11 Best Crypto Exchanges For 2023
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Are you looking to find a suitable cryptocurrency exchange to buy or sell digital assets? We have reviewed, compared, and rated 100+ crypto exchanges, brokers, and platforms to find the top-rated and best crypto exchanges with the best selection of coins, markets to trade, lowest fees, and safe to use.
Best Crypto Exchanges In 2023
Based on our reviews, these are the best crypto platforms to use:
- Binance (best overall crypto exchange with low fees)
- ByBit (best for crypto margin and futures trading)
- Kraken (best for USA exchange for crypto traders)
- Coinbase (best crypto exchange for beginners)
- eToro (best for social and copy-trading)
- KuCoin (best crypto exchange with grid trading bots)
- MEXC (best for low-fee trading )
- PrimeXBT (best for trading crypto and traditional markets)
- OKX (best for international traders)
- Crypto.com (best for its mobile app)
- Bitfinex (best for crypto lending)
Cryptocurrency Exchanges Compared
| Exchange | Crypto Assets | Trading Fees | Rating | Promotion | Website | Review |
|---|---|---|---|---|---|---|
 Binance | 350 | 0.1% (spot) and 0.02% / 0.04% (Futures) | Rating    | Up to $100 welcome bonus | Visit Binance | Binance Review |
 ByBit | 331 (608 trading pairs) | 0% (spot), 0.06% / 0.01% (futures) | Rating | 0% trading fees for 30 days (spot only) | Visit ByBit | ByBit Review |
 Kraken | 222 | 0.16% (maker) and 0.26% (taker) | Rating | None available at this time | Visit Kraken | Kraken Review |
 Coinbase | 250+ | 0.4% (maker), 0.6% (taker) | Rating | $5 BTC bonus (USA only) | Visit Coinbase | Coinbase Review |
 eToro | 79 | 1% | Rating | None available at this time | Visit eToro eToro USA LLC; Investments are subject to market risk, including the possible loss of principal. Archived, "Virtual currencies are highly volatile. Your capital is at risk." | eToro Review |
 KuCoin | 806 | 0.1% | Rating | Up to 500 USDT in bonuses | Visit KuCoin | KuCoin Review |
 MEXC Global Exchange | 1521 | Spot: 0% (maker) / 0.2% (taker), Futures: 0.02% (maker) / 0.06% (taker) | Rating  | 10% discount on trading fees | Visit MEXC Globa... | MEXC Global Exchange Review |
 Prime XBT | 39 | 0.05% | Rating | None available at this time | Visit Prime XBT | Prime XBT Review |
 OKX | 349 | 0.08% (maker) / 0.10% (taker) | Rating | None available at this time | Visit OKX | OKX Review |
 Crypto.com | 229 | 0.075% | Rating | None available at this time | Visit Crypto.com | Crypto.com Review |
 Bitfinex | 188 | 0.1% Maker / 0.2% Taker | Rating | None available at this time | Visit Bitfinex | Bitfinex Review |
Best Cryptocurrency Exchanges Reviewed
1. Binance - Overall Best Crypto Exchange With Low Fees
Binance is the best all-around crypto trading platform available. With excellent liquidity, low fees, and a diverse set of features, Binance is suitable for investors and traders of all experience levels. The exchange is the largest exchange by volume and one of the world's most well-known trading platforms. Thanks to its accessibility and varied offerings, Binance is an attractive marketplace for buying, trading, and selling cryptocurrencies. More so, there is a $100 free welcome bonus for new users that create an account using our Binance referral code.
Binance is a centralized exchange packed with features suited to a broad range of investors. Binance's offerings are second to none for beginners and serious crypto traders. From earning interest on cryptocurrencies, staking, and liquidity farming, Binance has become an all-in-one digital exchange for all things crypto including a top DEX platform to exchange cryptos.
Available markets for traders include spot, margin, derivatives, leveraged tokens, and peer-to-peer markets. In total, more than 1,670 trading pairs across 367 supported coins can be bought and sold on Binance.
