So you want to be a crypto trader, you have some cash after you received bonuses from your 9-5. You have also done your research on the 5 cryptocurrencies that will supposedly make you a millionaire in a month and with faith coupled with confidence you are ready to go all in.
But wait!! How are you going to get these 5 coins you have so much faith in to start with and where are you going to trade them?
Well, that is where a crypto exchange comes in. A crypto exchange is simply a platform where you can trade your digital assets, either with the assets or coins you already own or your government established currency known in the crypto world as Fiat.
Crypto exchanges come in two different types; decentralized and centralized. What is it that makes them different you may ask? Well, the major difference is the private key holder. A private key, according to the writers at Investopedia, is an extremely large number that is used in cryptography, similar to a password.
In centralized crypto exchanges or CEXs, the private key, as you would expect, is with the exchange. They hold your assets for you with the maximum protection possible. In decentralised crypto exchanges or DEXs however, the user is the holder of the private key and can make transactions without the disclosure of the private key. The use or owner of the assets is charged with the security of the assets.
Now you know what a crypto exchange is and how it is classified but you still don’t know what to do next as you have no idea of the platforms available.
Here are the top 10 crypto exchange platforms for 2022.
Honestly, I am placing this at number 10, not because the other 9 exchanges are better than it by a huge margin but because I am not so much of a fan of Decentralised Exchanges. Uniswap is an Ethereum based platform that was founded and developed in 2018 by Hayden Adams. Uniswap is said to be the best in providing early access to different solid projects especially those based on ETH.
No, this exchange won’t ask you to find the dy/dx(derivative) before making any transaction. No need to be worried, my dear Calculus haters. Just like Uniswap, DYdx is still a Decentralized exchange. However, unlike Uniswap, DYdx makes it possible for traders to trade with leverage.
Founded in 2013 gate.io is the first exchange platform in this list that is ranked amongst Coinmarketcap’s list of the top crypto exchanges. It ranks 7th with an exchange score of 7.4. However, I have placed it as #8 because it has a very limited number of acceptable Fiats, however, it is still a very reliable and fast crypto exchange platform.
Founded in 2017 as OKEX, OKX is an exchange that is based in Seychelles. It is owned by the same company that owns OKcoin. I ranked it as 7th because most of its users are based in Asia. Although it dominates the Asian market, people n the western part of the world won’t consider it as an option. It is still an exchange you should consider.
Still another crypto exchange based in Seychelles, Huboi was founded in china in 2018. It is a publicly listed company and ranks 6th on Coinmarketcap’s list of the top crypto exchanges. I won’t however recommend this to a beginner as the platform can get quite confusing. It still offers deep liquidity in leading cryptocurrency trading pairs and a very good exchange for someone ready to understand how to operate the platform.
Bitfinex was founded in 2012, by iFinex Inc. Although their security is always questioned as there have been numerous cases of stolen assets, they still rank number 8th on Coinmarketcap’s list of the top crypto exchanges.
Although a newcomer, crypto.com shows a lot of potential and ranks 9th on Coinmarketscap’s list. They also offer a wide array of services other than crypto exchange such as staking products, NFT platform, to mention a few. They acquired naming rights of the staple centre and recently partnered with the Lebron James Foundation. I can only see greater heights for this platform in the coming years
Averaging $10 billion worth of transactions a day, FTX ranks 3rd not just on this list but on Coinmarketcap’s list as well. FTX just like crypto.com is still relatively new as it was founded in 2019 having one of the fastest growth we have seen in the crypto world.
From personal experience, this is the most beginner-friendly platform on this list. Coinbase was founded in 2012 and is one of the safest exchanges. It ranks second in Coinmarketcap’s list, second to none-other than the all-famous Binance.
Practically anyone that has heard of crypto, has heard of Binance. It is arguably the best and most used exchange. It ranks number 1 on Coinmarketcap’s list with an exchange score of 9.9. It provides a wide array of ALT coins and even an NFT marketplace. Binance is safe, easy to use, and very secure.
You can however choose your crypto exchange depending on your location, your preferences on the categories of exchange, and what exactly you are looking for in an exchange platform, be it security or how user-friendly the platform is. I personally recommend Binance because that is the one I use and I have never had issues with it.