I will give you a list of a couple of cryptocurrency exchanges which have been around for some time and can thus be used with as little risk as possible.
Bitfinex is an exchange which offers Bitcoin, Litecoin and Ethereum trading. With those three, you can use your account to do the following:
- Spot trading: buy or sell any of these cryptocurrencies.
- Margin trading: you can also trade USD, BTC, LTC and ETH on 3.3x margin. For more information, I will include a tutorial on margin trading later.
- Lending: You can use your funds to provide liquidity to the markets (for the margin traders) and get a certain percentage paid daily.
OKCoin is a Chinese exchange which also provides an international version of its exchange. You can trade Bitcoin and Litecoin against US Dollar.
OKCoin is famous for its insane leverage (10x and 20x) on its Futures. There’s rumor (especially on Twitter) of people who made a lot of money trading OKCoin Futures, but there are also stories of users who have lost a lot of money there.
20x (well, even 10x) is a lot – even more so on a currency like Bitcoin which already has a lot of volatility on its own – and you should only trade there if you know exactly what you’re doing.
Poloniex is an Altcoin exchange which has been around for quite some time. They offer a huge list of Altcoins, and they also offer 2.5x margin trading for a certain selection of Altcoins.
Their popularity increased quite a bit when they added Ether trading to their exchange, and they’re known for their big trading volume for certain Altcoins – Ethereum usually leading the list with a daily volume of anything between a couple of thousands of BTC up to 100.000 BTC. Yes, you got that right. Onehundredthousand Bitcoins worth of Ether trades!
A Website for trading Forex, certain stocks, Bitcoin and a selection of Altcoins. What makes SimpleFX special is certainly its insanely high leverage of up to 500x – trade with caution!
SimpleFX has by far the most sophisticated user interface of all the trading websites I have visited, so far. Additionally, it also offers a selection of affiliate tools, so you can keep track of your referral status and your income generated by referring other traders to SimpleFX.
Whaleclub is a relatively new exchange in crptoland. They have just recently (time of this post: 2016-07-23) launched their first trading tournament where you can win real money based on your profitability.
You can trade with up to 40x leverage and they’re offering a variety of markets, such as crypto markets (BTC, ETH) and traditional markets like stocks (Crude Oil, Godl), the S$P500 index and stocks (Apple, Facebook and Tesla Motors). The markets are subject to change in the future, as users can make suggestions for markets to add.
Want to do leveraged trading in markets like Bitcoin, stocks, indices and Forex? Visit 1broker. It’s a classical bucket shop, but the Austria-based owners don’t make a deal out of that.
“Bucket shop” means in this context that you don’t actually trade the markets, meaning that your orders, whatever size they are, don’t affekt the “real” market: you’re not actually buying or selling the underlying, but instead, you’re betting on a rising or falling price.
1broker gains when their users lose, and on the spread (the gap between the buy- and sell side), which usually doesn’t reflect the spread on the real markets. But that’s a common thing for bucket shops, and so far I can only report positively about 1broker. They have been around since 2012 and have been reliable ever since.
Their support is reacting fast and the user interface is doing what it’s supposed to. Nothing more and nothing less.
The above list is probably far from complete, but it’s a selection of websites & services which I am using.
Remember: whenever you send money to an exchange, you’re losing control over your coins! For that reason, it’s important to find services which are proven reliable, so far. But still, past reliability can only be an indicator of future reliability – it’s by no means a guarantee that your funds are safe. For that reason, you should consider withdrawing your funds from these websites when you’re done trading. This reduces the chance of your funds still being in control of the exchanges when they e.g. fall prey to a hack significantly.