Moreover, Binance Futures supports 125x leverage trading on 256 trading pairs with a staggering $44 billion daily trading volume, more than double its closest competitor. With the expansive list of markets, users can find trading opportunities easily. Combined with its deep liquidity, Binance is a great choice for crypto trading.
Spot fees on Binance are 0.1%, with volume-based discounts available. Futures fees start at 0.0200%/0.0400% but vary based on market and volume. Additionally, there is a further discount of 25% for staking BNB tokens.
A reason why Binance is our top pick is the strength of its app. It's highly intuitive, easy to use, smooth, and can check live prices, execute orders, manage digital assets, and view P&L.
Unfortunately, Binance is unavailable in the USA. There is Binance.US which is licensed for the US market but is limited and doesn't have margin trading.
Binance is a well-rounded exchange with competitive fees and many valuable features. The platform uses an order book-based interface, making it simple for anyone with previous experience. Binance is worth checking out for anyone looking for an all-in-one trading platform and US residents not concerned with margin trading.
Binance Pros:
- Available worldwide
- All-in-one trading platform
- Low fees
Binance Cons:
- Binance.US has lots of restrictions
- May not be suitable for first time beginners
2. ByBit - Best Crypto Exchange For Margin Traders
ByBit offers up to 100x leverage across over 200 markets and is widely considered one of the best cryptocurrency exchanges for margin and derivative trading. Established in March 2018, Bybit has become one of the best crypto margin exchanges, with over 3 million users worldwide. It's fast order execution and reliability are a few reasons Bybit is a contender for the best margin trading platform.
https://bybit.comBybit allows users to buy and sell 317 cryptocurrencies using Bitcoin or USDT as the base currency. There is a fiat-to-crypto exchange that supports direct payments in USD, EUR, GBP, AUD, CAD, and AED, however, the payment methods and supported currencies are limited. Therefore, Bybit is best for existing crypto holders to swap for crypto-to-crypto or trade with high leverage.
Bybit fees for spot trading start at 0.1% and decrease with higher trading volumes for the month which is similar to Binance. For perpetual and futures trading, the transaction incurs 0.01% and 0.06% for maker and taker fees, respectively. In short, the fees are very competitive and offer good value for money for crypto investors.
Overall, Bybit has an easy-to-use platform for spot and leverage trading with low fees and excellent liquidity. The charting platform and Bybit app for placing traders are superior when compared to rival crypto exchanges. Moreover, there is a deposit bonus of up to $5,000 using a ByBit referral code. Follow the link for instructions.
ByBit Pros:
- Low trading fees
- Up to 100x leverage available
- Good variety of trading tools
ByBit Cons:
- Not available in the US
- Limited payment methods
3. Kraken - Best Crypto Exchange For USA Traders
Kraken earned its place on our list of the best cryptocurrency exchanges for its lack of restrictions imposed on US-based traders. Founded in 2011, licensed in the US and with over 9 million customers across 190 countries. Moreover, Kraken is a trusted exchange registered with FinCEN, FinTRAC, AUSTRAC, FCA, and FSA. As such, Kraken can operate as a crypto exchange in several countries, including the USA, Canada, and Australia.
Kraken is a professional platform for investors to buy Ethereum, Bitcoin, and other digital currencies. Touted as one of the most reliable crypto exchanges, Kraken has deep liquidity across its 222 coins and 96 derivative markets.
A simple user interface enables beginners to purchase crypto using fiat currencies, including USD, GBP, EUR, and AUD. Additionally, there are plenty of deposit methods for users in different countries to open an account for as little as $10.
For advanced traders, Kraken boasts useful cryptocurrency trading tools and automated portfolio monitoring. While basic in appearance, Kraken is reliable and stable. Additionally, it has a good selection of conditional orders, including Market, Limit, Stop loss, Take profit, and Stop loss limit.
The interface is simple and isn't visually appealing compared to other exchanges like Coinbase or Gemini. However, Kraken is a solid option for experienced crypto buyers and sellers focused more on function than form.
Kraken uses a maker-and-taker system with spot trading fees of 0.16% and 0.26% and future costs starting at 0.0200% / 0.0500%. In addition, volume-based discounts are available based on trading activity.
