Best Cryptocurrency Brokers

  Author: Eduardo Montero - Updated: 5 January, 2023 No Comments

Broker	Features
Featured Go to XTB	Excellent 24-hour customer service. More than 3000 instruments to trade. Regulated broker. OPEN ACCOUNT (*) Warning: Your capital is at risk. 79% of retail CFD accounts lose money. With XTB you can invest in more than 10 major cryptocurrencies with low spreads (Bitcoin, Ethereum, Stellar, Dogecoin and more). Demo Account: Yes Minimum Deposit: 0 €/$ Trading Platforms: xStation5, iOS App, Android App. Execution: Market Maker / STP Regulation: FCA, CNMV and IFSC Web Page: https:/www.xtb.com
Featured Go to Pepperstone	Very low spreads on over 1,200 instruments. 24/7 support, fast execution and no requotes. OPEN ACCOUNT (*) Warning: Between 74-89 % of retail investor accounts lose money when trading CFDs. Pepperstone allows you to trade over 10 digital currencies and baskets of the world's most traded cryptocurrencies. Demo Account: Yes Minimum Deposit: 200 €/$ Trading Platforms: MetaTrader 4, MetaTrader 5, cTrader, TradingView. Execution: STP / NDD Regulation: FCA, ASIC, CySEC, BaFin, DFSA, CMA and SCB Web Page: https://www.pepperstone.com
Go to IC Markets	True ECN account with ultra-low spreads and ultra-fast execution designed for scalping and automated trading systems. OPEN ACCOUNT With IC Markets you can invest in some 19 digital currencies such as Litecoin, Bitcoin Cash, Namecoin, PeerCoin, Polkadot, Dogecoin, Cardano or Binance Coin. Demo Account: Yes Minimum Deposit: 200 $ Trading Platforms: MetaTrader 4, MetaTrader 5, cTrader. Execution: ECN Regulation: ASIC, CySEC and FSA Web Page: https://www.icmarkets.com
CFD Service Go to Plus500	Broker with more than 23 million registered customers since its inception and a Trust Pilot Score of 4.2 out of 5. OPEN ACCOUNT (*) Warning: 82% of retail CFD accounts lose money. Plus500 allows you to trade more than 15 different cryptocurrencies (Bitcoin, Cardano, IOTA, Polygon, Polkadot, Solana, Ethereum,...) through its CFD platform. Demo Account: Yes, unlimited Minimum Deposit: 100 €/$ Trading Platforms: WebTrader, iOS App, Android App. Execution: Market Maker Regulation: FCA, CySEC, ASIC, FSCA, DFSA and FSA Web Page: https://www.plus500.com
Go to IQ Option	$1 minimum investment. Powerful and intuitive trading platform. Fast withdrawals. OPEN ACCOUNT (*) Warning: Your capital might be at risk. With IQ Option you can trade Bitcoin and more than 10 other cryptocurrencies such as Stellar, Ethereum, Zcash, EOS, TRON, Dash,... Demo Account: Yes, unlimited Minimum Deposit: 50 €/$ Trading Platforms: Proprietary Platform, iOS App, Android App. Execution: Market Maker Regulation: CySEC Web Page: https://www.iqoption.com
Go to Exness	Low spreads as low as 0.0 pips. No swaps on most instruments. Instant withdrawals. OPEN ACCOUNT Exness allows you to trade more than 30 different cryptocurrencies such as Bitcoin, Cardano, Dogecoin, Chainlink, Polygon, Synthetix or Ripple. Demo Account: Yes Minimum Deposit: 10 $ Trading Platforms: MetaTrader 4, MetaTrader 5. Execution: Market Maker / ECN Regulation: FCA, CySEC, FSCA, FSC, CBCS, FSA and SDL Web Page: https://www.exness.com
Go to AvaTrade	One of the most regulated brokers worldwide (in 9 different jurisdictions). OPEN ACCOUNT With AvaTrade you can buy or sell more than 20 popular cryptocurrencies and altcoins such as Ripple, Stellar, Dash, NEO, EOS, Litecoin,... Demo Account: Yes Minimum Deposit: 100 €/$ Trading Platforms: WebTrader, MetaTrader 4, MetaTrader 5, iOS App, Android App. Execution: Market Maker Regulation: Central Bank of Ireland, ASIC, BVI, FSCA and FSA Web Page: www.avatrade.com
Go to Eightcap	OPEN ACCOUNT With Eightcap you can trade more than 10 cryptocurrencies such as Bitcoin, Ethereum, Monero and Litecoin against the US dollar. Demo Account: Yes Minimum Deposit: 100 $ Trading Platforms: MetaTrader 4, MetaTrader 5, TradingView. Execution: STP / ECN Regulation: ASIC and SCB Web Page: https://www.eightcap.com
Go to Axi	OPEN ACCOUNT The Axi broker allows trading in 5 popular cryptocurrencies in their crosses with the USD (BTCUSD, BCHUSD, ETHUSD, LTCUSD and XRPUSD). Demo Account: Yes Minimum Deposit: 0 €/$ Trading Platforms: MetaTrader 4. Execution: STP / ECN Regulation: FCA, ASIC, FSA and DFSA Web Page: https://www.axi.com
Go to FP Markets	OPEN ACCOUNT With FP Markets you can trade cryptocurrencies such as Bitcoin, Bitcoin Cash, Ethereum and Litecoin. Demo Account: Yes Minimum Deposit: 100 €/$ Trading Platforms: MetaTrader 4, MetaTrader 5, cTrader, IRESS. Execution: ECN Regulation: ASIC, CySEC and FSP Web Page: https://www.fpmarkets.com
Go to eToro	Buy stocks without commission. Automatically copy the best investors with the eToro CopyTrader tool. OPEN ACCOUNT (*) Warning: 77% of retail CFD accounts lose money. With eToro you can trade over 40 cryptocurrencies manually or automatically copy the best strategies of other traders. Demo Account: Yes, unlimited Minimum Deposit: 200 $ Trading Platforms: WebTrader, iOS App, Android App. Execution: Market Maker Regulation: FCA, CySEC and ASIC Web Page: https://www.etoro.com
Go to OANDA	OPEN ACCOUNT Oanda allows online trading with the 4 most popular cryptocurrencies: Bitcoin, Bitcoin Cash, Ethereum and Litecoin. Demo Account: Yes, unlimited Minimum Deposit: 0 $ Trading Platforms: MetaTrader 4, MetaTrader 5. Execution: Non Dealing Desk Regulation: FCA, ASIC, NFA, IIROC, BVI FSC Web Page: https://www.oanda.com

