Top 10 Crypto Exchanges

by | Apr 27, 2021

Disclaimer: Posts on the HyperTrader blog and associated HyperLinq websites are for educational and informational purposes only. These posts should not be taken as financial advice, nor are they meant to be viewed as trading advice. HyperLinq Inc. or the authors take no responsibility for any damages or losses.

The global crypto market has already surpassed 2 trillion US dollars and the world has started noticing the amount of money flowing in the crypto ecosystem. In the past couple of years, the ecosystem has already minted about 10 crypto billionaires and we’ll witness more in the coming years.

Talking about the crypto ecosystem, the crypto exchanges are one of the key participants of the system facilitating transactions across hundreds of cryptocurrency pairs and drawing new users. If you’re also hearing a lot of buzz around the crypto and would like to participate in this brand new world of finance – let’s figure out how to get started.

What are Crypto Exchanges?

Crypto exchanges are basically a gateway to convert your fiat currency (Dollars, Euro, Rupee, Yen, etc) into cryptocurrency. In simple terms, you can compare a crypto exchange to a marketplace. For example, Amazon is an online marketplace for sellers and buyers to exchange goods for value or vice versa. Similarly, a crypto exchange is a marketplace for sellers and buyers to exchange their fiat currency into cryptocurrency or vice versa.

However, there are more than 300 crypto exchanges in the world and it’s hard to pick the best. Especially, if you’re just getting started with your crypto journey, it’s a matter of great importance to pick the right crypto exchange. 

But how do you decide if a crypto exchange is right for you or not? Well, here are the things one should keep in mind while choosing the right crypto exchange:

Trust and security of your funds

The first and foremost important thing to consider before choosing a crypto exchange is the security of your funds. In the past, we’ve witnessed a couple of incidences where the crypto exchanges disappeared with users’ funds.

Therefore, we suggest you do the research about the credibility and security of a given exchange prior to signing up. Another important factor to consider is – being able to withdraw your crypto assets to another platform or wallet. If you can’t withdraw your crypto funds, one can never trust the platform. 

Personally, I prefer to store my crypto funds in a private wallet that allows me access to private keys associated with my wallet. I’d suggest you do the same by withdrawing your funds to a private wallet if you plan to HODL your crypto assets for the long term. As the saying goes, “not your keys, not your coins”.

Transaction fees

Another factor to consider is the transaction fees. It’s always advisable to have a look at the transaction fees of a crypto exchange prior to signing up. Thus making an informed decision.

For example, Coinbase charges a trading fee of around 1.49% whereas Binance charges only 0.1%. Not only trading fees but there are also other forms of fees involved such as credit card fees while making a deposit or withdrawal fees through wire transfer.

Geographical location and acceptance of your local fiat currency

The geographical location of a crypto exchange is another important factor because of the local laws and regulations. For example, the United States mandates the crypto exchanges to comply with the country’s KYC/AML policies which could be a turn-off for the users who would like to keep their identity anonymous.

Similarly, one should also keep in mind that their choice of exchange accepts the local currency. For someone in India, it would make sense to sign up on WazirX or CoinDCX allowing them to seamlessly deposit and convert Indian Rupee to their choice of cryptocurrency.

Ease of use and UI

When choosing the right exchange, especially if you’re a newcomer, the ease of use and UI of a platform matter a lot. It can be tricky to navigate through the complex user interface of most of the exchanges. Although some exchanges are heavily focused on improving the user experience and Coinbase is one good example of offering a seamless experience.

For those who are looking for the best UI, I’d suggest you use a trading tool software that connects to exchange and offers a far simpler user interface with ease of use. HyperTrader is one such platform offering the best in class trading experience and supports all the major exchanges.

Volume and liquidity

For those who’re unaware of these terms, volume refers to the number of cryptocurrency coins traded for a given pair in a given period of time. Whereas liquidity can be defined as the ease of converting a given cryptocurrency into another crypto or fiat currency.

Therefore, a crypto exchange with a greater trading volume and a liquid market suggests the ease for a trader to make any trade for any given pair of cryptocurrencies. CoinMarketCap is one good platform to find out the volume and liquidity of any crypto exchange.

Now that you’ve understood the factors to keep in mind while choosing the right crypto exchange, here are the top 10 crypto exchanges:

  1. Binance
  2. Coinbase
  3. Kraken
  4. KuCoin
  5. ByBit
  6. FTX
  7. Bitpanda
  8. Huobi Global
  9. WazirX
  10. eToro

All of these crypto exchanges are well-known and credible enough. However, it’s always advisable to do your own research.

Head of Content Marketing @ HyperLinq. His love for Chai and mountains precedes everything. Often wonders about things like, "why $1 earned through leverage feels 100x better than $1 earned selling your time?"
Head of Content Marketing @ HyperLinq. His love for Chai and mountains precedes everything. Often wonders about things like, "why $1 earned through leverage feels 100x better than $1 earned selling your time?"

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