Cryptocurrency trading has become increasingly popular, with a lot best crypto exchanges available to cater to different needs. What is the best crypto exchange for day trading? In this comprehensive overview, FMCPAY will explore exchanges across various categories including Centralized Exchanges (CEX), Decentralized Exchanges (DEX), and Hybrid Exchanges (HEX).
👉 Read more: What Are Crypto Exchanges? Overview and explore the leading crypto exchanges in 2024
Centralized Exchanges (CEX)
Coinbase
Coinbase stands out as the best crypto exchange for beginners, offering a user-friendly platform with strong security features. Founded in 2012, Coinbase has evolved into a publicly traded exchange with a market value exceeding $18 billion. With support for over 200 cryptocurrencies, a minimum deposit of $2, and trade limits, Coinbase is an ideal choice for both novice and experienced traders.
Key Specifications:
- Transaction Fees: 0.00% to 0.60%
- Supported Currencies: 200+
- Minimum Deposit or Purchase: $2
Pros:
- User-friendly Interface: The platform offers a user-friendly interface, making it accessible and easy to navigate for users of all experience levels.
- Easy Purchase Process: The exchange provides a streamlined and straightforward process for purchasing cryptocurrencies, ensuring a hassle-free experience for users.
- Strong User Reviews: Positive user reviews contribute to the platform’s credibility and reputation, indicating a high level of satisfaction among users.
- Security Features: Robust security features are in place, enhancing the safety of user accounts and transactions, instilling trust in the platform.
- Staking Options: Users have the opportunity to stake various cryptocurrencies, including Algorand (ALGO), Cosmos (ATOM), Ethereum (ETH), Tezos (XTM), Cardano, and Solana (SOL). Staking offers a way to earn rewards by participating in the network.
Cons:
- High Fees for Convenience: While the platform offers convenience, users may incur relatively high fees for the services provided, impacting the overall cost of transactions.
- Limited Geographic Availability: The platform is not available in all 50 states, with Hawaii still awaiting support. Residents of New York face restrictions on staking ADA, ETH, XTM, or ATOM.
Crypto.com
Crypto.com boasts a diverse selection of 250+ cryptocurrencies and provides unique perks, including crypto rewards for users of the Crypto.com Visa Card. With the utility token Cronos (CRO), users can pay fees and enjoy additional benefits. Despite high cybersecurity ratings, limited margin trading is available.
Key Specifications:
- Trading Fees: 0.075% Maker / 0.075% Taker
- Tradable Coins: 250+
Pros:
- Trading Fee Discounts: Users with high balances in CRO (Crypto.com’s utility token) can benefit from trading fee discounts, providing cost savings for frequent traders.
- Cash Back on Debit Card Spending: High-balance CRO holders can enjoy up to 8% cash back on spending using the Crypto.com Visa debit card, offering a valuable perk for everyday transactions.
- High Cybersecurity Ratings: The platform boasts high cybersecurity ratings, enhancing the overall security of user accounts and assets.
Cons:
- Limited Margin Trading: The availability of margin trading is limited on the platform, restricting advanced trading strategies for users seeking leveraged positions.
- Higher Trading Fees for Lower Volumes: Lower-volume trading on the platform incurs higher fees, potentially impacting users who engage in smaller transactions. This fee structure may be less favorable for occasional or smaller traders.
KuCoin
KuCoin offers access to a broad library of 700+ altcoins at competitive fees. While known for its extensive offerings, KuCoin suffered a major hacking incident in 2020. With features like margin trading and futures trading, it caters to users in Asia, Europe, the Middle East, and Africa.
Key Specifications:
- Trading Fees: 0.1% Maker Fee, 0.1% Taker Fee *LV0 Trading Fee Level
- Tradable Coins: 700+
Pros:
- Broad Selection of Cryptocurrencies: KuCoin provides a diverse range of tradable cryptocurrencies, offering users multiple options for investment and trading.
- Competitive Trading Fees: The platform offers competitive trading fees, allowing users to execute transactions with relatively low costs compared to other exchanges.
- Volume Discounts on Fees: Users trading at higher volumes can benefit from volume discounts on fees, providing cost advantages for more active traders.
- Advanced Features: KuCoin offers advanced features, including margin trading and futures trading, catering to users with diverse trading preferences and strategies.
- Accepts Credit and Debit Cards: The platform allows users to fund their accounts using credit cards and debit cards, enhancing convenience for depositing funds.
Cons:
- Not Licensed in the U.S: KuCoin is not licensed to operate in the United States, limiting access for U.S. residents and potentially affecting regulatory compliance.
- Uninsured Funds: Funds kept on the platform are not insured, posing a risk to users in the event of a security breach or unforeseen circumstances.
