It’s no secret to cryptocurrency experts that the industry had a rough year in 2018. But 2019 seems to have started off in a better direction. Bitcoin has exploded to over $8,000 and is showing strong support at those levels. With increased market awareness, many have been seeking which exchange is best for security, fees, and protection.
The dangers of the cryptocurrency market are many, as the QuadrigaCX bankruptcy has aptly proven. And problems like the BitMEX deleveraging issue that occurred recently are, according to chainbits.com editor Afik Rechler, increasing investor fears.
As with any other industry, growth must be accompanied by stabilization. As users and transaction volume have increased, the nascent cryptocurrency industry infrastructure has not kept pace. The result, beyond the losses detailed above, is a decline in user confidence among cryptocurrency newbies.
But new exchanges have come online recently that have bolstered hopes of stability in the space. These new exchanges are seeking to create safe spaces and client fund protection. Here are the top four among these for your consideration.
The first on our list is the newly minted Binance Decentralized Exchange (or DEX for short). Already a top exchange, Binance’s announcement of the DEX was a major boon for the company.
A decentralized exchange allows for listings and trades in a peer-to-peer fashion, removing middlemen, and security assets. Without centralized governance, the exchange can charge relatively low fees, but also offers limited service options.
Binance is already starting to dominate the exchange world. And Binance DEX is already offering listing services for coins that request access. Trading pairs will likely be established as users continue to flood the exchange. As the exchange continues to grow, users will find better and more stable options.
Designed by a group of already established trading experts, the FT Exchange (FTX) is an exciting new addition to the cryptocurrency exchange market, but is already being hailed as a potential leader in the industry.
Backed by Alameda Research and offering derivatives options, the company has created a simple methodology for inter-coin trades. Rather than requiring customers to maintain leverage wallets in every currency derivative traded, FTX allows investors to hold a single cryptocurrency in a wallet, and buy and sell proprietary tokens tied to derivatives positions.
Additionally, the company offers some of the lowest fees around by utilizing the large-scale trading of Alameda Research. They are able to do this because Alameda Research trades up to 1 billion dollars per day, making it easy for them to offer low-cost trades due to low execution costs.
Because FTX costs are undercutting the rest of the OTC market, they’ve amassed a high-profile user base that includes top exchanges and OTC desks. All of this results in far better fee structures and order execution times for users.
A newer exchange to hit the market, the eToro Pro service is offering a new and innovative approach to cryptocurrency trading. The goal is to provide a more sophisticated trading platform with a wide variety of crypto and fiat-backed trading pairs.
The advantage with this exchange is the connection with a host of stablecoins including those backed by currencies including the Euro, US dollar, New Zealand dollar, Canadian dollar, Australian dollar, Japanese yen, Swiss franc, and UK pound sterling.
Stablecoins have been making waves in the industry since they offer connectivity to the cryptocurrency market, but with fiat protections in place. The exchange is only trading eight cryptocurrencies to date but has suggested that more will be added in the future.
The up and coming exchange Bitpanda is not available for investors and traders in the US. However, for those in other countries, Bitpanda offers a simple and easy to use access port, and a host of trading pairs that allow for flexibility in trading.
Additionally, the company offers a number of payment methods to make trading more simple for new users. With a host of altcoins available, the company allows users to fund accounts with bank, card, Skrill, Neteller and other accounts. Simplicity is the name of the game.
Bitcoin has been on a positive move since the start of the year and shows no sign of slowing. As the cryptocurrency market follow suit and continues to burgeon in the coming months, exchanges like those above offers unique and helpful solutions to the questions investors face in the up and coming industry.