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What Is the Best Crypto Exchange?

As cryptocurrency continues to increase in popularity, finding the best crypto exchanges will help you stay in the action. These exchanges are where you can buy and sell cryptocurrency, also known as digital currency, including some of the most popular options like Bitcoin, Dogecoin, and Ethereum.

Understanding the ins and outs of cryptocurrency exchanges can be overwhelming if you’re new to crypto trading. The best crypto exchanges will have features that include tools to help you along your way before you dive in.

Read on to find the best crypto exchange for you. 

Quicklook: Best Crypto Exchanges

  • Coinbase — Best Overall
  • Robinhood — Best For No Commission Fees
  • eToro — Best For Popular Crypto Coins
  • Gemini — Best For Earning Interest
  • Tradestation — Best For Educational Resources
  • Binance — Best Globally Renowned Exchange

Table of Contents

6 Best Crypto Exchanges

Now that you know what to look for in a cryptocurrency exchange, we’ve compiled our top picks to help guide you on your way. 

CoinBase

Best Overall

Coinbase

CoinBase is the best overall exchange, especially for beginners getting started in crypto. It is one of the safest platforms, and one of the largest.

It has investment options for both individual and institutional investors, and has educational videos that help you earn crypto assets for watching them! 

Standout Features: Simple user interface and investments are insured.

Benefits

  • Easy to use
  • High level of security
  • Vast selection of coins and tokens

Disadvantages

  • Higher fees
  • Slower to adopt new cryptocurrencies

Fees Associated:

  • Transaction fee
  • Conversion fee
  • Margin or spread fee
  • Credit transaction fee

Cryptocurrencies Available: Coinbase supports over 60 cryptocurrencies. View each available option on their website.

Cybersecurity Features:

  • 2-Step verification
  • Website traffic runs over encrypted SSL
  • Wallets are stored with AES-256 encryption
  • Employees must pass a background check and encrypt their hard drives and utilize strong passwords
  • Use filters to authenticate post, delete, and put requests to prevent attacks

Investor Resources: Coinbase offers beginners guides, market updates, and practical tips for investors of all skill levels.

Sign up with Coinbase here 

RobinHood

Best For No Commission Fees

Robinhood

Robinhood is the most popular choice for a brokerage exchange that has a commission-free structure. Although it’s investment selections are on the lower side compared to other options, investors find the low-cost investments worth the trade.

It also allows investors who are currently using their platform for stocks to trade both crypto and stocks in one place! 

Standout Features: No transaction fees!

Benefits:

  • Easy to use interface
  • No commission fees
  • Mobile app

Disadvantages

  • Limited tools available
  • Limited cryptocurrencies to invest in

Fees Associated: No commission fees

Cryptocurrencies Available: Robinhood only offers Bitcoin, Bitcoin SV, Bitcoin Cash, Ethereum Classing, Ethereum, Litecoin, and Dogecoin.

Cybersecurity Features: 

  • Two-factor authentication
  • Crime insurance
  • Cold storage
  • Encrypted data

Investor Resources: General investing blogs are available on the Robinhood website. 

eToro

Best For Popular Crypto Coins

eToro

eToro was established in Tel Aviv, Israel and is now headquartered in London. In 2018, it officially launched within the United States as a cryptocurrency-only platform.

It features cryptocurrency options for the most popular options on the market, which means that if you are searching for more obscure names outside of the most “popular” picks, you will not have luck on this exchange. However, their straightforward fee structure makes trading easy and worth considering!

Standout Features: Simple, straightforward system

Benefits

  • No commission or hidden fees
  • Easy sign up process
  • User-friendly interface

Disadvantages

  • High spread fees
  • Lacking in the customer service department
  • Lack of cryptocurrency options

Fees Associated: No commission and no hidden fees. Spread-only fees based on cryptocurrencies. 

Cryptocurrencies Available: eToro only has investment options for Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic, XRP, Dash, Litecoin, Cardano, IOTA, and Stellar.

Cybersecurity Features:

  • All information is protected under SSL encryption
  • Funds are secure under tier 1 banks

Investor Resources: 

  • News and analysis
  • eToro Academy

Sign up with eToro here (eToro USA LLC; Virtual currencies are highly volatile. Your capital is at risk)

Gemini

Best For Earning Interest

Gemini

Unlike a few of the other exchanges on our list, Gemini has gained significant credibility in the crypto investing world by not just catering to the major cryptocurrencies.

Instead, investors are not limited to the most popular picks and have a variety of digital currencies to choose from.

Additionally, depending upon which cryptocurrency you invest in, you can earn interest on your holdings.

Standout Features: Annual interest and altcoins available

Benefits

  • No deposit fees
  • Great security
  • Numerous cryptocurrencies available

Disadvantages

  • Higher fees than other exchanges
  • Daily deposit limits

Fees Associated:

  • Transaction fee
  • Convenience fee
  • Debit card transfer fee

Cryptocurrencies Available: Gemini supports over 40 digital currencies. View each available option on their website.

Cybersecurity Features: 

  • Cold storage
  • Two-factor authentication
  • First cryptocurrency exchange to complete SOC 1 Type 2 exam and SOC 2 Type 2 exam
  • First cryptocurrency exchange to earn ISO 27001 certification
  • Data transmitted over Transport Layer Security connections
  • Extensive internal controls

Investor Resources: Gemini’s Crytopedia is filled with topics on Bitcoin, cryptocurrencies, security, trading, investing, and more!

Sign up for Gemini here

TradeStation

Best For Educational Resources

Tradestation

TradeStation has a long reputation of success. Since 1982, they’ve been helping investors grow their wealth. In 2019, they launched Tradestation Crypto, allowing investors to trade securities with their exchange.

