Cryptocurrency has revolutionized the world's financial system as it is now an alternative option for those seeking to trade and earn money. Therefore, it has attracted the interests of many who previously traded other commodities like stocks. Bitcoin has particularly become one of the most loved cryptocurrencies world over. This explains why Bitcoin trading companies continue to emerge in the crypto-trading industry. Many of these companies are celebrated for operating on a secure online environment. Such secure platforms assure individuals of a safe transfer of their cryptocurrencies. However, before you rush into crypto trading, it is worth noting that each company in this industry is made unique by the type of service it offers.
There are some Bitcoin trading companies that offer wider trading options than others. Then there are those that appeal to expert traders as others appeal to professionals and newcomers alike. It is for such reasons that you should do a thorough scrutiny of the different platforms before making a decision. Here is a review of some of the world's most celebrated trading platforms:
CoinBase – This is said to be the world's largest Bitcoin exchange platform. It is preferred by many as it enjoys the support of some of the world's notable investors. The company has its headquarters in San Francisco but serves individuals from all over the world. It offers multiple options, ranging from coin exchange, wallet, and developer API. The platform allows you to trade between cryptocurrencies, meaning you can convert other cryptocurrencies into Bitcoin. Regardless, users cannot convert local currencies directly into cryptocurrencies regardless of the currency being used.
Instead, you should first deposit money onto the platform before proceeding to make a purchase. There are many other benefits that are attributed to the CoinBase crypto-trading service. For instance, you have more than one option to use if you wish to either withdraw or deposit your money. It is worth noting that the company’s wallet facilities are made secure by the multiple signature options. The company insures all Bitcoin deposits from any loss likely to be experienced on the platform. It has also formed formidable partnerships with financial institutions in the US and Europe, making it more efficient in its service delivery.
CEX.IO - CEX allows entities to either trade directly on the platform or receive help from a broker. For instance, there is the CEX brokerage service, through which newbies can enjoy the services of the company’s brokers. However, the brokerage service is relatively costlier than when you by-pass these middlemen. Regardless it is the safest and most secure option if you are not confident in your ability to trade without such help.
Regardless, if you consider yourself a guru, then you can opt for the CEX trading option. The option is crucial as it shields you from the costly services rendered by brokers. This is because the CEX trading option charges a minimal amount of money compared to the 7% service fee charged through the alternative brokerage service. Regardless, this is a secure site and is praised for being one of the oldest cryptocurrency trading platforms. If you are impressed by it, then you can make your choice appropriately.
Bitfinex - This is a very sophisticated and advanced crypto trading platform, which is why experienced crypto traders use it. You, the user, will probably not understand how to maneuver around it. However, this should not prevent you from checking out or even trying the site. The company has high liquidity for cryptocurrencies like Ethereum and Bitcoin. This is why Bitcoin is one of the currencies popularly traded on the platform. Bifinex offers better options that include margin funding, multiple order trading, and leveraging.
The platform also has a highly customizable graphical user interface that provides multiple order types. Traders can enjoy the benefit of anonymity as they are allowed to use pseudo identities on most of the trading options on the platforms. The only downside to this platform is that it does not allow for fiat transactions.
Bitstamp - This company was founded in the year 2011, making it one of the oldest platforms for those wishing to trade on Bitcoins and other cryptocurrencies. The website is very secure and has gained popularity for never having faced any security threats. This is mostly due to its adoption of cold-storage, where coins are kept offline rather than online. As a result, hackers are unable to access the funds deposited by users. Ripple, Ethereum, Litecoin, and Bitcoin are the four currencies that can be traded on the platform.
Services can be accessed on mobile phones which is a privilege enjoyed by most traders on Bitstamp. In other words, traders can enjoy the company’s services from any location - even while on the move. Just install the App to your phone and enjoy the 'pocket-friendly' service. It is not a surprise that the company offered low prices on its services. This is based on the fact that its users access it directly without the help of brokers.
Kraken - Like Bitstamp, Kraken has a highly sophisticated user interface, which is why it mostly appeals to expert traders. It is also praised for being among the largest Bitcoin trading platforms. This is, of cos, in terms of euro crypto trading volumes and liquidity. Kraken also allows trading of figures of Yen, USD, and Canadian Dollars. The company has maintained its safety standards even in harsh times when other crypto sites were hacked and brought to their knees.
Kraken’s online platform has over fourteen crypto facilities that allow traders to deposit cryptocurrencies and the fiat. This subsequently allows users to enjoy the benefit of being able to withdraw the same capacity deposited. Kraken’s fees are relatively low compared to CoinBase’s since it mostly works with experts who don't require the help of brokers. Newbies should use other platforms other than Kraken as this platform is very complicated.
As you can see, various platforms can help you trade in Bitcoin. The above mentioned are just but a few of the most trusted sites within a sea of many other renowned Bitcoin trading platforms. Your choice of a trading site depends on your level of experience as well as your budget. As mentioned, the best option is to start with the help of a broker, then slowly advance to the 'guru' level as you familiarize yourself with the different platforms.