Cryptocurrency prices are bouncing back after the bloodbath witnessed at the start of the year. The market shows strong fundamentals such as institutional support, a factor that reaffirms the robustness and credibility of the sector.
More so, the crypto assets market is increasingly tracking the stock market’s performance. Consequently, its performance is now more interwoven with global economic factors that further increase its volatility.
Therefore, the cryptocurrency trader has more opportunities than ever before to make some returns off of the red-hot market. That said, you cannot get in on crypto action via a regular F.X. or stock brokerage account.
Cryptocurrencies trade on specialized digital currency exchanges. There are, however, over 600 of these online portals on the web. The sector has a low barrier of entry and is largely unregulated. To this end, most of these exchanges barely have a certification that proves their security, reliability, competence, and governance systems.
They will, however, solicit and accept private key deposits from users who could lose all their investments overnight to scam sites. Some exchanges also draw in new traders by posting fake high-volume trading figures. To this end, savvy crypto traders should perform crypto exchanges comparison research to ensure that they are trading on the best exchanges.
You should, for instance, research each platform’s level of regulatory compliance, usability, efficiency, security, accessibility, and costs. However, the crypto exchanges comparison below has shortlisted three of the best crypto exchanges below for your use.
They have robust cyber security provisions and have high levels of institutional backing. Their trading fees are reasonable, and they have made headways in regulatory compliance. Coinbase is “Class A” crypto exchange from a U.S. regulatory standpoint.
Binance and FTX are not fully regulatory compliant. Still, they are much safer than fully unregulated exchanges or those that only have legal registrations in offshore regions, conveying to their users a form of compliance but lacking it nevertheless.
Let’s get started.
Binance global is a centralized crypto exchange established by software developer Changpeng Zhao in China in 2017. Binance is the world’s largest crypto exchange in terms of trading volumes. It rakes in about $73.6 billion in volumes each day as per CoinMarketCap data.
Its trading volume is 5X more than its closest rival, Coinbase exchange, which has a $4 billion daily trading volume. Binance’s main advantage is its large network and many crypto assets available for purchase.
You can access Binance in 180 countries and trade over 500 cryptocurrencies. In contrast, Coinbase only supports 100+ crypto assets. That said, Binance’s strength is also its Achille’s Heel. However, since it retails a wide range of shaky crypto assets, it has faced massive backlash from regulators.
As an illustration, the U.S. has banned Binance Global. Its U.S. version, Binance.US, launched in San Francisco in 2019. Binance.US is not available in Hawaii, Idaho, Louisiana, New York, Texas, and Vermont and only supports 65 crypto assets as per U.S. regulatory limits.
Again, while the professional trader will love Binance’s ultra-low fees, a wide range of trading order types, options, and altcoins, the new trader might find Binance’s complex user interface intimidating.
That said, Binance academy has a lot of crypto education content, helping new crypto traders understand its processes. You also access more trading mentorship and tools from the Algory blog. In addition, Algory is a robust crypto trading platform that offers its users top-of-the-range advanced crypto news scanners and aggregator tools.
Binance is the top choice in this crypto exchanges comparison article for crypto traders that want unhindered access to alternative coins. Crypto traders may use the Binance exchange via the Binance app, desktop, or website.
Binance trading tools include real-time charting, market dashboards, moving averages, and exponential moving averages. In addition, crypto traders can view their trade history, portfolios, order books, and price charts.
Binance order types including stop orders, limit orders, stop market orders, and trailing orders. Crypto traders may also choose between the various trading views, ranging from classic to margin and OTC views. In addition, Binance supports the automatically scheduled dollar-cost averaging investment feature.
Binance charges a juicy 0.1% on trades. You will therefore enjoy more bang from your crypto buck on this exchange. Also, you can earn interest on your funds through staking and earn an interest rate of 0.5-10%.
More so, you can make USD, EUR, AUD, RUB, CNY, or INR purchases on Binance and forego conversion charges. What’s more, Binance offers an attractive and competitive maximum maker/taker fee of 0.1%. The fees will decrease as your trading volume increases. The maker and taker fees ranges are 0.001 BTC or 8.66 BSQ / 0.007 BTC or 60.59 BSQ.
Binance payment options include bank deposits, bank transfers, and credit/debit cards. However, you will incur a 4.5% fee on debit card purchases.
Under the Binance.US cryptocurrency buy tab, a simple, form-based platform is designed for transactions under $10,000. This feature will allow you to intuitively buy, sell, and convert its tradable cryptocurrencies.
Binance global offers its users over 500 crypto assets while Binance.US has only 65+ crypto assets which include Binance Coin (BNB), VeChain (VET), Harmony (ONE), VeThor Token (VTHO), Dogecoin (DOGE), and Matic Network (MATIC). In addition, Fiat currencies supported by Binance global include USD, EUR, AUD, GBP, HKD, and INR.
Security and Regulation
Binance security includes two-factor authentication (2FA) via the Google Authenticator app or short message service (SMS), device management, and restricting device access. In addition, the U.S. version has additional FDIC insurance on all U.S. dollar balances.
Despite being the number one choice for many, Binance has faced regulatory cases in some countries like the U.S., facing money laundering and tax offense charges.
Binance does not have a native wallet. However, the platform recommends Trust Wallet for the top security of your funds.
- Fair trading and conversion fees
- Premium charting and data graphs
- High-speed trade execution
- Binance.US has limited crypto coins
- Binace.US is not supported in all U.S. states.
