Cryptocurrency has gotten incredibly popular over the last few years, but a lot of people still do not know how they are supposed to approach it. Using cryptocurrency can be confusing and worrying until you get the hang of it, and the hardest part is getting to the crypto exchange – the marketplace for most of your buying and selling.
What is the Cryptocurrency Exchange?
There is not a cryptocurrency exchange, the exchange is a huge range of different services and sites that come together as a single market. Because of this, it can be hard to know where to start since there is not a dedicated site or option for beginners to use.
The exchange serves as your place to buy, sell, and trade ‘units’ of crypto. People buy and sell the cryptocurrency itself with real cash and occasionally swap the different currencies if they can make a deal with one another. The biggest use of it, though, is to make money.
By buying or trading for cryptocurrency and then selling it when the value increases, you can walk away with more money than you had at the start. Some people make this their entire job, just like the stock exchange, by trying to track when a currency dips and then hoping that it will rise again for an easy profit.
Do I Need To Use the Exchange?
Technically, you do not need to use a crypto exchange, but it is the easiest way to tell if you are actually getting your money’s worth. All of these cryptocurrency trading services will track the value and volatility of each currency, meaning that you can see how its value rises and falls in real-time. This is invaluable for anybody who wants to make a big profit.
Even if you are not really that bothered about making money from buying and selling cryptocurrencies, the exchange tells you how the currency is actually doing. If you buy a cryptocurrency and its value drops by $10, then the crypto you own is automatically worth $10 less per ‘unit’ or ‘coin’ that you own.
This is important, even for casual traders, because it tells you what your purchase is actually worth. If you are going to buy something online using crypto, for example, it helps to know the approximate value of your digital wallet, especially for large purchases using volatile currencies.
How Do I Get Started?
To get yourself onto the exchange, just sign for whatever exchange service or site looks best. There are countless free ones out there that you can try, and some even have a ‘demo mode’ that lets you practice trading without using any real money. This can be a great way to get yourself used to the marketplace without having to risk your own finances.
Some of these services are better for new users than others. For every exchange that is easy to use, there is one designed for experienced traders that cuts out all unnecessary features. The exchange app or site you choose really depends on how much experience you have and what you are aiming to do with your crypto.
In general, though, most of these services will work just fine for handling cryptocurrency. Sites like https://swyftx.com/nz/ are a good example of a service that almost anybody can use since it stays simple and convenient without limiting your ability to buy and sell crypto properly.
What Should I Watch Out For?
Always be wary of scam sites or fake exchange services. These are usually quite easy to spot, but if you are not sure, look them up online to see what other people are saying about them. A site with a high number of complaints about stolen money or frozen accounts could have something wrong with it.
Remember that some of these services will either be paid or take a percentage, too. A lot of these sites are effectively free, but there are some that demand a little bit of your purchase every time. Others charge a price to use most of their advanced features, usually things that are meant for experienced traders who want to auto-buy and auto-sell their crypto.
Finally, make sure that you are using a site with good security. Crypto can still be stolen, and your account can be hijacked, so it is important to keep yourself safe at all times.