Before rolling the dice in a crypto trade, knowing the crypto exchange platform you’re going to use is a pivotal factor.
It’s as easy as a piece of cake for a hacker to fish out every bitcoins from your wallet by initiating a fake transaction. Once your bitcoin wallet is falling into wrong hands, your crypto account security gets compromised instantly.
To avoid such inconvenience leading to a foul play, it’s better for you to know the impact of choosing the right crypto exchange platform for yourself.
Time to find out how,
Legitimacy of the exchange in your country
As a crypto trader, the first thing you need to know is, whether the crypto currency exchange platform you’re using is legitimate in your country or not. To identify the fact, these are a few things that you must not overlook,
- Does the crypto exchange has a valid registration and license or not?
- Does the crypto exchange market is meeting the legal regulations of the country associated with crypto law
Once you know the legitimacy of the crypto exchange platform, don’t jump at once to begin a trade. Take in-depth knowledge about the trade policies mentioned in the websites and cross-verify it with the crypto based financial regulatory policies sanctioned by the central bank of the country. If the central banking system permits the crypto based platform to perform a currency exchange, then only the crypto exchange platform is legal in your country. Or else, you better look for other available crypto exchanging platforms that’s legit in your geographical location.
Choosing an exchange that offers trading options in large volume
It’s better to choose a crypto exchange platform that provides scope to exchange the crypto currencies in larger volume. That’s because, only those crypto exchanging platforms offer maximum trading scopes that insures maximum liquidity. That way, you can avoid bumping into malicious fake websites that claims bitcoins and then get absconded. Tracing them back is next to impossible. That’s one of the reasons for which you must rely a crypto exchange platform that allows the traders to trade in maximum volume assuring sufficient liquidity of currencies.
Security is an important de facto
Never trust a bitcoin exchange platform without learning the market insights about it. If needed take time to scroll and browse the available reviews about crypto exchange platforms in the market. If you find it that hard to find, spend some time with those who’re experienced in dealing with bitcoins. If needed, check out the business magazine sites like Bitcoin Era which areassociated with crypto exchange news. Take time to read and analyse how crypto users become an easy prey to fake crypto exchange sites.
Once you understand how it works, it turns easier for you to select the right crypto exchange platform for yourself. Choose a crypto exchange platform that works with decentralized exchanges. Those exchanges usually keeps the user credentials anonymous. Those exchanges allow the users to utilize their trading account without revealing any of their personal information. They generate a private recovery seed to maintain the anonymity of the trades which are on progress.
These decentralized exchanges has zero chances to involve a middleman in between a currency exchange transaction. It directly links with the users to place and fill the orders. That way, there’s no involvement of middleman in the currency exchange platforms making a currency exchange process much secure than the other crypto exchanging platforms.
Low transaction fee is equally important
Some crypto exchange platforms don’t reveal the transaction charges or cost in advance. They display the charges only after disbursing the converted amount of the crypto that you have exchanged. It’s better to take time and search a crypto exchange platform where you know the transaction cost before making a payment. It’s one of the smart hacks to maintain low transaction cost while converting the cryptos into traditional currencies. If needed open the currency convertor calculator to see the amount that you have to pay as conversion fee. If you see the amount is fairly high than the other crypto exchange platforms, tally the conversion cost claimed by the other crypto exchanging platforms. Choose the one that seems reasonable to you.
These are a few common factors that you must not bypass while choosing a crypto exchange for converting the bitcoins.