Cryptocurrency – The best platforms in 2021

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Cryptocurrency is on the spotlight again after bitcoin was able to reach new highs. Trading was quite complicated for a long time, but that has changed in the last years. Now there are countless platforms and apps where you can easily acquire and exchange coins. I would now like to introduce you the best operators.

Many providers offer you a bonus! To take advantage of this, you simply have to follow the link after the respective section.

Cryptocurrency
Platforms
Coin

Foreword

A cryptocurrency is a digital mean of payment, also known as a coin. This enables digital payments independent of the banking system. These coins can be traded, exchanged and stored just like any normal currency. There are now over 10,000 different cryptocurrencies, but only a few have a high level of recognition such as Bitcoin or Ethereum.

Behind this is the so-called blockchain, which acts as a decentralized register and is stored on several computers worldwide. There all information is publicly accessible and the individual transactions are traceable. All accounts are anonym to prevent other users from viewing them. All computers connected to the blockchain have together the complete ledger of accounts of each cryptocurrency transaction.

There are basically two different ways to obtain a cryptocurrency. You can produce it through so-called mining, or you can buy and trade the cryptocurrency. There are many platforms available for this and I would like to introduce you to the best ones.

The best platforms for cryptocurrency

There are quite a few cryptocurrency exchanges, brokers and other trading platforms. At the classic crypto exchange platforms you can trade all the digital currencies offered there. Unlike on the stock exchange, you cannot trade all cryptocurrencies on every platform, but only the coins offered there. The operator provides the platform and you can trade with other traders around the world.

Most platforms offer other options besides traditional trading. Some examples:

  • Deposit and withdrawal with fiat (real money) in USD
  • Wallet to safely store your cryptocurrency
  • Exchanges with their own stocks of certain coins
  • Possibility to pay with your own coin
  • Crypto Earn – Lend your cryptocurrency for a fixed interest rate.

You can see an overview of cryptocurrencyies with the largest markets and all price information by following the link.


coinbase

Coinbase was founded in 2012, making it one of the first platforms of its kind. At that time, the main goal was to create a way to securely and easily send and receive Bitcoins. It is nowadays an easy-to-use platform. This means that many people now have access to cryptocurrency.

As of today, there are approximately 43 million verified users around the world. In addition to Bitcoin, you can now trade over 50 different cryptocurrencies and also store them securely on your own wallet. For example, you can easily deposit and withdraw money via bank transfer.

Coinbase helped develop the USD Coin (USDC). This is a stablecoin. This has a stable rate and has the value of 1 US dollar. Each USDC is backed by one U.S. dollar, which is safely deposited in a bank account. You can convert it into real money (fiat) or exchange it for another coin at any time. On Coinbase, you can earn additional rewards when you complete a course on different coins.

Advantages

  • Simple to use
  • More than 50 cryptocurrencies
  • App for Android and iOS
  • Free ACH Transfer
  • High security standards
  • Margin Trading
  • Two-factor authentication
  • Savings plan possible

Disadvantages

  • Cost of trades 1.49%

Numerous big investors are involved in Coinbase, such as Facebook and other companies from the financial sector. This is another indication of the seriousness of the company. In addition, Coinbase offers many features, it has been on the market for a very long time and many users trust the platform.


Binance

Binance was founded in Malta in 2017 and is by far the largest trading platform for cryptocurrencies today. Moreover, the platform offers a large number of features, such as its own wallet and its own coins BNB and BUSD (stabecoin).

Binance offers 24/7 support. Several billion US dollars are traded there every day. On average, there are over 1,000,000 transactions per second. Binance offers several options to deposit and withdraw money on the platform, including free wire transfers and ACH.

Besides the classic trading of cryptocurrency, futures can also be traded and with various options. There is a Visa card available and you can finance money and much more. The platform is available for download, on your browser or as an app for your mobile phone.

Advantages

  • More than 300 cryptocurrencies
  • Free wire and ACH Transfer
  • Cheap trades – max. 0.1%
  • App for Android and iOS
  • Own wallet – Trust Wallet
  • High security standards
  • Many options
  • Two-factor authentication
  • Support 24/7

Disadvantages

  • relatively complicated for beginners

Binance has long been the largest platform with the most extensive range of coins. If you want to build a diversified portfolio or just want to trade cheaply, this is definitely the place to be.


crypto.com

The platform was founded in 2018 in Malta. Unlike other operators, the user can lend cryptocurrency here and receive up to 12% interest in the form of the respective coin. In addition, there is a credit card with special benefits, such as free Spotify and a payback system. The platform has it´s own coin called CRO.

The app and the homepage are available in several languages and are quite easy to use.

You can trade over 80 different coins here. The app is easy to use and there is the possibility to deposit and withdraw money via bank transfer for free. Especially the possibility to lend coins makes this platform stand out from the others.

Advantages

  • More than 80 cryptocurrencies
  • Cheap trades – max. 0,16%
  • Crypto Earn – up to 12%
  • App for Android und iOS
  • High security standards
  • Two-factor authentication
  • Savings plan possible

Disadvantages

  • No free wire or ACH Transfer
  • High fees for withdrawals

In recent years, the development has been very positive and the platform wants to grow further. Also, the number of investors is constantly increasing as cryptocurrencies become more and more popular. In addition, lending coins offers another opportunity to earn money. Referral Code: jhnmrv9243


Explanation and notes

A cryptowallet is a secure storage location for your cryptocurrencies. A distinction is made between a hardware and a software wallet. The best hardware wallets by far are the Ledger Nano S or the Trezor One. As a software wallet, I can recommend the app Trust Wallet from Binance with over 5 million users.

With blockchain information is transmitted in a tamper-proof manner using a shared decentralized database. This database is stored on many individual computers in a network. At each node, these transactions are verified and documented.

Cryptocurrency is a digital currency that is cryptographically secured. It enables cashless and secure payment transactions on the Internet.

Bitcoin and Co. can now be used as a payment method on numerous Internet platforms. You can also pay your bill with the virtual currency at selected delivery services and in some restaurants in major cities.

Tax laws vary around the world. Please familiarize yourself with the tax rules that apply to you based on your country/jurisdiction.

Summary

The investment in cryptocurrency is one of the riskiest at the moment. But as you know, with a big risk, the chance of high profits can increase. If you had bought a total of 100 Bitcoins for 8 US dollars in 2009, then at today’s level of 50,000 US dollars/coin, you would have a fortune of 100 x 50,000 = 5,000,000 US dollars.

As with any shares or ETFs, some platforms also allow you to set up saving plans. This allows you to compensate eventual price fluctuations and you don’t have to worry about orders if you do not want to trade actively.

I hope you enjoyed the article and look forward for your feedback!

Attention – Cryptocurrencies have a high risk!
Please always expect that the price of each coin is subject to extreme fluctuations. The price can fall so low that they lose the entire value. Your coins can also be stolen by hackers or the platforms can become insolvent. Please be aware of all the risks!


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This article is not an investment advice, it is only our personal opinion. We report here only on our personal experiences and findings as private investors. Thus, my texts serve solely to impart knowledge and do not constitute an invitation to buy or sell investment products. For further information please refer to the disclaimer.

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