Over the past several years, cryptocurrency has grown in popularity.Thanks to relatively low fees, investors find buying and selling cryptocurrency particularly attractive.Cryptocurrency isn’t connected to any government, and it offers significant profit potential over the long term.
Read:
3 Things You Must Do When Your Savings Reach $50,000
If you’re just getting started with
investing in cryptocurrency, you may need some help navigating the exchange waters.Whether you intend to trade frequently or to purchase coins and hold them, this article recommends four of the best crypto exchanges based on exchange score, average liquidity and trading volume.
4 of the Best Crypto Exchanges
The cryptocurrency space is rapidly growing, and crypto traders need a reliable source to track their assets.CoinMarketCap is the most referenced crypto asset price-tracking website worldwide.It provides investors with well-researched, unbiased and accurate information to make the most informed cryptocurrency buying and selling decisions.
The following chart lists four of the most widely used cryptocurrency exchanges available to U.S.users.
They’re ranked according to their exchange score, average liquidity and approximate trading volume, as reported by CoinMarketCap as of May 26.
To understand how cryptocurrency exchanges are rated, you’ll want to know more about what each rating category means.
Here’s a look at each type:
Exchange score: Cryptocurrency exchanges are ranked and scored based on their amount of web traffic, average liquidity, volume and legitimacy confidence level.
These factors are weighted, and the exchange is assigned a score between 0.0 and 10.0.
Average liquidity: Simply put, liquidity is the ability of a crypto asset to be converted to cash essentially on demand.The average liquidity of cryptocurrency can also be determined by its bid-ask spread, which is the difference between the best available price to buy or sell an asset.
Trading volume: A cryptocurrency’s trading volume is the number of assets or coins that have been traded, usually within a 24-hour period.
Exchange
Exchange Score
Average Liquidity
Trading Volume
1.Coinbase Exchange
8.5
793
$749.79 million
2.Kraken
8.2
772
$404.15 million
3.Gemini
6.6
681
$15.89 million
4.Binance.US
6.5
697
$105.63 million
Here’s more detailed information about these crypto exchanges and why they made this list.
1.
Coinbase
Overview: Founded in the U.S.
in 2012, Coinbase is one of the largest cryptocurrency exchanges around.The service is available in more than 100 countries and in all U.S.states except Hawaii.
Users can buy and sell bitcoin using their bank accounts, credit cards and debit cards.
You can also use the platform to trade USD coin, a Coinbase-built stablecoin.
Customers report that rates are on par with other exchanges, but according to the Better Business Bureau, customer service leaves a lot to be desired.
Services and features: Coinbase’s main offering is a platform for buying and selling cryptocurrency.The exchange has a
relatively good reputation and marketing strategy and a user-friendly interface.
It recently discontinued Coinbase Pro, and now all of its services and features are available from a single platform.
Here are some of those features:
Advance Trade: Coinbase has created an upgraded version of Coinbase Pro’s advanced trading tools and integrated them with Coinbase.com.
Coinbase One: A Coinbase One subscription lets you trade with no fees.This costs $29.99 a month.
Coinbase wallet: Coinbase offers independent Android and iOS mobile wallets.The wallets store an investor’s private keys on their mobile device, and only the user has access to the crypto funds.
Learning rewards: Earn crypto by watching educational videos and completing quizzes.
Accepted currencies and payment methods: Coinbase accepts the following currencies: U.S.dollars (USD), euros (EUR), Canadian dollars (CAD), Singapore dollars (SGD) and British pounds (GBP).
Number of coins available for trade: Hundreds including bitcoin (BTC), ethereum (ETH), litecoin (LTC),
ripple (XRP), bitcoin cash (BCH), EOS (EOS) and stellar lumens (XLM)
Fees:
0.05% to 0.60% taker fee for placing an order at the market price; 0.00% to 0.40% maker fee when your unmatched order is later matched
Flat fee for transactions under $200 or a percentage of the transaction, whichever is greater
Most standard buy
transaction feesare 1.49%, and credit card buys are 3.99%
Deposits are free via ACH transfer, but otherwise, users pay $10 per transaction.Withdrawals via wire are $25.