The low trading fees and lack of restrictions make Kraken well-suited to USA residents trading spot markets. The selection of assets is reasonable, although Kraken could be better for beginners looking for a fast and simple exchange. However, margin trading for USA customers is restricted to individuals with over $10 million.
Kraken Pros:
- No spot trading restrictions
- Registered in several jurisdictions
- Wide variety of payment methods
Kraken Cons:
- Margin restrictions for US residents
- Fewer cryptos than other exchanges
- Higher than average trading fees
4. Coinbase - Best Cryptocurrency Exchange For Beginners
While crypto exchanges can be challenging to get to grips with, Coinbase makes trading accessible for anyone with its easy-to-navigate interface and streamlined system for buying and selling crypto. Launched in 2012, Coinbase is one of the largest cryptocurrency exchanges in the world. Coinbase has revolutionized digital currency by providing a simple, reliable, and easy-to-use crypto exchange with staking functionality and educational resources fully accessible to US-based investors.
Due to its simple user interface, Coinbase is utilized by investors looking to build their first cryptocurrency portfolio. Despite being aimed at beginners, Coinbase is a versatile platform and is undoubtedly one of the best ways to buy Bitcoin and other cryptocurrencies for beginners.
Coinbase offers payment methods for different fiat currencies, such as USD, GBP, and EUR. Unfortunately, Coinbase has high deposit fees, which vary depending on region and payment method. Users can deposit via bank transfer or purchase cryptocurrencies using a bank card. However, card purchases incur a fee of 3.99%.
Coinbase offers an advanced trade platform ideal for cryptocurrency traders. Users can trade 242 cryptocurrencies against several fiat currencies and altcoins, with 600 trading pairs available. Additionally, Coinbase has deep liquidity, making the platform an excellent option for beginners and advanced traders.
A negative with Coinbase is the fees which start at 0.60% (taker) and 0.40% (maker) and reduce with trading volume. The fees on Coinbase are reasonable for higher volumes. However, for smaller investors, Coinbase is not the cheapest exchange.
While previously considered a beginner exchange, the inclusion of advanced trading features on Coinbase significantly boosts its usability. With that said, with high fees and limited cryptos, Coinbase remains primarily an easy-to-use exchange for novice investors.
Coinbase Pros:
- Good for beginners
- Has staking features
- Reliable, secure and regulated
Coinbase Cons:
- Higher trading fees
- Leverage trading not available
5. eToro - Best Crypto Platform For Copy-Traders
Social trading, sometimes called copy trading, has become popular, with eToro being touted as the premier option for this form of trading. As a result of its social focus, eToro, launched in 2007, has become an easy-to-use and community-driven crypto platform. Although eToro supported stocks, ETFs, indexes, commodities, and forex, the platform added the ability to buy and sell crypto in February 2017.
eToro USA LLC; Investments are subject to market risk, including the possible loss of principal. Archived, "Virtual currencies are highly volatile. Your capital is at risk."
eToro users can trade 72 cryptocurrencies and a plethora of traditional financial assets. However, while CFD-based instruments can be bought with leverage, crypto assets cannot. As such, traders looking for a high-leverage platform should look elsewhere.
The broker is suited for beginners that want to invest in different cryptocurrencies using a powerful and user-friendly platform. Like Coinbase, the ease of use and visual portfolio manager differentiates eToro from its competitors. There is even a crypto demo platform ideal for newer traders to become familiar with the platform and markets.
Getting started with eToro is straightforward; accounts can be funded using a bank or wire transfer with as little as USD $10. In addition, the platform offers an intuitive trading interface that includes real-time crypto market research & news, features, risk management tools, and a social network feed.
The most popular feature of eToro is its social aspects. eToro boasts the best copy trading crypto platform enabling users to join and connect with others to share ideas and strategies. There is even the option to mirror the trades of other users. With a minimum deposit of $200 to start copy trading eToro is an inexpensive way to learn from the best investors.
