Our mission is to bring truth back to the internet.Read more →

Last updated on September, 23

Fact checked

2021 Rankings

Best Cryptocurrency Trading Platforms

sub category illustration
Explore investment opportunities with the biggest and hottest cryptocurrency trading platforms on the market. Buy and sell cryptocurrencies on a reputable platform for a trading fee and start earning your profits. Try one today!

Frequently Asked Questions on Cryptocurrency Trading Platforms

What is a cryptocurrency?

Cryptocurrencies are digital assets. Just like fiat money, you can use them to buy goods and services. However, what makes them different from traditional currencies is that cryptocurrencies use a decentralized system and are secured by cryptography. They are not controlled by a centralized authority, giving you full control over your assets.

What is a cryptocurrency wallet?

If you want to engage in cryptocurrency trading, you’ll first need a wallet. A cryptocurrency wallet, or crypto wallet, is a program that stores your cryptocurrencies. It also enables you to send and receive your currencies, as well as monitor and track your cryptocurrency balance.The largest cryptocurrency trading platforms usually help beginners by providing cryptocurrency exchange and wallet. To make it even better, these wallets are free. Once you are set up, you just need your recipient’s address and click send. 

How do I choose the best cryptocurrency trading platform for me?

In choosing a trading platform for cryptocurrency, you have to identify your knowledge of the trade first. If you are a beginner, a guided type of platform is advisable for you. Central cryptocurrency trading platforms can give you the security in trading that you need. It’s like using an online banking website or application. On the other hand, if you are already familiar with the basics of cryptocurrency trading, you can shift to decentralized or DEX platforms so you can have full control of your digital assets. That will allow you to explore the trade and do your transactions freely. It is a good ground for increasing your knowledge of cryptocurrency trading. Since hybrid platforms are still experimental, we are yet to see a good platform of this type to emerge in the market. Reading reviews will also help you choose a specific trading platform for you. You can also study the rise and fall of cryptocurrencies and how users handled them to get an idea of what you’ll do later on. 

What is a cryptocurrency demo trading platform?

Cryptocurrency demo trading platforms show you the basics of the trade without making a deposit. It gives you a free tour to gauge how the process works. You are granted a cryptocurrency trading platform demo account to use during the trial process. It helps you be acquainted with the user interface, technicalities, market dynamics, and the rules of the trade. Through these demo trading platforms, you are entering secure transactions without the fear of losing any money because you are trying out the services without a deposit. Newbies are encouraged to try out the demos first before engaging in hardcore cryptocurrency trading. 

What is an open-source cryptocurrency trading platform?

Open-source software means the codes are available for viewing and modifications. They are shared publicly and transparently. Instead of using the software as it is, you are given a chance to modify the data to reach an agreement as to how the system should work. You can connect to the network and develop the codes as long as the changes you make are under the copyright terms. Also, every change made in the code is recorded for future tracking. 

How is using cryptocurrency trading platforms different across the world?

Though cryptocurrency trading is slowly making a name in the market, it is not treated the same way in different countries. Depending on the nature of the government when it comes to assets, some countries may be restrictive towards the trade. For instance, countries like the United States widely accept cryptocurrencies as a part of their evolving payment channels and investments. With this, even the best US cryptocurrency trading platform goes neck-to-neck with other companies because of the increasing competition. On the other hand, a cryptocurrency trading platform in India can have a different story. There were instances when the reservations on cryptocurrencies are so strong that the supreme court even took part in it. The court made the verdict of whether formal banking institutions can provide cryptocurrency services. These cases show how different the treatment of digital assets is across the world. 

What is cryptocurrency day trading? 

Cryptocurrency day trading is extremely short-term trading. It is a form of trade where the buyers' and sellers’ primary aim is to get profit. For instance, you will buy digital assets now because the price is low. After a few minutes, a particular bank announces that these digital assets can now be used to make payments. People will then wait for their chance to buy the assets. Once the price skyrockets, you can sell them for a significantly higher price.Though making large profits sounds attractive, a large percentage of day traders, even in the best cryptocurrency day trading platform fail because of the tricky rules of the trade. You can never be sure whether the prices will increase or decrease, so buying the right digital assets is crucial. 

How anonymous are cryptocurrencies? 

Cryptocurrencies are not as anonymous as cash. However, the systems, especially in the new cryptocurrency trading platforms, allow users to enjoy a high level of privacy. If used correctly, you can make your trades confidentially. However, cryptocurrency trading is not entirely anonymous. Records are still left within the system to help investigate possible scams within the platform. 

What happens when cryptocurrencies are lost? 

Losing your cryptocurrencies can be extremely frustrating. After all, you spent money mining and buying them. It is a problem that can occur even to users of a top cryptocurrency trading platform. Unlike misplaced money that can go on someone else’s pockets or just under your couch, lost cryptocurrencies remain in the blockchain circulation. Once they are lost, they remain dormant because of the private keys needed to access them. Also, since the production of cryptocurrencies is limited, what remains in the market will continue to increase their values. 

Are cryptocurrencies taxable?  

There have been significant debates by government institutions whether cryptocurrencies should be taxed. During the first years of cryptocurrencies, they are set to be untouched by taxes. However, as they grow in value, they slowly become subjected to taxing, but specific guidelines still apply. For instance, mined cryptocurrencies using hardware and mining pools will only be taxable if they are traded and used to buy goods and services. Acquiring them will not make them taxable. However, once you start involving third parties in the transactions, that’s where taxes enter.

What determines cryptocurrencies' price?

Supply and demand mainly determine the cryptocurrencies' values. Since there are still limited digital assets out there, we are only circulating what we have. If there is a high demand, then the prices are expected to increase. However, one concern about cryptocurrencies is that they can go worthless over time. Once people don’t find any use for them, they can become useless and obsolete. Nevertheless, with the continuous improvement in technology, cryptocurrencies’ value is predicted to be far from going stale. 

Is it challenging to obtain cryptocurrencies?

Unlike before, when cryptocurrencies were only obtained by mining, getting digital assets are accessible now. You can join mining pools or digital platforms that allow you to mine them easily. You can also get them from selling services online and simple digital asset trades.

What is the right time to sell cryptocurrencies?

The best time to sell cryptocurrencies is when the price increases to 25% of your original buying price. Unless the prices reach that high, you should wait a little longer. This increase ensures that you are getting the most out of your investment. 

Are there fake cryptocurrencies?

Yes, there are fake cryptocurrencies in the market. When cryptocurrencies were first introduced, several other types sprung. Due to the hype, there are hundreds of digital assets in the market. However, aside from the established cryptos, there are only a few legitimate alternatives. 

This site uses cookies. By continuing to use this website, you agree to their use. Read privacy policy for more info.