Best Crypto Exchange UK – Top 6 Bitcoin Exchanges Reviewed & Rated
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If you are from the UK and are looking for the best crypto exchange that will allow you to engage with some of the best cryptocurrency trading options out there in regard to Bitcoin in 2022, you have come to the right place.
You might be aware at this point in time, especially if you have been doing some research, that there are hundreds of platforms that allow you to buy, sell as well as trade Bitcoin online, however, which one of them is actually worth using? With so many variables to consider, such as the fees, banking methods, currencies supported, ease of use, community, support, availability in the UK, licensing, and so on, you can simply get lost in all of it.
That’s why today in this guide, we have reviewed some of the best crypto exchange UK options you have on the market so you can make an educated decision and be on your way towards investing in Bitcoin. Let’s dive in.
Table of Contents
Best UK Crypto Exchange: #1 eToro
Best Crypto Exchange UK – Top 8 Crypto Exchanges UK List
If you don’t have a lot of time on your hands, let’s start with the best exchanges in the UK through this quick list and summary. Note that, if you want a more detailed look at each and every one of these options, you can read the full article, but for now, here’s what you need to know.
- eToro – Best UK Crypto Exchange
- Coinbase – Best Bitcoin Exchange UK
- Binance – Popular Exchange with Many Cryptocurrency Pairs
- CoinCorner – Best for Buying Bitcoin Quickly
- Coinjar – Amazing for Newcomers
- Luno – Excellent for Traders on the Move
- Kraken – Reputable Crypto Exchange UK
- OKEx – Low-cost Crypto Exchange UK
- Mode App – Buy Bitcoin in the UK within Seconds
- Huobi – Where the World Meets Crypto
Best Crypto Exchanges UK – Top 6 Reviewed
1. eToro – Best UK Crypto Exchange
On the top of this list, we have eToro, which is by far one of the safest cryptocurrency exchange options you have in the UK due to the fact that it is fully FCA regulated, as well as most cost-effective.
Furthermore, it also holds licenses with authorities such as Cyprus Securities and Exchange Commission (CySEC), ASIC, and the Financial Industry Regulatory Authority (FINRA).
Aside from stocks, EFTs, and many CFD markets, eToro currently provides you with the opportunity to purchase 23 cryptocurrencies, Bitcoin being one of the biggest ones.
Another thing worth mentioning with eToro is the fact that it does not actually charge any ongoing platform fees. If you want to join a UK crypto exchange, eToro might be a great option just because of that. Not only is the platform easy to use but opening an account will take you minutes. You can add funds to your account using PayPal, Skrill, and Neteller. Once you go through the account opening process, eToro will also give you the option of the best cryptocurrency trading platform uk through passive means, and this is done through the copy trading feature that copies the trades of successful investors on the platform.
eToro Fees
The most appealing aspect about eToro, aside from the millions of users it has, is the fact that it is commission-free. This means that you can trade your chosen digital currency without paying any fees, however, you pay a small 0.5% FX fee when you make a deposit.
| Cryptocurrency Fees | FX Fee |
| Commission-free | 0.5% |
eToro Banking Methods
| Deposit Methods | Withdrawal Methods |
| Credit/Debit Cards | Credit/Debit Cards |
| PayPal | PayPal |
| Neteller | Neteller |
| Skrill | Skrill |
| Rapid Transfer | / |
| iDeal | iDeal |
| Klarna/Sofort Banking | Klarna/Sofort Banking |
| Bank Transfer | Bank Transfer |
| Trustly (EU Region) | / |
| Pros | Cons |
| eToro offers Bitcoin as well as 22 other cryptocurrencies. | The platform operates in US dollars which means GBP will need to be converted |
| You can trade Bitcoin 100% commission-free | |
| There are millions of users on the platform | |
| It accepts credit cards, debit cards, e-wallets alongside bank transfers | |
| You can copy other people’s trades and automate everything | |
| Fully regulated by the FCA |
67% of all retail investor accounts lose money when trading CFDs with this provider.
2. Coinbase – Best Bitcoin Exchange UK
Discussing Coinbase, it is a platform that is a lot newer than eToro, which was released in 2012. However, do not let its young age fool you, as this is a fully regulated cryptocurrency exchange as well. The main reason why it is a top recommendation is due to the fact that it originally started as a platform where you could only trade Bitcoin, and, throughout time allowed users to trade other cryptocurrencies as well, which makes a lot of sense as to why it is at the high-end of this list. It has over 56 million users, which is quite impressive, and offers other services and functions.
