Compare the 11 best cryptocurrency brokers in 2023

What is a cryptocurrency broker?

An online trading platform known as a “crypto broker” serves as an intermediary between buyers and sellers of cryptocurrencies. Simple platforms that sell coins at predetermined prices and more advanced user interfaces that let you trade a wide range of cryptocurrencies in real time are the two basic types of cryptocurrency brokers.

How does a crypto broker work?

In the simplest terms, Bitcoin brokers execute deals by connecting buyers and sellers. Sometimes the broker is the other party to the transaction, and other times the broker just facilitates trades among other users in a public market.

Most of the time, the broker sets rates for each coin and enables you to buy at these prices quickly, much like a bureau de change at the airport. These platforms are frequently the ideal option whether you want to trade cryptocurrency by buying and selling coins quickly or you want to hold a huge number of coins or tokens, say more than £50,000 worth. The broker will charge fees for this convenience.

How do I use a Bitcoin broker?

You only need to sign up and make a deposit in order to purchase the desired coins at the platform’s set price. The finest Bitcoin brokers are simple to use and understand.

You only need to go to the trading interface on the website or app of the Bitcoin broker to begin trading as the market changes. You may view all the necessary cryptocurrency price charts from this point and immediately begin trading cryptocurrencies.

What should I look for in a crypto broker?

When selecting the best broker to purchase bitcoin, there are many different things to take into account. Think about the platform’s ease of use as well as more trading-specific issues like the number of coins you can trade and the associated fees.

Here is a concise list of all the important factors to take into account when utilizing a broker to trade cryptocurrencies.

Design and ease of use

It’s best to check that a platform is simple to use before using it to place trades. Don’t settle for a platform that complicates the trading process because utilising a broker is supposed to make it easier.

Access to a demo account

Many online cryptocurrency brokers provide the chance to practise trading with fake money. For those who have never traded digital currencies before, demo accounts are really helpful.

By simply turning a switch in the settings, you can trade Bitcoin and Ethereum without putting any money at risk. We advise you to do this as a starting point. All accounts for retail investors are eligible for this option.

Price

Avoid paying too much more than what the market will bear. Comparing several brokers will help you get the best bargain. Bitcoin broker fees combine fixed commissions and variable spreads.

Payments  charges

Various cryptocurrency brokers will accept various payment methods and levies a variety of fees for doing so. Most cryptocurrency broker platforms support debit card payments, however there can be costs if you want to pay for your coins using a different way, like a credit card or an online wallet like PayPal.

Regulation

The Financial Conduct Authority, among other top-tier financial institutions, regulates or approves the best Bitcoin brokers (FCA).

When selecting a cryptocurrency broker, seek for platforms that are licenced by the FCA or a comparable organisation. By doing so, you will receive investor protections including compensation plans in the event that the broker fails.

Now, most brokers are subject to some type of regulation, but in the future, the criteria for whether platforms are compliant with regulations may alter.

Reputation

You should always make sure the service is dependable before entrusting it with your money on any online platform or app. It’s best to browse through several user review sites and read in-depth reviews of each brokerage when comparing bitcoin brokers.

Variety of coins

Finding a platform you enjoy won’t help you if you can’t trade the particular coins you want to. You may purchase Bitcoin from any cryptocurrency broker, but not all of them support less popular cryptocurrencies like Theta and Algorand.

Payment methods

You must add funds to your new account at the same time as you create it. Most brokers accept widely used payment options like debit cards and bank transfers.

Such payment options might not, however, always be accepted. It’s crucial to confirm the broker allows PayPal or a comparable online payment service before signing up if you want to use one.

Trading options

Be sure the cryptocurrency broker you’re using provides the features you need if you plan to trade cryptocurrencies rather than retain them for a long time.

This can entail having access to leveraged cryptocurrency trading or short selling several coins. Such strategies have more risk, so we only advise experienced traders to use them.

Quick answers to key questions

Do cryptocurrency brokers charge commissions or fees for buying cryptocurrency?

Absolutely, even the top bitcoin brokers levie a commission or trading cost. They, however, differ between platforms and could show up in various ways. A broker might claim to have “zero fees,” for example, but if you look at the price they’re offering for a coin, you’ll see that it’s more than the going rate.

This is due to the fact that bitcoin broker fees are occasionally built into the price, meaning you won’t pay a fixed rate fee but will still receive a commission. Some platforms impose a fee per trade; the most typical is 1-2% of the overall deal value.

Do I have to verify my identity with a cryptocurrency broker?

Yes, you will need to present identification proof. Due to regulation, the best brokers require consumers to provide identification proof in order to follow KYC (Know Your Customer) regulations. Your British passport or a driver’s license can be used as at least one form of photo ID when necessary.

Can I buy multiple cryptocurrencies through a broker?

Absolutely, almost all brokers will provide a variety of coins. On the smallest and most basic brokers, the amount available ranges from 10-15 to thousands on the largest and most sophisticated platforms. You may expect to see popular cryptocurrencies like Bitcoin, Ethereum, Avalanche, Binance Coin, Cardano, Dogecoin, Solana, Tether, and XRP on practically every broker.

Choose a top cryptocurrency exchange or a more sophisticated trading platform if you’re looking for altcoins. Aave, ApeCoin, Axie Infinity, Bitcoin Cash, Chiliz, Litecoin, Monero, Stellar, Zcash, and countless other uncommon coins can be found there.

Do I need a wallet to use a crypto broker?

No, generally not. However, if you plan to invest for the long term, it might be a smart idea to buy one. Most of the top cryptocurrency brokers will let you store your coins in an online or mobile app.

For those who wish to trade coins regularly, this can be useful, but long-term investors may want to think about using a safe hardware wallet, such the Ledger Nano S.

Do the best cryptocurrency brokers have mobile apps?

Indeed, you may access the cryptocurrency trading apps of the top Bitcoin brokers on iOS and Android devices. If you want to do a lot of trading from your phone, you might wish to download the app first and test it out before signing up with a broker.

If an app doesn’t offer a flawless trading experience that’s comparable to using a web browser, you might want to seek elsewhere.

Can I trade cryptocurrency CFDs with an online broker?

According to where you reside. Trading CFDs is not legal in the UK due to the restriction on crypto derivatives, but it is permissible in the US and other countries across the world.

The good news is that a few Bitcoin brokers let you purchase and sell the underlying asset, which is legal. As an alternative to trading cryptocurrency CFDs, eToro is a fantastic example of a broker that offers crypto trading.

Should I use brokers to buy and sell cryptocurrency?

Your investment objectives will determine the response to this query. Beginner-friendly services are available from any of our top 10 cryptocurrency brokers, but you should be aware that brokers charge extra fees in exchange for their convenience.

Compared to other investing platforms, the amount of cryptocurrencies offered by a broker may be restricted. A broker is a wonderful alternative for the most widely used coins, making it simple to purchase Bitcoin and Ethereum, but it might not be the greatest option if you want to trade the newest altcoin movements.

You must strike a balance between cost and the variety of trading possibilities with your goal for comfort and simplicity. However, a broker is excellent for experienced traders who want cheap trading costs and the best coin prices or for the cheap trading costs and the lowest coin values, a broker is optimal; but, if you’re looking for a big selection of coins, you might want to explore elsewhere.

Still undecided?

It’s crucial to examine the main advantages and disadvantages of investing in cryptocurrencies. The primary advantages and disadvantages of trading cryptocurrencies through a broker are listed below, along with some additional considerations and frequently asked questions (FAQs) at the bottom of the page.