- Hacking Incident in 2020: KuCoin experienced a major hacking incident in 2020, raising concerns about the security and safety of user funds on the platform
FMCPAY
FMCPAY is a reputable cryptocurrency and digital security trading platform based in the United States, providing a secure environment for digital asset trading while minimizing transaction risks. With some of the lowest transaction costs in the cryptocurrency market, FMCPAY ensures cost-effective trading for its users. The platform leverages blockchain technology and artificial intelligence to deliver a seamless and efficient trading experience.
Key Specifications:
- Low Transaction Costs: FMCPAY offers users one of the lowest transaction costs in the cryptocurrency market, ensuring cost-effective trading.
- Blockchain Technology: Operating on its private UTXO blockchain established in 2021, FMCPAY is fully decentralized, utilizing an immutable ledger with verifiable signatures and cryptographic computation.
- Liquidity: Maintaining high liquidity across market pairs, FMCPAY ensures there is sufficient liquidity to meet user orders.
- Stock Trading: Beyond cryptocurrency trading, FMCPAY serves as a stock brokerage, enabling users to trade stocks of major corporations like Netflix, Uber, Facebook, and Amazon.
- Open and Accessible Blockchain: FMCPAY’s blockchain is entirely open and accessible to everyone, aligning with core principles of transparency, openness, and trustless financial transactions.
- Upgrades and Forks: The FMCPAY blockchain undergoes non-contentious soft and hard forks, resulting in continuous upgrades that prioritize speed, security, and scalability.
- Fast Block Timings: With faster block timings (15 seconds), FMCPAY contributes to on-chain scalability, supporting practical applications like deploying dApps, document authentication, token issuance, and asset digitization.
- Security Measures: Utilizing five different independent algorithms enhances the security of FMCPAY’s blockchain, preventing potential attacks. Real-time difficulty adjustment mechanisms stabilize block generation timing despite fluctuations in hash mining power.
Achievements:
- Community Support: FMCPAY provides 24/7 community support, demonstrating its commitment to assisting users around the clock.
- User Milestone: Achieving a significant milestone of 1 million users, FMCPAY signifies its growing popularity and trust among cryptocurrency traders.
- Trusted Platform: Operated by Fuinre Inc, FMCPAY is recognized as the world’s most trusted platform for trading cryptocurrency and digital securities. Registered in the USA, it ensures compliance with regulatory standards.
- Comprehensive Information: FMCPAY provides essential market information, including market cap, rank, prices, exchange volumes, and currency conversion, offering users a comprehensive overview of the cryptocurrency market.
- Portfolio Tracking: Introducing a new portfolio feature, FMCPAY allows users to track their holdings efficiently, enabling detailed comparisons and keeping users informed about the performance of their investments.
- Crypto News Updates: FMCPAY keeps users updated with the latest news in the cryptocurrency space, ensuring traders have access to relevant information that may impact their investment decisions.
Decentralized Exchanges (DEX)
Uniswap
Uniswap stands as the largest decentralized exchange for Ethereum in terms of Total Value Locked (TVL), surpassing $4 billion. It emerges as an excellent choice for investors seeking to trade Ethereum and ERC-20 tokens due to its high liquidity and low slippage.
- Multichain Support: Uniswap goes beyond being exclusive to Ethereum, supporting other blockchains like BNB Smart Chain, Arbitrum, Optimism, Polygon, and Celo. This broader compatibility enhances accessibility for investors.
- Liquidity Provider Rewards: For those looking to earn rewards by becoming liquidity providers, Uniswap offers a straightforward process. Liquidity providers earn a corresponding share of the 0.3% transaction fee for each trade, proportional to their capital contribution to the liquidity pool.
- UNI Token Governance: Uniswap introduces its governance token, UNI, allowing token holders to vote on protocol development. Additionally, UNI holders can buy, sell, and trade their tokens like any other cryptocurrency.
- User-Friendly Experience: Utilizing Uniswap is convenient, requiring only an unsupervised wallet such as MetaMask or Coinbase Wallet.
Key Features:
- Total Value Locked (TVL): $4.09 billion
- Supported Chains: Ethereum, Binance Smart Chain, Polygon, Celo, Optimism, and Arbitrum
- Governance Token: UNI
Pros:
- Huge Liquidity Levels: Uniswap excels in providing significant liquidity, especially when trading popular ERC-20 tokens.
- No KYC or Personal Information: Users enjoy privacy and anonymity as there is no requirement for Know Your Customer (KYC) documentation or personal information.
- Top Decentralized Exchange for Yield Farming: Uniswap is renowned as one of the best decentralized exchanges for yield farming, offering opportunities for passive income.
- Support for Over 300 dApps: The platform supports a vast array of decentralized applications (dApps), contributing to its versatility.
