A virtual currency exchange (cryptocurrency exchange) is a virtual currency trading platform, it is like an “online bank”, providing virtual currency (cryptocurrency) transactions, buying and selling (for example: Bitcoin, Ethereum or dog money) on the Internet Dogecoin) and other investment businesses.

Virtual currency exchange form

Although virtual currency exchanges (cryptocurrency exchanges) are not regulated or controlled by any central bank or government agency; there are still two types of distinction:

• Centralized exchange (English: Centralized exchange, abbreviation: CEX ): refers to an exchange controlled and supervised by a third party.
• Decentralized exchange (English: Decentralized Exchange, abbreviation: DEX ): refers to an exchange that is not controlled or supervised by anyone.

Today’s content will mainly focus on “centralized exchanges”. However, before starting the introduction, readers should be reminded that virtual currency (cryptocurrency) is an extremely high-risk investment project. It’s never too late to enter the market after doing your homework! So, let’s get down to business!

Ranking of virtual currency exchanges

• Binance
• Coinbase
• Karken
• KuCoin
• Bitstamp
• Bitfinex
• OKX
• Binance.US
• Bybit
• Bitflyer

Precautions for buying and selling virtual currency?

Don’t underestimate the small details that you usually pay attention to. They often help you avoid unnecessary losses when something happens to you. So I have listed 3 points, what you should know before buying virtual currency (cryptocurrency).

Precautions for virtual currency: there are many scams in the currency circle

We all know that there are many frauds in the currency circle, but people are still deceived from time to time. The reason is: there is no continuous vigilance . The following share 3 points, common fraud methods.

• Phishing website (often attracting you to click on the link through email, social platform, private message, etc.)
• Acting as fake platform customer service, project parties, etc. (intimidating you or telling you to conduct routine platform inspections, etc.)
• Take advantage of your FOMO (fear of missing out), greedy mentality (lie to you that there are new projects to give away for free)

Precautions for virtual currency: be careful when transferring money

Doing transactions on the blockchain needs to be very careful, because if it is transferred to a virtual currency (cryptocurrency) that does not match the blockchain, the money will be lost. General banks are ” centralized finance (with a third party)”, if there is a problem with the transfer, you can seek help from the customer service staff; while virtual currency (encrypted currency) is ” decentralized finance (without a third party)”, if there is a problem with the transfer , you are responsible for yourself. Even if it is a centralized virtual currency (cryptocurrency) exchange, if there is a chance to help you find the lost coins, you need to pay the salvage fee. So be sure to pay attention to this before transferring money!

Virtual Currency Considerations: The Importance of Wallets

First of all, you need to understand that virtual currency (cryptocurrency) has two types of wallets: cold wallet (cold wallet), hot wallet (hot wallet). You can choose the appropriate one according to your needs.

• Hot Wallet : Refers to a virtual currency (cryptocurrency) wallet connected to the Internet. All wallets on exchanges are hot wallets, which are less secure, because being connected to the network means there is a chance of being attacked by hackers.
  Suitable for: People with small funds and frequent transactions.
• Cold wallet : refers to an offline (not connected to the Internet) virtual currency (cryptocurrency) wallet. The cold front wallet needs to be purchased separately. It is a safer storage method, because of its offline characteristics, the risk is greatly reduced.
  Suitable for: People who have a lot of money and hold virtual currency (cryptocurrency) for a long time.

Considerations for choosing a virtual currency exchange?

When choosing a virtual currency exchange (cryptocurrency exchange), be sure to consider 5 factors, namely: security, handling fees, number of currencies, language interface and experience, and customer service. I give a brief explanation below.

1. Security
   You can consider the evaluation, popularity, and transparency of virtual currency exchanges (cryptocurrency exchanges) as security considerations; a good trading platform can help you determine whether funds are safe in the process of buying and selling, which is very important.
2. The accumulation of a small amount of handling
   fees will also be a considerable figure. Most of the exchanges will explain the transaction-related handling fees on their websites. If you trade frequently, it is recommended to use this as a consideration for platform selection.
3. Number of currencies
   Almost all virtual currency exchanges (cryptocurrency exchanges) support Bitcoin (English: Bitcoin, currency code: BTC) and Ethereum (Ether currency) English Ether (currency code: ETH. Currency symbol “Ξ” )trade. But there are still thousands of virtual currencies (cryptocurrencies) circulating in the market. Therefore, if you want to invest in more types of virtual currency (cryptocurrency), you can understand the number of currencies supported by the exchange, and use this as a consideration.
4. Language interface and experience
   For most Taiwanese, an exchange with a traditional Chinese interface will be more comfortable and smooth to use. The user experience cannot be ignored, but because the experience is more subjective, it is recommended that you take a look at the browsing pages of each exchange.
5. Customer service
   Customer service is basically a service only available on “centralized exchanges”, so if you choose “decentralized exchanges”, such as: Uniswap , PancakeSwap , Honeyswap …etc, there is no third-party assistance. It is recommended that beginners focus on centralized exchanges with high security, high popularity, and high rankings, and can learn whether the help of customer service meets expectations based on online reviews, messages, and actual measurements.

