The Top Cryptocurrency Exchanges: A Comprehensive Comparison

Cryptocurrency exchanges provide all the necessary tools to aid your trading and investing in cryptocurrencies. This article provides a comprehensive comparison of top Cryptocurrency exchanges. 

While traditional and conventional forms of investment have always been the first and safest choice for investors, there has recently been a massive movement in interest among investors to virtual currency.

When Bitcoin is at an all-time high, Ethereum is at an all-time high, or the Dogecoin mania sweeps Twitter, such developments often entice crypto enthusiasts to try their hand at crypto trading and make a fortune by investing in cryptocurrencies.

Because of the widespread use of cryptocurrencies globally, the number of cryptocurrency exchanges has rapidly increased, allowing traders/investors to buy and sell digital currencies on their platforms. 

Coinmarketcap is the most-referenced cryptocurrency price-tracking website, tracks 235 crypto exchanges.

However, because the crypto sector is unregulated and still in its early stages, it is critical for investors to discern between trustworthy cryptocurrency exchanges and fraudulent ones to avoid falling victim to any of the unprecedented crypto scams or frauds.

Cryptocurrency exchanges work a lot like other central exchanges, like regular web brokerages. You can buy, sell, and invest in cryptocurrencies like Bitcoin, Ethereum, and Dogecoin on these sites. 

Many crypto markets offer extra ways to invest in Crypto, like staking, lending, and digital asset custody, in addition to a safe place to buy and sell digital currencies and tokens. 

How does Cryptocurrency Exchange Work?

Both centralized and decentralized cryptocurrency exchanges are in their infancy. Their entire operation is predicated on bringing together satisfied customers and merchants. 

Creating an account with a cryptocurrency exchange enables you to purchase and sell Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), Cardano (ADA), Dogecoin (DOGE), and many more cryptocurrencies.

To participate in transactions on cryptocurrency exchanges,  investors must first register and pass the KYC procedure. 

After a user creates an account and passes verification, they can add funds in the form of any digital currency to the site.

So, let’s say you’re interested in making your first Crypto purchase using a Crypto exchange.

Find a reliable cryptocurrency exchange to store your coins on. The next step is to sign up and create an account with the exchange. 

The next step is depositing traditional currency or cryptocurrency into your account or Crypto wallet. 

Choose the amount and type of cryptocurrency you wish to purchase.

The next stage is to carry out the actions required to start and finish the transaction. 

Then, make sure the transaction went through by checking your account.

A Comprehensive Comparison of Cryptocurrency Exchanges 

Transactions with Crypto Exchanges are the most popular way to buy and sell cryptocurrencies and other digital assets. Here are some Cryptocurrency exchanges and their features.

1. Kraken
2. Coinbase 
3. Gemini
4. BitMart

Kraken

Kraken is one of the world’s most trusted places to buy and sell cryptocurrencies. 

Kraken Pro, the exchange’s professional-grade trading platform, lets investors buy, sell, and keep over 200 cryptocurrencies with low fees. 

Kraken is based in San Francisco. 

In the early days of the crypto asset market, this feature-rich crypto exchange became the platform of choice for professional investors. It has kept its image as a safe and professional place to trade. 

Kraken has two platforms: Kraken Pro, which is for professionals, and Kraken, which is for regular people. 

The exchange’s Pro dashboard has 13 different types of orders, advanced chart analysis tools, and fast processing. It also gives you a lot of information about the order books. 

Kraken users can not only trade cryptocurrency in real-time, but they can also trade on margin and use crypto derivatives trading techniques. 

On Kraken’s central platform, quick buy fees can be as high as 1.5%. On Kraken Pro, however, fees are very low. 

Kraken Pro has a tiered fee system that lets traders who do a lot of business save money on trading fees. 

For users who do less than $50,000 in trades in 30 days, Kraken Pro’s maker fees start at 0.16%, and its taker fees start at 0.26%. 

Maker fees can go as low as 0%, though, and taker fees can go as low as 0.10% for buyers who do more than $10 million in trades in 30 days. 

Also, Kraken only accepts a few ways to fill your account. Wire transfers are the main way that Kraken users pay for things. You can’t use ACH payments.

Coinbase

Coinbase was created in 2012 to make it easy for people to buy, sell, and store Bitcoin. Today, Coinbase is a public Cryptocurrency exchange worth over $13 billion.

The cryptocurrency exchange used to be based in San Francisco, but now it is a geographically decentralized company with no headquarters and services in more than 100 countries. 

As a trading platform, it stands out because it is easy for beginners to use, has strong security, and has many advanced features for experienced users.

