Choosing the right cryptocurrency exchange may be one of the most important initial tasks an interested trader or investor must complete.
These products trade contracts based on the price action of underlying assets, and can be settled into cash or digital assets, depending on the exchange.
Below is a list of 10 important areas to look into when choosing an exchange.
These practices and requirements vary from exchange to exchange.
Fiat exchangeTraders and investors at some point in their careers likely will require a fiat compatible exchange, allowing them to transfer national currencies into the crypto world for trading use, and out of the crypto world to cash out profits.
Leverage essentially allows traders to borrow a certain amount of funds for trades, based on the amount of funds they hold on the exchange.
If a trader is looking to sell 100 BTC, he or she likely will not be able to do so on a low-volume exchange as not enough sellers may exist at the current listed market price, forcing the trader to sell to lower offers on the exchange.
Crypto assets might trade higher or lower on one exchange versus another due to participant location, volume and other factors.
It can be important to know which crypto assets each exchange offers, selecting the appropriate options.
The above 10 aspects can be good examples of things to consider and research when choosing a crypto exchange, although they will vary from person to person based on their goals, values and activities.
10 Key Things to Consider When Choosing a Crypto Exchange
gepubliceerd op Dec 9, 2019
by Cointele | gepubliceerd op Coinage
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