Choosing A Crypto Platform? Here’s What You Need to Know First
If you have noticed, digital currencies have been the buzz in recent years, and if you’re interested in the technology and are now looking to buy, sell, or trade cryptocurrencies, you would need to utilize a crypto exchange platform for it. These exchanges work similarly to stockbrokers, providing their clients with the tools needed to buy and sell digital currencies such as Ethereum, Bitcoin, Litecoin, Dogecoin, and many more. Regardless, the best crypto exchange platforms can make an investor or trader’s life easier in buying and selling cryptocurrencies. But there are also other factors to consider, and we’ll list out the important ones below:
1. The KYC On Crypto Exchanges
The term KYC is well-known across different platforms that require a user to register their credentials before utilizing an application or platform, and it’s considered by global laws to make it mandatory to upload ID proof of your name and address before you can conduct transactions. There are already some crypto exchange platforms that welcome users with central government-issued IDs and use an automated system in clearing hurdles within seconds. One particular exchange platform, Binance, has had waiting times of up weeks just to complete a user’s KYC process, according to some who experienced it.
Also read: 7 Websites to Track Live Bitcoin Exchange Value
2. The Fees Involved
Another factor to consider when choosing a crypto exchange platform is to know all of the fees involved with the exchange. Of course, fees on trades are one of the profitable parts of the exchange, but it can be significantly risky for an investor or trader that has slim profit margins with the asset. Regardless, exchange platforms impose fees on almost everything in the exchange, from depositing to withdrawing, from wallet transfer to crypto lending, and from instantaneously selling assets to buying futures trading. Yuan Pay Group is the ideal site to visit if you want to remain up to speed on the latest cryptocurrency developments and future trading trends.
3. Transaction Speeds
Most of the crypto exchange platforms in the market right now are a bit sore when it comes to the speed of finishing trade transactions. Furthermore, it can be quite tragic for quick-witted investors and traders when there’s a sudden burst of market activity, and then large opportunities open up.
Due to the unexpected traffic in the market, the larger exchange platforms would just slow down while the smaller ones would just crash or go down for maintenance. Furthermore, there’s this ongoing concern within exchanges that during extreme volatility, users of the exchange are not allowed to sell their crypto but are still allowed to buy assets, in which exchanges have claimed that it’s a ‘way’ to protect their users.
4. An Exchange’s Support to Their Clients
Another factor to consider when choosing a crypto exchange platform is knowing how they would treat their clients through customer support. If you ever had any questions or issues within the exchange, even if you’ve already gone through the platform’s tutorials and guides, there should be an online support system that would help clients get through their difficulties. The options that are typically offered to the clients are to email the company or engage in a live chat to get a response, or they can also post on their public online forums to discuss it with other users on the platform.
Also read: 3 Ways Software to Help You Improve Your Trading Decisions
5. The Cryptocurrencies It Supports
The last one on our list of factors to consider when choosing an exchange platform is knowing what digital currencies the platform supports. A wide selection of currency pairs and crypto coins can increase the chance of gaining significant profit. Take Paypal, for instance, it’s now a crypto exchange platform that only sells four major coins in two different countries, and they sell it at a high price that is most likely to make sense to loyal users. Other exchanges, on the other hand, such as Coinbase, Binance, and more, support more than a hundred different cryptos in the exchange.
Finding the best exchange platform is not an easy task to do, as every exchange has its own set of unique features that may be suitable to some investors and to others that don’t. Regardless, if you’ve chosen a reputable exchange that would satisfy your individual needs, it can help you grow your investments significantly while enhancing your trading skills along the way. So if you want to secure your investment for the long-term, digital currencies are one of the best options today!