Cons:
- Considered High Trading Fees: The 0.3% trading fees might be perceived as relatively high, particularly for users engaged in frequent transactions.
Pancake Swap
PancakeSwap stands out as the premier decentralized crypto exchange for trading on the Binance Smart Chain (BSC). Known for its swift listing of newly launched BSC tokens post-presale, PancakeSwap is a preferred choice for investors seeking to explore and invest in emerging cryptocurrencies.
- User-Friendly Interface: PancakeSwap offers a straightforward interface, simplifying the process of buying, selling, and trading BSC tokens. Users can connect a supported wallet, select tokens to swap, and execute transactions almost instantly.
- Fee Structure: PancakeSwap charges a 0.25% fee for both buyers and sellers, providing a competitive fee structure for users engaged in token swapping activities.
- User Statistics: According to PancakeSwap’s data, over 1.4 million traders utilized its decentralized exchange (DEX) in the preceding month. The platform caters not only to token trading but also offers yield services, including staking and yield farming.
- Yield Farming and Staking: PancakeSwap supports yield farming and staking, offering opportunities for users to earn passive income. Staking the native token, CAKE, provides Annual Percentage Yields (APYs) of up to 43.5%. Notably, the BNB/BUSD yield farming pool boasts an APY of nearly 30%.
Key Features:
- Total Value Locked (TVL): over $2.5 billion, indicating the substantial amount of assets actively participating in PancakeSwap’s liquidity pools.
- PancakeSwap exclusively supports tokens on the Binance Smart Chain. While this makes it an optimal choice for BSC projects, users seeking alternative tokens on the Ethereum blockchain will need to explore other platforms.
- Staking and Yield farming: 0.25% fee for swapping tokens, supports thousands of BSC tokens, high yields via farming and staking, completely anonymous (no KYC required)
- Governance Token: CAKE
Pros:
- Best Decentralized Exchange for BSC Tokens: PancakeSwap excels as the top decentralized exchange for trading BSC tokens, offering a wide array of options.
- Access to Newly Launched BSC Projects: Investors can promptly access and invest in freshly launched BSC projects, taking advantage of early opportunities.
- Yields via Farming and Staking: PancakeSwap provides users with opportunities to earn yields through both yield farming and staking.
- No Account Required: The platform offers a hassle-free experience, requiring only the connection of a wallet to initiate trading.
Cons:
- Exclusive BSC Token Support: PancakeSwap is limited to BSC tokens, excluding the ability to explore or trade tokens from other blockchains.
- No Support for Savings Accounts: The platform lacks support for savings accounts, limiting certain investment options for users.
Sushi Swap
Launched in 2020, SushiSwap has emerged as a leading decentralized exchange (DEX) built on the Ethereum protocol. Renowned for its extensive support of hundreds of ERC-20 tokens, SushiSwap has embraced cross-chain functionality, enabling users to seamlessly interact with various blockchain standards such as Arbitrum, Polygon, Fantom, Binance Smart Chain, and Optimism. It’s important to note that SushiSwap does not support Bitcoin. Similar to Uniswap, SushiSwap levies a 0.3% swap fee on transactions.
- Cross-Chain Functionality: SushiSwap stands out with its cross-chain feature, fostering compatibility across multiple blockchain networks. This enhances user accessibility and flexibility in exploring diverse ecosystems.
- Swap Fees: Aligning with industry standards, SushiSwap applies a 0.3% fee for token swaps, akin to the fee structure employed by Uniswap.
- User-Friendly Interface and Earning Tools: SushiSwap prioritizes user experience through a user-friendly interface, facilitating seamless token swaps. Notably, the platform distinguishes itself with decentralized earning tools, including yield farming pools. These pools enable users to earn interest on various token pairs supported by the DEX. Key liquidity pools, such as USDC/ETH, WBTC/ETH, and ETH/USDT, offer opportunities for users to participate in yield-generating activities.
- Trading Volumes and TVL: Despite its strengths, SushiSwap grapples with lower trading volumes and Total Value Locked (TVL) compared to some industry peers. Recent data indicates a trading volume of just under $6 million in the prior 24 hours, emphasizing the need for increased market participation.
Key Features:
- TVL: $400 million USD
- Supported Networks: Ethereum, Arbitrum, Polygon, Fantom, Binance Smart Chain, and Optimism
- Governance Token: SUSHI
Pros:
- Anonymous Token Swaps: Users can instantly swap tokens without the need to provide personal information, prioritizing privacy.
- Cross-Chain Support: SushiSwap supports multiple blockchain networks, including Ethereum and Binance Smart Chain, enhancing flexibility for users.
- Transparent Fees: The platform maintains transparent fees, ensuring users are aware of the costs associated with their transactions.
- Competitive Yields in Liquidity Pools: SushiSwap offers liquidity pools with competitive yields, attracting users seeking opportunities for earning.