Introduction to virtual currency exchange

Binance

Binance (Binance) is the world’s largest virtual currency exchange (cryptocurrency exchange), currently available in 180 countries/regions, temporarily ranking first in the world.

• Binance transaction fees:
  • Maker : 0.100% – 0.020% (25% off BNB)
  • Taker : 0.100% – 0.040% (25% off BNB)
• Binance Advantages:
  • Cheap transaction fees
  • Exchange security is high
  • fast transaction time
  • Own NFT market
  • Integrate with the DeFi market
  • o    There are additional discounts for trading with Binance Platform Coin (also known as: Binance Coin , code: BNB )
  • Ability to stake with Binance Coin (symbol: BNB )
  • You can use credit/debit cards, wallet transfers, C2C, and third-party platforms to deposit funds
• Binance Cions: 
  • High withdrawal fees
  • The international version cannot be used in the United States (only Binance.US can be used )
  • There are regulatory issues

Coinbase

Coinbase was named the most beginner-friendly virtual currency exchange (cryptocurrency exchange) by the well-known financial product review website: Investopedia in May 2022. It is also currently the third largest exchange in the world.

• Coinbase transaction fee:
  • Both Maker and Taker: less than 0.50%
  • Credit card, debit card: 3.99%
  • Coinbase wallet, bank account: 1.49%
• CoinbaseAdvantages :
  • One of the world’s top virtual currency (cryptocurrency) exchanges
  • Exchange security is high
  • The most simple and easy-to-use interface
  • Daily trading volume, high liquidity
  • Learning/educational resources are available
  • Own NFT market
  • Deposits can be made using credit/debit cards and PayPal
• Coinbase Disadvantages: 
  • Lack of high-quality customer service
  • The user does not control the private keys in the wallet
  • High transaction fees unless using Coinbase Pro

Kraken

Currently ranked fourth in the world, Kraken is one of the oldest virtual currency exchanges (cryptocurrency exchanges) and has attracted many traders to participate since 2011 due to its low transaction fees. Additionally, Kraken is also one of the exchanges with a high security rating as it has never been hacked.

• Kraken transaction fee:
  • Maker : 0.160% – 0.000%
  • Taker : 0.260% – 0.100%
  • Stablecoins: 0.9%
  • Forex: 1.5%
• Kraken Advantages :
  • Cheap transaction fees Exchange security is high Daily trading volume, high liquidity One of the oldest exchanges Extensive Fiat and Forex Trading Own NFT market Learning/educational resources are available Customizable charting features (Kraken Pro only)
  • Deposits can be made using MasterCard /Debit Card and Wire Transfer
• Kraken Disadvantages: 
  • No Traditional Chinese interface
  • Complex trading functions are less suitable for novices
  • Futures (contract) transactions require additional verification
  • 5 times leverage limit

KuCoin

Since its establishment in 2017, KuCoin has developed into one of the exchanges with the largest trading volume in the world. Known for its low handling fees, it also provides a large and wide range of virtual currency (cryptocurrency) options, and currently ranks in the global ranking Fifth; but in the part of customer evaluation, I did not get very good feedback.

• KuCoin transaction fee:
  • Maker : 0.100% – 0.005%
  • Taker : 0.100% – 0.025%
• Advantages of KuCoin:
  • Cheap transaction fees
  • Wide selection of virtual currencies (cryptocurrencies)
  • Own NFT market
  • Pay with KuCoin’s KCS Stablecoin to Reduce Transaction Fees by 20%
• KuCoin Disadvantages :
  • Poor User Reviews
  • Complex trading functions are less suitable for novices
  • safety concerns

Gate.io

Gate.io is one of the fastest growing exchanges, currently ranked sixth globally. It has numerous currency classes and financial services. However, the platform interface is a bit messy, so it is not recommended for novice investors.

• Gate.io transaction fee:
  • Maker : 0.200% – 0.055%
  • Taker : 0.200% – 0.065%
• Gate.ioAdvantages :
  • Cheap transaction fees
  • Exchange security is high
  • Own NFT market
  • Wide selection of virtual currencies (cryptocurrencies)
  • Deposits can be made using credit/debit cards and bank transfers
• Gate.io Disadvantages: 
  • Traditional Chinese interface mixed with a lot of Simplified Chinese
  • Messy interface and poor experience
  • 10 times leverage limit

Huobi Global

Compared with other exchanges, Huobi Global’s user experience is excellent; besides, Huobi has never been hacked, and its security is trustworthy. Currently ranked ninth in the world.

