In this guide, we review our five favourite crypto exchanges, taking into consideration pros, cons, features and user feedback.
Digital currencies are on a one-way road to mass adoption, but it can be hard to know which is the right exchange for you to buy, sell and trade your cryptoassets. In this guide, we review our top five crypto exchanges, taking into account pros, cons, features and user feedback. Whether you’re a seasoned trader or a beginner taking your first steps into the world of Web3 – let’s dive in.
1. Binance
Binance is the world’s largest crypto exchange by trading volume. It was founded in 2017 by Changpeng Zhao. It lists an impressive 350+ cryptocurrencies and offers spot trading, margin trading and futures trading. The exchange also has Binance Earn, a feature that allows users to earn passive income through staking, lending, and yield farming, as well as Binance Launchpad – a platform that lets users participate in token sales and Initial Coin Offerings (ICOs) for newly launched projects.
The pros
- Extensive selection of cryptocurrencies (350+), as well as good educational content and news feeds.
- As one of the largest cryptocurrency exchanges, Binance has the highest trading volume in the world, resulting in high liquidity and favourable prices.
- A selection of both basic and advanced trading features including margin trading, limit orders, stop-limit orders, market orders, and more, giving users good control over trading strategies.
- Binance regularly updates its security infrastructure and has robust security measures such as two-factor authentication (2FA), a withdrawal whitelist, and cold storage.
The cons
- Binance has struggled extensively with regulators, mainly in the US. This has led to constraints on location-specific platforms like Binance.US and Binance Australia.
- Unlike DEX platforms, Binance charges trading fees, which can be quite high for smaller traders.
2. Kraken
Kraken was one of the earliest centralised exchanges on the market, founded way back in 2011. Over the years, it’s earned a reputation as one of the safest and most reliable crypto platforms. It supports 220+ different coins to buy, sell, and trade, but it no longer offers staking services, following a brush with the SEC earlier this year. Kraken is highly liquid and has a beginner-friendly user interface, making it a good choice for both newbies and seasoned investors. For those requiring advanced trading strategies, Kraken Pro is a great option.
The pros
- Kraken has a strong reputation for its security measures and it’s never been hacked. The exchange uses cold storage for the majority of their funds and two-factor authentication (2FA) for user accounts.
- The exchange has a large selection of digital assets (220+), including stablecoins and fiat currencies.
- As one of the oldest exchanges, Kraken maintains high liquidity for major coins, ensuring that users can execute trades with minimal price slippage.
- Kraken provides advanced charting tools, market analysis, and order types, making it suitable for both beginners and experienced traders.
The cons
- While Kraken provides lots of avenues to access support, including live chat, phone and email, some users have complained that customer support can be slow.
- Fees can be high on the main platform, but they are lower on Kraken Pro. Fees are based on a user’s total trading volume over the past month.
3. Coinbase
Founded in 2012, Coinbase is one of the largest crypto exchanges with a total market value of over $13 billion. It’s also a publicly traded company (NASDAQ: COIN). Users can buy, sell, and store Bitcoin and 300+ altcoins on Coinbase, and it’s available in more than 100 countries. The exchange offers both custodial and non-custodial wallet options for storing crypto, and it’s a popular choice for first-time buyers. Much like Binance, Coinbase is very easy to use, but it has been subject to serious litigation with the SEC. This has led CEO Brian Armstrong to publicly call for crypto industry reform on several occasions.
Pros
- User funds are insured, and US dollar balances are stored in Federal Deposit Insurance Corporation (FDIC)-insured bank accounts to prevent a loss of funds in the case of a security breach
- The platform has a good range of funding options, including wire transfer and ACH transfer.
- Coinbase has a beginner-friendly interface that is similar to an online bank.
- Huge selection of coins with high liquidity.
Cons
- Staking features on Coinbase are somewhat limited, and the platform charges a steep 25% commission if you use their staking services.
- Fee structure is complex and expensive for simple trades, but fees vary based on transaction.
4. Gemini
New York-based crypto exchange Gemini was launched in 2014 by Tyler and Cameron Winklevoss. It’s one of the most secure exchanges on the market, and it provides hot wallet insurance to protect user funds in case of a security breach. It caters to both casual and advanced traders with a professional-grade trading dashboard, and it supports over 80 digital currencies and tokens.
Pros
- Security is unparalleled. Gemini is SOC 2-certified, indicating its adherence to stringent security and compliance standards verified by third-party auditors.
- Gemini has a highly rated mobile app that’s easy to navigate, making it easy to buy, sell or trade on the go.
- The platform is favourable for crypto-crypto trading, with more than 20 pairs.
Cons
- The altcoin selection on Gemini is lower than other exchanges such as Binance or Coinbase.
- Fees can be high compared with other exchanges (up to 1.49% on trades above $200).
5. Crypto.com
Founded in 2016, Singapore-based exchange Crypto.com is an all-in-one crypto platform. It supports more than 250 cryptocurrencies across 90 countries worldwide, and it offers a comprehensive selection of services including staking, buying, selling and trading. What makes Crypto.com unique is its MCO Visa Card (now known as the Crypto.com Visa Card), which allows users to spend their crypto assets at any merchant that accepts Visa cards with various cashback rewards for users.
Pros
- The mobile app is one of the most versatile, offering many of the features available on the web app, including the option to pay with crypto.
- The Visa card is highly attractive to those who want to spend their digital assets for daily use.
- Large selection of assets with a range of trading features including margin and derivatives trading.
- Benefits to users who stake the platform’s native token, Cronos (CRO).
Cons
- Users have complained that customer support can be slow or unresponsive (it has 2.1 out of 5 stars on Trustpilot).
- The interface is quite ‘busy’, which can be off-putting to newcomers.
Disclaimer: CryptoPlug does not recommend that any cryptocurrency should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.
