Top Cryptocurrency Buying and Selling Platforms for Traders
Since their inception, cryptocurrencies have seen significant volatility, with some early investors seeing substantial gains and many who purchased at the height of their popularity still not entirely recuperating from their losses. Legendary investors like Warren Buffett have stated that cryptocurrencies are worthless, sparking intense discussion in the finance community over their feasibility and investment prospects.
The crypto business has experienced a surge of both good and bad news in recent years. Top officials of the cryptocurrency exchange FTX were charged with crimes after it failed, and the Securities and Exchange Commission also filed accusations against Binance and Coinbase. Nevertheless, in early 2024, the SEC authorized several spot Bitcoin ETFs, providing traders with an easy-to-use framework for purchasing and disposing of the world’s biggest cryptocurrency.
Some traders use the futures market, while others prefer to possess the currency. Because futures provide traders the ability to utilize leverage to increase their gains (but also increase losses), they could be an even more alluring option to profit from the volatility of digital currencies like Bitcoin. However, futures carry a lot greater risk in return for the possibility of a larger payout.
Where You Can Buy and Sell Cryptocurrencies
- Conventional Brokers
Brokers usually only provide futures trading, not direct Bitcoin trading, but they will give you access to a large range of other assets and frequently offer commission-free Bitcoin ETF purchases. - Crypto Exchanges
In addition to Bitcoin and the other most well-known coins, specialized crypto exchanges provide the largest selection of cryptocurrencies. Additionally, you will be able to directly own the currencies. - Payment Services
Users may purchase and trade the most well-known cryptocurrencies using certain payment services, such as PayPal and Cash App.
Overview: Best Brokers for Cryptocurrency Trading
Robinhood
Robinhood is a great option for buying cryptocurrency directly. You’ll also get to take advantage of Robinhood’s wildly popular trading commissions: $0 per trade, or commission-free, though you’ll still be paying a built-in spread markup on any trades. And if you’re into more than just cryptocurrency, you can stick around for stock and ETF trades for the same low price. Robinhood’s slick app makes trading so easy, though those looking for a full-featured trading experience will be disappointed.
- Commission: $0, but built-in spread markup
- Account Minimum: $0
Interactive Brokers
Interactive Brokers lets you trade four cryptocurrencies through Paxos Trust Company and Zero Hash, including Bitcoin and Ethereum, for one of the lowest commissions in the market. Customers can also access 24/7 crypto trading through an associated app with Paxos.
- Commission: 0.12-0.18% of trade value; $5 per Bitcoin futures contract
- Account Minimum: $0
Webull
Weibull may be less known than its rival commission-free trading app Robinhood, but it provides investors with a solid offering that includes cryptocurrency trading.
- Commission: $0, but built-in spread markup of 1%
- Account Minimum: $1 to trade crypto
Binance.US
Binance is a specialized trading platform that allows you to buy and sell digital currencies, including Bitcoin Ethereum, and hundreds of other smaller coins.
- Commission: 0.57% of the transaction value or less, while Bitcoin trading is free
- Account Minimum: $0
Coinbase
Coinbase is a specialized cryptocurrency-focused platform that allows you to trade digital currencies directly, including Bitcoin, Ethereum, Solana, and Tether.
- Commission: Fees start at 0.6% on Advanced Trade
- Account Minimum: $0
Kraken
Kraken is a cryptocurrency exchange that allows you to trade in more than 200 different digital currencies such as Bitcoin and Ethereum, as well as emerging ones such as Cardano and Solana.
- Commission: At Kraken Pro, fees start at 0.26%
- Account Minimum: $1
Charles Schwab
Charles Schwab offers trading in Bitcoin futures and provides an attractive commission of $2.25 per contract.
- Commission: $2.25 per contract
- Account Minimum: $0
tastytrade
Tastytrade offers some attractive pricing on cryptocurrency trades, which are enabled by partner Zero Hash.
- Commission: No commission, but 0.35% built-in markup. Futures contracts at $1.25 on the buy and sell
- Account Minimum: $0
Whenever you’re selecting a broker, it’s important to consider all of your needs. For new cryptocurrency traders, figure out whether you want to own the virtual currency directly or trade futures, which offer higher rewards but also higher risk. If you’re looking to get started trading cryptocurrency, these cryptocurrency trading platforms provide excellent options.