Disclaimer: Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.Beyond buying and selling crypto, eToro has a crypto staking service for individuals to boost their holdings passively. Some of the most popular staking coins on eToro include Cardano (ADA), Tron (TRX), and Ethereum. With eToro charging just a 10% fee on staking rewards, it's one of the best crypto staking platforms on the market.
As a cryptocurrency brokerage, eToro’s fees are slightly higher than competitors. eToro charges a flat 1% fee for buying and selling cryptocurrency. This fee is in addition to the spread, which varies based on the supported crypto assets. Compared to others, the eToro fee is a little higher than exchanges like Binance and Coinbase.
eToro is an easy-to-use crypto exchange available without restrictions to US residents. Furthermore, its social trading features make eToro an excellent option for users without much experience looking to start trading.
eToro Pros:
- Easy to use
- Advanced social trading features
- Support for staking
eToro Cons:
- High fees
- Limited range of cryptocurrencies
6. KuCoin - Best Crypto Exchange For Bot Trading
KuCoin is one of the foremost crypto exchanges in terms of automation tools and supported assets, making it a worthy addition to our list of the best crypto exchanges. It's an established exchange for trading crypto and is supported in 200+ countries. At the time of writing, the platform has a daily trading volume of over $700 million.
The exchange supports users from all over the world and accepts 48 fiat currencies such as USD, AUD, GBP, EUR, and CNY. According to CoinMarketCap.com, KuCoin exchange is one of the best altcoin exchanges based on traffic, liquidity, and overall high volume traded on its spot market.
There are currently 806 supported coins and 1,429 trading pairs to speculate on across several markets, including spot, margin, derivatives, and leveraged tokens, to name a few.
Spot trading fees on KuCoin are very reasonable at 0.1% per transaction, with volume-based discounts available on top of a 20% reduction when paid using KuCoin's native KCS token. Futures trading is also reasonably priced at 0.02% (maker) and 0.06% (taker) per transaction.
In addition, KuCoin is one of the few centralized crypto exchanges that feature in-built automated trading strategies and bots. Users can select trading robots that automate some of the best crypto trading bot strategies, such as spot grid, smart rebalance, dollar-cost-averaging, and infinity grid. The performance of accounts using the bots is shown across each trading pair.
KuCoin grid trading and bots.A negative of the KuCoin crypto exchange is it's not licensed in the United States. As such, residents in the US will only be able to access some of the products and services offered by KuCoin. Furthermore, the exchange has a lot going on, potentially making it difficult for new users to get to grips with KuCoin.
Despite some restrictions for US-based users, KuCoin is a great trading platform for those in other regions to speculate on crypto. Furthermore, its range of automated trading bots is an excellent addition and will likely appeal to traders aiming to streamline their workflow.
KuCoin Pros:
- In-built trading bots
- Competitive fees
- Large selection of coins
KuCoin Cons:
- Complicated user interface
- Restrictions for US traders
7. MEXC - Best for Low-Fee Trading
MEXC offers fee-free trading when using maker orders, making it one of the most cost-effective trading platforms for savvy traders. Launched in 2018, MEXC is a centralized crypto exchange based in Seychelles. Primarily operating as a derivatives exchange, MEXC has done well to attain over 6 million users spread across 200 countries.
https://mexc.com/Although the exchange is centered around trading, MEXC offers copy trading, demo trading, automated trading bots, and even a demo account for new users. As such, MEXC is a well-rounded platform with features likely to appeal to investors of all preferences.
MEXC provides access to USD-M and Coin-M perpetual futures contracts, leveraged ETFs, and margin trading. Spot customers can trade an outstanding 1,521 unique cryptocurrencies and 1,811 pairs with up to 200x leverage. Additionally, MEXC supports 129 markets for derivatives trading.
As MEXC utilizes the standard order book-based interface and TradingView for its charting tools, the exchange will be easy to navigate for anyone with prior trading experience. However, due to the lack of a simple or lite mode, MEXC could be somewhat tricky to get acquainted with for a beginner.
The highlight of the MEXC exchange is its trading fees. With no maker fees, customers can place limit orders free of charge in both spot and futures markets. However, taker orders still incur a small fee, with spot trades priced at 0.1% and futures trades costing 0.03%.
