When it comes to the best cryptocurrency brokers, we understand that finding a regulated broker with which you can trade legally in your country can be a bit tough. That is why we are making it easier by tailoring the results to include credible brokers you can trade cryptocurrencies with.
However, traders who are using brokers to buy and sell cryptocurrency derivatives contracts do not own the actual cryptocurrency. This is as a result of cryptocurrency derivatives products are a form of speculative “betting”.
Thus since traders do not own the crypto coins, they make a profit from the rise or fall of a particular cryptocurrency’s price. These derivative products includes:
Crypto CFDs – Contracts–for-difference (CFDs) which enables traders to speculate on the rise or fall of a digital asset’s price . Here, the trader can close to contract at any time, even though the margin requirement of the broker determines the possible range of the trade. There are other common CFD products which includes commodities like precious metals.
Crypto futures – Here traders enter an agreement with the broker where they are obliged to buy or sell a cryptocurrency at a specified price at a future date when the contract expires.
Crypto options – Instead of an obligation to buy or sell, options enables the trader to withdraw from the contract at the expense of losing the options premium (a deposit which essentially pays for the option to withdraw).
Best Cryptocurrency Brokers
‘etoro’ – Best for Social Trading
eToro is a social trading platform that has changed the way many people trade and invest. eToro apart from its regular crypto trading platform, offers an advanced cryptocurrency exchange platform known as eTorox. A platform designed for algorithmic traders and institutional trade investors, which offers traders access to tight-dealing spreads. Its AlgoX application programming interface (API) can be used to create custom automated trading tools.
Commissions – Depends on security and leverage.
Account Minimum – $50 for US and Australia : $200 everywhere else.
Gemini – Best for Ease-of-Use
With Gemini, you can stay updated on market trends, build your crypto portfolio as well as execute your trading strategy with its easy-to-use tools. There’s also a Gemini app that is available on all the major app stores. This app is designed to put the industry’s best crypto exchange and wallet in your hands.
The Gemini’s app is easy-to-use, and can help you track asset prices and real-time market prices as well as set price alerts to enable you act fast on price movements for individual assets. With the app, you can also schedule recurring buys on Bitcoin and other cryptocurrencies.
Gemini offers a solid cybersecurity and custody solutions. So you can invest with peace of mind and create a free account and make your 1st buy in as little as 3 minutes.
Commissions – 0.50% per sale
Account Minimum – $0
Coinbase – Best for New Investors
Coinbase is one of the brokers that are best for new investors. It is one of the largest and oldest cryptocurrency exchanges. Currently, Coinbase services 43 million users in over 100 countries and has extensive educational resources and an intuitive interface which is ideal for new traders and investors.
Coinbase also offers clients a hosted wallet and global customer support. This exchange is ideal for those who are just investing in the cryptocurrency market and do not wish to use social trading services.
Pricing – 1% fee
Account Minimum – $1,000
iTrustCapital – Best for Gold Investments
With iTrustCapital, you can actually trade and hold physical gold in your individual retirement account (IRA). With this exchange, you can also trade Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Bitcoin Cash (BCH) in your IRA. iTrustCapital offers you a personal wallet by Curv for your crypto transactions.
Even though iTrustCapital has no minimum trade or account size, the company charges account holders a flat fee of $29.95 monthly. This amount covers all IRA fees, asset custody charges as well as access to its trading platform. However all cryptocurrency trades carry an additional 1% transaction charge depending on their trade size.
iTrustCapital will be good option if you are planning for your retirement and want to add physical gold to your cryptocurrency portfolio as an inflation hedge.
Pricing – 1% fee
Account Minimum – $1,000
CryptoRocket – Best for High Volume Forex Traders
CryptoRocket offers you 35 crypto pairs and enables you trade 55 fiat currency pairs, 64 major stocks and 11 indices. This exchange offers a Straight Through Processing (STP) to its trading clients. This implies that you can directly deal with the crypto and forex markets and not through intermediaries or market makers. High volume forex traders who tend to be sensitive to dealing spreads, will find this broker model very useful.
If you are based in a jurisdiction with relatively lax retail forex trading regulatory oversight, you can even take advantage of CryptoRocket’s 500:1 maximum leverage ratio for forex trades. Also CryptoRocket supports 3rd-party MetaTrader4 trading platform.
There are different brokers out there with different strengths. Thus, you have to figure out what kind of broker suits your cryptocurrency interests. While some brokers offer a social trading platform where you copy other cryptocurrency traders’ trades in your own account, others can offer the ability to make transactions in a broader selection of altcoins.
So at the end of the day, choosing the best crypto broker depends largely on addressing your needs as an investor or trader.