More specifically, it offers a service known as Coinbase Pro which has an intuitive user interface with real-time order books as well as charting tools. When you make an account, the process is straightforward and you can browse as well as view assets in the range of the thousands. A handful of them are fully tradable, while new ones are added for analysis initially.
One thing worth noting here is the 3.99% fee Coinbase charges you whenever you deposit funds using a debit card, which is a lot more than the 0.5% you would find on eToro. Coinbase is expensive when it comes to trading commissions as well, which is at 1.49% on all buy as well as sell orders.
There are also security controls that you can set up. For example, you can place a 48-house time-lock across all withdrawal requests, and automatically block account log-ins that aren’t from a registered device’s IP address for example. You also get access to a mobile app that’s also a Bitcoin wallet by itself, which adds to its convenience.
Coinbase Fees
| Total trade amount | Fee |
| $10 or less | $0.99 |
| More than $10 and up to $25 | $1.49 |
| More than $25 and up to $50 | $1.99 |
| More than $50 and up to $200 | $2.99 |
| Payment Method | Fee |
| U.S. Bank account or Coinbase Wallet | 1.49% |
| Debit card | 3.99% |
| Instant Card Withdrawal | Up to 1.5% (minimum fee of $0.55) |
| ACH Transfer | Free |
| Wire transfer | $10 ($25 outgoing) |
Coinbase Banking Methods
| Best for | Buy | Sell | Deposit | Withdraw | Speed | |
| Bank Account (ACH) | A large and small investment | ✔ | ✔ | ✔ | ✔ | 4-5 business days |
| Debit Card | Small investments and withdrawals | ✔ | ✘ | ✘ | ✔ | Instant |
| Wire Transfer | Large investments | ✘ | ✘ | ✔ | ✔ | 1-3 business days |
| PayPal | Small investments and withdrawals | ✔ | ✘ | ✔ | ✔ | Instant |
| Pros | Cons |
| Over 56 million users to date | 3.99% fee on debit card deposits |
| A highly user-friendly experience | |
| Deposits and withdrawals available from multiple methods | |
| You can withdraw Bitcoin to your private wallet | |
| FCA licensed. |
67% of all retail investor accounts lose money when trading CFDs with this provider.
3. Binance – Popular Exchange with Many Cryptocurrency Pairs
Binance is the newest out of the previously mentioned ones, being founded in 2017. It originally began in China and became available globally except for the U.S.
U.S. residents have to settle for Binance.US which launched in Stemberg of 2019 specifically due to specific regulations.
The platform tries to operate based on all of the pre-set parameters set by regulators. Aside from being an exchange, it has its own blockchain as well as cryptocurrency, making it an entire ecosystem. On Binance, you have the opportunity to trade over 300 cryptocurrencies through their online wallet known as the Trust Wallet. The signup process is simple, and the platform runs great on PC and on Mobile as well.
The Binance platform is also packed with tools as well as features that should suit the needs of any pro. It has chart reading tools, technical indicators, and the ability to connect your API to third-party providers. It is not licensed by the FCA however it has a reputation for its security and customer care. It has SAFU (Safe Asset Fund for Users) that is an emergency fund to cover potential external hacks and is ranked as one of the best crypto exchanges UK by business2community.