With no restrictions for US-based customers, MEXC is an excellent platform for active traders. Although the exchange lacks features like crypto loans or staking, its no-fee maker orders make it ideal for experienced traders trying to maximize their returns.
MEXC Pros:
- Zero-fee trading on spot pairs
- Variety of trading tools for serious traders
- Excellent range of supported markets
MEXC Cons:
- Can be confusing for beginners
- Not as reputable as larger exchanges
8. PrimeXBT - Best for Trading Crypto and Traditional Markets
PrimeXBT provides margin trading capabilities across a mixture of cryptocurrency and traditional markets like stocks and commodities. Founded in 2018, PrimeXBT quickly garnered attraction from traders for its modern interface and range of financial instruments. Today, the exchange provides access to the financial markets for hundreds of thousands of users worldwide. Unfortunately, however, the platform is unavailable to US residents.
https://primexbt.comOutside of its trading capabilities, PrimeXBT only offers copy trading and trading contests, making it a fairly basic platform. Additionally, while the exchange supports 107 tradable assets, only 39 are cryptocurrencies. However, the limited range of assets is offset somewhat by PrimeXBT offering 1000:1 leverage on CFDs.
The exchange boasts a modern and intuitive interface that is a treat to use. Furthermore, the in-built charting software is easy to read and highly customizable, making it perfect for technical traders.
While the base cost for opening/closing a poison on PrimeXBT is 0.05%, fees on the exchange are charged whenever a position is opened and closed, doubling the effective rate. Nevertheless, PrimeXBT is an excellent platform for active traders thanks to its diverse range of markets and massive leverage capabilities.
PrimeXBT Pros:
- Up to 1000:1 leverage
- Wide range of financial markets
- Advanced charting terminal
PrimeXBT Cons:
- Limited range of crypto assets
- Above market trading fees
9. OKX - Best for International Traders
Thanks to its diverse set of features and supporting almost 100 fiat currencies, OKX is worthy of consideration for international users looking to trade with their native money. Formally OKEx, OKX is a popular crypto trading platform located in Seychelles. The exchange has been running since 2017 and is home to 20 million crypto enthusiasts, gaining widespread attention thanks to its accessibility and competitive fees.
https://www.okex.com/OKX is an all-in-one crypto platform, with its customers able to access crypto loans, staking, copy trading, and a well-used P2P crypto marketplace. Furthermore, customers can spot-trade 349 crypto assets, 789 pairs, and 183 derivates markets.
For beginners and experienced traders, OKX is very accessible thanks to its TradingView integration and instant buy/convert features. Additionally, the site is easy to navigate as core features are highlighted clearly. Furthermore, the platform is cost-effective, with spot fees of 0.08% and 0.1% (maker/taker). Derivatives trading is charged at 0.02% and 0.05%.
OKX is a feature-rich trading platform with competitive fees and an impressive array of assets. However, as the exchange is unavailable in the US, it's only suitable for international traders looking for an alternative to platforms like Binance.
OKX Pros:
- Competitive fees
- Wide range of trading pairs
- Good support for fiat currencies
OKX Cons:
- Unavailable in the US
10. Crypto.com - Best For Cryptocurrency Exchange App
For on-the-go investors, Crypto.com offers mobile apps designed for beginners and experienced traders. Combined with its wide range of features, the platform is worthy of consideration for people that frequently travel. With over 50 million customers worldwide, Crypto.com is supported in 49 US states. Crypto.com is known for its range of features, including the ability to increase holdings passively through staking, loan cash using crypto, and spend crypto with a debit card.
It's important to note that Crypto.com is split into a mobile app with card management and basic buying/selling functionality and an exchange that offers advanced trading features.
Crypto.com users can trade over 229 cryptos across 518 markets, with the exchange frequently running promotions enabling users to trade crypto with zero fees. Moreover, Crypto.com can be used in over 100 countries with 20+ fiat currencies. Several payment methods are available, including bank transfers and credit/debit cards.
