To be able to work properly in the cryptocurrency market it is necessary that have a series of elements that are going to be indispensable for us to carry out our operations in the best possible way.
In this regard, exchanges are presented as fundamental tools for us to perform all these movements and that is why we recommend that you choose one of trust to operate in an appropriate manner and without any risk.
In this article, we are going to tell you everything you need to know about cryptocurrency exchanges and that way, you can work with the one you choose knowing all the tools they put at our disposal.
Without further ado, let’s move on to the following sections, where we will explain in more detail all the services we have available in these virtual currency exchange places.
- 1 What are cryptocurrency exchanges?
- 2 Type of exchanges:
- 3 Ranking of the best cryptocurrency exchanges
- 4 How to buy cryptocurrencies through an exchange?
- 5 How to find the safest exchange
- 6 Last words
What are cryptocurrency exchanges?
Well, precisely in this type of places what we are going to be able to do, are exchanges between cryptocurrencies. Actually, the exchanges are presented as exclusive platforms where we will be able to carry out this type of operations, taking into account that usually we have a large number of virtual currencies available to be able to do so.
The exchanges beginnings
As a general rule, the most used cryptocurrency in exchanges of this type is Bitcoin, since it was the first digital currency that appeared on the market in 2009. From then on, tools were emerging to be able to operate with it and it is here where the exchanges take center stage.
These places of exchange also work with other cryptocurrencies, whether they are better known and with greater value in the market or even those that are opening a gap in this sector. To name a few more, we can talk about Ethereum, Dash, Ripple, Litecoin, Iota
Although it is usual to work with virtual currencies, we can not forget to mention that some exchanges also allow us the possibility of carrying out this type of transaction with fiduciary currencies, mainly with the euro and the US dollar.
By other way, we must mention that many of these supports not only allow us to carry out the corresponding exchanges, also, through them, we have the possibility to buy or sell cryptocurrencies or do the same with fiduciary coins. As you can see, they are very complete supports with which we will be able to work in a fantastic way.
Before going further into knowing the characteristics of exchanges, we must bear in mind that at the moment we are going to carry out some exchange, we must know that there are different types. Let’s see what they are to have more clear what we have to do to operate in this regard.
Type of exchanges:
Like we explained before, we can use exchanges to do a transaction between cryptocurrencies or even fiduciary currencies. We have to know that are different forms to use an exchange and we are going to show you which are and their main characteristics.
Traditional exchange with cryptocurrencies
We have to say that there is a type of exchange that is known as traditional, since it is the most common carried out by users. In this case, what is done is to make the exchange, taking into account the price that the cryptocurrencies present in this financial market and both buyers and sellers, adjust to this cost.
The usual in these cases is that most of the movements are made with Bitcoin, or with some other cryptocurrency of great value, however, there are exchanges that allow us to carry out this type of exchange with fiduciary currencies. Therefore, if we are interested in it, what we will have to do is choose an exchange that allows us to carry out this type of operations, having both options available.
Direct negotiation exchange
In addition to the exchange that we have just explained, with exchanges we can also carry out another type known as direct negotiation. This is something different than the previous one, because it allows buyers and sellers to make a direct exchange between them, so here it will not have anything to do with the price that cryptocurrencies present in the market.
In this case, both parties (buyers and sellers) are responsible for establishing the price for which the exchange will take place. It is a much more direct operation where external factors do not usually influence.
The last type of exchange we are going to refer to is related to the web platforms that allow us to buy and sell cryptocurrencies. These are the so-called brokers and they are presented as supports where we can carry out this type of operations.
In this sense, the movements we make are going to be controlled by an intermediary, which is the platform in question and it will be this one that finally establishes the price that we must pay, to carry out our operations.
The usual is to take into account the cost that appears in the market and then add commissions or additional fees to make use of the services offered by the broker in question.
Taking into account all that we have just commented and knowing that exchanges are fundamental pieces to work with cryptocurrencies, we will move on to the next section where we will talk about which are the best exchanges that currently exist in this market.
Ranking of the best cryptocurrency exchanges
Once we have known the types of exchanges that we can carry out through these supports, we must tell you which are the best exchanges with which we can operate, since they are the most complete and offer us excellent financial services.Click on the image
It is one of the most complete exchanges we have available in the market and also has a great experience in the market.
It was created in the United States in 2012 and today, it offers coverage in many countries, there are more than 32 regions in which we can use the services of this support.
