- eToro – Best for New Traders
Since its establishment in 2006, eToro has become one of the biggest online trading platforms in the industry. It offers the opportunity to trade in various markets such as forex, stock and cryptocurrencies. eToro is regulated by the Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC), and the Australian Securities and Investment Commission (ASIC).
eToro has an innovative and unique solution for holding and securing cryptocurrencies. The eToro wallet is user-friendly and allows you to hold multiple crypto-assets such as Bitcoin, Litecoin, Bitcoin Cash, etc. It simplifies a crucial aspect of crypto trading to offer a seamless experience.
The process of opening an eToro account is fully digital and fully digital. Also, it is very fast, and you will be able to open it within a day. You can either register using your email address or through Facebook or Google account.
There are no deposit and clearing fees on eToro. Also, it does not charge a commission on trades but solely relies on spreads. However, it costs a flat fee of $5 for all withdrawals.
Pros
- Support a wide range of cryptocurrencies
- User-friendly interface
- Responsive customer support
Cons
- Supports only a single base currency
- Plus500 – Best for trading cryptocurrencies
Plus500 is one of the most reputable online cryptocurrency trading platforms in the market. Some of the crypto assets offered include Bitcoin, Ethereum, Litecoin, Ripple, etc. All these assets are available for trading 24/7 except for one hour on Sunday between 13:00-14:00 UTC.
Even though Plus500 is among the most prominent online trading platforms, the fee structure is reasonable. It does not charge any commission for crypto trading. The broker relies on the spreads from the trades made. Also, there is an inactivity fee of up to $10.
Plus500 is regulated by top-tier regulatory bodies from around the world such as the Financial Conduct Authority (FCA), Australian Securities and Investments Commissions (ASIC), among others. This is an indication that the platform is legitimate and safe to buy cryptocurrencies.
Plus500 makes it very easy to trade cryptocurrency. It provides a free demo account that is available for an unlimited period. The demo account has the same features like the live account and will enable you to practice and test strategies before risking your money.
The maximum leverage for crypto trading is 1:20, and you can start trading with as low as $100. Even though the cryptocurrency market is very volatile, you can minimize the risks by using the various tools provided by Plus500. Some of these tools include stop loss, price warning, trailing stop, etc.
Pros
- Easy to use platform
- Low-trading fees
- Regulated by top-tier agencies
Cons
- Inactivity fee
- Binance – Best low-cost crypto trading platform
Buying and selling cryptocurrencies is not a walk in the park. Therefore, you need to find a reliable and trustworthy exchange site like Binance. It started in China but was moved to Malta when the Chinese government banned cryptocurrency trading.
Binance has its proprietary cryptocurrency dubbed as Binance Coin (BNB). In 2017, it initiated an initial coin offering (ICO) of the coin to raise $15 million in funding. You will get discounts if you use the BNB coin to pay trading fees on the exchange site.
This exchange site does not charge fees to deposit any crypto assets. It offers trading pairs with only Bitcoins, Ethereum and Tether but not fiat currency. So, you will need to use another crypto site to change your fiat currency to crypto to enjoy free deposit on Binance. The base fee for trading crypto assets is 0.1%. However, you can reduce the cost by up to 50% if you use the BNB coin.
The exchange utilizes high levels of safety and security measures with multi-clustered and multi-tier architecture. In addition, it has a matching engine that is capable of executing around 1.4 million orders per second. This makes it one of the fastest exchange sites on the market. Binance support trading of more than 150 cryptocurrency coins including Bitcoin, Ethereum, Litecoin, etc.
The registration process is simple, and your account gets activated immediately. You need to register with your email to get started where you will be granted a basic account. On the downside, the basic account has a withdrawal limit of 2 Bitcoins per day.
Binance has a mobile wallet app known as trust wallet that is gaining a lot of popularity. Right now, it only supports 14 crypto-assets all popular cryptocurrencies with more coins expected to be added soon.
Pros
- Fast enough to execute 1.4 million orders per second
- Low trading fees
- Great customer service
Cons
- Limited choice of cryptocurrencies
- Coinbase – Best platform to buy crypto assets instantly
Launched in 2012 in San Francisco, Coinbase is one of the best Bitcoin exchange site in the world. Currently, it is available in more than 32 countries with over 12 million customers. Unlike other exchange sites that require you to trade on the market, Coinbase allows you to trade at a predetermined price based on the market value. This will enable you to purchase cryptocurrencies faster.
The Coinbase mobile wallet makes it easy to store, send and receive all major cryptocurrencies securely. If you are new to crypto trading, the wallet features smart tools that will help you build your knowledge and portfolio. The best part is that the wallet app is compatible with both Android and iOS devices.
