There was a big boom in cryptocurrency, and more and more people own some amount of it. So, you are also interested in cryptocurrency, and you want to buy some. But how to do that? How to start?
At first, you need to use an exchange where you can buy and sell crypto of your preferences. There are plenty of cryptocurrency exchanges, and it’s up to you which one suits you best. Here’s the list of the most popular among beginners.
Coinbase
| plus | minus |
| variety of altcoins | higher fees |
| user-friendly | no control over the wallet |
| accepts credit cards | trading limits |
Another advantage is that you can use a credit/debit card directly. You don’t have to use a bank transfer, although the option is also available. However, if you use your card, you can expect additional fees. Fees can be up to 4 % of your trade. This is the most popular and user-friendly exchange on the market. It has emerged in the US. The interface is very intuitive, which makes this exchange very popular among beginners. It offers more than 20 cryptocurrencies, which is a great advantage as some other exchanges focus on bitcoin only.
The app provides users with a software wallet, so you don’t have to worry about its storage. However, you have no direct control over your portfolio. But you can easily withdraw your portfolio and send it to your own wallet, a software or a hardware one.
The disadvantage connected to this exchange is connected to limits. However, you don’t have to worry about them if you have only started. You are ‘only’ allowed to trade in the amount of 25 thousand dollars. Of course, there is a possibility to ask for extending the limits; nevertheless, you must reckon with some bureaucracy.
eToro
| plus | minus |
| traders' history | higher fees |
| more cryptocurrencies available | not available in all countries |
| wallet |
Another user-friendly platform for trading cryptocurrency is eToro. This exchange does not focus on cryptocurrency only, but still, there is a wide range of them - around 15. Thus, the fees for trading depend on the crypto of your choice. It may vary, but the minimum is 0,75 % per transaction, and the maximum price you can pay is 3 % per transaction.
What beginners can appreciate is the possibility of copying trades in real-time. It means that if you are not sure about your investment, you can see how other people invest their money. It can be inspiring and make your transfer less risky. However, if you want to choose this option, the minimum amount you can trade with is 200 dollars.
For holders of crypto, the advantage is that eToro offers its own wallet so you don’t have to worry about the storage.
Change Invest
| plus | minus |
| user-friendly | accepts Euro only |
| low fees | need of registration |
| variety of altcoins | usage of debit cards |
| no wallet |
This exchange emerged in 2016 and trades more than 20 cryptocurrencies. Although it’s quite new, it has become very popular among users, especially beginners who just started trading crypto.
This app is user-friendly as its usage is easy and intuitive. You need to register to use all functions. The app also accepts credit/debit payments, however, in euros only. That may be a problem for those who have their money in different currencies. However, if you don’t have an account in euros, you may find the ‘Revolut app’ useful, in which you can convert your money for free and send it afterward. However, you must count on the money sent to the app will be credited within one day - it might not be necessary immediately.
Fees for buying and selling cryptocurrencies are low, about 0,5 % per transaction, which is an attractive option!
You have to also bear in mind that this exchange does not store your crypto in any wallet. If you decide to keep your money on the exchange, you are risking that some hackers may steal it. Therefore, you are advised to send your crypto to your wallet.
Once you are familiar with crypto and exchanges, you may feel like stepping out of the beginner zone and trying something more advanced. For these purposes, the exchange Binance could be the one!
Binance
| plus | minus |
| low fees | need of registration |
| variety of altcoins | higher risk of cyber attack |
| advanced tools | not for beginners |
The most popular exchange is Binance. Users praise the low fees that are 0,1 % of your trade. This exchange serves more advanced users; however, there are two options of platforms you can use; Basic and Advanced. Nevertheless, even the Basic platform is considered advanced for someone who wants to start with crypto and thus, it is not recommended.
For all users of this exchange, the graph is provided. So, not only can you see the progression, but also you can draw into the graph and make your predictions. You can also use a wallet that is provided for all users of this exchange. However, you are free to use your own.
You can also pay directly by credit/debit card or use a bank transfer. The fees for both options, as already mentioned, are low.
It is completely up to you and your preferences which exchange you choose. Be aware of its fees and its difficulty of use so that your first transaction is smooth and pleasant.