• Huobi Global transaction fee:
  • Ordinary user Maker, Taker: 0.20%
  • Professional user Maker: 0.0362% – 0.0097%
  • Professional user Taker: 0.0462% – 0.0193%
• Advantages of Huobi Global :
  • Exchange security is high
  • Cheap transaction fees
  • Provide many derivative markets
  • Wide range of currencies
  • Offers Crypto Savings Accounts
  • Daily trading volume, high liquidity
  • Cold Wallets to Store Funds
  • 20,000 BTC reserved for extreme events and security breaches
• Huobi Global Disadvantages :
  • Trading fee discounts and rebates are confusing
  • The APP application is difficult to use
  • Complex trading functions are less suitable for novices

Bybit

ByBit is one of the fastest growing virtual currency exchanges (cryptocurrency exchanges), known for its market depth and smooth user experience. The high share of referral and affiliate programs has also attracted many Taiwanese to use. Currently ranked fifteenth in the world.

• ByBit transaction fee:
  • Spot Trading Maker : 0.100% – 0.000%
  • Spot Trading Taker: 0.100% – 0.020%
  • Derivatives Trading Maker : 0.010% – 0.000%
  • Derivatives Trading Taker: 0.060% – 0.030%
• ByBit Advantages :
  • Provides best-in-class market depth
  • Powerful API facilitates high frequency trading
  • Has the most advanced pricing system
  • Has an intuitive user interface
  • Excellent and fast customer service
  • Learning/educational resources are available
  • Up to 100x leverage
  • High share of referral and affiliate programs
• ByBit Cons: 
  • Not suitable for spot trading
  • No KYC certification required (regulatory issues) 
  • Trading pairs are limited

OKX

OKX is one of the largest and most liquid exchanges in the world. It has low transaction fees and high-interest staking opportunities, making it a good exchange choice. Currently ranked sixteenth in the world.

• OKX transaction fee:
  • Ordinary user Maker: 0.080% – 0.060%
  • Ordinary user Taker: 0.100% – 0.080%
  • Professional user Maker: 0.060% – 0.005%
  • Professional user Taker: 0.080% – 0.020%
• OKX Advantages :
  • Ordinary user Maker: 0.080% – 0.060%
  • Ordinary user Taker: 0.100% – 0.080%
  • Professional user Maker: 0.060% – 0.005%
  • Professional user Taker: 0.080% – 0.020%
• OKX Disadvantages :
  • Low liquidity in some currencies
  • Poor User Reviews

Crypto.com

Launched in 2016, Crypto.com has become one of the world’s leading cryptocurrency exchanges. And adopt a variety of technologies to ensure the security of users’ transactions, with high-level security and compliance standards. Currently ranked seventeenth in the world.

• Crypto.com transaction fees:
  • Maker : 0.400% – 0.040%
  • Taker : 0.400% – 0.100%
  • Credit card, debit card: 2.99%
• Crypto.com Pros :
  • fast transaction time
  • Cheap transaction fees
  • Exchange security is high
  • Cold Wallets to Store Funds
  • There are many ways to earn interest
  • Those with high balances in the Crypto.com platform token Cronos (CRO) can get discounts on transaction fees and higher staking returns.
• Crypto.com Cons: 
  • High fees for small transactions
  • Obtaining the reward with the highest yield requires staking CRO
  • Limited learning/educational resources
  • poor customer reviews
  • complex fee structure

Service fee noun explanation:

• Maker (pending order maker): Refers to an order that waits for a transaction on the exchange’s pending order book after placing an order (need to wait).
• Taker (taker): It means that after an order is placed, it will directly match the existing pending order (without waiting).

Pionex

Founded in 2019, Pionex is the world’s first quantitative virtual currency trading tool. There are as many as 14 kinds of robots for users to use, and the transaction fee is very low.

Since June 2022, virtual currencies have ushered in a strong rebound after a sharp drop. Do you always miss the best buying point for cryptocurrencies because you are afraid of being locked up? The cryptocurrency platform, Paiwang, has created a new tool for users, “Bidibao”, to solve such problems. Not only let you buy at the price you want to buy, but also provide you with an interest of more than 15% annualized return if you don’t buy it! In addition, the one-on-one online service recently launched by Pai.com, in which a professional team leads users into the world of cryptocurrency, has also been well received.