As there is rise in the popularity of cryptocurrency which means we are now spoilt for choice when it comes to choosing an exchange to buy, sell, and trade the cryptocurrency.
Keep reading to discover many things which you should look out for when using a crypto exchange.
When choosing an exchange, it is best practice to ensure that it is secure and authentic. Security on exchanges is imperative, as it is an important element in the protection of your crypto portfolio.
Look out for an exchange that implements:
SSL certificates (check the web address for ‘https://’ at the start of the URL) and offer bug bounties for vulnerabilities found on their site.
Strong password requirements such as a minimum length, a mix of characters, numbers, and symbols
Two-Factor Authentication (2FA)
Two Factor Authentication
Two-factor authentication, also known as ‘Enhanced Security’ or more casually known as 2FA, is a method of authentication that helps to verify your identity when signing into a service.
Two-factor authentication uses a combination of two different factors, such as something you know, something you have, or something you are. Generally speaking, 2FA involves sending you a one-time code to a device you have. Once the code has been entered you will be able to sign in to your account.
2FA can come in several forms, such as SMS to your mobile phone, TOTP, or a security token. Generally speaking, most services that support 2FA will allow you to enable SMS verification.
Methods for purchasing cryptocurrency can vary between exchanges. Deposits by bank transfer, PayPal, credit and debit cards are a few common ways exchanges allow you to buy cryptocurrency.
If you are a beginner and currently do not have any cryptocurrency, it is necessary to choose an exchange that accepts fiat money so that you can buy crypto to enter the market.
It is also important to note the time it takes to complete purchases. Some exchanges can process transactions almost instantly, while others can take up to a few days for the funds to appear in your account.