You made it this far, congratulations! This is not another normal lesson but rather a simple walkthrough of what to do after you learnt about trading. I also included a list of exchanges that I have already used to purchase and trade cryptocurrencies. This will be a light read, I promise.

I also specify what types of trading orders are supported on each exchange. If you do not know what these trading order types are, you should read the previous lesson. Link below! If you already know what they are, you already read that previous lesson or you just want to continue without this knowledge, skip the link!

I see you are ready, good. Let us begin!

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1. How do I find the right exchange?

The best way to explain this is by using an example. I will choose one cryptocurrency that I like, it is called Power Ledger and its ticker symbol is POWR. So, let’s say I just heard about this cryptocurrency for the first time in the news, I researched it a bit and consider it a worthy investment. At this point, POWR is not an ICO anymore (if it were, you would not be able to buy it on any exchange, only it’s author’s website), it is a frequently traded cryptocurrency. My first step would be to visit Coinmarketcap HERE. There you find a search bar (see the following image) and enter either the cryptocurrency’s name or its ticker symbol.

Searching for POWR coin on Coinmarketcap's homepage.
Searching for POWR cryptocurrency on Coinmarketcap. Screenshot taken from Coinmarketcap.com.

Ok, now you should be seeing POWR’s detail page on Coinmarketcap. To see what exchanges allow trading with POWR, there is the “Markets” tab. In case of POWR, there are quite a few exchanges listed. However, some cryptocurrencies (the young ones) might only have one or two (or even none if no exchange accepted it thus far). Before picking an exchange from the list, there are a few things to consider – see the image below.

Coinmarketcap's POWR coin's screen with highlighted columns - Exchange, Trading pair, 24-hour volume and Market volume.
When looking for the best crypto exchange for POWR trading, the information can be found in the “Markets” tab of POWR’s page on Coinmarketcap. The most significant factor should not be the price but rather the exchange’s market volume (the percentage of how much of the world’s POWR funds circulates on the exchange) or 24-hour volume (how much POWR funds got traded on the exchange during the last 24 hours). Screenshot taken from Coinmarketcap.com.

The current trading price of POWR on an exchange should NOT be the first place to look when considering it. You should look for exchanges that also have:

  • high percentage in market volume – the percentage of how much of the “world’s” POWR funds circulates on an exchange (do not take that word “world” too seriously, it just means “among all the existing crypto exchanges that trade with POWR and Coinmarketcap knows about them”),
  • or they have high traded volume during the last 24 hours.

I am not saying you should always pick the first one (the one with the highest specs). You can buy at a lower price on some exchanges and sell at a higher price on others. Yup, that would be awesome, but this is a dream case as every exchange also has its fees which are not included in the trading price. Before picking an exchange, you should know what fees it applies.

The first exchange on the list could be a wise option. What about the last one? Perhaps it’s worth it, just remember, if you pick an almost dead exchange (an exchange that has such a low traded volume, it takes a long time for your order to get filled), you will not do much trading there.

Also, your chosen exchange must support your owned cryptocurrency as a trading pair (the cryptocurrency you want to trade POWR for) – if you are using BTC as a trading pair, you should have no problem. If not, you either have to choose a different exchange (one that supports your trading pair) or you need to purchase the other cryptocurrency (which can be used as POWR’s trading pair) first, send it to the exchange and then use it as a trading pair.

We have that settled. Let’s take a look at some specific exchanges now!

2. Coinbase Pro (formerly GDAX)

Description

Coinbase Pro is a fiat-crypto exchange based in the United States. There are not many cryptocurrencies to choose from, only BTC, ETH, LTC and BCH (since 20th December 2017). You can trade these for USD, EURO or GBP based on the region of your registration. If you want to exchange your BTC, ETH, LTC or BCH for “real” money, this is a great place to be!

Verification

You have to verify yourself thoroughly to enter Coinbase Pro. If you already read my article about Coinbase HERE, you are probably verified already.

