Getting into Cryptocurrency trading and unsure about which trading app is best for you? Don’t worry and look no further, we have compiled a list of ten things to look for when choosing a Cryptocurrency trading app.
Ten – Reputation
Before we get into technical features and functionality, it is important that you look for an app with a good reputation. There are many Cryptocurrency trading apps on the market and some of them are set up with the sole purpose of robbing you.
A good way to gauge an app’s reputation is to look at the user reviews. Higher ratings are much more favorable so long as the number of reviews is high. Be cautious of apps with only a handful of 5* reviews. If in doubt – check on forums like Reddit and see what the Crypto community has to say.
Nine – Payment Method
A major consideration for any trading app is that it has the functionality to accept payment in the method you wish to pay. Look and see if the app a possibility to buy bitcoin with credit card or if it relies entirely on online payment services like PayPal.
This isn’t necessarily a deal-breaker but if you prefer to buy your tokens using a credit card, make sure it is supported on the platform. Doing this before you register will save you a lot of wasted energy if it turns out you can’t use your preferred payment method after going through the registration.
Eight – Registration is Security Focused
Some online registrations take seconds and consist of just an email and password combination. A good Cryptocurrency registration will take a bit longer and will ask for verifying your identity as well as have two-step authentications like the CEX.IO platform.
The reason you will want an app that verifies your identity is the protection of your investment. That means that being verified you will be trading in a transparent environment, not one used by criminal enterprises to launder money at your expense. Likewise, two-step authentication makes it a lot harder for hackers to break into your account and steal your money.
Seven – Tutorial or Practice Mode
No one in the history of trading knew everything from the very beginning. Every platform is different and there will always be things you need to learn to trade successfully. Find an app that has either a practice mode (trading with fake money) or a comprehensive tutorial.
Apps that make no effort to help you learn how to trade better are likely more concerned about making easy money than about creating an environment where you are comfortable and happy to trade in the long term.
Six – Complete Price History
If you’re trading in stocks and shares you would expect to see how a stock has performed over a long period of time. Sometimes you might want to see the performance since the stock started trading. It is no different with Cryptocurrency, you should ensure that the app you’re looking at has a competitive price history for the tokens you’re looking to trade with.
Good apps also make the graphs easy to read and provide additional resources to help you read Crypto charts.
Five – Real Time Pricing
Cryptocurrency prices change in moments. Sometimes the market is quite volatile and you will need to act quickly as a trader to ensure you remain in profit. Make sure the app you’re using tracks the price in real-time, even a minute’s delay can be the difference in thousands of dollars (as it has already happened with Crypto).
You will also want an app that notifies you in real-time as well. You can’t manage your investment 24/7 and you will want an app that works with you to enhance your trading. If you have an app that is buggy or doesn’t send notifications when things change with your investment, don’t delay, move your portfolio to another app that does!
Four – Margin Trading
The single biggest rule that traders should always follow is paying attention to the safety of investments. Protecting investments encompasses many different things. But, mitigating risk is a core component to protecting your investment.
Platforms like CEX.IO have margin trading feature to help Crypto traders mitigate risk better by providing them with negative balance protection. Putting in these types of trading buffers helps prevent traders from catastrophic losses. Apps that have this feature are likely to be a lot more responsible for client funds.
Three – Fees
Trading platforms carry fees, some are charged on transactions others charge a combination of fees. Fees are a necessary evil in the world of Crypto-trading. You will be hard-pressed to find a way of transacting without fees and even the currencies themselves have inbuilt fees.
Make sure the app you’re using is completely transparent with their costs and fees. The last thing you want is to think you have made a profit and then have that margin eaten by platform fees.
Two – Range of Cryptocurrency
Some platforms only have a handful of currencies available to trade. While most people start out with Bitcoin or another well-known Cryptocurrency, it is important to realize that as you grow your investment you will want to look beyond Bitcoin and the big 5 as you will want to diversify your portfolio and mitigate risk further.
Good apps have a full and extensive range of Cryptocurrencies to trade with.
One – Cross-Platform Functionality
A good app will have support for trading across all of your platforms. This means having mobile and desktop functionality among other things. Look for platforms that give you a flawless experience across all platforms. This will make your trading life easier.
There is only a small number of decent apps to use in the Crypto trading world. Make sure you apply the info from this list and find the one that is reputable and helps you make the most of your investment.