Nowadays, the cryptocurrency trading business is in its all-time highs and the prices of all cryptocurrencies are sky-rocket. No matter the country or a financial institution, everyone is heard talking about cryptocurrencies in one way or another.
From the looks of it, everything seems to be extremely easy and casual in the cryptocurrency trading world. However, things are not as easy and convenient as they seem to be. In the cryptocurrency trading industry, there are many crypto trading exchanges that claim to be providing the best services.
Unfortunately, this is definitely not the case as the majority of the cryptocurrency exchanges in the present times are after the investors’ money rather than providing them with guidance and support. This is the reason why one must keep the following things in mind when planning to start trading in cryptocurrencies.
What is the Mission of the Crypto-Trading Exchange?
If you plan on trading with a cryptocurrency trading exchange, the first thing you need to know is what the exchange is truly aiming for. On the majority of the crypto-trading exchange sites, you will notice that all they seem to be talking about are more investments in return for better profits.
When the crypto-trading industry started, the majority of the exchanges were focused on grooming the trading profiles of their customers. Their main goal was to provide customers with enough knowledge and information, so they become empowered and make their own trading decisions.
So choose the crypto-trading exchange that focuses on building your trading profile rather than building their profits off of your investments.
One of the best checks to ensure that an exchange is customer-centric, you need to check whether the site offers an educational program or not. If the exchange is customer-centric, they will surely offer a vast amount of content that includes basic trading courses, in-depth trading courses, trading signals, daily market news/reviews, and glossary.
All of these services are provided by the standard cryptocurrency trading exchanges to ensure that customers are provided with full education, knowledge, and information so they can be empowered to make their own decisions.
Demo Trading Accounts
In the majority of the cryptocurrency trading exchanges providing below standard services, one similarity you would notice is that they present you with numerous trading accounts. Each account requires a particular minimum deposit amount and tends to increase services based on how high you are willing to pay. This is again the best example of exchanges whose only focus is to lay out different options for investors to take their money.
Cryptocurrency markets are so vast that it requires a lot of practice before an investor can actually start trading in the crypto-markets. This is the reason why the standard crypto-trading exchanges offer demo trading accounts to investors so they can do all the practice in the sandbox environment before they can start trading.
Reliable Crypto Trading Platform
No matter how many benefits or services a cryptocurrency trading exchange may offer, all of it would go to waste if the exchange fails to provide a reliable Crypto Trading Software. There are many exchanges who instead of acquiring the crypto trading platform from a reliable provider, create their own. They do it without having enough knowledge and information around the crypto trading platforms. This completely restricts the investors from acquiring the full potential of the benefits and tools provided by the exchanges.
Therefore, if a cryptocurrency trading exchange is seen offering trading platforms such as MetaTrader 4, MetaTrader 5, eToro, or e*Trade, then that exchange is more reliable than the ones offering other platforms.
Adherence to KYC and AML
In the year 2021, it is extremely crucial and important for an exchange to be adherent to the KYC and AML regulations. Therefore, you must always check if an exchange is offering KYC/AML or not. Although you may find crypto-trading exchanges not adhering to these policies at the moment and are authentic. Yet there are possibilities of these exchanges getting banned/suspended by the regulatory authorities.
If this happens then you may end up losing your deposit money as well as your earnings, which would later be followed by even more drama and issues.
If a cryptocurrency exchange is authentic and legit, it would not be afraid of facing you. This means that an authentic crypto-trading exchange will always provide you with a channel where you can raise your queries and issues. So if an exchange does not seem to be providing you with customer support whether email, chat, or phone, then you need to gather information around that exchange.