Binance Fees
| Level | 30d Trade Volume (BTC)&/or BNB Balance | Maker / Taker | Maker / Taker BNB 25% off | Maker / Taker BNB x Referral 25% off x Kickback 20% |
| VIP 0 | < 50 BTC or ≥ 0 BNB | 0.1000% / 0.1000% | 0.0750% / 0.0750% | 0.0600% /0.0600% |
| VIP 1 | ≥ 50 BTC & ≥ 50 BNB | 0.0900% / 0.1000% | 0.0675% / 0.0750% | 0.0540% /0.0600% |
| VIP 2 | ≥ 500 BTC & ≥ 200 BNB | 0.0800% / 0.1000% | 0.0600% / 0.0750% | 0.0480% /0.0600% |
| VIP 3 | ≥ 1500 BTC & ≥ 500 BNB | 0.0700% / 0.1000% | 0.0525% / 0.0750% | 0.0420% /0.0600% |
| VIP 4 | ≥ 4500 BTC & ≥ 1000 BNB | 0.0700% / 0.0900% | 0.0525% / 0.0675% | 0.0420% /0.0540% |
| VIP 5 | ≥ 10000 BTC & ≥ 2000 BNB | 0.0600% / 0.0800% | 0.0450% / 0.0600% | 0.0360% /0.0480% |
| VIP 6 | ≥ 20000 BTC & ≥ 3500 BNB | 0.0500% / 0.0700% | 0.0375% / 0.0525% | 0.0300% /0.0420% |
| VIP 7 | ≥ 40000 BTC & ≥ 6000 BNB | 0.0400% / 0.0600% | 0.0300% / 0.0450% | 0.0240% /0.0360% |
| VIP 8 | ≥ 80000 BTC & ≥ 9000 BNB | 0.0300% / 0.0500% | 0.0225% / 0.0375% | 0.0180% /0.0300% |
| VIP 9 | ≥ 150000 BTC & ≥ 11000 BNB | 0.0200% / 0.0400% | 0.0150% / 0.0300% | 0.0120% /0.0240% |
Binance Banking Methods
| Deposit Methods | Withdrawal Methods |
| Cryptocurrency | Cryptocurrency |
| Wire Transfer | Wire Transfer |
| Credit Card and Debit Card | redit Card and Debit Card |
| Pros | Cons |
| The largest exchange in the UK based on trading volume | Complex for newcomers |
| Many cryptocurrency pairs supported, over 300 in fact | 2% fee on credit and debit card deposits. |
| Trading commission of just 0.1% | |
| Great reputation | |
| FCA licensed. |
67% of all retail investor accounts lose money when trading CFDs with this provider.
4. CoinCorner – Best for Buying Bitcoin Quickly
CoinCorner has a reputation for its speed and the platform is a cryptocurrency brokerage more than it is an exchange. It facilitates only Bitcoin purchases. It is intended for people who are in the market to buy Bitcoin and hold onto it for several months. This is due to the fact that it has an end-to-end account setup process and can be completed in minutes. You need to register an account by providing some personal info, however, then it’s just the case of making a deposit with your chosen payment method.
CoinCorner Fees
| Amount | Fee | Limits (min/max) |
| Less than 10 GBP/EUR | 1 GBP/EUR | |
| Over 10 GBP/EUR to 25 GBP/EUR | 1.50 GBP/EUR | |
| More than 25 GBP/EUR to 50 GBP/EUR | 2 GBP/EUR | 5 GBP/EUR – no limit |
| More than 50 GBP/EUR up to 300 GBP/EUR | 3 GBP/EUR | |
| More than 300 GBP/EUR | 1% ** |
CoinCorner Banking Methods
| Deposit Methods | Withdrawal Methods |
| Cryptocurrency | Cryptocurrency |
| Wire Transfer | Wire Transfer |
| Credit Card and Debit Card | Credit Card and Debit Card |
| Pros | Cons |
| Very fast trading of Bitcoin | High trading fees |
| Supports a variety of payments | 2% fee on credit and debit card deposits. |
| Reward program across thousands of businesses |
67% of all retail investor accounts lose money when trading CFDs with this provider.
5. Coinjar – Amazing for Newcomers
Coinjar is essentially an online cryptocurrency broker as well as an exchange that is ideal for people who are just getting into the world of cryptocurrency trading. The platform makes the process of buying as well as selling digital currencies simple, and the website is also free from complex things only the expert might be aware of.
You can quickly set up your account by simply uploading your ID, and purchasing the cryptocurrency you wish to.
It allows you to trade multiple other cryptocurrency pairs, and you get a full suite of digital currency pairs that are priced against GBP.
Coinjar Fees
| Trading Volume | Taker | Maker |
| $0 – $10,000 | 0% | 0.1% |
| $10,000 – $100,000 | 0% | 0.09% |
| $100,000 – $1m | 0% | 0.08% |
| $1m – $10m | 0% | 0.06% |
| $10m+ | 0% | 0.04% |
Coinjar Banking Methods
| Deposit Methods | Withdrawal Methods |
| Cryptocurrency | Cryptocurrency |
| Wire Transfer | Wire Transfer |
| Credit Card and Debit Card | Credit Card and Debit Card |
| Pros | Cons |
| Ready-made cryptocurrency portfolios | You don’t get many technical indicators |
| Free quick payment bank transfers | |
| Easy to use | |
| Regulated by Australian Transaction Reports and Analysis Center |
67% of all retail investor accounts lose money when trading CFDs with this provider.
