The decision to purchase some Bitcoin comes with the need to have a good idea of how to buy these Bitcoins and which Bitcoin exchange to use.
This post provides a guide on how to choose the most suitable Bitcoin exchange after you have made the decisions to buy your first bitcoin either for investment or for other purposes well known to you.
If you want to keep money at the crypto exchange, then it is essential to checkout this Binance review and rules and conditions of the wallet. Checking of the rules and regulations is essential so that there is no harm available to the personal information of the traders at the platform.
Choosing a bitcoin is the first step to becoming a full-time Bitcoin user and investor. Since you will be investing funds into Bitcoin, choosing the right and suitable Bitcoin exchange to use will go a long way in your journey to getting a good return on your investments. There are many Bitcoin exchanges to choose from out there.
The aim of this article is to help you in having a sort of guide on how you decide on which exchange to choose. I will run through some of the features that you should be on the lookout for while signing for an exchange website. Also, not that these features are not arranged based on some preference level
- Security: This is a very paramount factor that should not be overlooked when choosing your exchange, as it’s not strange news the rate at which most crypto sites are hacked nowadays. While going to the website, always check if the website supports HTTPS, a secure form of HTTP. Also, check if the website offers features such as secure logins, two-factor authentication, backup passwords etc.
- Reputability: You can use internet forums such as Bitcoin Forum or Bitcoin Reddit to check if your Bitcoin exchange is reputable and also to see what other users are saying about it. You can also raise questions about these exchanges to get suggestions on their users’ experience.
- Anonymity: Staying completely anonymous is difficult unless you buy locally from someone in cash through a person-to-person marketplace. Make sure to check if the exchange follows Know Your Customer (KYC) and Anti-Money Laundering (AML) laws in your country. If they do, then some identity information will have to be sent to them before buying.
- Transaction processing: This has to do with how quickly your transactions will be processed and how long it takes for you to receive your purchased Bitcoins. Also, ensure to Check if the exchange offers ‘locked in’ pricing; meaning that the price you buy at, is the price you will be charged for even if the bitcoins take a few days to arrive.
- Transparency: A fully transparent exchange will publish cold storage addresses or audit information on how to verify its Bitcoin reserves.Bitcoin audits are a good way for an exchange to prove to customers that they have liquidity and can cover all bitcoin exchange sales, and aren’t running a fractional exchange.
- The location of the exchange: This is also very important. You need to understand the policies regarding cryptocurrencies in your country as wells as that of the exchange. It is highly recommended that you buy Bitcoin in your home country. For a full list of exchange country locations, go to Buy Bitcoin () and from the drop-down menu, select your country to start. Also, be sure to check their fine print, as they post in their terms of service what currencies they do and do not accept.
- Payment methods: Check for the payment service that is best convenient for you and considers your privacy. It could be paid by wire transfer, cash, credit cards, PayPal, and so on.
- Order book volume: An order book is simply a list of the buy and sells orders on the exchange. Most exchanges with a decent customer base will publish their order book.A higher volume order book is an indicator that people are using the exchange and the exchange has liquidity. Although this is an important indicator, an exchange that doesn’t publish an order book doesn’t mean it’s not legit, it just might not have that function yet and/or has a smaller volume than other bigger exchanges.
I believe going through this will help you in choosing which of the exchanges to use. Also, try not to run into scam exchanges that simply steal from yours. Stay woke!