The Crypto.com app is highly visual and easy to use, making it suitable for all crypto investors to access, manage, and view funds anytime. Moreover, there is even an in-built crypto tax software to help with reporting to the IRS.
Crypto.com is one of the best places to earn interest on crypto and grow portfolios with minimal effort. It offers up to 1.5% per annum on Bitcoin, Ethereum (2%), and 4.5% on stablecoins such as USDC. Over 20 cryptocurrencies are available to earn crypto interest, with rewards paid weekly directly into the user's wallet.
The fees on Crypto.com Exchange are some of the best in the industry at just 0.075% on spot trades. Additionally, the exchange supports derivatives trading for 0.0170% (maker) and 0.0340% per transaction.
The Crypto.com Exchange is sophisticated and includes the best charting software. Furthermore, the spot trading fees are some of the lowest in the industry. With the Crypto.com Exchange now available on mobile, few exchanges can compete with its on-the-go trading capabilities.
Crypto.com Pros:
- Excellent mobile app
- Low trading fees
- Good selection of features
Crypto.com Cons:
- Complicated with split platforms for app, wallet and exchange
- Staking rewards change frequently
11. Bitfinex - Best Long-Standing Crypto Exchange
Despite being relatively limited in functionality, Bitfinex has been running since 2012 and facilitates spot and derivatives trading for over 2 million users. While Bitfinex is renowned for its trading capabilities, its advanced crypto loan and lending system set it apart from other crypto exchanges.
https://www.bitfinex.com/Although Bitfinex could benefit from adding a central hub, trading and lending on the platform are relatively straightforward as they're conducted via an order book interface. On Bitfinex, Customers can trade 188 unique cryptocurrencies and access 31 derivative markets.
Trading fees on Bitfinex are on the higher side, with spot transactions priced at 0.1% and 0.2% (maker/taker). The story is similar for derivatives, with the exchange sharing a maker/taker fee of 0.02% and 0.0650%.
Unfortunately, US residents are prohibited from using Bitfinex. Combine this fact with Bitifne'x higher than usual trading fees, and while a solid exchange, we can only recommend it for international investors looking to branch into crypto lending.
Bitfinex Pros:
- Well-established and secure exchange
- Good for lending and funding rewards
Bitfinex Cons:
- High trading fees
- Limited supported assets
How To Pick A Crypto Exchange
When looking for the best way to buy crypto, it is important to access the following criteria to help the decision-making process. Several factors should be considered such as availability, compliance with regulation, ease of use, supported assets, funding methods, fees, security, and customer support.
Available in multiple countries
The larger cryptocurrency exchanges are available worldwide and offer their services to several jurisdictions. However, there are country-specific exchanges that only offer their services to a specific country. There are advantages and disadvantages of using an international exchange versus a local exchange. For example, country-specific exchanges will provide multiple payment methods, and in the local currency. Whereas a global exchange will engage a 3rd party which can incur higher fees. To help, we have compiled a list of the best exchanges within specific countries to help you compare and choose the right option:
- Best crypto exchanges in Canada
- Best crypto exchanges in the UK
- Best crypto exchanges in Australia
- Best crypto exchanges in New Zealand
- Best crypto exchanges in South Africa
- Best crypto exchanges in Singapore
- Best crypto exchanges in the Philippines
Trusted and regulated exchange
Crypto exchanges are not supported in certain countries due to regulations. Therefore the individuals should check the exchange to see which countries are accepted and whether they are licensed by the financial authorities within the country. For instance, the United States enforces one of the world's highest standards of financial laws and regulations that govern. Therefore, global crypto exchanges that are licensed in the USA are a good bet.
Easy to use
An important consideration for beginners that have limited experience using an exchange, broker, or trading platform. New investors looking to convert fiat currency to cryptocurrencies are better suited to using a simple and quick user interface on a desktop or a mobile app. Centralized exchanges typically are better suited for first-time crypto investors compared to decentralized exchanges.