Supported types of trading orders

MARKET
LIMIT
STOP
STOP LIMIT

Fees for deposits and withdrawals

Deposits in cryptocurrencies are free.

Deposits of fiat currencies follow Coinbase’s example – for instance, for a SEPA transfer, you are charged 0.15 EURO.

As for cryptocurrency withdrawals, Coinbase Pro (at least in my experience) has not applied transaction fees on my withdrawals. Or perhaps it did but they were unnoticable. I read somewhere Coinbase Pro MAY CHARGE the user a transaction fee but it will always inform you about this fee before your withdrawal.

SEPA withdrawls cost 0.15 EURO (just like deposits).

For US customers, more information can be found HERE.

Fees for trading

Coinbase Pro uses quite an interesting fee system for trading. When trading on Coinbase Pro, you can be one of two things – a market TAKER or a market MAKER. The fees are applied to your BUY/SELL order based on where your order classifies you.

  1. TAKER – TAKERs are exchange users who go for the immediate market prices (they use MARKET ORDERs or their order does not even get written into the ORDER BOOK and is FILLED immediately) or their price (the price they want to order for) is already inside the ORDER BOOK. So, the TAKERs TAKE (or duplicate) orders (the distinguishing factor of an order is its price) that someone else MADE already. TAKERs always pay a percentage fee calculated from the order’s price – 0.25% for BTC, 0.3% for ETH and 0.3% for LTC orders. The fee is added to the traded price. Remember, your order can also be partly FILLED (if someone’s selling a fraction of your BUY order – you want 1 BTC, someone is selling 0.5 BTC for this price – this part of your order can get FILLED before the other part). Even if just a part of your order is FILLED immediately, you pay a fee for that part.
  2. MAKER – MAKERs are exchange users who MAKE orders that are written into the ORDER BOOK (they make a new record in the ORDER BOOK), so their orders are not FILLED immediately and they have to wait until someone FILLS their order. MAKERS do not pay any fee!
Examples
  1. The LAST market price of BTC was 15000 USD and you made a MARKET BUY ORDER to buy 1 BTC for 15000 USD, the order gets FILLED immediately for 15030 USD and you will be charged 37.575 USD fee (0.25% of 15030 USD) as you are a market TAKER. You pay 15067.575 USD alltogether.
  2. The LAST market price of ETH was 600 USD. You make a LIMIT BUY ORDER to buy 1 ETH for 550 USD because you believe it will fall and jump back up. There was no one who made a LIMIT ORDER order for 550 USD before you. Your order does NOT get FILLED right away as the current market price is far from 550 USD. The price goes up and down and, eventually, falls to 540 USD. Your LIMIT ORDER gets FILLED for 550 USD and you pay NO fee as you are a market MAKER (thanks to you, the market’s price changed to 550 USD at some point)!

This is kind of a simple system that I did not understand when I started. But now, after making quite a few trades, I think it is the fairest of them all.
So, once more, if you make an order and it is

  • FILLED right away or
  • it is NOT FILLED right away but neither does it make a new record in the ORDER BOOK (it only adds up to an existing order with the same price in the ORDER BOOK),

you pay the TAKER fee when your order gets FILLED. By this logic, every MARKET ORDER will be feed!

If your order makes a new row in the ORDER BOOK (such an order must not exist in the ORDER BOOK yet) and it is NOT FILLED right away – when it gets FILLED, you pay the MAKER fee, so NO fee!

The TAKER fees also depend on the traded volume (how much funds you trade with). The higher the volume, the smaller the fees. However, your orders have to be very big in order for the fees to get smaller. Nevertheless, it is good to know – more information HERE.