Their fees are competitive and investments have the ability to earn interest. Add in the best research tools and educational research and you have a top pick for a cryptocurrency exchange.

Standout Features: Advanced educational resources and research tools.

Benefits

  • Great customer support
  • Easy to use customer interface
  • Low fees
  • Real time data and research tools

Disadvantages:

  • Low interest rates
  • Few cryptocurrencies offered

Fees Associated: Fees are based on your account balance. No transaction fees, no deposit or withdrawal fees.

Cryptocurrencies Available: Bitcoin, Bitcoin Cash, Ethereum, and Litecoin.

Cybersecurity Features: 

  • Account and trade monitoring
  • Encrypted communications
  • Advanced firewalls
  • Two-factor authentication

Investor Resources: 

  • Analysis tools
  • Educational resources
  • Market insights

Sign up for Tradestation here (Free stock trading – intuitive stock trading tools. Cash bonus for new accounts (conditions apply))

Binance.us

Best Globally Renowned Exchange

Binance is a top pick for crypto exchanges globally. It launched in China in 2017 and two years later launched in the United States.

It has a low percentage fee on trades and allows users to earn interest up to 10%. Additionally, the amount of coins available has numerous people flocking to the app.

But be advised, this exchange is not as user-friendly for beginners. 

Standout Features:

  • Global reputation
  • Over 50 cryptocurrencies available

Benefits

  • Low fees
  • Great security
  • Easy to use website

Disadvantages

  • No educational resources for beginners
  • Not available in all 50 states
  • Limited customer support

Fees Associated

  • 0.1% on trades

Cryptocurrencies Available: Binance supports over 50 digital currencies. View each available option on their website. 

Cybersecurity Features: 

  • Two-factor authentication
  • Address whitelisting
  • Device management
  • Insured up to $250,000

Investor Resources: 

  • Cryptocurrency blogs
  • Binance research 

Sign up with Binance here

What Is a Cryptocurrency Exchange?

A cryptocurrency exchange is the intermediary between the buyer and seller of cryptocurrency. You cannot just purchase cryptocurrency from your bank or your investing brokerage firm, unless the investing firm has cryptocurrency options.

If they do not, you will need to find the best cryptocurrency exchange platform to exchange your U.S. dollars for digital currency. Crypto exchanges also allow you to exchange one cryptocurrency for another. 

Types of Cryptocurrency Exchanges

Now that you know that a cryptocurrency exchange is where people exchange cash for crypto, picking the type of exchange is your next step. There are two types of cryptocurrency exchanges, centralized exchanges (CEX) and decentralized exchanges (DEX).

Centralized Exchange

A centralized cryptocurrency exchange is closely related to the traditional stock exchange. Buyers and sellers work with a “middle-man”, which is the exchange itself. A centralized exchange typically follows these steps:

  • Investor gives their money to the exchange
  • The exchange holds the money for you
  • Investor watches price of cryptocurrencies that are available
  • Then, the investor selects cryptocurrency to trade, with either U.S. currency or digital currency
  • Investor places order
  • The exchange finds a seller
  • Exchange is complete

Decentralized Exchange

A decentralized cryptocurrency exchange is much different. They do not rely on the “middle-man” to hold onto your funds.

A decentralized exchange is where both buyers and sellers come together and complete transactions between each other. In other words, they complete a peer-to-peer trade. 

What Makes a Good Crypto Exchange?

There are a few main things you should look for when you are picking the best crypto exchange. Compile a list of “must haves” for your ideal crypto exchange and find one that meets the benefits you’re searching for. 

Minimal or No Fees

Understanding the fee structure of your desired exchange is important. Look into whether fees are a fixed price or a percentage of your trade.

Determine whether they vary based on if you’re the buyer or the seller or based on the cryptocurrency you’re trading. 

High Security 

Security should be at the top of your list. It’s important to note that cryptocurrency is not protected the way that money is in a bank or traditional investment. There are no FDIC-insured cryptocurrencies. 

Many cryptocurrency exchanges however do provide investors with insurance policies they hold within the exchange. This protects users from fraud or hacking.

Others provide updated security to protect their clients. With the ever growing cryptocurrency industry, exchanges are lucrative targets to hackers and thieves. There were 28 hacks to crypto exchanges in 2020, the largest having more than $200 million stolen.

Access to the Currencies You Want

Another thing you should consider when selecting your desired cryptocurrency exchange is what type of cryptocurrency is offered. Currently there are thousands of cryptocurrencies on the market, not just the popular options like Bitcoin and Ethereum.

Newer coins continue to arise, and will require you to shop around for a crypto exchange that allows you to trade them. 

Investing in Cryptocurrency

Investing in cryptocurrency is not that far off from investing in stocks. With cryptocurrency, you need to find an exchange in order to help facilitate the trade, just like with stock investments.

The best cryptocurrency exchanges will provide low fees and high security. Make sure you are aware of the cryptocurrencies available within each exchange before you make your decision. After all, some only offer the most popular cryptocurrency options, which might not be suited to each investor. 

If you are still unsure of where to begin, reach out to your financial advisor for their personal recommendation from the six outlined above. They can help you determine which best fits your needs and your portfolio. 

Frequently Asked Questions

What is the most accurate crypto exchange?

Many United States investors find Coinbase is the best cryptocurrency exchange. You can purchase over 60 coins and tokens, and it has impressive security to keep your investments safe.

What is the best cryptocurrency exchange for beginners?

The best cryptocurrency exchange for beginners is TradeStation. It provides beginners with multiple educational research and analysis tools to help them learn the ins and outs of crypto trading. 

Are there cryptocurrency exchange rates?

Yes, there are cryptocurrency exchange rates. These rates vary based on the different crypto-exchanges. There is no set rate.

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eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro. Your capital is at risk.

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