The increased popularity of bitcoins has led to the creation of many bitcoin-related things like Bitcoin exchanges for example. People usually use a bitcoin exchange whenever they want to trade or invest in this cryptocurrency. If you are looking for one, you should know that they are not the same. Transferring some of your bitcoins to a bitcoin exchange can be a difficult task, but with some exchanges, it’s simpler. If you want to select the best Bitcoin exchange for you, then you have to take a few things into account.
For starters, you should think about the fees. Namely, the selling and buying of Bitcoins will cost you. After all, this is the main reason why all these Bitcoin exchanges exist. But, Bitcoin exchanges are not similar to standard bond or stock exchanges. The reason is simple – they require a percentage of a fee. You probably know that a stock exchange charges a fixed rate fee. It’s interesting that many Bitcoin exchange platforms will charge you less if you are prepared to increase the trading volume in a specific period of time (typically within a month).
Another thing that you must take into account when buying and selling bitcoins through a specialized bitcoin exchange is your location. Unfortunately, not every exchange works in all the countries in the world. This is quite natural because Bitcoin caught the governments by surprise. In many countries, bitcoin trading has not been regulated, at least not completely. There are countries where Bitcoin trading is considered completely illegal. However, in almost all the developed countries you can freely trade this cryptocurrency and you don’t need special permissions. Before you make a decision about the bitcoin exchange you want to use, check their policies and learn whether your country is on the list of allowed countries.
Finally, don’t forget to check the type of cryptocurrencies you can trade. Even though bitcoin is the most popular cryptocurrency out there, it seems that a few other cryptocurrencies are worth your attention including Ethereum and Ripple. It would be perfect if you can find a Bitcoin exchange where you can turn Bitcoin not only into dollars but also in other cryptocurrencies and vice versa.
Use the Internet to find out more about all the popular Bitcoin exchanges. There are many review websites, forums and discussion boards that can help you make the best decision.