One last note. If you want to ensure that your LIMIT ORDER makes a new record in the ORDER BOOK and is not matched with any other order (so that you do not pay a TAKER fee), Coinbase Pro provides a “Post Only” checkbox in the LIMIT ORDER and STOP LIMIT ORDER menus. More information can be found HERE. If this is checked, it ensures you will be charged as a MAKER. How? By rejecting your every order that would fall under TAKER category. Sometimes, it may be quite difficult to make a Post Only LIMIT ORDER in a quickly changing market because many people might try to make an order with the same price before you. You must use a LIMIT PRICE that has not been used yet, so, be sure to use decimals when making your LIMIT PRICE, e.g. instead of stating a LIMIT PRICE of 15000 USD, use 15000.11 USD, etc.

Troubles I experienced (excluding fees)

  1. It should be noted I experienced this problem on the older version of the platform known back then as GDAX, not yet on Coinbase Pro. When a lot of people jumped in to trade BTC or ETH (I witnessed this quite regularly when trading for both), GDAX platform choked and did not allow me to do anything – basically the trading engine seemed to still work and the existing orders were getting FILLED, but some users (me included) were unable to access their accounts at those times. This usually happened when BTC climbed high enough and then started falling – people saw the losses, they were afraid to lose more, so everyone started selling. The number of SELL orders was so high, GDAX’s servers probably could not handle it. After this happened a few times, GDAX announced it would fight this problem by restricting access to users’ accounts during the times of high volatility. This means they would simply NOT ALLOW you to make a BUY/SELL order when a large enough number of users decide to do the same thing before you. There is no easy solution to this matter, services like these cannot always be prepared for the weight of thousands of users. So, I forgive you GDAX! Whether similar issues could hinder Coinbase Pro experience as well, I guess we have yet to see what it will do under pressure.

3. Bittrex

Description

Another favourite altcoin exchange from the United States. Bittrex usually has very high volumes in its trades.

Crypto only! You cannot trade for fiat money!

Verification

No verification is required if you want to deposit funds to Bittrex and trade with them there. If you want to withdraw your funds, you must be verified.

Supported types of trading orders

MARKET
LIMIT
STOP
STOP LIMIT

Bittrex does not support MARKET orders. So what? LIMIT orders are more useful, you just have to specify your price beforehand.

Oh yeah, one more thing, you will not find an option to make a STOP order on Bittrex. Bittrex is sort of a special child here as it has its own “Conditional” type of order where you can set a condition to BUY/SELL at either a price that is “Greater Than Or Equal To” or “Less Than Or Equal To” your specified price. Basically, you can also simulate the behaviour of a general STOP order this way.

Fees for deposits and withdrawals

Deposits are free. There is one more piece of information about deposits HERE, being “some coins require us to move your funds to another address before we credit them”. I do not know what coins these are, I have never been charged for my deposit, only the withdrawals.

You are charged the standard transfer fees (required by the blockchains, not Bittrex) for withdrawals.

Fees for trading

All completed trades have a fixed 0.25% fee.

Troubles I experienced (excluding fees)

I do not remember any!

4. Binance

Description

A Chinese crypto exchange. Chinese exchanges always trade with high volumes so I am sure you will find a use for it. If there are new Chinese coins released, you can be sure their first or second stop will be Binance.

I read many people mock the appearance of Binance. Perhaps it does look a bit bland and sometimes uses too many colours, but do not let this blind you. Binance’s exchange has 2 view modes – Basic and Advanced. When you open Binance for the first time, Basic is the default, so be sure to click the Advanced one, this will truly open your eyes. Binance works and I really like it because of that.

Crypto only! You cannot trade for fiat money!

Verification

No verification is required but it is possible to verify your account and make your daily withdrawal limits higher. Non-veritified users can withdraw up to 2 BTC every day – I must say, this has always been more than enough for me. Verified users can withdraw up to 50 BTC per day.

Supported types of trading orders

MARKET
LIMIT
STOP
STOP LIMIT

Fees for deposits and withdrawals

Deposits are free.

Withdrawal fees are given by Binance’s terms and can be found in the table HERE.

Fees for trading

Trading fees are fixed to 0.1% of your completed BUY/SELL orders.