6. Luno – Excellent for Traders On The Move
Luno is a provider that is on this list due to the fact that it has one of the best-developed mobile applications. You can buy, sell and trade cryptocurrencies anywhere, and it is fully optimized to run well on iOS alongside android devices.
It supports a wide range of payment methods, and the deposits are charged at 3.5% which is on the pricey side. Luno keeps 95% of the funds in cold storage, which is also extremely appealing. There is a saving’s account feature on the app as well which will allow you to earn interest on your cryptocurrency balances of up to 4% per year. It is aimed at emerging markets, and it has a brokerage service as well as a Bitcoin wallet and API for developers.
Luno Fees
| 30-day trade volume | Maker fee | Taker fee |
| < $350,000 | 0% | 0.1% |
| $350,000+ | 0% | 0.09% – 0.03% |
| Deposit Method | Fee |
| Bank transfer | Free or $1.30 for deposits under $50 |
| PayID | Free or $1.30 for deposits under $50 |
| Cryptocurrency Deposit | Free (minus blockchain fees) |
Luno Banking Methods
| Deposit Methods | Withdrawal Methods |
| Cryptocurrency | Cryptocurrency |
| Wire Transfer | Wire Transfer |
| Credit Card and Debit Card | Credit Card and Debit Card |
| Pros | Cons |
| Low commission at just 0.1% | The high debit card fee |
| Many tools and indicators | Limited coin variety |
| Cryptocurrency savings account | |
| 95% of funds are kept in cold storage | |
| FCA regulated |
67% of all retail investor accounts lose money when trading CFDs with this provider.
7. Kraken – Reputable Crypto Exchange UK
Kraken is a California-based crypto exchange that offers a fee structure based on the volume of your trades in the last 30 days. Heavy trading leads to lighter fees. As a new investor to Kraken, expect a minimum fee of 0.26% on the price of your crypto purchases. Above all else, Kraken aims to provide security for all users of its platform. As such, Kraken holds most of all crypto on the platform in “cold wallets” – meaning bad actors can’t access the crypto funds and potentially take customer holdings for themselves.
| Pros | Cons |
| A wide range of cryptocurrencies are available | Not highly regulated |
| Offers margin trading | Fees are a little higher than other exchanges such as Binance |
| Offers both crypto-cross and fiat-to-crypto pairs. | |
| Secure platform due to “cold wallet” storing of cryptocurrencies | |
68% of all retail investor accounts lose money when trading CFDs with this provider.
8. OKEx – Low-cost Crypto Exchange UK
OKEx was founded in 2014 by Star XU, serves over 20 million traders, and is based in Seychelles. The main features of OKEx include crypto spot and derivative trading alongside OKEx’s native utility token – OKB. This can be used to buy services and products on the exchange, to measure and pay trading fees, give users access to voting, and governance on the crypto platform. Additionally, it also functions as an incentive for crypto enthusiasts to hold OKB.
| Pros | Cons |
| Accepts a wide range of payment methods | Not authorized or regulated by the FCA |
| Zero deposit fees | |
| Maker-Taker fee rate structure | |
| Access a wide range of 150 cryptos | |
| Store your digital assets in OKEx’s SA secure crypto cold wallet |
68% of all retail investor accounts lose money when trading CFDs with this provider.
9. Mode App – Buy Bitcoin in the UK within Seconds
Mode App is the best way to buy, sell, and store Bitcoin (BTC). It’s simple, fast, and secure, making it the perfect solution for anyone looking to get into the world of Bitcoin. With Mode App, you can buy Bitcoin (BTC) with just a few taps and spend it effortlessly utilizing Open Banking technology. So what are you waiting for? Download Mode App today!
Mode is the simplest way to get your account funded. The Mode App supports Open Banking and Faster Payments, which means that your funds will be transferred securely and quickly. With Mode, you can link your UK bank account to your Mode account and start moving money in seconds.
