Crypto Trading Platform Free Options to Consider

Are you looking for a crypto trading platform free to use? With cryptocurrency becoming hugely popular, you have options for free platforms. With that being said, make sure you pick the best platform for you. In this post, we go over different platforms you can use to trade crypto.

What is Crypto Trading?

Crypto Trading Platform Free
Photo by Art Rachen on Unsplash

Unless you’ve been living under a rock for the past few years, you have at least heard of cryptocurrencies. They are the hottest new investing trend and are legitimately in the mainstream investing narrative. So what are cryptocurrencies?

Depending on who you ask, cryptos are either a digital currency or a digital store of wealth. There is no physical asset, but a computerized software that holds them on a digital ledger called a blockchain.

The ‘crypto’ prefix comes from the fact that cryptocurrencies use cryptography to keep the tokens and transfers secure. 

Cryptocurrencies usually refer to the benchmark cryptos like Bitcoin or Ethereum, but thousands of different Altcoins have also been created. Here is where a majority of these stories around overnight millionaires are born.

Some of these are worth fractions of a penny, so traders can own millions or even billions of the token. Just like with stocks, cryptos have markets and exchanges where they are somewhat regulated.

You can also trade or even stake your cryptocurrencies on these exchanges, which really speaks to the flexibility of crypto trading.  And why so many people are getting into cryptos.

So make sure you find the best crypto trading platform free option for you.

Is Crypto Trading Free?

The short answer is yes, but the longer answer is no. When you trade cryptocurrencies on an exchange, there is usually no trading fee or charge. In this way, trading cryptos is technically free. To be more specific, crypto exchanges do take a small amount of each transaction, which is how they make a majority of their revenues. When the crypto market is hot, companies like Coinbase bring in higher revenues. But when the crypto market is cold, people tend to make fewer trades on these exchanges. 

There are also things called gas fees that show up in transactions for cryptos like Ethereum. A gas fee is a user-incurred charge that is paid to essentially compensate for the power used to power the Ethereum blockchain. These gas fees can fluctuate based on the supply and demand of cryptos, so it pays to trade when cryptos are not as popular. It is also believed that trading between certain hours of the day can lower gas fees when there are fewer traders using the Ethereum network. 

While the small percentages that exchanges take per trade are quite minimal, gas fees can really add up. If you want to transfer a specific token on the Ethereum network, think about making one big trade rather than a bunch of tiny trades. Also think about what time of day you want to make the trade, and if the crypto markets are hot or cold at the time. 

Best Exchanges for Free Crypto Trading

As the popularity of cryptocurrencies increases, we see a rising number of crypto exchanges hitting the market. It’s not just the usual names though, as even traditional banks and fintech companies are getting into the mix. With crypto trading, it’s generally better to stick to the bigger exchanges, as there is a higher rate of hacking. You also need to make sure that crypto trading is legal in the region where you live. Countries like China and India have effectively banned cryptocurrencies from their economies. With that being said, let’s take a look at some of the best exchanges for free crypto trading!

Binance

Crypto Trading Platform Free

The single largest crypto exchange in the world by trading volume, Binance was founded in China but is now based out of the Cayman Islands. This is due to the fact that cryptocurrencies are now banned in China, so the company was forced to move its headquarters.

Interestingly enough, Binance was banned in the US a few years ago and is still banned in a handful of states. Binance offers specific investment products for cryptos that include high-yield staking and liquid swap.

The platform offers hundreds of different coins to trade, including Bitcoin, Ethereum, and smaller coins like Shiba Inu. Binance also offers its own cryptocurrency called Binance Coin or BNB.

Users can use BNB to pay for transaction fees and trading discounts, As of 2021, Binance Coin has the third-largest market cap at $124 billion USD, putting it behind only Bitcoin and Ethereum. 

Coinbase

The chief rival of Binance, Coinbase is the largest crypto exchange that is based in the United States. It is also considered the second-largest crypto exchange in the world after Binance. Coinbase operates in hundreds of countries around the world and offers both a regular and pro version of its mobile apps.