Cons:
- Limited Token Support: Compared to other DEXs, SushiSwap has a more limited number of supported tokens.
- High Token Swap Fee: The 0.3% token swap fee is considered relatively high, potentially impacting users engaged in frequent trading.
Hybrid Exchanges (HEX)
OKX
OKX stands out as the top hybrid crypto exchange in the market, offering a unique blend of centralized and decentralized features. With an impressive daily volume averaging $1 billion, OKX serves as both a centralized trading platform and a decentralized exchange aggregator. This hybrid model ensures users benefit from optimal pricing across over 200 third-party decentralized exchanges.
- Decentralized Exchange Aggregator: OKX operates as a decentralized exchange aggregator, aggregating prices from a vast network of over 200 decentralized exchanges. This approach allows traders to secure the best possible prices, whether they are buying or selling. The platform offers transparency by displaying each DEX in order of price, empowering users to make informed decisions.
- Cross-Chain Trading: OKX DEX supports trading on 15 blockchain networks, enabling seamless cross-chain trading. Investors can instantly swap tokens across different networks, ensuring efficient and cost-effective transactions.
- Token Swaps and Yield Farming: Through its aggregator protocol, OKX facilitates token swaps with minimal latency. Users can connect their wallets, specify the tokens they want to swap, and OKX will display the DEX offering the best price. Additionally, OKX is a leading decentralized exchange for earning interest on crypto. The platform utilizes its aggregator protocol to source the best yields for users. This includes features like savings accounts, staking, dual investments, yield farming, and vaults, each offering competitive interest rates.
- NFT Marketplace and Wallet: OKX DEX goes beyond traditional crypto services by supporting an NFT marketplace and providing users with a decentralized wallet. This comprehensive approach caters to various needs within the crypto ecosystem.
- KYC-Free Environment: In alignment with the principles of decentralized exchanges, OKX does not impose a Know Your Customer (KYC) policy. This means investors can engage in buying, selling, trading, and earning interest on cryptocurrencies without the need to disclose their identity.
Pros:
- Overall Best Decentralized Crypto Exchange for 2023: OKX stands out as the premier decentralized crypto exchange for the year.
- Aggregated Best Prices: The platform aggregates prices from over 200 DEXs, ensuring users get the best possible rates.
- Cross-Chain Swaps: OKX supports 15 blockchain networks, enabling seamless cross-chain swaps.
- Diverse DeFi Services: In addition to token swaps, OKX offers a range of DeFi services, including savings accounts, staking, dual investments, yield farming, and vaults.
- NFT Marketplace: OKX supports an NFT marketplace, catering to the growing interest in non-fungible tokens.
Cons:
- Hidden Commissions: OKX commissions are not displayed until the order is created, which may impact transparency for users.
Houbi
Huobi, recognized as a top-five crypto exchange in trading volume by CoinGecko, has introduced its web 3.0 platform known as iToken. This decentralized platform offers a spectrum of services, including token swaps, wallet storage, and NFT investments. Notably, iToken is exclusively accessible through its smartphone app, compatible with both Android and iOS devices. The app follows a fully decentralized approach, empowering users with control over their private keys.
- Decentralized Asset Support: iToken stands out by supporting over one million digital assets, making it one of the most versatile platforms in the market. Compatibility with multiple blockchain networks, including Ethereum, Binance Smart Chain, Solana, Tron, Avalanche, and more, ensures users have access to a diverse range of tokens.
- Customer Support: One notable feature is the provision of 24/7 customer support directly through the app, enhancing the overall user experience.
Pros:
- Large User Base and Huobi Backing: iToken benefits from being used by over 10 million individuals and is backed by the reputable Huobi exchange.
- Comprehensive Decentralized App: Recognized as one of the best decentralized crypto apps, iToken offers a wide array of services and asset support.
- Multi-Network Compatibility: The platform supports a broad range of blockchain networks, facilitating access to various digital assets.
Cons:
- Lack of DeFi Earning Tools: iToken does not support DeFi earning services, limiting the potential for users to earn interest on their crypto holdings.
- Unclear Token Swap Fees: The platform does not transparently display token swap fees, potentially causing uncertainty for users during the trading process.
Conclusion
In summary, during the current market cycle, many major centralized exchanges (CEX) are gradually transitioning to a new model known as Hybrid. The inherent nature of the cryptocurrency market is decentralized, but reaching the mainstream audience proves challenging. Therefore, Hybrid emerges as the most optimal form to easily bring the decentralized nature of blockchain to the broader user base in the future.
Regardless of the exchange platform, as investors, we need to maintain an objective perspective and carefully choose exchanges that align with our trading needs. In 2024, it is certain that there will be a significant surge in volatility within the current market cycle.