Binance has its own cryptocurrency called Binance Coin whose ticker symbol is BNB. In case you own this coin in the wallet of your Binance account, Binance gives you the option to make the trading fees smaller. I realized this option exists only recently. You can exchange your coins for BNB, leave them in your wallet and use the exchange with the discounted fees. More information HERE.

Troubles I experienced (excluding fees)

I do not remember any!

5. Cryptopia

Description

Altcoin exchange from New Zealand.

I heard many people do not like this exchange, I do not understand why, I have not had any problems with it so far. It may not look stunning and may not provide that many types of trading orders, but it works reliably, it is easy to use and most of the starting unknown new coins get released there. I would call this exchange “the second most benevolent” exchange.

Crypto only! You cannot trade for fiat money!

Verification

No verification is required but it is possible to verify your account and make your daily withdrawal limits higher. Non-veritified users can withdraw up to 5000 NZD (New Zealand Dollar, different from USD) worth of crypto every day – I never reached this daily withdrawal limit and, if I did, I would rather split it into multiple days. Verified users can withdraw up to 50000 NZD worth of crypto per day.

Supported types of trading orders

MARKET
LIMIT
STOP
STOP LIMIT

Fees for deposits and withdrawals

Deposits are free.

Cryptopia always informs you about the withdrawal fee before you withdraw. Nevertheless, BTC withdrawals could get quite high, between 0.001 and 0.002 BTC high. To avoid these high fees, I recommend converting your sent cryptocurrency to either DOGE or LTC, withdraw that and convert it back on the other side – both LTC and DOGE have short confirmation times and small fees.

Fees for trading

Trading fees are fixed to 0.2% of your completed BUY/SELL orders.

Troubles I experienced (excluding fees)

  1. I already witnessed a few of my coins being removed from Cryptopia because of trouble with their blockchains (developers not responding, blockchain instabilities or lost transaction confirmations, etc.), but Cryptopia informed me about these events so I withdrew the coins elsewhere before they were outlisted. This, however, is not Cryptopia’s fault but a problem caused by the coin’s makers, perhaps users – as Cryptopia allows smaller coins to get enlisted, when trouble occurs, trouble that prevents the coin from being traded, Cryptopia cannot just let it be. A problem with Cryptopia? Not really! Just be on a lookout for such events as they may happen!

6. HitBTC

HitBTC notice

I am writing this on 19th December 2017. I do not know if this is relevant or justified, I have not had any troubles with HitBTC myself, but I do feel very skeptical to use HitBTC now. I would not like to recommend things that do not work.

I used this exchange last time about 2 weeks ago as I got an opportunity to buy certain coins there cheaply. As the coins got some value, I wanted to get back there and sell those coins for BTC. Nevertheless, while surfing the crypto forums, I read many reviews of angry customers claiming HitBTC did not allow them to withdraw their coins or even that HitBTC "lost" their coins. I do not know what to do about my investment there, I would not like it to get lost on the way out. I guess I will just leave it there for some time - it was not that expensive investment - and see how things go.

Until the issues are resolved, I cannot recommend using HitBTC. I still left it here, in this article, perhaps the exchange will get back on its legs. If not, I will completely remove it from here.

Description

Crypto and fiat exchange, presumably from London!

This was one of my most favourite exchanges when it started as it seemed to offer a lot of options for trading with small fees, although, it has always been quite slow for me (it took a long time to load).

Verification

No verification is required if you want to trade crypto-only, there are NO withdrawal or deposit limits on crypto for non-verified users. If you are a fiat trader, you will have to verify yourself first.

Supported types of trading orders

MARKET
LIMIT
STOP
STOP LIMIT

HitBTC is quite advanced in this case and gives you even more control over your orders than just these standard types. However, I never found the need to use any of those higher functions.

Fees for deposits and withdrawals

Deposits are free.

Fees for withdrawals and other information can be found HERE.

Fees for trading

If your order is not executed immediately, you are given 0.01% of your order’s price back after it is executed (basically, you pay a bit less than your order’s price). Sounds too good, but I have witnessed it already.

If your order is executed immediately, it will have a fixed 0.1% execution fee.