The Mode App is no ordinary crypto exchange app. Notably, it’s about helping investors get quickly and effortlessly into the habit of thinking about Bitcoin in a way that makes them happy, comfortable, motivated, and able to make rational financial decisions – whatever stage of wealth consumption they might be at.
The Mode App is the perfect solution for UK-based Bitcoin investors. Mode’s user-friendly platform makes it easy to buy and sell Bitcoin, with low trading fees. Furthermore, as a publicly-listed company, Mode is licensed and FCA registered, so you can ensure your money is safe with them. So whether you’re just starting out in the world of cryptocurrency or you’re an experienced trader, Mode App has everything you need to get started. It’s also recommended by the BuyShares list of UK crypto exchanges.
Pros
- Fully FCA registered
- All Bitcoin purchases are only subject to a 0.99 percent fee
- Earn BTC rewards for buying what you need online with ModePay
- Get ahead of your competition with this sleek, modern tool
- Be the boss of your own destiny
- Take control of your future with this app
Cons
- Users can only purchase Bitcoin
- BTC withdrawals are not free
67% of all retail investor accounts lose money when trading CFDs with this provider.
10. Huobi – Where the World Meets Crypto
Looking to get into the cryptocurrency game? Huobi is your best bet – offering a feature-packed platform to trade various cryptocurrencies. Introducing Huobi Global – the premier destination for trading cryptocurrency. With a broad selection of altcoins and stablecoins, plus their own USB-backed stablecoin called HUSD, Huobi provides a reputable platform for crypto enthusiasts of all levels. Whether you’re just starting out or are a seasoned veteran, Huobi has something for everyone. So what are you waiting for? Come join the party!
Huobi Token is the official token of Huobi Global, supporting all Huobi products and services. With exclusive discounts, events, and trading against popular coins available, it’s the perfect way to get more out of your Huobi experience. So let your voice be heard, and join the cryptocurrency revolution today with Huobi Token!
Huobi Global is one of the most successful and longest-running cryptocurrency exchanges in operation. With a team of experienced professionals and a reputation for reliability and stability, Huobi offers users a diverse selection of coins to trade across various markets. With lucrative features beyond the average exchange, Huobi remains a favorite among crypto traders and investors. So come on over and join the exciting world of cryptocurrency trading!
Huobi is your one-stop shop for all things digital currency. Whether you’re a beginner just starting out or a seasoned pro, Huobi has everything you need to make the most of your digital currency investments. With a user-friendly platform and excellent customer service, you’ll be able to make wise investment decisions with ease. So what are you waiting for? Start trading today with Huobi!
Pros
- Trade more than 100 cryptocurrencies and tokens on one of the world’s most popular exchanges
- High security means you can sleep better knowing your investment is safe
- Customer service is top-notch
- Invest in a new way to diversify your portfolio
- Get in on the next crypto boom early!
- You’ll feel like a big shot trader, even if you’re not!
Cons
- Deposits and withdrawals in fiat currency are not currently supported
- Registration for an account is a lengthy procedure
67% of all retail investor accounts lose money when trading CFDs with this provider.
How Do Crypto Exchanges Work?
At this point, you might be wondering what truly makes a crypto exchange, well, the best it can be. Specifically, you are looking for a cryptocurrency exchange in the UK that can provide you access to everything on offer from the digital currency industry, and in this case, specifically for the trading of the largest, most dominant cryptocurrency Bitcoin.
Depending on the provider you end up choosing however, the exchange could offer brokerages and trading services. Ideally, the cryptocurrency exchange needs to provide you with the means through which you can exchange, buy or sell your digital currency of choice, in this case, Bitcoin (BTC).
Let’s look at an example so you can have a bit more of a perspective on how this works.
You live in the UK and want to buy Bitcoin with a debit card. Perfect, this is by far one of the most popular means of doing so, it’s easy, fast, and an ideal way for you to make an investment. So, when you end up completing this transaction with a Bitcoin exchange, such as eToro for example, you will be buying the coins directly from the provider you end up picking. This means that you will not have to do any additional exchanges between pounds and cryptocurrencies.
Keep in mind that there are Bitcoin exchanges in the UK that specialize in trading services. This means that you will have the opportunity to trade cryptocurrency pairs, such as you might be doing at traditional forex brokers. Summarizing this up, you’ll need to speculate the future of a cryptocurrency pair such as BTC/ETH or BTC/GBP.
