If you want to buy cryptocurrency, cryptocurrency exchanges are the best and safest way. However, those are not the only reasons you should purchase cryptocurrency or trade on an exchange. There are many other reasons to do so.
#1 Credit Card Purchases are Safer
One of the biggest reasons to purchase cryptocurrencies from an exchange is that you can buy crypto with a credit card. It is also the safest method to do so because they provide a layer of security, which prevents fraud and theft by verifying that you are who you say you are. Credit cards are safer than bank transfers, cash purchases, or wire transfers. They are not without their risks. However, compared with the others listed above, they provide a much higher level of protection against fraudsters and scammers.
#2 More Cryptocurrencies to Choose From
The cryptocurrency exchange will allow you to purchase an extensive amount of cryptocurrencies. You can buy some of the most popular ones, like Bitcoin and Ethereum, or even lesser-known cryptocurrencies that are still gaining popularity.
There are a few hundred different cryptocurrencies currently available to buy on exchanges, so you must take your time to decide which ones to invest in.
#3 More Anonymity
Most cryptocurrency exchanges do not require you to provide your details, bank account details, or credit card details. That means you can purchase cryptocurrencies without disclosing any of these pieces of information. Although there are exceptions, most exchanges allow users to create an account using just a username and password.
Cryptocurrency exchanges have become more popular than ever before due to their ability to offer anonymity when purchasing digital currencies such as Bitcoin and Ethereum.
#4 Spend and Trade Whenever You Want
You can buy, sell, and trade your cryptocurrency whenever you want. Not only that, but you can spend it as well! For example:
- You could trade your crypto for another cryptocurrency. That is usually done by using an exchange service that lets users connect their bank accounts to the platform and make trades in real-time.
- You could also trade your cryptos into fiat currency. In this case, it would be best if you used an exchange service with good liquidity so that there’s enough trading volume going through each day so that when/if someone else sells their BCH for USD at the same price as how much USD was worth compared with its value when those tokens were created back when BTC was first mined in 2009 (and thus making sure their investment doesn’t suddenly drop overnight)
#5 Secure Environment
Crypto exchanges are some of the most secure places to store your digital assets. While there is always risk involved with storing your cryptocurrency on an exchange, hundreds of millions of dollars in the cryptocurrency markets have been stolen from exchanges over the years. The truth is that no one can guarantee security 100 percent, but crypto exchanges do their best to protect your funds and keep them safe.
Crypto exchanges are regulated by government agencies like FINRA and SEC and self-regulating bodies such as Crypto Exchange Risks Group (CERG) or Crypto Industry Group (CIG). These organizations hold each other accountable for bad behavior or mistakes made by individual members within their respective groups.
In addition to being regulated by these organizations, many crypto exchanges also require users to go through Know Your Customer (KYC) protocols. So, they know who is using their services and where they live/where their bank account is residing at all times during transactions. That helps prevent fraud and makes sure people aren’t using someone else’s identity when purchasing cryptocurrencies from an online marketplace.
In addition to meeting regulatory requirements before opening an account with a specific company, cryptos try hard every day like everyone else does to ensure nothing goes wrong with yours while it stays held up somewhere safe inside your computer’s hard drive space, which may sound strange but it works.
#6 24/7 Customer Support
You can rest assured that if there’s a problem, your cryptocurrency exchange will be there to help. The best customer support is available 24/7, has international coverage, and can be reached in multiple languages. You can reach them by phone, email, or social media if you need help with anything related to your account or cryptocurrency trading.
All these are good enough reasons as to why you should buy or trade on a crypto exchange. You will realize more reasons to stick to these exchanges once you start trading.