Good selection of crypto assets
Bitcoin is widely available on the vast majority of digital currency platforms. However, there are thousands of cryptocurrencies that have become popular for their use-case or speculative nature. Investors that are looking to diversify into other coins should pick crypto exchanges with a large number of supported coins and trading pairs. Some of the best crypto exchanges with a large number of coins include Binance and KuCoin.
Variety of payment methods
The availability of supported payment methods to fund an account should be at the forefront of new investors in the USA. Our rating checks the deposit methods available for residents in the USA using USD. For example, one of the quickest and most accessible deposit options is using a bank transfer via a US bank account. Alternative methods for US customers include buying crypto with a credit card and debit card.
Withdraw cash to bank account
Not all cryptocurrency exchanges allow the withdrawal of USD to a bank account. This is an important feature for investors that will eventually cash out of their investment. Regulated crypto exchanges based in the USA will allow selling Bitcoin to USD.
Competitive fees
There are several different fee structures to be aware of when using crypto exchanges. There are fees to deposit USD, withdraw cash or crypto and trade between assets. Crypto exchanges also charge a spread fee which is often a 'hidden cost' and not fully disclosed. Moreover, there can be crypto withdrawal fees to transfer to a personal wallet.
High security measures and proof-of-reserves
The risk of online scams, fraud and theft is a major concern in the blockchain community. Crypto exchanges should have common security measures including cold wallet storage, multi-signature withdrawal process and two-factor authentication (2FA). Moreover, the exchange should disclose full transparency and make public their proof of reserve of customer cold wallets.
Responsive customer support
Check the website to find out what communication methods are available to support users that need troubleshooting advice or assistance on the exchange. Some crypto exchanges will provide comprehensive FAQ's and How-To-Guides which are useful for beginners. 24/7 customer service desk via live chat with a real person is the best form of support.
Where To Store Cryptocurrency
Storing cryptocurrency on a US cryptocurrency trading exchange can be risky. The security of the asset is left to the exchange and can be vulnerable to hacks and theft with multiple exchange hacks occurring each year. This means it is not possible for hackers to steal Bitcoin unless they have access to private keys. Even if the cold storage wallet is damaged, lost, or stolen, the funds can be accessed using a variety of backup options such as using a recovery phrase.
Hardware wallets provide an airlock between internet-connected devices and access to the asset. The private keys which give the right to access the cryptocurrency (send, transfer and receive) are stored in the wallet as opposed to a trading exchange. Other types of wallets include mobile apps and desktop wallets which are more convenient to use but do not have the same high level of security. To find out which wallet is best to use, read our comparison of the best crypto wallets based on our reviews.
Frequently Asked Questions
There are still incidents of cryptocurrency exchanges being hacked resulted in the theft of funds. It is not 100% safe to store crypto assets on an exchange, regardless of the security measures in place. The largest cryptocurrency exchanges do have bank-like security features in place to keep the risk extremely low, however the best place to store Bitcoin and crypto is within your own custody using a cold storage wallet.
Like most countries in the world, the USA Government does not consider Bitcoin or crypto illegal, meaning it can be bought and sold on exchanges if proper anti-fraud measures are adhered to. While the US Treasury Department's Financial Crimes Enforcement Network (FINCEN) have stated that is it legal to purchase Bitcoins, it's status as money or a commodity differs across states within the USA. Customers will need to check the legal status of crypto within their respective state before investing.
The best way for individuals to get cryptocurrency in the United States is to use licensed crypto exchanges that are regulated in the U.S state of the customer's residence. Using an exchange that is regulated by local authorities reduces the risk of fraudulent activity as the platform must adhere to strict requirements imposed by the Government.
Trading and holding Bitcoin and cryptocurrencies are taxable assets under the US Federal laws. Any sale of cryptocurrencies is considered a capital gains event and the profit or loss must be declared as part of an individual or company tax return. Taxable actions include digital assets bought, traded and sold on exchanges, mined, used to pay for things and earned through crypto interest savings accounts.
Conclusion
To conclude our article on the best crypto exchanges, it is recommended to stick with a well-established, reputable, and trusted exchange. In particular, finding crypto exchange platforms with low fees, excellent security, a wide range of supported assets and responsive customer services are important considerations.
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