This is one of the most secure platforms to buy or sell cryptocurrencies. First of all, it is based in the US, which means it must comply with the stringent Federal and State laws. In addition, all the funds are segregated in separate accounts. So, in case Binance faces financial issues like bankruptcy, your investment won’t be affected.
Coinbase fees vary depending on the payment method and country. In most cases, they range from 1.49% to 3.99%. You can avoid the strict restrictions on how much you can transact by verifying your phone number, personal information and photo ID.
Pros
- High liquidity
- Advanced wallet app
- User-friendly and intuitive interface
Cons
- Delayed deposit and withdrawal
- Luno – Best for developing countries
Luno was established in 2013 as BitX but later rebranded in 2016. It is an excellent cryptocurrency exchange service with more than 2 million customers and operating in over 40 countries, including middle-income and developing countries.
When Luno started, it only offered Bitcoin and Ethereum. Very soon, the exchange is planning to add Ripple, which is one of the biggest cryptocurrencies in the world. Although it only supports two cryptocurrencies, it accepts numerous fiat currencies such as Euro, Malaysian Ringgit, Nigerian Naira, South African Rand, etc.
Luno has been designed to make crypto trading very simple and accessible. You can easily convert your crypto assets into fiat currency at any time. Even though some exchange sites offer numerous crypto pairs to trade, only a few allow direct conversion to fiat currency. Instead, you have to withdraw through a digital wallet.
The Luno wallet makes it convenient to buy, send and store your crypto assets. It is available on the web, android and iOS devices. The wallet is simplistic, with high-level security features to protect the user.
Luno is considered to have some of the most competitive rates in the cryptocurrency market. It does not charge any fee for receipt and transmission of crypto-assets through telephone or email. However, you will incur 0.0002 Bitcoins for transacting through the crypto wallet. The commission charges depend on the network traffic and the fiat currency you used to purchase the cryptocurrency. In most cases, it ranges between 0.2% and 1%.
Pros
- Quick and easy way to trade cryptocurrencies
- Intuitive interface
- Available in developing countries
Cons
- Unregulated
- Libertex – Best for a cost-effective way to trade cryptocurrencies
Libertex is an online trading platform based in Limassol, Cyprus. It is a reputable platform that has received over 30 industry awards. Currently, it boasts of having more than 2.2 million customers from 120 countries.
This platform will give you access to extensive online learning materials. As a result, it becomes effortless for beginners to start trading cryptocurrencies. In addition, Libertex has impressive customer support.
It is straightforward to open a Libertex account. You can either sign up using email or Facebook account. As part of the anti-money laundering, you will be required to submit relevant documents such as a passport or government issued-ID. The process only takes three days to complete.
The Libertex platform provides a cost-efficient way to trade cryptocurrencies. Some of the featured coins include Bitcoin, Ethereum, Bitcoin Cash, Ripple and more. Unfortunately, it does not offer a crypto wallet like most of its competitors. Nonetheless, it is a good option for leverage CFD trading.
Libertex is famous because of the zero spreads on crypto trading. However, it charges a commission of between 0.47% and 1.24%. Also, there is an inactivity fee of up to $5 per month. In addition, if you withdraw from an inactive account, you will incur an additional 2% on top of the regular fee.
Pros
- In-house trading platform
- Regulated by CySEC and FSC
- Funds segregated in separate accounts
Cons
- High non-trading fees
Bitcoin exchange fees section
eToro has a transparent pricing policy and does not involve any hidden fees. The platform does not charge commissions on trades and makes money through spreads. Note that there is a withdrawal fee of $5.
Compared to other platforms, Plus500 offers fair trading fees. The platform does not charge commissions on trades. Instead, you only incur spreads, which is the difference between the buying and selling prices. In most cases, you will pay the spread when opening a position.
Since Binance only offers crypto trading, it does not charge fees for deposits or withdrawals. However, it costs 0.10% for all trades. Nonetheless, you will get a fee discount of up to 50% if you use the Binance coin.
The fee structure at Luno is more complicated than most exchange sites. It is based on fiat currency pairing and 30d trading volume. However, across all trading pairs, market maker fees are flat zero while for market takers the fees vary from 0.2% to 1%. Also, you will incur 0.0002BTC for transacting using a crypto wallet.
There are various fees involved when trading cryptocurrencies on Coinbase. First, it charges a spread of around 0.5%. However, the actual spread can be higher or lower due to market fluctuations. On top of the spread, you will also be charged a flat fee for smaller purchases and sales.
Unlike most online brokers, Libertex does not rely on spreads but instead charges commissions on every trade. The commission charged depend on the particular asset. For instance, cryptocurrency commissions range between 0.47% and 1.24%. There are also other charges such as inactivity fee, withdrawal fee and transaction fee.