In the past few years, there has been quite an increase in the public’s interestest in blockchain technology. With more and more people wanting to invest in cryptocurrencies, you may feel enticed to do so as well. Fortunately for you, investing in crypto has never been easier. With the help of crypto exchange platforms, users can virtually buy, sell, and trade all sorts of currencies. While there are many crypto exchanges to choose from, in this article, you’ll learn about the best 5 crypto exchange platforms for 2022.
- Large selection of cryptocurrencies available for trade.
- Low trading fees.
- Highly secure.
- The US version (Binance.US) is not available in all states and has limited cryptocurrencies.
- Does not offer a built-in digital wallet.
- May be confusing to beginners.
Binance is the leading platform in crypto exchanges. It takes the upper hand in being the world’s largest crypto exchange by trading volume. It was developed in 2017 by Changpeng Zhao, aka CZ, and is now available in over 150 countries. Binance offers a wide array of alternative coins, some you may have not even heard of. It supports over 300 cryptocurrencies, however, its US version is only limited to around 65 cryptocurrencies. Binance offers a vast selection of trading methods that might be useful to advanced crypto traders, such as margin trading, peer-to-peer trading, and spot trading. On the other hand, beginners may find that intimidating.
Binance is amongst the top 5 crypto exchanges platforms for its low trading fees. It allows users to buy, sell, and trade altcoins and only charges a 0.1% maker/taker fee, which is significantly low in comparison to other crypto exchanges. With different types of payment methods available, you can purchase crypto with credit/debit cards, bank deposits, and bank transfers. However, purchases using debit cards are charged a 4.5% fee.
- Easy to use interface for beginners.
- Low account minimum.
- Offers Coinbase Pro for advanced trading.
- Lower fees on Coinbase Pro.
- High trading fees.
- Poor customer service.
- Higher fees for beginner users.
Coinbase was launched in 2012 by Brian Armstrong and Fred Ehrsam to incentivize seamless crypto transactions. Since then, it has racked up around 80 million users in over 100 countries. If you’re a beginner at crypto trading, then Coinbase is your platform. Its simple interface is what ranks it amongst the top 5 crypto exchanges. People new to crypto will appreciate the ease of trading cryptocurrencies using Coinbase. Although it doesn’t offer the same wide selection of cryptocurrencies as Binance, it supports around 100 tokens, including Solana, Algorand, Polkadot, and more.
Some users may find that Coinbase transaction fees are somewhat complex. There’s a spread fee of 0.5%, which is the price difference in exchanging cryptocurrencies. Then there’s a Coinbase fee, ranging between 0.4% to 4%, determined by the fiat currency used and the chosen payment method. The platform doesn’t clearly indicate the fees prior to the transaction. Also, fees may vary depending on the market. However, the advanced version of Coinbase offers lower transaction fees than its parent platform.
- Highly secure.
- Hot wallet insurance.
- Simple interface for beginners.
- Complicated fee structure.
- High trading fees for low-volume traders.
Gemini was launched in 2011 by Tyler and Cameroon Winklevoss, known for their lawsuit against Mark Zuckerberg over the creation of Facebook. It supports over 70 cryptocurrencies, which isn’t much in comparison to other crypto exchanges. However, it’s ranked amongst the top 5 crypto exchanges for being highly secure. It’s the first crypto exchange to have a SOC-2 certification, which is an assessment that measures a company’s level of compliance and security. In addition, it offers hot wallet insurance to protect users’ funds in case of a security breach.
If you’re new to crypto trading, you may find Gemini’s fee structure complicated. They are considered low for high-volume traders. Meanwhile, low-volume traders are susceptible to higher fees. Gemini charges a convenience fee for each transaction. It’s usually around 0.5% of Gemini’s market price for the transaction but may vary depending on the market. It also charges a transaction fee, determined by the currency used, the amount traded, and the chosen payment method.
- Large cryptocurrency selection.
- Built-in wallet for storing crypto assets.
- Cashback rewards on Crypto.com Visa Card.
- Poor customer service.
- Higher trading fees for low-volume traders.
Crypto.com offers a wide cryptocurrency selection of over 250 tokens and is available in over 90 countries. It’s ranked amongst the top 5 crypto exchanges for having the best crypto app. The Crypto.com Exchange and the Crypto.com App are two separate platforms. Crypto.com Exchange is a crypto-only exchange and doesn’t support fiat currencies. Therefore, users can only trade between cryptocurrencies. Meanwhile, the Crypto.com App enables you to buy cryptocurrencies with several fiat currencies. In addition, it offers a Crypto.com Visa where users can earn cashback rewards for payments made using the card.
The Crypto.com app like many crypto exchanges uses a maker/taker fee structure. If you wanna buy crypto, maker fee rates range from 0.40% to 0.04%. Meanwhile, if you wanna sell crypto, taker fee rates range from 0.40% to 0.10%. However, purchases made with debit/credit cards may result in higher fees. Transaction fees vary depending on your 30 trading volume. A higher trading volume means lower transaction fees. Moreover, Crypto.com enables you to earn a discount on transaction fees if you stake its native token CRO. Higher discount rates will apply for a higher amount of CRO coins staked.
- Available over a large global area.
- Advanced trading options are available with Kraken Pro.
- Low fees for advanced traders.
- The user interface may be complicated for beginners.
- Kraken has higher fees than Kraken Pro.
- Credit/debit card deposits aren’t available.
Kraken is a crypto exchange platform with over 120 cryptocurrencies available to trade. It offers its services in more than 200 countries worldwide. It was launched in 2011, making it among the first cryptocurrency exchanges established. Moreover, Kraken is the best platform for advanced traders, making it amongst the top 5 crypto exchanges. It offers multiple trading services such as staking rewards, margin trading, futures trading, charting options, etc. Since Kraken may be confusing to new traders, it offers its users the ability to easily switch between its “simple” and “advanced” trading interfaces.
Kraken transaction fees vary depending on your chosen payment method and trading option. If you’d like to instantly buy or trade cryptocurrencies, a fee of 0.9% will be applied for stablecoins, and a fee of 1.5% will be applied for FX pairs. Additional fees will be added determined by the chosen payment method. Moreover, Kraken fees are lower for advanced traders. You can learn about Kraken’s transaction fees for high-volume traders here.
The crypto exchanges mentioned in this article are my go-to recommendations for anyone who’d like to invest in cryptocurrencies. However, many different platforms may be more suitable for you. Therefore, before investing in cryptocurrencies, conduct your own research about the platform you’d like to use and the asset you’d like to invest in. In addition, keep in mind that the crypto world is extremely volatile with a highly fluctuating market.
Sally is a student of International Business Management and is interested in topics related to blockchain technology. She is an author for gBlogo’s “Crypto World” column and provides insight on topics related to cryptocurrencies and NFTs.