The platform is rapidly expanding and has included hundreds of different altcoins and cryptos to invest in. Coinbase also allows users to stake their cryptos for higher yield, although the service is not as extensive as Binance. The site will soon be expanding and introducing an NFT or non-fungible token marketplace.

NFT’s are digital images or pieces of art that are considered uniquely a part of the blockchain. In April of 2021, Coinbase was officially listed on the NASDAQ exchange. Shares currently trade at approximately $300 per share and the company has a market cap of $65 billion. 

Kraken

Kraken was founded back in 2011 and is based in the United States. It is available in nearly 200 countries around the world and is a top-five crypto exchange to trade on. Kraken is simple to use, although its variety of altcoins and cryptos to trade lag behind Binance and Coinbase. The company is not publicly traded, although it did receive a valuation of $20 billion earlier this year. Kraken has both mobile and desktop trading available for its users, the former of which debuted earlier in 2021.

FTX

FTX is a relatively lesser-known name in the crypto industry, although it has rapidly grown to be the third-largest exchange by volume. It was founded by a group of MIT graduates and is now based out of the Bahamas. FTX recently made some headlines by acquiring the naming rights to the Miami Heat arena in Florida. The deal is worth $135 million over the next 19 years. Some well-known spokespeople have signed on to work with FTX including Tom Brady, Lewis Hamilton, and Kevin O’Leary of Shark Tank. 

Some Other Crypto Trading Platform Free Options to Consider

While crypto trading exchanges are an obvious destination for crypto traders, there are a few other sites that allow it as well. The selection of cryptos available for trading is not as vast, but these select ecosystems allow them to be used as a method of payment amongst other features. You might already be using one of these now and you didn’t even know it!

PayPal: Crypto Trading Platform Free

Crypto Trading Platform Free

PayPal has been the leading money transfer platform for years now, and earlier in 2021, it introduced cryptocurrencies. Users can send cryptos via the Venmo app, or even trade them in the PayPal wallet platform.

PayPal even allows its users to spend their cryptos at hundreds of online retailers. Currently, this is only available in the American version of PayPal, but as crypto popularity grows, we can see it being instituted on a global scale. 

Many of us use PayPal for online shopping. It can be easier to use them than trying to remember our credit or debit cards. Maybe we’ll even be using cryptocurrency to purchase things using PayPal.

If that becomes the norm, we’ll be happy about this crypto trading platform free option.

Square: Crypto Trading Platform Free

The Cash App is one of the most popular ways to transfer funds in the US. It is the main rival for PayPal’s Venmo app and is used by over 30 million active users. Like PayPal, Square introduced cryptocurrencies earlier this year, and the result has been a hit. Since the company also owns a bank charter, it is able to provide loans and accept payments in Bitcoin. Square is rapidly building a crypto-friendly infrastructure for its app, and its CEO Jack Dorsey has been a long-time supporter of decentralized finance. 

Big Banks

There was a time not too long ago that the big banks in the US wanted to eliminate the crypto industry. Now, these banks are being forced to embrace digital investments. Banks such as Goldman Sachs, JPMorgan, and Wells Fargo have all added crypto-related departments. Despite JPMorgan CEO’s negative opinion on cryptos, the bank has added a crypto investment team at the request of its clients. As big banks embrace cryptos as an alternative investment, it only further cements their legitimacy in the global market. 

Crypto Trading Platform Free Conclusion

Crypto trading is turning into a multi-trillion dollar industry and is infiltrating the mainstream investing world. One of the most common questions around cryptos is about trading fees. Investors who trade stocks are now in a world where trading fees are more or less extinct. So it makes sense that those who are new to trading cryptos would ask this question.

In terms of actual trading fees, they are very minimal, especially at the larger exchanges like Binance and Coinbase. You can run into minimal charges per transaction by crypto exchanges, as well as Ethereum gas fees. Free crypto trading has changed the investing world forever, and as more companies and banks get involved, it makes it that much more difficult to dismiss cryptocurrencies as a trend or fad. 

Free Trading Courses

Leave a Reply

Your email address will not be published.