What is a cryptocurrency broker?

The services of a broker are essential when it comes to investing, it is a necessary partner because the trader is not in a position to access the market. Any trader who decides to trade digital currencies must hire the services of one of the cryptocurrency brokers.

A cryptocurrency broker (also called a “cryptobroker”) is a company that is authorised and has the necessary means to intermediate in this type of financial instrument. Their job is to execute the buy and sell orders that the trader decides to carry out, in exchange for a commission

At the same time, these types of brokers usually offer brokerage services for other financial assets such as currencies (Forex market), stock market indices, shares, commodities, energy, etc. Cryptocurrency brokers are usually Forex brokers and CFD brokers that have decided to offer these assets in their range of instruments available for online trading.

Within the universe of brokers in this category, it is common to find those that operate solely online. Through this means, they provide the trader with a trading platform on which to analyse the market and execute their operations of buying and selling cryptocurrencies or other financial instruments.

What are the main cryptocurrencies that can be traded?

The cryptocurrency market is vast, with thousands of these financial assets. However, many of them are not tradable (in the sense of short-term trading) due to their lack of liquidity.

The most popular cryptocurrencies are the following:

• Bitcoin: the undisputed queen of digital currencies, it is also the oldest. Its market capitalisation (amount in existence multiplied by its price) far exceeds the second in the ranking (Ethereum).
• Ethereum: one of the most profitable cryptocurrencies. It stands out for the possibility of making smart contracts.
• Ripple: its characteristics in terms of transaction speed make it unique and preferable for international trade operations.
• Bitcoin Cash: it was created to overcome Bitcoin’s storage capacity limit. It has the capacity to support a higher volume of transactions per second (transactions are faster).
• Litecoin: at the time of writing, Litecoin is positioned as the sixth cryptocurrency in the ranking of market capitalisation. It was born as an alternative to Bitcoin, with different characteristics (lighter, but less secure).
• NEO: It is the first digital asset platform launched in China (NEO is known as the “Chinese Ethereum”). The possibility for Chinese companies to make use of it makes it an asset with strong potential.
• IOTA: this is one of the most valuable cryptocurrencies. It breaks the mould because it is based on a different type of technology (Tangle). It was designed for small transactions, thus boosting the collaborative economy.

How to choose a cryptocurrency broker?

When deciding to hire the services of a cryptocurrency broker, the trader should bear in mind the following questions:

– Importance of regulation of a cryptocurrency broker

The cryptocurrency market is not an official market (with the exception of the Bitcoin financial future); it is a decentralised market, with no regulation and no clearing house. Hence the importance of opening an account with a properly regulated cryptocurrency broker.

