Ready to take a dive into the ocean of opportunities that the world of crypto trading has to offer? Hundreds of top cryptocurrency exchanges are waiting for you with open arms to help you test these waters and explore the depths of the crypto trade. Thousands of currencies are now available for trading – each with its own set of features and possibilities for growth and profits. These are truly exciting times to be living in. We are now in a world where a currency with no state backing and no physical existence can make you a true blue millionaire. It's tough to contain one’s excitement, isn’t it?
2021 was a HUGE year for the crypto trade. Coinbase – one of the most popular crypto exchanges out there came out with its IPO. The Biden administration actively began showing interest in this form of investment. And brands like PayPal jumped onto the bandwagon with the option to enable crypto as a funding source. Experts believe 2022 to be even bigger. So, if you are wondering what are the top cryptocurrency exchange trends you should be prepared for this year, this article will give you a brief picture of what to expect. But first, let’s cover the basics.
Crypto exchanges are platforms that enable you to buy and sell crypto coins. You can use them to trade one coin for another or for buying crypto stock using regular currency. These transactions are made on the current market prices of the crypto coins that they offer. You can also convert crypto stock back in regular currencies on market rates in case you are looking to divest your funds. All these services combined with a host of add-on features and safety parameters are provided by the top cryptocurrency exchanges globally.
While there cannot be an exhaustive list of features that would make up the best crypto exchange for every user, there still are certain features that should be your prime concern when you are making this choice. Here is a list of features that you can follow:
· Listed Coins: Not every exchange will let you trade in every coin, especially the lesser-volume, more-exotic tokens that have not yet gained as much popularity as Ether and Bitcoin. Make sure you select the exchange that lists coins that you want to trade in.
· Security: Look for security features like Two-Factor Authentication, Data Encryption, and Cold Storage of coins to protect against theft, hacking and illegal use. Insurance of your funds is also an added advantage to safeguard the value of your investments.
· Fees: The most popular crypto exchanges offer their services for a fee that may be charged on the basis of the coin you are dealing in, your trade volume, or on the transaction-to-transaction format.
· Usability: The exchange you are using should be equally easy to use across multiple devices like desktops, laptops, tablets, and even mobile phones. Top cryptocurrency exchanges also offer Apps for their platforms so that users can manage their traders from anywhere.
· Accessibility: The exchange you are considering should be accessible in the geographical location that you are placed in. Countries like China have banned crypto trade altogether. Certain states in the US restrict certain exchanges. Make sure you confirm the accessibility of the exchange in your location before opening an account with them.
· Insights: Many exchanges offer charts, data, and analysis of daily trade numbers, market movements, and price fluctuations. Some even provide trading tips to those who sign up for them. These features can make a huge difference, especially for a newbie trader who is still getting the hang of what crypto investments can be like.
In order to place any trades on your cryptocurrency exchange, you will need to fund your trading account. Top exchanges offer a host of different options for managing this task including connection with your Bank Account, Debit/Credit Cards, and even the option to buy crypto in exchange for your own crypto holdings. Select an exchange that offers the widest range of funding options to make your trading decisions hassle-free.
Hot and cold wallets come with their own set of benefits and disadvantages. Hot wallets are connected to the internet and are therefore less secure. But they are definitely more user-friendly. Cold wallets store tokens in the offline mode and are therefore safer.
The most popular crypto exchanges offer a host of reward programs and passive income options as well to make their services more lucrative for users. Simple schemes like referral discounts and commissions are always available. Select exchanges may even offer Staking and Farming features to help you earn interest income by lending your crypto coins.
The crypto market works 24x7 which often necessitates the use of automatic trade placements so that investors don’t miss out on market opportunities when they are logged off. Bot Trading is a new age feature that top cryptocurrency exchanges are now beginning to offer to provide a hassle-free mode of trading to users without having to sacrifice their sleep time.
Trading tips, market insights, and analytical data can be provided to users via push notifications on their mobile phones. Crypto trading is affected by innumerable factors including the social media activity of celebrities! Keeping an eye on each of these influential elements can be a virtually impossible task for an investor. These notifications can help them stay on top of market movements and expected trends without overstressing themselves.
Systematic Investment Plans for cryptocurrency are a relatively new feature that provides beginner investors with a better entry point into the market. Use these schemes to build a stable and growth-centric portfolio while avoiding the bulk of research and analysis required to make successful trades. Just choose the right investment scheme for yourself and you are done!
A final word on making the right choice
Choosing the most popular crypto exchange out there can be an easy task. Just look at trade volumes and select the one with the largest market share. But that may not serve your purpose. Convenience, Intuitive Interface, High-end security features, and a host of add-on services are necessary to make your investment journey worthwhile. Make sure you evaluate different exchange services based on the parameters listed in this article to select the one that works best for YOU rather than going with the one that is most in-demand.