Supported countries: Coinbase offers services in more than 100 countries.
See the website for a complete listing.
Average customer rating on G2.com: 3.8 out of 5
Best for: Traders of all levels looking for a simple yet
secure way to exchange a wide variety of crypto
Pros:
Funds kept in FDIC-insured custodial wallets
Supports about 250 cryptocurrencies
Earn crypto rewards with the Coinbase Card
Tutorials available for beginners
Cons:
High level of BBB customer complaints
Potentially high order fees of up to 0.60%
Up to 35% commission on staking rewards
2.Kraken
Overview: Established in 2011,
Kraken is headquartered in San Francisco.It claims to be one of the largest bitcoin exchanges in terms of liquidity and euro volume.Kraken offers an advanced crypto trading platform with over-the-counter and margin trading options.
Previously, Kraken’s unstable platform gave it a bad name.However, the exchange has redeemed itself and updated its services, focusing more on security and customer support.Additionally, its trading fees are very competitive.
Services and features: Kraken offers crypto traders an array of services on its platform, including:
Spot and margin trading: For more experienced users.
OTC services: For high-volume trades — over $100,000.Frequent high-volume traders have access to a dedicated account manager to make trades for them.
Staking services: Crypto investors can earn a return on crypto assets that would normally be held and unused by other investors.
Personalized support: Kraken offers an upgrade to the platform’s Account Management program that provides one-on-one support with a dedicated Kraken representative for active advanced traders.
Accepted currencies and payment methods: Kraken currently accepts the following fiat currencies: U.S.
dollars (USD), euros (EUR), Canadian dollars (CAD), Australian dollars (AUD), British pounds (GBP) and Swiss francs (CHF).
Number of coins available for trade: Currently over 120, including bitcoin (BTC),
ethereum (ETH), litecoin (LTC), ripple (XRP), bitcoin cash (BCH), chainlink (LINK) and curve (CRV).
Fees: Among all the major bitcoin exchanges, Kraken has some of the lowest fees and they are very transparent.Your fees depend on your last 30 days’ trading volume and are generally based on a maker-taker basis.If you’re a maker and add limit orders to the exchange, you pay a lower fee than takers who fulfill existing orders.
Here are the details on some of the fees you might encounter:
Spot trading fees range from 0% to 0.26%.
Stablecoin trading fees range from 0% to 0.2%.
Credit card purchase fee is undisclosed in the fee schedule but displayed on final confirmation page.
Supported countries: Currently, Kraken is available worldwide with some exceptions, including Cuba, Iraq, Japan, North Korea and Syria, but restrictions might apply.U.S.traders, except for residents of New York and Washington state, can participate on Kraken’s exchange.
Average customer rating on G2.com: 4 out of 5
Best for: Advanced crypto traders interested in margin trading, futures and options
Pros:
Relatively low fees
Over 120 cryptocurrencies available
Supports a wide range of popular currencies
Cons:
May be too complex for new traders
Lack of tutorials on crypto
Good To Know
Many people worldwide see cryptocurrencies as the future of money.Early adopters of crypto are also adopting major financial technological innovations such as blockchain.If you’re a new cryptocurrency investor, you too could be positioning yourself to get ahead of the crypto curve.Just be careful not to invest more than you can afford to lose.
3.
Gemini
Overview:
Gemini bills itself as the most trusted crypto-native finance platform.Founded by Cameron and Tyler Winklevoss in 2014, Gemini ranks No.
10 among cryptocurrency exchanges, according to CoinMarketCap.It’s available in all 50 U.S.states and Washington, D.C.
Services and features: A robust set of features has driven Gemini’s growth.
ActiveTrader with high-speed trading and professional-level options like advance charting, multiple order types, auctions and block trading
Gemini Clearing Platform with OTC trades
The
Gemini Credit Card, which pays cryptocurrency rewards on all your purchases
Gemini Pay cryptocurrency payment processing app
Custody and wallet storage
Accepted currencies and payment methods: U.S.dollars (USD), Australian dollars (AUD), Canadian dollars (CAD), euros (EUR), Singapore dollars (SGD) and Hong Kong dollars (HKD).