Coinbase works mainly with Bitcoin, Litecoin and Ethereum, although it also allows us to carry out all kinds of transactions with fiduciary currencies such as the dollar, the euro or the pound sterling, among others.
It should be noted that Coinbase is one of the largest media in the world, due to: the volume of negotiation presented, and it has excellent security measures
This exchange is also American and this time we have many more cryptocurrencies with which we can operate on its website we can see more than 190 available.
The great peculiarity of Bittrex, is that it is an exchange where the operations that are carried out, are much faster than in other supports and more stable.
In third place we have placed Kraken, another support that has been in operation for a long time in this sector, since it was founded in 2011.
For many, Kraken is considered the best place to exchange if we work with Bitcoins, as it provides a great liquidity in euros and also has a good volume of cryptocurrency trading.Currencies that users use in this support: Bitcoin, Litecoin, Monero, Ethereum, Zcash, and more.
Kraken also allows us to carry out our operations with fiduciary currencies, like: the dollar, the euro, the Japanese Yen, the pound sterling, the Canadian dollar.
It is one of the safest platforms that we can choose to carry out this type of movement and works exclusively with Bitcoins, founded in 2011 but this time it is a support of the European Union.
Among its main features we highlight its technical support available 24 hours a day, every day of the week or the multilingual platform, since it allows us to operate in a large number of countries.
It allows us to carry out operations with a great variety of cryptocurrencies. Among others, we can name Bitcoin, Ethereum, Monero, Iota, Dash or Ripple, although there are many more.
BitFinex stands out for its high level of security and privacy for all transactions, as well as the tools it puts at our disposal that are very useful to us, as is the case with multiple advanced graphics.
In addition, through this support we can operate with fiduciary currencies, the dollar mainly, provided that the amount with which we work is at least 20 dollars.
For its part, Cryptopia is a more recent exchange, but also offers very good services to operate with cryptocurrencies.
Cryptopia was born in 2014 and has a headquarters located in New Zealand. It is one of the exchanges that most cryptocurrencies have available for us to operate, they are around 400, although in this case, the support does not allow us to work with fiduciary currencies.
Highlight aspect is that it has very low commissions, which barely exceed 0.20%.
It is one of the most famous in Mexico and Latin America, since it allows us to exchange with Mexican pesos. Bitso was born in 2014 and since then, offers its services so that we can carry out our operations with Bitcoin, Ripple and Ethereum.
The two most important aspects that we can highlight from Bitso are its security and its commitment to new technologies.
As you have been able to realize, we have a large number of exchanges to carry out our exchanges with cryptocurrencies, although it is true that these supports also allow us to perform other types of operations, for this reason, in the following section we will comment all we have to do to be able to buy digital currency through exchanges.
How to buy cryptocurrencies through an exchange?
Although we usually use exchanges to make all kinds of exchanges with cryptocurrencies, it is true that many of them offer us the possibility of buying these virtual currencies using their services.
The truth is that it is not a very complicated process, since the majority of exchanges in which we can acquire cryptocurrencies, guide us properly so that we perform all the steps correctly.
Follow these steps:
Before making any move, it is important that we make sure that the exchange we have chosen allows us to perform this type of operation and once we have it clear, we must go to the official website, since it will be where we will have to take it out these movements.
1. Registration on exchange website
First, most media will force us to open an account in it, it is a very convenient and fast process and filled in the corresponding form we can enjoy all the services we need. (Of course, we must also verify our account).
Once we have registered, we can begin the process of buying cryptocurrencies, bearing in mind that for this, we will have enabled a section within the main support panel.
2. Paying method
When we are inside the menu, we will have to choose the option that most interests us. In these cases, the usual thing is that we can make the purchase using our credit card, by a bank transfer or even in some of them PayPal.
At the moment we are clear about the route we are going to use, we must proceed to make the payment effective. To do this, we go back to the main panel, where in our account, we can see the balance in Bitcoins or other cryptocurrencies that we want to obtain.
Then, we will introduce into the system the final amount of digital currency that we want to buy and it will be the exchange itself that calculates how much this operation will cost us.
3. Buying Cryptocurrencies
After having made all these movements, we will have to wait a few minutes until the system confirms that all the data we have entered is correct, remember that before validating anything , it is convenient to review the information that You have included for the purchase process.
When all this has been validated by the system, in a few minutes, we will see in our account the final balance we have of Bitcoins or the cryptocurrency that we have chosen to operate. It is a quick and simple process.
The usual thing is that we have to send by e-mail a copy of our ID or another official identity document, as well as scanned water or light receipts or even the bank account information.