Coinbase was launched by Brian Armstrong in San Francisco, California, in 2012. Coinbase’s main advantage is its intuitive and user-friendly interface, plus its high level of regulatory compliance. Coinbase, however, levies higher trading fees than Binance does. Currently, Coinbase has over 89 million users in over 103 countries.
Newbies on Coinbase’s intuitive and beginner-friendly platform will earn minimal but free bitcoin for opening an account. On the other hand, the expert crypto trader can log in to Coinbase Pro’s advanced charts and trading tools to up their trading experience.
Both Coinbase and Coinbase Pro support USD and EUR purchases. Coinbase Pro charges higher fees in trade, but its advanced trading and charting tools are value for money. Unlike regular Coinbase, Coinbase Pro supports transactions such as stop orders, limit orders, and time in force orders. It also will not put a limit on your maximum trading amount.
Coinbase Pro has a steep learning curve and is not beginner-friendly as regular Coinbase. To make the most of this advanced trading platform, leverage Algory’s premium crypto and news scanner to instantly access market sentiment and lookup trading opportunities via its tools and 100+ filters.
Coinbase supports bank deposits, bank transfers, PayPal, and credit/debit card transfer payments. However, for purchases under $200, you will incur fees as high as $0.99-$2.99 and an extra 0.5% fee relative to the trading amount.
Coinbase payment charges are as follows;
Payment Method Coinbase Fee
Bank Account 1.49%
USD Wallet 1.49%
Debit/Credit card 3.99%
ACH Transfer Free
Wire Transfer $10 incoming, $25 outgoing
Crypto Conversion 2%
Security and Regulations
Besides two-factor authentication, Coinbase’s FDIC insurance protects crypto traders, and you will enjoy fair compensation should it go belly up. The insurance policy also covers the custodial accounts that hold up to $250,000 worth of assets (in line with per-depositor FDIC coverage limits). Also, 98% of users’ funds are kept in cold storage leaving only 2% of your money at risk.
Coinbase offers a custodial wallet for new traders and a non-custodial wallet (Coinbase Wallet) for expert traders. To this end, this platform will hold private keys and securely store assets on behalf of custodial wallet owners. On the other hand, Coinbase Wallet users have complete control over their funds as they hold the wallet’s private keys.
- Wide range of educational material
- An endless variety of crypto assets
- Higher fees
- It does not support a wide range of altcoins
- Complicated fee structure
FTX is a centralized global derivatives exchange built by traders for traders. The exchange was founded in 2019 by Sam Bankman-Fried, named the youngest crypto billionaire by Forbes. FTX offers traders outstanding features like derivatives, options, leveraged tokens, and an NFT platform where users can buy, sell, and create non-fungible tokens.
Moreover, you can stake FTX native coin, FTT and earn discounts on your transactions. Of course, the higher the amount you stake, the more significant your discounts will be. Like Binance, FTX has FTX.US for its U.S. customer base. FTX.US has a tiered fee structure that considers your monthly trading volume. It is, however, a maker-taker model exchange.
Over five million users love FTX for its advanced trading features, top-notch security, fee structure, and liquidity. FTX global has more trading options than FTX.US. FTX global offers advanced trading options like margin and futures trading, which bear higher market risks. For this reason, FTX works best for expert traders.
For example, margin trading is a high-risk strategy that gives way to the possibility of liquidation, so it is not recommended for beginners. However, qualified users with at least $100,000 on FTX.US can enjoy margin trading. In addition, the feature allows you access to up to 10-times leverage.
Some of its advanced order types include stop-loss limit orders, stop-loss market orders, trailing stop, take profit, and take profit limit orders. Before trading with FTX, kindly read through their guides. For example, you should know unstaking FTT before 14 days will cost you a fee. Staking rewards differ but can go as high as 8%.
Also, for margin trading, the website clearly states that your account can be liquidated if your margin fraction falls under their ‘maintenance margin fraction’ zone.
FTX has a trading, simple maker and taker fees structure. As an FTT token holder, you may earn some discount on the platform’s fees. Maker and taker fees begin at 0.10% and 0.40%, respectively. Taker fees are charged on orders filled instantly, and maker fees are charged on orders that aren’t filled instantly.
FTX global supports more than 300 cryptocurrencies. They include ETH, BITCOIN, SOLANA, Litecoin, dogecoin, and XRP.
Security and Regulations
Here are some of the security measures FTX has put in place.
- A custom-built hot and cold wallet solution;
- Full external backing of all hot wallet funds;
- Two-factor authentication (2FA)
- Non-compulsory 2FA and password for crypto withdrawals;
- Partnerships with industry-leading custodians.
FTX support does not offer 24/7 phone support. Users who need assistance will have to submit support tickets via email. Unfortunately, the exchange does specify the average amount of time they take to respond.
Alternatively, you may ask for assistance via their help page, email, chatbot, or automated phone systems.
The FTX Card is a virtual debit card by the exchange. Users can use it to pay for online purchases using your balance on FTX.US. FTX will convert your other coins to cover the purchase if you have an insufficient U.S. dollar balance. Currently, FTX card is only offered on the FTX.US platform.
- Supports margin trading.
- Allows access to futures, stocks, forex, among other advanced markets
- Complex trading options
- No live chat support option
The final word
Binance, Coinbase, and FTX are the winners of our crypto exchanges comparison research due to their robust trading features, global popularity, and excellent market performance. For superior returns, use Algory crypto scanner which gives you the option to scan data from Binance, Coinbase, FTX and multiple other crypto exchanges providing more than 100 different filters and alerts.