Another thing cryptocurrency in the UK will provide you with is the opportunity to swap one digital currency for another. You might be holding Cardano and want to trade it for another currency, in this case, Bitcoin. Well, the best exchanges will allow you to do this, and you will not even have to leave your home in order to do so.
New UK Crypto Trading CFD Regulations
What any trader in the UK absolutely has to know is the fact that in January of 2021 the FCA introduced new rules in regard to cryptocurrency derivatives. There are CFD trading instruments that track the real-world value of cryptocurrencies and not only allow you to trade cryptocurrency with leverage but also allow you to engage in what is known as short-selling.
Furthermore, as leverage crypto CFDs are complex, the FCA has prevented UK retail clients from gaining access to this. What does this mean for you as a cryptocurrency trader in the UK?
Any FCA-regulated exchange or broker that you use will not offer you these products, however, there are plenty of cryptocurrency exchanges that can still offer you leverage crypto assets as a resident in the UK, however, these probably operate without any regulatory licenses so they should be avoided to avoid theft or fraud.
Exchange Bitcoin at the Best Cryptocurrency Trading Platform UK: eToro
How to Choose the Right UK Crypto Exchange for Your Needs
If we look at the stats provided to us from websites such as CoinMarketCap, we can learn that there are, at the time of writing, more than 380 exchanges currently active in the cryptocurrency world. Keep in mind that there might be hundreds more that have simply not been added to this list.
This means that it won’t really be an easy task to find as well as pick the best Bitcoin exchange in the UK, especially if you are a newcomer and do not really know what you are looking for or what to look for at all.
That being the case, let us dive in a bit deeper into the world of Bitcoin exchanges and learn exactly what the most important factors are that you will need to take a look at before you can even start considering exchange options.
Safety & Regulation
If we take a look at the history of unregulated cryptocurrency exchanges, we can see that there have been billions of pounds stolen in the form of digital assets from Bitcoin exchanges throughout the past few years. This is by far one of the most important factors that newcomers have to face when they are about to enter the market, and why some might be skeptical about getting into this industry, to begin with.
However, there do exist cryptocurrency exchanges that do things in order, and by this, we mean ones that are fully regulated as well as authorized by the Financial Conduct Authority (FCA).
The leader in this field is eToro that holds both a license with the Financial Conduct Authority (FCA) as well as Cyprus Securities and Exchange Commission (CySEC) and ASIC. The platform is also registered with Financial Industry Regulatory Authority (FINRA) which opens the doors to the UK marketplace for the exchange.
When you put your funds on a regulated cryptocurrency exchange, your funds are far more protected. Every time you decide to put your funds on an unregulated cryptocurrency, you are putting your funds at risk. Keep this in mind when you are choosing the best cryptocurrency exchange for your specific needs.
Trading Options
There is a multitude of services that some of the best cryptocurrency exchanges will have on offer. You need to check if the provider you end up picking can give you the options you want to access. Here’s what you need to look out for specifically.
Buy/Sell Crypto
The best cryptocurrency exchanges out there will provide you with the opportunity to buy cryptocurrency in the UK directly from them. This means that you can buy them with an everyday payment method, such as your credit card, debit card, bank account transfer, and e-wallet options. When the transaction is completed, you might even have the option of keeping your coins on the platform itself through their own, native digital wallet or withdrawing them to your private wallet as well.
Trade Crypto
There are a multitude of cryptocurrency exchanges that specialize in short-term trading. This includes strategies such as day trading, swing trading, or scalping. The primary objective traders have at this stage is to speculate on the future value of a specific digital currency pair but in the short term. This will lead to modest, regulated profits throughout the entirety of the trading week.
Swap Crypto
There is a multitude of UK cryptocurrency exchange platforms that will allow you to swap a specific digital currency for another digital currency. If you have Cardano coins and want to swap them for Ethereum coins, as soon as the transfer is made, you can withdraw the coins to your private wallet.
The best Bitcoin exchanges out there, such as eToro for this example, will let you buy, sell, and trade digital currencies. On eToro, you are also getting a wallet, where you can convert one cryptocurrency for another and it supports all of the core services that are mentioned throughout the previous paragraphs.
Important Fees at Crypto Exchanges
What you need to realize right from the very start is that cryptocurrency exchanges are a business, and as such, they have the intention of making money. This being the case, they charge fees as well as commissions. These, however, will vary considerably. Here’s what you need to keep in mind.