4. Saving your Cryptocurrencies
After knowing this process, we can not forget to comment that whenever we acquire cryptocurrencies through an exchange, we must store them in exclusive digital wallets for this purpose, although we have to say that many of these supports already allow us to create our wallet through them.
5. Choosing Security measures
Other aspects that we must take into account to perform this type of operation, is that we must choose an exchange that has good security measures.
In this regard, the essential characteristics are that it has the 2-factor authentication system, that is, to verify our identity both by email and by other means, usually the mobile phone; also that it has adequate tools to be able to monitor our wallet and even, that it offers us the possibility of working through an application for mobile devices.
In addition, it is also important that previously, we inform ourselves a bit of how that exchange in question is, that is, the volume of trading that it generates or the liquidity it presents.
It is evident that the exchanges that allow us to buy cryptocurrencies, make it very easy for us to carry out this type of operations.
However, we still have one more aspect to highlight about all this and that is that we can work with an exchange without first knowing the security measures that it presents, since we must always be clear that the operations we perform, we can do without problems and without taking risks.
Precisely in the last section of our analysis, we will talk about all these things, so, when choosing a good exchange, you will know which is the most appropriate.
How to find the safest exchange
To finalize our article, we will comment on the best security measures that an exchange can offer us, so that we do not have to expose ourselves to any type of risk, at the moment that we decide to carry out our operations.
In this regard, the first thing we have to say about it is that a secure support is one that is based on the Bitcoin protocol.
As we know, this cryptocurrency works within a blockchain system, also known as blockchain and therefore, all transactions carried out in it will have a specific code and will be duly validated.
In addition to being based on the blockchain system, it is also important that we choose an exchange that allows us to control the cryptocurrencies that we manage.
In many cases, the media are responsible for storing private keys, among other security elements, however, it is much more convenient that we ourselves are the ones who carry the baton in this regard, so we will know at all times where our foreign currency is stored digital or the codes that we have introduced to perform all the operations that we need.
So much is your security, that today, this protocol has not yet been hacked, despite having several years in operation.
Store accumulated currencies
Another important aspect that should be highlighted in terms of the security of exchanges, is that they have the option of being able to store our cryptocurrencies cold. What we mean by this is that it allows us to store the digital currencies that we have accumulated, outside the network where the system is located.
In fact, it is one of the most convenient things for us, since, if we do this from the Internet, we will be exposing ourselves to a greater number of risks, since the systems that work in the network are more vulnerable and, therefore, easier to hack.
If we store our cryptocurrencies outside of it, we will know that it is much more complicated, since cybercriminals would have to pass the security measures of several systems that are completely independent.
Of course, we must be clear that part of our funds can be maintained in the system network, or else we will not have the opportunity to carry out the operations that correspond.
On the other hand, within the security that an exchange can offer, we must highlight the presence of applications for mobile devices.
We say this because it is always good to be able to operate through an exclusive app of the support since, through these applications, we will have the opportunity to make all the movements we want, from anywhere and at the most appropriate time.
Although it is usual to carry out operations through the web portal or our computer, it is very useful to have a tool like this one, and it is also a safety measure, since we know that it is an external device and we will be the ones that control all the movements that we carry out.
Security on your passwords
Finally, we can not forget to comment on the keys and passwords that must be introduced in this type of systems in order to operate in a quiet manner.
In this regard, whenever we can, we must choose an exchange that works with SSL, one of the safest systems that we can currently find in the market, since it guarantees that all the information that we introduce in this type of media goes to be confidential and our privacy will be respected at all times.
We also have to take into account that the exchange that we choose has several verification systems, such as the case of the double authentication that we have already mentioned in the other section or even the code of 12 random words, which we will always ask for performing our operations.
In case you are thinking of choosing an exchange to work with cryptocurrencies, remember that if you meet all these characteristics, it is one of the best options you can choose since you will know that it is a support with good security guarantees.
Taking into account all that we have just seen about the exchanges, there is no doubt that these are great supports to be able to carry out operations with cryptocurrencies.
Some platforms that offer us excellent services so that we can carry out any movement in this regard and also provide us with different options so that we have the opportunity to perform the operation that we need.
With most exchanges, we can work with both cryptocurrency and fiduciary currencies and the best thing is that we can do it quickly, easily and safely.
Without a doubt, if you want a good exchange to operate, do not forget everything we have discussed in this article and choose the support that best suits your needs to get the success that you are looking for.