from origin to trading platforms — YubiGeek

The first decentralized digital currency was Bitcoin, created in 2009. Since then, many other cryptocurrencies have emerged. They are often referred to as altcoins, or alternatives to Bitcoin. Examples of altcoins are Ethereum, Ripple and Litecoin.

Cryptocurrencies are often traded on online platforms and can also be used to purchase goods or services. So where can you trade cryptocurrency these days? Our answer here!

The rise of cryptocurrencies

Story

Cryptocurrencies have only been around for about 15 years, but they have already made a lot of noise. Bitcoin, the first and best-known cryptocurrency, was created in 2009 in response to the global financial crisis. It is designed as a decentralized, peer-to-peer alternative to traditional fiat currencies.

The reason for its establishment was to take power away from central authorities, such as banks and governments. Bitcoin was also intended to be a more efficient way to transact, as it eliminates the need for intermediaries such as banks or credit card companies.

Evolution

It was not surprising then to see the number of crypto currencies explode. There are more than 5,000 different types of cryptocurrencies today, with a total market cap of over $1 trillion.

What drove this boom?

The growth of cryptocurrencies is explained by several factors. First, there were more and more people who wanted to invest in cryptocurrencies. This is due to the growing awareness of the potential of these assets, as well as the growing number of success stories.

Second, the development of new technologies has made it easier for people to invest in cryptocurrencies. In particular, the rise of blockchain has made it possible to create and trade cryptocurrencies without relying on a central authority.

Finally, the economic environment has been favorable for the growth of cryptocurrencies. With interest rates at historic lows and traditional investments having lost their luster, more and more people have turned to alternative investments, such as cryptocurrencies. Is this still the case today? Find a suggested answer in this article.

At the same time, many crypto trading platforms have appeared. Let’s analyze this “exchange place” for cryptocurrencies in more detail.

Crypto Trading Platforms

Definition

Cryptocurrency exchanges are websites that allow you to buy, sell or trade digital currencies. These platforms usually charge a fee for each transaction. Some of the most popular cryptocurrency exchanges are Coinbase, Kraken, and Binance.

When choosing a cryptocurrency exchange platform, it is important to consider several factors.

The determining factors

You will discover in this section a non-exhaustive list of determining factors. We are thinking in particular of the quality of the trading application, which could not be addressed here.

Expenses

The fees charged by a platform can vary depending on the type of transaction. For example, buying and selling bitcoin on Coinbase charges a 1.49% fee. However, if you trade other altcoins on the same platform, different fees may apply.

Some of the most common fees are:

  • Trading Fee: Charged when you buy or sell cryptocurrencies on the platform
  • Withdrawal Fee: Charged when you withdraw funds from the platform to your personal wallet
  • Deposit Fee: Applied when you deposit money on the platform

Safety and reliability

When choosing a cryptocurrency trading platform, it is important to consider the security and reliability of the site. This is especially important if you store large amounts of digital currencies on the platform. For example, some things to note are two-factor authentication and SSL encryption.

efficiency

The effectiveness of a platform is measured by how quickly you can buy, sell or trade digital currencies. A good platform should also have these several key points:

  • User-friendly and easy-to-navigate interface
  • Menu with all options available and easily accessible
  • List of all digital currencies available on the platform

Customer service

Before making your choice of platform, it is essential to evaluate the customer support offered. This is especially important if you are new to digital currency trading. A good platform should have a FAQ section and 24/7 customer support.

Top 3 Crypto Trading Platforms

When it comes to trading cryptocurrencies, there are a number of different platforms that you can choose from. Each platform has its own unique features and benefits, so it’s important to choose the platform that best suits your needs. Here’s our pick of the moment.

1. Coinbase

Founded in 2012, Coinbase is one of the most popular digital currency exchanges. It allows users to buy and sell cryptocurrencies and store currency in an online wallet. It has an interface suitable for any profile and is known for its high security.

Coinbase also offers a mobile app that makes exchanging digital currencies on the go even more convenient. It also includes a feature called GDAX, which allows users to trade cryptocurrencies on a more advanced exchange.

However, one of the drawbacks of Coinbase is that it only supports the following currencies:

  • Bitcoin
  • Ethereum
  • Litecoin
  • bitcoin cash

2. Cracking

Kraken is another popular cryptocurrency trading platform that also offers a very efficient interface. It supports a wide range of digital currencies, including Bitcoin, Ethereum, Litecoin, Monero, and Zcash. Kraken also has a remote trading mobile application.

One of the main advantages of using Kraken is that it offers low transaction fees (1.5%) and free deposit fees.

The only downside is that the platform can be difficult for a beginner to handle.

3. Binance

Binance is one of the newest players in the digital currency market as it was only founded in 2017. Despite this, it has quickly become one of the most active cryptocurrencies with over 60 digital currencies on offer.

Binance has a very user-friendly interface and also offers a mobile app for convenience. It also has low transaction fees and is one of the fastest growing platforms in the industry.

The only downside to Binance is that it does not offer Fiat-Crypto pairs, which means that users can only trade digital currencies on the platform.

The conclusion

The number of cryptocurrencies skyrocketed once the famous Bitcoin was created. We had to find an exchange place, materialized itself by crypto trading platforms.

The choice of the right trading platform therefore proved decisive. Outside of our selection, each platform has its own pros and cons. These are similar to your cryptocurrency investor profile. Finally, it seems important to remember that there is no “perfect” platform and each of them has its own features.

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