If you’re looking to buy bitcoin or trade cryptocurrency, it can be a very intimidating experience at first. With so many bitcoin trading platforms to choose from, each with their own drawbacks and advantages, how do you know which one is best for you?
o help you decide, we’ve put together this guide to the best crypto exchanges for 2021. We evaluated each cryptocurrency exchange on a variety of factors including their available assets, fees, user interface, features, and customer reviews.
Whether you’re a long-term investor in bitcoin or an active crypto trader, here are the best cryptocurrency exchanges of 2021.
Top 5 Best Cryptocurrency Exchanges
- Etoro: Best for beginners
- BlockFi: Best for earning interest on deposits
- Binance: Best for trading altcoins
- Prime XBT: Best platform for margin trading
- CoinBase: Most well-known crypto exchange
#1 EToro: Best Overall
Etoro is our top choice for trading the most popular cryptocurrencies such as Bitcoin, Ethereum, and Litecoin. Etoro is one of the biggest crypto exchanges in the world with over 18 million users worldwide and over 20 million crypto transactions executed on the Etoro platform. Etoro is supported by over 140 different countries and is one of the most secure crypto trading platforms in existence.
Although Etoro doesn’t offer as many different assets to trade as some of their competitors, they do offer the 14 most popular cryptocurrencies. Here is a list of the crypto coins available on Etoro:
- Bitcoin (BTC)
- Ethereum (ETH)
- Ethereum Classic (ETC)
- Litecoin (LTC)
- Cardano (ADA)
- Neo (NEO)
- Bitcoin Cash (BCH)
- Stellar Lumens (XLM)
Etoro offers a web-based trading platform as well as a mobile app. The Etoro platform is really easy to use, even for beginners. Here are some of the features we like most with Etoro:
Demo Account – After opening an account, you’ll get $100,000 in virtual money to practice trading with. You can use this demo account to experiment with trading strategies or to get a feel for the platform itself.
Social Trading – When you open an account with Etoro, you’ll be joining one of the largest communities of traders. You can discuss ideas, share trading decisions, and talk strategy with other traders on the Etoro platform.
Copy Trading – This feature allows you to replicate other traders’ actions in real-time. This means that you can follow other successful traders on Etoro and copy their trades to piggyback off their success.
CopyPortfolios – These are done-for-you portfolios of the most popular digital currencies. This feature is great if you want to diversify with different crypto coins. These portfolios are rebalanced regularly and the investments are overseen by Etoro’s investment team.
Trading App – The Etoro trading app is intuitive and simple. It allows you to trade crypto anytime, and anywhere. Whether you’re on your mobile phone, laptop, or tablet, you’ll have a variety of cryptocurrencies at your fingertips.
Etoro offers competitive pricing on all trades. They charge zero commissions and have zero hidden fees. Etoro prices its trades with spreads instead, which start at 0.75% for Bitcoin. However, it’s important to note that most brokers charge a spread when you buy AND when you sell an asset, whereas Etoro only charges one spread (when you buy).
Overall, Etoro is a great cryptocurrency exchange for trading the most popular crypto coins such as Bitcoin and Ethereum. Its copy trading feature greatly increases your chance of making a profit, especially for beginners.
- Buy and sell 14 of the largest cryptocurrencies
- Best crypto exchange for social trading and copytrading
- Deposit funds via bank account or wire transfer
- No commissions and low spreads on bitcoin and crypto
#2 BlockFi: Best for Cryptocurrency Investing
BlockFi is quickly becoming the go-to choice for cryptocurrency investors. With BlockFi, you can earn up to 8.6% interest on your holdings, borrow cash, and buy or sell crypto. BlockFi has no hidden fees and no minimum balances.
Why choose BlockFi as your crypto exchange? The reason is simple. Unlike other cryptocurrency exchanges, BlockFi offers interest-earning accounts that allow you to earn money on all crypto you hold on their platform. This means that once a trade is executed, your new crypto asset will start earning interest the very next day. No other crypto exchange allows you to earn money on your deposits in the same way that BlockFi does!
Interest on your crypto holdings is paid out at the beginning of each month and the interest is compounding. This allows you to make more money from the same investment than other cryptocurrency exchanges. The Annual Percentage Yield (APY) that you earn will vary from 3% to 8.6%, depending on the digital currency.
Another striking feature of BlockFi is that it lets you borrow against your coins. Rather than selling them when you need funds, you can take out loans in U.S. dollars, a feature that helps you avoid selling in a down market. BlockFi crypto loans can get funded the same day you apply and there are no prepayment penalties or fees. Interest rates on their crypto loans are as low as 4.6% APR.
To get started with BlockFi, you have to visit their site to open an account. You’ll then be required to upload a visible photo ID. Most applications receive an approval within minutes, and you can begin transferring funds immediately.
- Buy bitcoin and crypto and earn up to 8.6% interest, paid monthly
- Borrow cash using cryptocurrency as collateral
- Best cryptocurrency exchange for long-term investing
- Trading app allows you to manage your crypto portfolio from any device
#3 Binance: Top Crypto Exchange For Trading Altcoins
Binance is the world’s largest crypto exchange and is our top choice for buying and selling altcoins. Binance has a whopping 1,400,000 transactions per second and over 2 billion in average daily volume.
Changpeng Zhao and Yi He launched the Binance cryptocurrency exchange, one of the best exchanges today, in China in 2017. Since cryptocurrency laws are strict in China, it relocated to Japan and now has headquarters in Malta.