Best Cryptocurrency Brokers | Cryptocurrency Brokers
Cryptocurrency is a trending industry, day by day becoming more popular. Top giant companies are trying to develop their own coin, such as Facebook working for libra. As the trendy topic, more companies are involving here. Selecting a decent cryptocurrency broker is important for investors. Over thousands of brokers, how can we select the perfect one among them? So – we made a list of decent cryptocurrency brokers for our readers. Also, check our guide about the pick, advantages, disadvantages, and select the best one for you.
What is a Cryptocurrency broker?
A crypto broker is an organization or a company that serves as a medium between the cryptocurrency markets to facilitate the buying and selling of cryptocurrencies.
It provides derivatives products to dealers, where dealers input contracts to speculate about the purchase price of digital money. Cryptocurrency derivatives comprise crypto alternatives, crypto futures contracts, and crypto CFDs. When trading using a cryptocurrency agent, you don't have the asset itself, just the right to purchase or sell the underlying contract because the prices vary.
Do you need a broker to trade cryptocurrency?
Yes, trading bitcoin or cryptocurrency with a broker is more accessible. Using a regulated crypto broker protects your funds, scams, and keeps your funds secure. To avoid scams, never buy cryptocurrency from third-party websites or someone directly with advanced payment or from a marketplace.
Advantages of a cryptocurrency broker
There are many advantages of a crypto broker. The most important and first one is easy to set up. Solo trading could be the cause of losing funds. Blockchain technology involves technical issues. The Crypto broker has established a system, secure platform where technical issues are mostly avoidable.
Also, the crypto broker offers a leverage system that really amazing advantages for traders. It allows traders to borrow funds to increase trading margins and positions.
Another important key is a crypto broker has more advanced technical instruments than an individual, such as a website, platform, trading app, etc. The price is fairer, so faster trading with an established system is important.
Disadvantages of a cryptocurrency broker
The broker also has common cons. The main disadvantage is the trading fee structure, and commission are, most of the time higher. When a trader trading on their own, doesn’t need to pay commission or any fees. But a broker likely charges commission.
Another downside is a fraud broker could cause you to lose your funds.
Important things to Consider When Choosing the Best Cryptocurrency Broker
There are over thousands of cryptocurrency brokers that allow to sell and buy cryptocurrency. Picking the best one is not impossible but a little tricky. Here are some key aspects that will help you to select the best one for your trading.
The broker need to must be reliable. A good broker will always be regulated and licensed. There are many regulatory and authorities that provide licenses. They are based on region and local (domestic). A loyal broker always displays their license and regulation number on their website.
If the supported payment options are not good, what will you do with a good and reliable broker? Supporting common and standard payment options are required, such as cards, e-wallets, bank transfers.
Fee and commission
As already mentioned, the fee and structure are the downsides of the crypto broker. So before starting with a broker, check the fee and commission structure. Crypto brokers make a little profit by charging certain types of fees, including interests, premiums, deposits & withdrawals, etc.
Investors and brokers always hassle in trading for the complex interfaces. Sometimes we see broker designed complex interface that’s made crypto trading more difficult for beginners. A good broker always offers simple interfaces that really special for regular traders and beginners too.
It’s essential for investors and traders. You may need assistance on any technical issues such as account setup, deposit & withdrawal, etc. Most of the crypto broker offers 24/5 trading support. In comparison, many brokers provide support via different channels such as website, live chat, phone, email, social media, skype, etc.