Deposit Fees
One of the main things investors look out for when they create an account at a cryptocurrency exchange are the deposit fees. If you want to buy, sell or trade cryptocurrencies online, you will at one point need to make a deposit for it to be a gateway into that world. A lot of times, UK crypto exchanges can change quite a bit when using a debit or credit card, due to the fact that the perceived risk involved with cryptocurrency-related transactions is high. This being the case, this can range anywhere from 2% to 3.99%, depending on the exchange you end up choosing. However, there is a more cost-efficient option when you use eToro due to the fact that the provider charges an initial FX fee of 0.5% when it converts funds, from credit cards, debit cards, or e-wallets. Just something you should keep in mind.
Trading Commission
The next thing we’ll be discussing is the trading commission. This can also vary tremendously when you look at different exchanges. This commission fee relates to the fee that you have to pay when you buy, sell or trade a cryptocurrency, and is one of the main ways through which the exchange in question makes money. It is charged as a percentage against the size of your trading transaction and can range anywhere from 0.10% and up. However, eToro goes further and is 100% commission-free in terms of trading cryptocurrencies.
Specifically, Binance is competitive when it comes to the trading fees due to the fact that it only charges 0.10%, one of the lowest fees out there.
eToro is also competitive, as you can buy, sell, or trade crypto in a 100% commission-free way.
Spreads
This “spread” plays an important role and can be often overlooked by traders who do not know what it does and are just beginning their cryptocurrency trading journey. The spread is the difference between the buy and sell price of a digital currency market. If bitcoin has a buy price of $40,000 for example, and a sell price of $40,500, the spread here is $500. The wider the gap between the two prices, the more you will be indirectly paying as a result.
What you will notice is that commission-free brokers will typically charge a wider spread to make up for the lack of trading fees. To test this, we tried eToro and found out that this wasn’t actually the case there. The spread amounted to under 1%. When you take into consideration the commission-free systems in eToro, it’s an extremely competitive platform, and that is why it is our number one recommendation.
Trading Tools & Features
There are two types of traders. There are traders that will constantly trade, look at the short-term gains, and engage in a lot of activity. Then there are traders that will come to the exchange of choice once, buy Bitcoin, and hold onto it for several years. If you are a ladder user, this might not be too useful for you, however, if you are serious about cryptocurrency investing, you need to have the right tools and features for the job that will help you sky-rocket to success.
There are tools offered by the best cryptocurrency exchanges in the UK that can enhance your trading experiences, and here is what you need to look out for and know about.
Fractional Ownership
Fractional ownership plays a crucial part when it comes to trading within the cryptocurrency industry. Digital currencies are highly speculative asset classes, and you do not want to spend over $40,000 for a single BTC. You can use a bitcoin exchange that supports fractional ownership instead. This essentially means that you can buy a fraction of a digital currency unit. So let’s say a cryptocurrency exchange has a minimum deposit of $200 such as eToro, you can instantly use those $200 to buy a fraction of BTC instead of needing to have $40,000.
Automated Trading
Cryptocurrencies are still fairly new, and as such, a lot of people might not understand how they work yet in the UK. This makes the process of investing or trading cryptocurrencies intimidating, and this is why crypto exchange platforms that offer automated trading services are preferred.
The FCA broker eToro will allow you to copy the same investment methods implemented by the most successful traders. This works exceptionally well if you are inexperienced and just want to see how traders think.
Payment Methods
You will be making a deposit at just about every cryptocurrency exchange with a specific payment method that you already have. The last thing you want to happen is for you to have to open a new, specific payment account elsewhere just so you can deposit some funds in the exchange and have to deal with the authentication processes everywhere. This is why you need to ensure that you end up picking a cryptocurrency exchange that provides you with the preferred payment method. Many exchanges tend to operate without a license, so very few will legally offer you support for credit or debit cards or even bank account transfers. Note that even those that do typically charge excessive fees for the convenience of using FIAT currencies can have the same issue.
The best cryptocurrency exchange providers in the UK that are discussed on our list support debit cards and bank transfers. eToro even takes things further by supporting e-wallets, which means that you can essentially buy BTC with PayPal.
