How to Choose a Cryptocurrency Exchange
Anyone interested in cryptocurrency should do some research on exchanges. When it is time to choose, people should consider many factors, including:
This factor is a critical determining factor. The only way to select one is to review trusted sites and testimonials. Additionally, it is important to remember that any exchange that fails to insure or separate client funds could subject your money to theft. Any exchange should have dependable cold storage that can limit the chances of hacking. To restrict less than positive experiences, people should familiarize themselves with all fees that are charged. This is especially important because fees can vary extensively depending on the exchange. Buyers and sellers also should know whether exchanges accept PayPal or if they require wire transfers and whether they accept national currencies or just cryptocurrencies to fund accounts. Exchanges that limit payment options can be very inconvenient.
Verification of Identification
Any exchange that accepts credit cards require identity verification and charge higher fees. This is because this increases the risk of fraud and theft. Additionally, these exchanges are likely to charge higher processing and transaction fees, and these sites can take longer to process transfers. Most U.K. exchanges require I.D. verification, but some allow people to remain anonymous.
Different exchanges can offer different rates for cryptocurrencies quoted in national currencies. Rates can shift widely depending on the markets with the actual volatility observed depending on the money and the types of digital money involved.