Number of coins available for trade: Gemini offers over 100 coins, including bitcoin (BTC), ethereum (ETH), bitcoin cash (BCH),
litecoin (LTC), zcash (ZEC) and chainlink (CHAIN).
Fees:
Web and mobile fees range from $0.99 to $2.99 for orders up to $199.99; 1.49% fee for orders of $200 and up.
ActiveTrader and API fees are determined by gross trading volume over the past 30 days and range from 0% to 0.40%.
Transfer fees range from $0 for ACH, cryptocurrency and wire transfer deposits to 3.49% for debit card transfers.PayPal fee is 2.50% of deposit amount.
Convenience fee is approximately 0.50% of trade value.
Supported countries: Gemini is available in 60 countries.
Average customer rating on G2.com: 3.6 out of 5
Best for: Advance traders and those who prefer a variety of financial products on one platform
Pros:
Full suite of products, including
cryptocurrency payment processingand rewards credit card
Pro-level features with ActiveTrader
Cons:
Fees are complicated and comparatively high
Extensive features could be overwhelming for neophyte cryptocurrency investors
Securities & Exchange Commission suit alleges Gemini Earn, since discontinued, engaged in improper asset lending and security sales.Many investors
have yet to recover frozen funds.
4.
Binance.US
Overview: The word Binance is a mashup of the words binary and finance.Launched by Binance, the spinoff Binance.US is one of the world’s largest cryptocurrency exchanges.Under full U.S.regulatory compliance, Binance.US offers customers in all but four states — Hawaii, New York, Texas and Vermont — the same crypto trading services loved by traders worldwide.
Services and features: Binance.US has quickly become an excellent trading platform for U.S residents because of the following features:
High liquidity
Attention to innovation and user security
Better customer service than Binance
In addition,
staking is available for AUDIO, AVAX, BNB, ATOM, LPT, SOL and GRT.
Accepted currencies and payment methods: Binance.US accepts USD only.
Number of coins available for trade: Binance.US has an extensive list of cryptocurrencies on its platform, including bitcoin (BTC), ethereum (ETH), litecoin (LTC), ripple (XRP), bitcoin cash (BCH),
binance coin (BNB) and tether (USDT).
Fees:
$0 fees for bitcoin and ethereum trading in the U.S.
Tier 0 trades free; 0% to 0.45% Tier 1 maker/taker fees
Trading fees depend on trading volume over the past 30 days and binance coin balance.
25% off fees for using BNB to pay
Supported countries: Binance.US is open to users in the United States only, except for residents of the four aforementioned states.
Average customer rating on G2.com: 3.9 out of 5
Best for: U.S.-focused crypto investors and traders
Pros:
Dollar-cost averaging/recurring buys available
Lower fees for active crypto investors
Platform supports investors of all levels, offering advanced tools and beginner tutorials
Cons:
Not available in four states
Only USD is supported
GOBankingRates’ Crypto Guides
Daria Uhlig contributed to the reporting for this article.
Information is accurate as of May 26, 2023.
GOBankingRates is a personal finance and consumer interest rate website owned by
ConsumerTrack Inc., an online marketing company serving top-tier banks, credit unions and other financial services organizations.Some companies mentioned in this article might be clients of ConsumerTrack Inc., which serves more than 100 national, local and online financial institutions.Rankings and roundups are completely objective, and no institution, client or otherwise, paid for inclusion or specific placement.Any opinions, analyses, reviews or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by the companies included in the article.All fees and rates are subject to change at the issuers’ discretion.
Some interest rates might be short-term or promotional offers only, and it is possible additional terms and conditions must be met to obtain the interest rates listed.Rates and availability might vary by region.Verify terms and conditions before opening an account.
GOBankingRates bases its assessment of “best” and “top” products on the above-stated parameters to create a baseline for comparison.This assessment is an approximation of “best” and “top” designed to help consumers find products that might be appropriate for them.
There could be other options available as well.Consumers should consider various options appropriate for their circumstances.
This article originally appeared on
GOBankingRates.com: 4 Best Crypto Exchanges of 2023.