Troubles I experienced (excluding fees)

  1. Slow loading times!
  2. HitBTC has been down or unreachable many times!

7. Coinexchange.io

Description

Coinexchange.io is a big altcoin exchange.

If there is a coin that no other exchange wants to enlist, Coinexchange.io may still give it a chance. I would call this exchange “the first most benevolent” exchange.

Crypto only! You cannot trade for fiat money!

Verification

NO verification required!

Supported types of trading orders

MARKET
LIMIT
STOP
STOP LIMIT

Do not expect any fancy auto-completion input fields when entering new orders, Coinexchange.io provides a very simple LIMIT order interface. Nevertheless, eventually, you will get used to entering your price manually every time as it gives you more control – I do this on every exchange, not just Coinexchange.io.

Fees for deposits and withdrawals

Deposits are free.

Coinexchange.io states transfer fees (in case you want to withdraw) on its website. The list of all fees can be found HERE – the column on the right.

Fees for trading

Coinexchange.io shows fees independently for each traded cryptocurrency – both BUY and SELL orders have a fixed fee of 0.15% out of the traded price.  The list of these fees can also be found HERE – the column in the middle.

Troubles I experienced (excluding fees)

I do not remember any!

8. KuCoin

Description

KuCoin is young modern Chinese altcoin exchange.

I usually avoid websites that provide professional service, yet use a lot of broken English. I know I also make mistakes, nevertheless, I do not run an international crypto exchange. It must be noted that Kucoin works on these problems too, the English translations are really getting better. Still, English aside, KuCoin’s services really are professional and it works. Many of the least known coins can only be found here.

Crypto only! You cannot trade for fiat money!

Verification

NO verification is required, KuCoin’s FAQ says there are no limits on withdrawals.

However, even though no verification is required, it is possible to verify your account. I read on Reddit that non-veritified users can withdraw up to 2 BTC every day, verified users can withdraw a lot more (how much I do not know). I do not think verification is relevant, perhaps it is a feature from some time back but KuCoin disabled this requirement.

Supported types of trading orders

MARKET
LIMIT
STOP
STOP LIMIT

KuCoin gives you simple LIMIT order interface. No complicating things!

Fees for deposits and withdrawals

Deposits are free.

Withdrawal transfer fees are different for every currency – they can be found on Kucoin’s website HERE.

Fees for trading

Both BUY and SELL orders have a fixed fee of 0.1% out of the traded price.

KuCoin also provides its own cryptocurrency KuCoin Shares, ticker KCS (just like Binance has its Binance Coin). If you hold these, you might get a discount on these fees, nevertheless, as the information provided by KuCoin changes quite a lot, I cannot say if this feature is still available or not. But it is just a bonus, the fees are low even without it.

Troubles I experienced (excluding fees)

  1. When you purchase a cryptocurrency and your order is FILLED, you may see no change in the balance of your purchased/sold funds. Only after you refresh the page, the balances get updated. If you want to know if your order was filled, go to “Dealt orders” button. Look out for this, I made multiple orders for a “not so good” price just because I thought my previous orders did not work – only they did work, no updates were shown and I purchased a lot for a too high price.

9. This is the end!

Now you saw it all. Whenever you find yourself a nice new coin that just reached some crypto exchanges, you need to check where it is sold, send some funds there (or have those funds available there beforehand) and buy! Easy Peasy Lemon Squeezy!

P.S. I do not consider Coinbase an exchange, that is why it is not listed here. Yup, you can buy and sell crypto there but its simple interface is too simple to actually “trade” – there is Coinbase Pro (same author) for that. If Coinbase and Coinbase Pro were POKEMON (oh, childhood), I would say Coinbase is “Squirtle” and Coinbase Pro is “Blastoise”, hehehe. This is nothing against Coinbase, it should still be your first step when getting into crypto. If you like it so much you want to use it frequently, go ahead and use it (higher fees included).

There is no other place to go to now but QCTC’s main page.

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