Which Cryptocurrency Exchanges is better?
Cryptocurrency exchanges are businesses that allow customers to trade cryptocurrencies with other assets, such as traditional fiat currencies or other cryptocurrencies. Cryptocurrency exchanges can act as market makers, taking the bid-ask spread as a service fee, or as a pairing platform that purely charges commissions. Here we mainly introduce the exchanges in Taiwan and the exchanges with relatively high user numbers.
How to Choose a Cryptocurrency Exchange
By 2022, there are already over 300 cryptocurrency exchanges worldwide. If searching for them one by one is not only inefficient but also time-consuming, what should a novice do? The following principles can be referred to:
- Key Factors to Consider When Choosing a Cryptocurrency Exchange in Taiwan:
- Can you withdraw and deposit funds directly into your personal domestic bank account?
- Is the trading depth sufficient (no slippage), and are the cryptocurrency buying and selling prices and fees reasonable?
- Choose a larger-scale exchange as much as possible, as they tend to be safer, higher quality, and more cost-effective.
- Look for a platform with a Chinese language interface, especially one with Chinese customer service, to facilitate issue resolution.
- Consider the quality of service and user experience, including the platform’s website interface and customer service. Most platforms offer free registration, so you can sign up and try them out for yourself.
We recommend opening two exchanges: one in Taiwan that allows direct trading with New Taiwan dollars and links to a local bank account for easy deposits and withdrawals, and another that is a large-scale exchange. The reason for this is that even Taiwan-based exchanges may face liquidity and credit problems. Below, we will first introduce Taiwan-based exchanges.
Taiwanese Cryptocurrency Exchange
Choosing a suitable exchange as a stablecoin trading and deposit/withdrawal gateway is important. Currently, based on establishment time and domestic scale, we would recommend MAX. Although ACE has been involved in some negative news (which can be found through a Google search on Hcash and Moac, among others), they are all still backed by banks, but there may still be some uncertainties. Ultimately, it depends on the individual’s preference. Currently, there are no major issues or disputes with online information for purchasing stablecoins.
The top 20 global exchanges.
Here we have a Taiwan exchange to purchase stable coins with a good deposit and withdrawal channel, but in reality, to buy and sell cryptocurrencies, we need to choose a large-scale exchange to operate. We highly recommend Binance, the largest exchange, because it is relatively less likely to close down. In addition, there are more API-supporting bots and it is relatively much safer.
- The largest exchange: Presumably everyone has heard of it. According to Coinmarketcap, Binance is currently the exchange with the highest trading volume and most users. Its interface is simple and user-friendly, and depositing funds is convenient.
- The lowest transaction fees: Currently, Binance only charges a 0.1% trading fee, and if you use Binance Coin (BNB), you can even enjoy fee discounts.
- Diverse and highly liquid cryptocurrencies: High liquidity of a cryptocurrency means that many people are trading it, and the cryptocurrencies on the Binance platform are all highly liquid, making it easy to buy and sell.
- Compensation mechanism: Binance allocates a portion of its profits to its secure asset fund for users (SAFU), which acts like insurance for investors. Cryptocurrency gains and losses sometimes occur within minutes or even seconds, and if investors incur losses due to some uncontrollable factors (such as a power outage), Binance’s secure asset fund will fully compensate them. This is one of the biggest selling points of Binance.”
Since cryptocurrency exchanges are not regulated here, it is difficult to define the issue of account protection. Therefore, the only way to choose is to consider the size of the exchange. For other aspects, users need to experience and choose on their own.