How to choose a good crypto platform?

Success in the crypto world can depend on a number of parameters. Among the factors that can help you succeed in cryptocurrency trading are some of the most important: studying the basics of the financial markets, mastering trading tools, following financial news, timing or even luck.

A parameter that is sometimes underestimated by investors is the fact of using a powerful trading platform. In the crypto world, this is something that is even more important than in traditional finance.

The crypto world is a sector that is much less regulated than the traditional stock market, and it is an area that attracts many new investors, often young or inexperienced. A number of players on the Internet seek to take advantage of the lack of technical knowledge of new dealers. The internet is full of scams of all kinds and unscrupulous or poor quality platforms. Choosing a high quality crypto trading platform will dramatically increase your chances of success. What should you look for in priority to choose a good crypto platform?

A platform must be 100% secure

crypto security

Among the criteria to look at when choosing a crypto platform, the most important is undoubtedly security. You should first make sure that the platform you are about to use is a recognized platform with a large user base and ideally has been around for several years. If you are using a platform that is not well known, has few members or has been created recently, the chances are much higher that it is a scam, although this is not always the case. Of course, there are innovative platforms created every day that can please investors, but you already need to have some market experience to know how to spot projects or interesting offers off the beaten track.

There are also platforms that are perfectly fine legally, but charge you huge commissions or give you low quality service. You must inform yourself about the services offered by the platform you want to use.

Services offered

secure crypto

Before you start trading, think about your strategy. Some platforms are excellent for investors who like to take risks, for example by investing in futures or futures. This type of investment can bring in a lot of money, but is also very risky. Remember that in the crypto world as in traditional finance, high upside potential is often synonymous with high risk.

Some platforms specialize in this type of investment and can be excellent for experienced investors or day-traders, but will not be suitable for you if you just want to learn little by little in the world of crypto. In this specific case, a platform like eToro can be a good option for you, as it is a social platform, very large public, where you can exchange with other traders, get inspired and even copy their strategy using CopyTrading. eToro is also a platform that offers assets other than cryptocurrencies, however, the platform offers a diversity of digital assets and limited functionality compared to other platforms. For example, if you want to invest in liquidity pools or in Decentralized Finance (DeFi) strategies, you will probably prefer to use a platform specialized only in cryptocurrencies, such as Immediate Edge.

Look at the laws in the country of the platform

Before choosing a platform, you should also ask yourself in which country it is based. It is not at all the same to use a US-based platform, which in many cases will collect data about you and be legally obliged to disclose it to the US government when necessary, regardless of whether to use a platform based in British Virgin Islands or a decentralized trading platform (DEX). Decentralized exchanges are blockchain based and no one will charge you a commission to use them. You only have to pay the gas fees for the blockchain that the DEX is based on. However, you won’t have access to a customer support team like you would on a centralized exchange.

There are certain rules in the blockchain world and depending on the country where the platform you are using is located, you will be able to access different services.

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