How to Choose Crypto Exchange?

How to Choose Crypto Exchange?
Choosing a crypto exchange is the first step to enter the world of crypto transactions both to trade, exchange, buy and sell cryptocurrency. So choose a platform to be careful to avoid losses such as fake data, hacking and theft. When choosing an exchange, keep in mind that the exchange must suit your needs, the speed of withdrawal for arbitrage trading, or maybe you want an exchange that supports certain altcoins, trading pairs, and additional features such as margin trading or over-the-counter (OTC) transactions. Below there are a number of factors to consider when choosing a crypto exchange:

1. Site Address https or http
Exchange site address must be by https, avoid exchange site address only with http.
HTTPS has advantages in the security field because HTTPS uses Secure Socket Layer (SSL) or Transport Layer Security (TLS) as a sublayer under the usual HTTP application layer.

2. Reputation
The Cryptocurrency industry is still new, so seeing the exchange's reputation is very important. Because many exchanges are involved in crime, hacking and fraud. Therefore, it is important to conduct research between existing exchanges. You can search through Google or social media, or leave a crypto forum to see if there are complaints from users, then evaluate your research results. Which exchanges have roughly a good and trusted reputation

3. KYC / AML
Know Your Customer (KYC) and Anti-Money Laundering (AML) are factors that you must pay attention to in choosing an exchange. Both of these require prospective users to submit personal information during the account creation process. These practices and requirements vary from one exchange to another. Some platforms even require KYC and AML to withdraw funds and lift certain restrictions, then users are required to provide a copy of a photo or sometimes some ask for proof of residence. Many crypto exchanges now also prohibit customers living in certain countries.

4. Security
Each exchange must have its own security method. Check to see if the exchange offers two-factor authentication (2FA). If not, then the exchange may not have the appropriate security standards. Then, look at the type 2FA that is compatible. There are Google authenticator, Authy and Yubikey which usually offer better security capabilities compared to 2FA based on cellular text. Each exchange also has various other security measures that might be worth considering.

5. Fiat Currency Exchange
We need exchanges that are compatible with fiat currencies. This is to facilitate transactions, for example to buy Bitcoin with fiat currency or melt crypto assets into fiat currencies and so forth. Some exchanges have different fiat options and have partnerships with certain banks. Check that the fiat and bank currencies provided suit your needs.

6. Volume
You can see the number of participants in the exchange at a certain time and the amount of each asset being traded. This aspect is important because it affects how easily users can enter or exit. For example, if there is a trader who sells 100 BTC, he might not be able to do it on an exchange with a small number of users, this could force a trader to sell his assets at a lower price on the exchange. Seeing the number of crypto exchange users is indeed not easy, because sometimes the information provided is false. One way is to be able to check through third-party websites that provide information about this data. For example, Coin360, CoinMartketCap or OnChainFX.

7. Price
The price of crypto assets can vary on various exchanges. Crypto assets can be traded cheaper or more expensive in an exchange. Noting this difference can be a factor in choosing crypto exchange, especially if you focus more on altcoin. The price difference that is too far away can also be a sign of danger that the exchange may suffer because of low liquidity or volume.

8. Leverage trading
Derivative exchanges often offer leverage trading. The trade basically allows traders to borrow a certain amount of funds in order to trade based on the amount of funds they have on the exchange. Leverage may be important for traders who want to enter short-term positions with greater. Some exchanges have various rules about this leverage.

9. Fees
Most exchanges charge a small fee for trading. The fee varies by platform, and is usually based on the percentage of each trade. Some exchanges also have a withdrawal fee. Because it's important to know how much is the cost of each transaction so that your budget stays appropriate.


10. Crypto Assets Available
Each exchange usually provides famous digital assets such as Bitcoin, Ethereum (ETH) and Litecoin (LTC). But there are also those who provide coins or other small tokens. Therefore, it is important to know what crypto assets are offered by the exchange so that you can choose the most appropriate.

11. Local Exchange 
It is recommended that you use exchanges from the same country where you live because it can make it easier to comply with changes in regulations. exchange is also available with local fiat money. You can use a global exchange that accepts all countries.

12. Transparency 
Do you know the admin or owner of the exchange, address and team members. Transparent exchanges also publish their cold storage addresses. With no reason to save large amounts of crypto in exchange, you should only save crypto amounts only for trading. Therefore, it is better to save your remaining bitcoin in your personal wallet.

13. Insurance fund
Look at whether the exchange has insurance funds to compensate customers if there are certain circumstances. Moreover, the world of cryptocurrency, including the risk of hacking. Therefore if an exchange company has insurance funds it will certainly make users a little relieved because if their assets are lost due to theft or hacking, users can get compensation or compensation from insurance funds owned by the exchange.


Recommended Cryptocurrency Exchanges 
From some of the factors above Most exchanges differ from one another. Some are designed for beginners, while others are made for wealthy advanced traders. So it should always be remembered that the exchange is very subjective depending on the needs, goals and interests. Nevertheless, some of the best cryptocurrency platforms include:


Binance
Binance is an excellent exchange for seasoned crypto traders looking to move cryptocurrencies at a low cost. It has some of the lowest fees in the industry, while its platform is capable of handling a large volume of trades without suffering a significant slowdown in transaction times. It doesn’t offer fiat currency trades, but it does list over 100 cryptocurrencies, giving customers plenty of choices.

Coinbase
Coinbase is the world’s biggest and one of the best-known crypto wallet and exchange.
A beginner-friendly gateway exchange which offers one of the fastest ways to buy cryptocurrencies. Besides, you can access it via your smartphone, which makes it one of the most convenient cryptocurrency exchanges for crypto market beginners.


Changelly 
Changelly - a non-custodial cryptocurrency exchange that allows you to buy and sell over 150 cryptocurrencies using your bank card, transfer or other cryptocurrencies. It is simple, secure, fast, and super convenient. But is it a legit exchange? What are its fees compared with other instant exchanges? We also review Changelly’s key features, perks, how it works, where is it located, what coins does it support and other interesting facts about this cryptocurrency exchange.

ChangeNOW
ChangeNOW is an instant Crypto Exchange is a non-custodial that allows you to change over 200 cryptocurrencies. Very safe, ChangeNOW does not control your crypto assets. They don't store your funds or require registration. Not require any KYC. Very easy it is to buy bitcoin via ChangeNOW. Support Visa and MasterCard for fast and easy fiat-to-crypto purchases.