Over the years, cryptocurrency exchanges have become more popular, as various crypto platforms offer such exchanges.
If you want to buy BNB or trade any other cryptocurrency, opening an account with a cryptocurrency exchange is great. They function like online brokerage platforms, providing you with the tools needed to trade digital currencies and tokens like Bitcoin, Ethereum, and Ripple.
When choosing a crypto exchange, it’s vital to look at characteristics like fees, payment forms, supported assets, and security. To help you find the top crypto exchanges for 2022, we’ve compiled a list of the best platforms available and provided a brief insight into how they function.
What is a Crypto Exchange?
Before going over the top list of crypto exchanges this year, we need to look at what crypto exchanges are and how they benefit you. A cryptocurrency exchange is an online platform that permits users to buy and sell digital currencies like Ethereum and Bitcoin. These exchange platforms act as the middleman between buyers and sellers.
When you use a crypto exchange to buy a cryptocurrency like Bitcoin, you will be purchasing the tokens from a seller that uses the same platform. As the middleman, crypto exchanges collect a stipulated commission from your trade.
How Do Cryptocurrency Exchanges Function?
If you’re entirely new to crypto exchanges, the structure and investment process are usually similar across all providers. Here’s a breakdown of the features to know before choosing an exchange platform:
Account Creation and Funding
The first step of all crypto exchanges requires an account to be opened before your trading process can begin. However, the amount of information you provide to the exchange platform will determine whether you can deposit funds in US dollars or crypto.
Markets
In terms of the cryptocurrency market, you will either have the option of fiat-to-crypto pairs or crypto-crosses. Most exchanges usually offer both. For clarity, crypto-crosses are trading pairs that have two digital currencies. Examples are ETH/BTC and BTC/USDT.
Fiat-to-crypto pairs permit you to buy and sell digital currencies against the US dollar and other currencies, such as BTC/USD and BCH/USD.
Orders
Once you have gotten your chosen crypto pair, you need to order. This tells the chosen exchange which position you wish to enter.
For newbies, this can be somewhat difficult to understand at first glance. You are best off using a market order at a good exchange platform to keep things easy, and the best platforms offer an easy user-interface experience. Once you have set up your order, the crypto exchange will execute it for you.
The Best Cryptocurrency Exchanges for 2022
Now that we’ve got the basic information, here’s a carefully curated list of the top cryptocurrency exchanges in no particular order.
1. Voyager
This is one of the most popular platforms to invest in crypto because it was one of the first publicly-traded exchanges. Voyager is app-driven with an easy-to-use interface and provides a commission-free trading structure that supports many cryptocurrencies. They help users invest in cryptocurrency and pay competitive interest rates on assets.
2. BlockFi
BlockFi is a cryptocurrency exchange platform that enables you to lend and gain interest in your holdings. If you prefer to hold your tokens, you can let them earn interest for you and can also borrow against your holdings.
They require no commissions and fees, make high interest on deposits, and are US-based and regulated. Although they still don’t support some tokens and coins or offer more free withdrawals, they are ideal for your crypto exchange needs.
3. Crypto.com
Crypto.com is one of the biggest and rapidly evolving crypto exchanges. It’s based in Hong Kong but provides numerous services for US-based customers, and they give access to more than 90 tokens and coins worldwide. Also, Crypto.com offers solid rates on their crypto savings accounts and pays weekly interest.
4. eToro
Etoro is the best cryptocurrency exchange to consider using if you live in the United States. This top-rated platform has over 40 markets paired against the US dollar and can be used in buying cryptocurrency.
You only get a 1% fee charged for trading with your preferred crypto market. Hence, using an eToro account, you could buy Litecoin, XRP, Solana, Shiba Inu, and many more with relatively low fees.
However, no deposit fees apply when you fund your account in US dollars, and the minimum deposit requirement is just $10. This is also the minimum trade deposit – meaning that you can invest in digital assets using just $10 or more. eToro is known for offering some of the best crypto debit cards.
5. Kraken
Due to its negligible transaction costs, Kraken is a crypto trading platform that provides the best low-fee exchange. It’s also a top choice for seasoned traders because it offers advanced orders and supports margin and futures trading. However, its low-trading features are available on Kraken pro, and they offer a highly liquid exchange process.
By creating an account with any of these top-rated crypto apps, you can buy and sell cryptocurrency assets on the go. When choosing the best crypto exchange applications, look at fees, deposit methods, spreads, and liquidity. These will ensure you choose the best platform for your existing exchange needs.
Ella Marcotte
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