The platform is easy to use and supports over 300 assets. This makes Coinbase the exchange of choice for many people buying Crypto for the first time. 

Most people already use online banking apps, so the platform looks and feels like those. This makes the switch to Crypto investing easy.

For added security, Coinbase ensures the digital funds it holds for users and keeps U.S. dollar amounts in FDIC-insured bank accounts so that users don’t lose their money in a security breach. 

Many different payment methods, such as bank transfers and ACH transfers, can be used to fund trading accounts.

Coinbase also gives you options for how to store your cryptocurrency. The first is a safe way for new users to store their coins on the Coinbase.com exchange. 

The second is Coinbase Wallet, a non-custodial wallet for crypto experts. When you keep your Crypto on Coinbase.com, Coinbase holds the private keys and stores the money for Coinbase.com users. 

As long as the user has the private keys to their Coinbase Wallet, they have full power over their money.

Coinbase is a good place for new and experienced crypto investors to buy and sell digital assets, but the trading fees can be high, ranging from 0% to 0.60% based on the number of trades. 

Also, Coinbase users haven’t had a lot of good things to say about it. For example, several Trustpilot users say they have had issues with customer service.

Additionally, there are numerous stories of unexpected account closures that have stained the exchange’s image.

Moreover, Coinbase has been charged by the U.S. Securities and Exchange Commission (SEC) for allegedly working as an unregistered securities exchange.

SEC Chair Gary Gensler says that “Coinbase, despite being subject to the securities laws, commingled and unlawfully offered exchange, broker-dealer, and clearinghouse functions.” 

Coinbase has been in contact with the SEC for years in an attempt to ascertain how to comply with regulations to avoid fines. 

Sadly, they were unsuccessful, so the U.S.-based company is now being charged.  

Even though the exchange has problems and is currently being charged by the SEC, Coinbase is still worth looking into because it is so easy to use.

Gemini 

Tyler and Cameron Winklevoss started Gemini in 2014. Gemini is unique because it puts a lot of stress on security and safety. 

The New York-based exchange has protection for users’ hot wallets to keep their money safe in case of a security breach.

Gemini also lets users review and accept the devices they use to log into their trading accounts and encourages them to use two-factor authentication to keep their accounts safe. 

Another great thing about Gemini’s security is that it is SOC 2-certified. This means outside auditors have checked the company’s security and compliance systems.

Gemini has a professional-grade trading dashboard and handles over 80 digital currencies and tokens. It was made with advanced traders in mind.

Gemini also lets people pay for things and services with cryptocurrency and has a cryptocurrency credit card.

The fees for Gemini’s main site and its active trader platform are different. For trades under $200, the main site charges set fees. For exchanges over $200, the fee is 1.49%, which is very high. 

The active trader program charges maker-taker fees of up to 0.4%. These fees go down as your trading volume increases. 

These are also pretty pricey. The relatively high fee may, however, be a small price to pay for Gemini’s solid protection.

Gemini is an excellent place for traders and investors who want to do business on a safe network.

BitMart

BitMart is a worldwide cryptocurrency market that can be used in more than 180 countries. Over 1,500 digital coins and tokens can be bought, sold, and stored on it. 

BitMart, founded in the Cayman Islands, has become one of the best places to trade small and mid-cap cryptocurrency. BitMart has more assets and trade pairs than its market-leading competitors. 

This means that investors who want to add new or obscure crypto assets to their portfolios are likely to be able to find what they’re looking for on this exchange. 

BitMart customers can also use the Earn tool to earn interest on crypto assets they hold with the exchange. 

On top of that, BitMart lets experienced crypto traders trade perpetual swaps on more than 100 coins with up to 100x leverage. 

Users can also get lower trade fees if they hold BMX, the exchange’s token. For crypto traders with a lot of knowledge, BitMart has much to offer. However, customers have said bad things about the exchange over the years. 

For example, many users complained about problems with withdrawals, bad customer service, and not enough information being shared. Still, there are at least some good reviews as well.

In December 2021, there was a security breach at BitMart that caused $196 million in user funds to be lost.

BitMart has promised to pay users back, but the hack has done a lot of damage to the exchange’s image. 

Even with these problems, BitMart is a good place for crypto fans who want to trade many different, less well-known coins.

Final Thoughts 

Investing in crypto assets requires careful consideration of which cryptocurrency exchange will best serve your needs. 

The good news is that there is an exchange for you, whether you need high liquidity, minimal trading costs, a large variety of tradable assets, or a trading platform that is easy to use on a mobile device.