As simple as cryptocurrency exchanges are in concept, there’s actually a wide variety of distinctions between the now close to countless options out there. In other words, they may be easy to understand and use, but finding one that’s right for you can be a touch more complicated. This is not because of a lack of good options, but rather an overabundance of them, meaning knowing where to look can sometimes feel overwhelming. We, at TradersBest, have prepared a guide to help you make a better informed decision.
Who should make use of the comparison?
Well, the first place to start is with people who are interested in cryptocurrencies. Many people are understandably concerned about online security, and utilising a currency which allows you to remain both secure and anonymous is a big step in the right direction.
Another reason might simply be the amount of choice that using cryptocurrencies can open up. An obvious example of this in practise is in countries where residents have to use offshore operators in order to bet online.
Speaking of choice, this is often a big part of the reason people go with bitcoin exchange to cash specifically, because this is the most popular cryptocurrency in the world by a very large margin. With that popularity comes a much wider variety of options for which it can be utilised.
Of course, many people reading this will not only be interested in bitcoin, but will have already made their mind up and are looking for a guide on the best bitcoin exchange sites to ensure the best possible experience. Not only are we going to tell you exactly what criteria we utilise to make sure all our recommendations meet the highest of standards, but we’re going to show you that finding a quality cryptocurrency exchange doesn’t require you to have an encyclopedic understanding of crypto cloud mining sites to do so.
Exchange Checklist: Top 5 steps for a secure & fair experience
Considering that bitcoin really is all about security, it makes sense that your cryptocurrency exchange also offers the highest possible levels of protection. Online, of course, there’s always bad sites trying to take advantage of people alongside the many legitimate options, and this is no different with bitcoin exchanges lists.
That’s why here we’re going to go through the five steps we undertake to ensure you get a fair and secure online experience.
Check their reputation and history
The thing about bitcoin exchanges is they’re often not subject to the same levels of external scrutiny as many other industries. This, unfortunately, comes part and parcel of being such a new form of currency, especially one which doesn’t exist within traditional borders. For this reason, the reputation and reviews of cryptocurrency exchanges becomes of prime importance.
They’re perhaps the most concrete way we can get a conclusive idea of how other people have experienced that particular cryptocurrency exchange, and whether there’s anything we should be concerned about. This approach can also be bolstered, when possible, by looking at the history of the best exchanges for bitcoin to see if we can learn anything there.
Look at the fairness of their fees
One of the biggest selling points – and key areas of fairness – is fees. Now, this is a little different to the other checks we make in this regard, which we’ll go into later, as not all bitcoin exchanges utilise the same model.
What we’re simply looking at here is whether the money they’re asking for is fair when you consider what else is out there. In other words, is it competitive and can be considered to represent serious value?
See if they’ve been audited
While there isn’t as much pressure on bitcoin exchanges to prove their legitimacy as some would like, plenty on our best cryptocurrency exchanges list have actually taken it upon themselves to get audited.
Take Coinbase, for instance. They undergo regular financial and security audits by external firms. This reassures customers that they’re providing exactly what they claim to and that when you use their service, you can have outside proof of their claims. That’s just one example and plenty of people think this should become more common, so it’s not found everywhere, but it’s a useful tool to self-regulate and self-prove safety credentials.
Review customer service options
Just like all other good businesses, a bitcoin exchange for cash should have customer service options should there be any issues while you’re using their service. Alongside a Help section – which are especially necessary for the more technically complicated questions – it’s vital that there are actual representatives of that cryptocurrency exchange who are there just in case. There’s nothing worse than being left in the dark, with no one to contact when you have an issue.
Look for insurance protection
As great as cryptocurrencies can be, there are always risks involved. That’s why we check every bitcoin exchange we review to make sure their funds are backed up and insured. This means that should the worst should occur, you should still be able to get your money back safely.
The most obvious reason for insurance is against theft and hacking, as several high profile examples have put bitcoin exchanges on notice that this is to be taken seriously. Insuring not only protects them and you, but also shows they’re doing everything they can to remain responsible in a world that’s had to predict.
Editor’s recommendation – the best exchange
One thing that’s really important to understand is, although there absolutely is such a thing as good and bad bitcoin exchanges, that doesn’t mean there’s one that’s definitely better than the rest. That’s because, even when it comes to something as relatively simple as a bitcoin exchanages list, there can actually be quite a lot of differences between them.