Forex and CFD brokers for trading have experience in this area, as they are markets that share the same characteristics. Generally most of these online brokers are duly licensed.

The trader can check the broker’s regulation by checking the public register of the supervisory body of the country in which the broker is based. It is advisable to verify that this body is rigorous and prestigious.

– Cryptocurrencies available for investment

When the intention is to trade cryptocurrencies in theshort term, a Forex and CFD broker that offers these assets provides a series of advantages (greater agility, leverage, services, etc.).

These types of brokers tend to offer the most recommended for trading (the main and most liquid).

Generally, the cryptocurrencies available for trading are the following:

• Bitcoin (view a comparative table of the best bitcoin brokers).
• Ethereum.
• Litecoin.
• Ripple.
• Bitcoin Cash.

– Trading platform available

A Forex and CFD broker that has cryptocurrencies among its available instruments (as is usually the case) will make available to the trader a trading platform designed for trading (on cryptocurrencies and other instruments).

The trading platform is one of the most influential factors when selecting an online broker; it is the nerve centre of the trading business.

The idea is that the trader should hire the services of a cryptocurrency broker that offers a platform on which he can operate with agility and find it easy to launch and manage trading orders. Power, interface, simplicity and analytical capabilities are key factors.

– Commissions

In general, the fees charged by a online broker are a variable to consider, but should not be the determining factor. It should be weighed against aspects such as reliability and service.

A cryptocurrency broker can set its fees freely, so the costs of trading cryptocurrencies will vary and it is up to the trader to shop around.

A cryptocurrency Forex and CFD broker for trading cryptocurrencies will earn its fees in the form of a spread (the difference between the bid and ask price of each asset). In addition, a swap commission (overnight premium) is likely to be charged as a result of the daily interest on the money lent as leverage.

Fees for withdrawing cash from the account should also be taken into account (Forex and CFD brokers do not usually apply these fees).

– Minimum deposit and available leverage

There are brokers that require a minimum initial deposit (e.g. $200). These types of financial intermediaries are usually regulated by a body belonging to the European Union.

The European Securities and Markets Authority (ESMA) imposes a set of EU rules, in the interests of security and transparency for the retail trader. Brokers regulated within the EU are subject to these rules (the regulatory body ensures that they are complied with).

This ESMA regulation, among other things, limits the maximum leverage when trading cryptocurrencies to 2:1 (due to their high volatility). If the trader decides to contract with a regulated broker outside the common territory, he will not be affected by this limitation and will be able to trade with a much higher leverage. However, they will also forgo the guarantees provided by EU rules.

As regards the minimum deposit, ESMA also expressly prohibits the use of welcome bonuses and other incentives to open an account with a broker. For this reason, regulated financial intermediaries in Europe usually require a small initial deposit.

– Customer service

Customer support is one of the points that deserve the most attention when deciding to contract with a cryptocurrency broker. In this sense, what you can demand is that the attention is complete, through various channels and in English.

Customer service via online chat, telephone and email; 24 hours a day, 7 days a week and in our language would be ideal. However, customer service must be weighed up against all the other factors.

It is possible that cryptocurrency brokers offer a number of other parallel services, for example, seminars, social trading or training. All this attention can be a plus in deciding to opt for their services.

– Demo account

There is no better way to test the trading platform offered by the cryptocurrency broker, its services, commissions and, in short, the way it works than through a demo account.

A demo account acts as a trading simulator, on which it is possible to trade with a fictitious capital. The fact that a broker offers this possibility, will give the opportunity for a period of practice to gain experience before making the leap to trading with real money, thus completing the training in trading.

Many brokers offer this service free of charge, with no time limit and with more than enough virtual capital to test strategies and check the broker’s services.

What are the best cryptocurrency brokers?

After having tested and analysed a large number of online brokers, in the comparative table at the top of this page you can find what we consider to be the best cryptocurrency brokers according to the aspects we have discussed in this article.

References and sources:

• Cryptocurrency Strategy & Education
• Whale Watching: How to Spot Crypto Whales
• Partnerships, Psyche, & Policy: The Driving Forces Behind Crypto

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About the author: Emontero

I am Eduardo Montero. Computer scientist by profession and passionate about online trading with more than 10 years of experience in the financial markets. I publish articles on various financial websites and I have created this website in order to help those interested in the world of trading. The content is based on my personal experience as a trader, learning from the successes and above all the mistakes I have made over the years and always prioritising risk control of operations as, from my point of view, it is the only way to achieve sustainable results over time.

The content of this website is purely informative, it should not be considered as investment advice and we do not offer financial advisory services. You should bear in mind that you are the one who will make your financial decisions and you will be responsible for the outcome of those decisions.