The main advantage of trading bitcoins, as opposed to other exchange markets is, that you don’t need a broker. There are usually no minimal limits for deposits. No special software is required. You can trade bitcoin 24/7. Unlike shares or the forex, the bitcoin is very volatile which makes it ideal for short-term speculations.
The first thing to do, when you want to start trading bitcoins, is to register with one of the exchanges and verify your account (most exchanges require this).After verifying your account, you can start with trading actively.
The most famous bitcoin exchanges are:
This is one of the largest American exchanges. It’s very popular among its users because it combines the features of a broker and allows leveraged trading or speculating on price decline. In was robbed in 2016 when approximately 120, 000 bitcoins was stolen. That’s why it currently faces lots of problems, not just due to the decline in the number of its users but also because of a number of lawsuits. It allows its users, for example, borrowing money (dollars, bitcoins) with an interest who then speculate with it.
This is the largest bitcoin exchange in Europe, where you can perform money transfers through SEPA service, saving your bank money on transfer fees. This is a very trustworthy exchange to which are often connected bitcoin ATMs in Europe. This exchange was robbed in 2015, but has recovered very well and tries to make up for the loss.
One of the first bitcoin exchanges in the world. This exchange remains anonymous, so the names of the owners are not known. But rumour has it that the actual owners are two Russian citizens. Despite being run anonymously, it has been never robbed and has always run smoothly throughout its history. Unlike other exchanges, it also allows participants to buy or sell alternative currencies, such as Lotecoin, Peercoin, etc.
Like BTC-e, this exchange is also anonymous. It allows buying and selling not just bitcoins, but also other currencies, such as Litecoin or Peercoin. It’s one of the most sophisticated exchanges which aims to be stable even when used by a large number of users.
The largest bitcoin exchange in the world, in terms of exchange volume per day. Unlike the rest of the world, it trades several times larger quantities of bitcoins. This is because it doesn’t charge fees for each transaction, but instead makes profit on withdrawals or deposits. It uses the Chinese yuan for trading.
One of the largest exchanges for selling and buying bitcoins. We haven’t got much experience with this exchange, but it seems to be running smoothly. This exchange is accepting creditor claims against the bankrupt Mt.Gox.
This is a Chinese exchange that charges no fees on transactions, you only get charged for deposits and withdrawals.
This exchange, unlike the others, primarily focuses on trading cryptocurrencies. You can trade hundreds of different Altcoins for bitcoins on this exchange.
Before you start trading
Be very cautious when choosing an exchange for trading bitcoins. It’s advisable to pay attention to a number of factors. For example, how long has the exchange been operating for or the bitcoin trading volume. References of other users will give you more clues. Find out about the transaction fees, since these can sometimes amount to a few percentage points. We recommend you store the bitcoins you aren’t currently trading with in your wallet.
Where to look for the bitcoin exchange rate
Most exchanges don’t feature very practical interface for viewing the current bitcoin rate. External websites are often used for viewing the rate, which contain highly sophisticated graphs and are connected to individual exchanges using the API interface.
The most popular website for viewing the current exchange rate is BitcoinWisdom