Some things, like having better security, can objectively make one better than another. However, when it comes to their target audience, for instance, some are aimed at more casual users whereas others assume a larger level of base knowledge.
Therefore, one may not necessarily be better than another: it’s more that they have different target audiences, meaning one may be better for your individual needs. This is exacerbated when you consider cryptocurrency exchanges with many different cryptocurrency options, as the target audience is naturally dictated by what’s available.
This is how our experts test exchanges
We’ve gone through the steps we advise everyone does to ensure the security of their bitcoin exchange. However, it’s important for you to know what we do in order to check our recommendations meet the highest possible standards, from bookmakers to cryptocurrency exchanges. That way, you know everything you see here meets a vital level of quality.
1. Research the site’s security
This covers a bunch of the things we discussed previously, like checking their history, the reputation and whether they’ve been audited and have insurance. That latter point requires a little more detail but the first step is ensuring it’s available in the first place. This is for the same reasons we advised earlier: security and fairness, and is something we recommend you do as part of your own research too.
Part of that research is also checking for customer service options. Once again, we go one step further and actually try it out ourselves to see the quality and speed of the responses.
3. Test the site design
This probably isn’t the most important check, however, we aren’t just looking to recommend good sites but the top cryptocurrency exchanges. This includes sites that meet our aesthetic standards, although personal opinions regarding style are, of course, down to you.
4. Review the structure and ease of use
When you match good site aesthetics with a quality structure, the ease of use can be vastly improved. Cryptocurrency in general is something people worry will involve a lot of messing around, so we always check to see everything is made as easy as possible.
5. Ensure there’s no technical issues
The final part of our design tests is checking technical issues. Alongside reviewing any technical issues mentioned in customer feedback, we also note any issues during our investigation as well, as this can severely impact the user experience.
6. See what cryptocurrencies are available
We are, of course, primarily focused on bitcoin exchanges here but that doesn’t mean we don’t consider other cryptocurrencies in our recommendations. We understand people have a wide variety of needs and may even be using multiple options, so we always consider any and all additions as a bonus.
7. Check out the fees
We already mentioned that you should check for fees to ensure they’re fair and competitive – and indeed, that is the case – but it’s also important for us to see how these fees are laid out and whether this impacts who the exchange is aimed at. For instance, some provide benefits to longer-term customers whereas others keep things simpler for a more casual user base.
8. Consider who is the target user
Following on from our last point, we use everything that we’ve looked at so far to see who we think the target audience here is. We then tailor our reviews to ensure whoever reading it can get a good impression, not just of how good the site is but also how good it is for them.
9. Look for mass appeal and variety
While we can explain as best as possible who we think the target user is, in terms of coming up with an overall idea of how highly to recommend that cryptocurrency exchange, we can only go by what sites we think will appeal to the most. The more variety and the more mass appeal, the better, but that doesn’t mean niche sites don’t have their place too.
10. Analyse the insurance policy
While we’d obviously prefer every bitcoin exchange to have an insurance policy of some kind, this is again another example where the devil is in the details. So, we’ll be taking a deeper look to ensure this has legitimate value to the user.
Finding the right exchange for you
We’ve made a big point about how some exchanges may be better for certain people than others. It all depends on personal needs and preferences. Even something as simple as preferring a design style can affect the quality of your experience, and with so much choice out there, why settle for less?
If you’re wondering how to find not just the best cryptocurrency exchanges but the best exchange for you, we recommend using our reviews and recommendations as a platform. You can be assured that you’re getting a high level of quality, so you can focus on what you want – whether that’s bitcoin exchange to dollar, bitcoin exchanges to Euro, alongside various bitcoin exchanges prices.
Consider whether you’re able to take advantage over any benefits for long-term users, whether you’re a beginner or more advanced user of these exchanges, whether it’s available in your language, or whether you may be more interested in trading apps, to give but a few examples. We can only point you in the right direction: deciding what you want is up to you.
One of the most important things we want you to take from this examination into bitcoin exchanges is that they, much like everything else cryptocurrency related, really do not require some kind of deep understanding of crypto trading to actually use. The reality is that this is as simple as buying and selling – just as using a wallet is really little different to having a banking account. Thinking that you would need to understand the intricacies of the technological side of things is like thinking you need a degree in economics to go to the shop.
Don’t get us wrong, you can go as deep as you want in terms of intricacy and technicality, but if you are someone who just wants to keep things simple, there’s plenty for you here.