Bitcoin is the most popular cryptocurrency and is widely used all over the world. It is not only a payment method but is also used as an investment. You can earn profits through bitcoin trading as it has a highly volatile price. There are several online bitcoin trading platforms, but you need to pick the most suitable official site. Some of the essential factors that you need to focus on while selecting a trading platform are as follows.
Type of exchange
First and foremost, you need to decide which type of bitcoin exchange you are looking for trading bitcoins. There are different types of bitcoins exchanges, and some of them are as follows;
There are bitcoin exchanges that allow you to buy and sell bitcoin instantly. These are quite easy to use and are perfect if you are a novice bitcoin user. You can easily create an account by verifying your identity and providing some personal information.
Peer-to-peer exchanges, better known as P2P exchanges, are the ones that allow you to make direct peer-to-peer transfers between you and the seller. These platforms offer excellent privacy, so if you want to keep your details hidden while trading bitcoins, it is the right exchange for you. These trading platforms are highly secure, which is the primary reason behind their massive popularity. Some of these exchanges are also location-based, which allows you to meet the other trader face-to-face and trade bitcoins. It enhances security and minimizes the risk of any fraud. You can also take the reference from the Crypto Engine to clarify your doubt as per your requirements.
Full trading platforms
These platforms allow a massive number of bitcoin users to come together and trade bitcoins. It is like an online marketplace where you are meet bitcoin buyers and sellers and trade with great ease and comfort. These big trading platforms offer a wide range of features such as margin trading, custom charts, graphs, etc. It may be of no use if you are a beginner trader.
Features and functions
Another vital factor that you must consider is its features and functions. There are several types of functions and features that you can use while trading bitcoins, and each platform offers different ones. Some of the common features offered by trading platforms are complex charts, margin trading, etc., but you need to have great knowledge and experience to use them properly. If you are a beginner, you must try to choose a simple and basic platform that you can use easily.
There are numerous bitcoin trading platforms, and each one of them has a varying fee structure. So, you must check the fees charged by the platform as it will have a huge impact on your total trading cost. If you want to buy bitcoins for once, fees and charges won’t affect you much, but if you want to trade bitcoin on a regular basis, it is a highly important factor to consider. Some trading platforms charge high fees, whereas some of them allow you to trade at minimal fees. You should neither choose the one with minimum fees nor with the hefty charges. You must find a trading platform that allows you to trade bitcoins at a reasonable cost and offer the best features.
Bitcoin is a decentralized currency that exposes it to risks. So, you must check the security of the trading platform before choosing it. You must check that how the platform stores the private keys and choose the one that has cold storage for storing private keys. Cold storage refers to offline storage, and it is highly secure as it safeguards the keys from online risks. If you have bitcoins in bulk, you should set up a wallet and store them in it instead of keeping them with the exchange.
User-interface refers to the user experience offered by the trading platform, and it is an important factor to consider, especially if you are a novice trader. You must choose a bitcoin trading platform that has a simple user-interface as it will make it easier for you to use all the features and make profitable trades.