Customer Service
Customer services play an important role when it comes to finding the best Bitcoin exchanges in the UK. Things rarely go wrong at these exchanges, however, when they do, or simply when you want some assistance with any of the various processes on offer there, you want to know that there is an experienced team that has your back. If the provider in question offers you a live chat support functionality throughout standard UK hours, or even 24/7, that is extremely convenient for you. This is due to the fact that you can speak with a customer agent in real-time without needing to wait for an email reply.
How to Get Started on a Crypto Exchange – An eToro Guide
You are now going to learn step by step how to get started on a cryptocurrency exchange, and this should take you just a few minutes. This walkthrough will explain how to open an account, make a deposit, and place your first trade with the FCA platform eToro. Note that this process is quite similar to just about every other cryptocurrency exchange out there, with minor differences, so once you master this, you should have an easy time implementing it just about anywhere else.
Step 1: Opening a Crypto Trading Account at eToro
The first step you will need to take is to create an account. Find a button on the website that says “Join Now”. Note that eToro will ask you to provide personal information before the account is created, the deposit processed and the trading occurs. Furthermore, you might even be prompted to do a KYC (Know Your Customer) verification process, due to the fact that eToro has to do this to comply with FCA regulations and keep financial crime away from the platform completely.
Signup at eToro here to Buy Crypto with 0% commission >
Visit the website, click on “Join Now”, or “Sign Up” if you are elsewhere, and you will need to enter your first name, home address, date of birth, email address, and phone number. You might also need to provide your national insurance number and pick a username and password. Make sure your password is secure. That’s about it, to complete the account, you might need to verify your mobile number by entering the code that is sent to your phone. KYC comes down the line.
Step 2: Uploading Your Identification
If you aren’t going to deposit more than $2,250, you can skip the verification process for now, but remember that down the line, it will, at one point, need to be completed. As soon as this does need to be completed, however, such as when making a withdrawal request, you will be required to submit a clear copy of your passport or driver’s license as well as a bank account statement or utility bill. Most of the time eToro will instantly verify these documents.
Step 3: Depositing Funds
After the account creation process is completed, you will be required to make a deposit into your eToro account, assuming you want to engage in the best bitcoin trading platform uk. This comes at a fee of 0.5%, which is lower when compared to some of the competition out there. eToro provides you with the opportunity to pick from a debit card, or credit card, think along the lines of Visa, MasterCard, Maestro, as well as e-wallets such as PayPal, Skrill, Neteller, and even bank transfers.
Step 4: Looking Up the Crypto Trading Market
You have successfully made an account, verified your identity, and have made a deposit. Perfect. The next step you need to make is to buy a cryptocurrency. All you need to do is enter the name of the currency into the search box. Now, in this guide specifically, we are looking for Bitcoin, so we’ll look up Bitcoin in the search bar and click on the “Trade” button when we see the coin we want to buy.
Step 5: Placing the Crypto Trade
Once a box pops up, this is where we’ll need to tell eToro the specifics of the trade. If you want to keep things as simple and as quick as possible, all you have to do is enter your stake. This has to be in US dollars, as that is the way cryptocurrencies are mainly valued, and you have to deposit a minimum amount.
Now, since the minimum deposit amount is $200, and you are interested in buying Bitcoin at this time, you could potentially put all $200 in Bitcoin here. If you want to add some risk management, you can also set up limits, stop-loss, and take-profit orders. Last but not least, you can click on “Open Trade” and complete your commission-free cryptocurrency trade. That’s all there is to it.
Conclusion
Summing things up, it can be difficult to pick a cryptocurrency exchange that is perfect and fulfills all of your specific requirements. The good part though is the fact that UK residents have access to literally hundreds of Bitcoin exchanges. What you need to keep in mind and carry with you at the back of your head is the fact that most of them operate without a license, so you need to check if an exchange is regulated by the FCA first, and then check the metrics surrounding the supported markets, the fees, as well as the available payment methods.
After reviewing a lot of providers, we found that the best cryptocurrency exchange that you can sign up for and use today is eToro, and this is due to the fact that the platform offers commission-free options, with a multitude of cryptocurrencies supported, 23 at the time of writing, and allows you to deposit funds using a debit card, credit card, bank transfer or e-wallet. It is also fully regulated by the FCA so you do not need to worry about anything.
eToro: Best Crypto Exchange UK – Commission-Free and FCA Regulated
FAQs
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