoinMama is based in Israel. It specialises in selling bitcoins for credit card to nearly anyone in the world. Coinmama allows high limits for buying bitcoins with credit/debit card.
Fees are high, around 6%.
Binance is a China-based cryptocurrency exchange that gives users access to a robust set of trading tools, charts and security features. Following a successful initial coin offering (ICO), Binance began live trading in July 2017. By offering both Basic and Advanced exchange interfaces, Binance makes it easy for beginners to execute simple trades, and provides professional traders with access to more complex options, such as margin trading. Binance focuses on crypto-to-crypto trading. The Binance in-house BNB token can be used for reduced trading fees. It offers bounty and reward programs for the community.
Referral Link: https://www.binance.com/?ref=23392507
Poloniex is a pure crypto to crypto exchange based in the United States. It provides a fully immersive trading experience with technical analysis charts and live chat. The platform not only allows you to exchange cryptocurrency but also trade on margin – something rarely offered in the cryptocurrency market.
Kucoin is a multi-cryptocurrency exchange based out of Hong Kong. Kucoin currently supports the trading of a large number of digital assets. It also provides users with a mobile app available for iOS and Android.
Huobi Pro is a cryptocurrency exchange with several offices in Singapore, Japan and Hong Kong, and some of its operational departments are still active in mainland China. It allows users to exchange crypto for crypto, including the USDT token. Huobi Pro features an advanced distributed system architecture built to protect against DDoS and other potential threats . Huobi is available for iOS and Android.
Bittrex is one of the larger crypto to crypto exchanges offering a large number of trading pairs into bitcoin. The exchange does have a very high turnover crypto currencies – leading some to accuse it of allowing pump and dump schemes that erode confidence in the crypto currency ecosystem as a whole.
Livecoin is multi-cryptocurrency trading platform, suitable for both beginners and experienced traders. Livecoin offers services both for regular users and for coin developers. It includes ICOs, swaps and others. Users can also play dice on the exchange.
Cryptopia is registered in New Zealand under the name Cryptopia Limited. Cryptopia is peer to peer, so all trades are done directly with the other users. It provides mining pools, marketplace, exchange services and a support framework for each coin listed. Cryptopia’s marketplace allows you to buy, sell, or trade nearly anything by using cryptocurrency. This is a unique combination in the world of cryptocurrency and an answer to something that the market needs.
As BTCchina is to Asia – so CEX.io is to Europe and America. CEX.IO allows for the buying of bitcoins for low fees via credit card. Customers can also purchase for free with bank transfers. CEX.io is available for use in most countries. CEX.io combines a mining pool, crypto to crypto exchanges and fiat to Bitcoin exchange. They also offer the ability to trade mining contracts – or the rights to bitcoin mining equipment for a specific period of time. The exchange also offers USD and EUR to BTC pairs alongside a number of crypto to crypto pairs.
Bitfinex is a major Hong Kong-based cryptocurrency exchange, specialised for trading. Bitfinex facilitates the US Dollar-based trading of Bitcoin and 7 other altcoins, including Monero and Ethereum.
BitFinex offers three main functions – it is a pure bitcoin to fiat exchange, a margin trading exchange and a liquidity provider. The platform offers a number of features available that expand the financial positions you can take – for example the ability to short Bitcoin via margin trading. Bitfinex allows leveraged trading of up to 3.3 times and a related margin funding market for lenders. BitFinex takes security seriously and have moved from a hot wallet cold wallet set up to segregating customer funds where each user has access to their own wallet which they can review on the blockchain. Bitfinex was hacked on 03 August 2016 and around 120,000 BTC were stolen.
Kraken is a top European based exchange and offers a variety of fiat to bitcoin pairs such as JPY, EUR, GBP and USD. It enjoys a good reputation due to the fact that it has been resilient to major hacks and also as it was chosen as the platform by which creditors of the Mt.Gox exchange could receive their claims. Kraken also operates a dark pool, which is a private securities exchange that allows large financial institutions and high net worth individuals to make anonymous trades.
HitBTC registered in the UK in early 2015. The exchange offers USD, EUR, GBP to BTC as well as a collection of the most common crypto to crypto trading pairs. The volume has been steadily rising providing decent liquidity and a narrowing bid ask spread. Security is good with its two factor authentication and an unblemished track record.
EtherDelta is a decentralized Ethereum token exchange, brought to you by Etherboost. This is basically an ERC-20 token marketplace, which allows you to trade ETH for almost any token, based on the network. This is not a beginner-friendly exchange. EtherDelta does not run on a centralized server, which can be attacked by hacker. That being said, user mistakes can always lead to a loss of coins and especially with the complicated nature off this exchange.
Quoine is a relatively new competitor in the cryptocurrency space operating from Japan, Singapore and Vietnam. The company behind this project operates two brands – one focused on accepting fiat currency deposits (this one) and another one for digital asset trading (QRYPTOS). The cryptocurrencies available at Quoine are only Bitcoin and Ethereum, while more altcoins are available at QRYPTOS. Trading can be done against a lot of fiat currencies: USD, JPY, EUR, AUD, SGD, HKD, IDR and PHP. On top of that there are three types of trading: spot (without leverage), margin and futures. The latter can be quite tricky, so we don’t recommend it to beginners. Quoine even offers lending to earn interest on your deposits.
OKCoin is another top Bitcoin exchange. Even though it is based in China – it has offshoot offices around the world. OKCoin China is built exclusively to serve residents of China, while OKCoin International is built to serve all non-Chinese customers. With some of the largest volumes and good liquidity – best pricing is easy to achieve. OKCoin offers both LTC and BTC trading pairs into USD as well as futures on LTC and BTC.
Coinbase offer USD to BTC trading and have publicly stated their plans to add other pairs as and when banking arrangements in other jurisdictions are secured. With the seamless integration of wallet and exchange features coinbase has rapidly increased its trading volume and provides decent liquidity on low spreads.
Gemini Exchange is founded by the Winklevoss twins. The exchange is based in New York. It is one of the sector’s most respected exchanges. Gemini is a fully compliant and fully registered enterprise, and adheres to the highest levels of compliance to banking standards. As a result, the exchange deals with both institutional and individual clients, and is a popular option with investors who prioritize security and efficiency. US Dollar Accounts are insured by the FDIC, with funds held in a New York-chartered bank. All digital assets are put into cold storage, while online assets are hosted on Amazon Web Services, which also utilize a host of additional security measures.
OKEX is multi-cryptocurrency exchange allowing users to trade cryptos and fiat-backed tokens. OKEX also provides digital asset based futures with multiple leverage choices. OKEX has also built a suite of algorithmic trading tools designed for the professional traders. Additional products include a wallet, vault and a block explorer.
References: https://blockonomi.com, https://www.cryptocompare.com, https://www.bestbitcoinexchange.net, https://www.forexbrokerz.com