As a hot topic for investment, cryptocurrencies are becoming increasingly popular. To be able to trade cryptos, you must use an exchange service. Here is what you need to know to pick the right service for your crypto trades.
It started as an experiment but quickly turned into a worldwide success with high-value currencies. Cryptos are setting record-high rates. Bitcoins are the most well-known currency that just hit a record rate at more than 68,000 dollars in November 2021. But the market also offers multiple other cryptocurrencies. Ethereum, one of the most popular cryptocurrencies, also just hit record-high rates at 4,866 dollars.
With multiple options for selling and buying and a rapidly changing market that has seemed to be more and more profitable year by year, it’s important to find a good marketplace for trading cryptocurrencies.
When investors are buying and selling cryptos, it’s about handling big sums of money. And there are hundreds of exchange services, so it might not be completely straightforward just to pick an exchange service.
Compare the Services
It isn’t easy to map around all the different services if you aren’t already an expert in crypto investments. What should you look for when you compare the services? And what are the fair advantages to expect?
What are the important pros for you is up to the wishes of your investment strategy, but most people value having multiple cryptos supported at the service, low maker and taker fees, and multiple FIAT currencies supported (FIAT are government-issued currencies). Whether you want to trade from either US dollars, euros, Swedish krona, or Brazilian real, it’s a good idea to check if the exchange service is even supporting this currency.
You can find websites that compare different exchange services and highlight their advantages. At Cryptomeister, you can read a review of crypto exchange services. Here all the most popular services are compared, and you can find ratings and reviews of exchange services like Binance, Coinbase, Kraken, and eToro.
Find the Best Fees
The fees are an essential factor to look into when you pick your exchange service. The fee is the price you will pay to the exchange service to buy or sell the currency. It is not unusual for an exchange service to require a fee, but the size of the fee can vary. The fee per transaction can vary between 0.1 percent and 2.5 percent at the services rated at Cryptomeister.
But high fees are not the same as bad service. Often the higher fees come with other benefits that are worth, the higher costs of each of your transactions. It could be more cryptos or FIAT currencies supported or advantages of way easier money transactions.
With multiple cryptos available, it might be that another coin is a better investment today than Bitcoins. Therefore, you need to look at a variety of factors based on your investment strategy, when you look into the fees at exchange services cause low fees might not always be the best deal for you.