As South Africa joins the global movement of adopting cryptocurrencies, users need reliable exchanges that offer features such as difference (CFD) and smart contracts for better trading.
However, with hundreds of exchanges, how do you know which one suits you best? Discover all about crypto trading platforms to determine the best South African platforms worth looking into here at Crypto in Afrika.
What is a crypto trading platform?
A crypto trading platform is a decentralised online exchange that allows you to purchase, sell or trade cryptocurrencies with one another or through fiat. On top of that, crypto trading platforms offer you these two common methods of bartering:
One of the main features of trading platforms is they allow users to trade peer-to-peer without the need for middlemen. This creates a seamless exchange between traders and lessens expensive fees.
Access to a crypto broker
Crypto brokers are individuals or firms that act as a medium in the buying and selling process of cryptocurrencies.
In a way, they help you enter the market by paying the price they set. Aside from buying and selling cryptos, brokers also offer Contracts for Differences (CFDs) that allow you to predict the price of digital coins. These contracts allow investors to take a position on the future value of assets in the market.
Both peer-to-peer exchanges and crypto brokers help you stand well in the crypto market. While both of them differ, they offer you a crypto trading tool that allows you to manage your digital assets. Their features and services give you a good trajectory to enter the crypto market.
Difference between crypto exchange and brokers
While crypto exchanges and trading platforms are closely similar since both are financial intermediaries, they have features that set them apart. Know more about them here:
Crypto Trading Platform
Crypto trading platforms allow crypto brokers to act as a medium between you and the buyer and seller. The services they provide are derivatives which include crypto futures and CFDs. These assets are not direct market coins but rights to buy or sell the underlying contract when the prices change.
Trading through crypto brokers is ideal for beginners since brokers do everything from placing orders on the exchange to connecting you to buyers and sellers.
Usually, this is ideal for users still not familiar with the ins and outs of the market. Given the ease and perks provided, crypto brokers tend to have higher fees than exchanges.
Although, this price will be worth it because you avoid the stress of crypto trading. They ensure convenience, especially with their payment methods, since they have fiat options such as credit cards and bank transfers.
Crypto Exchange Platform
On the other hand, you also have exchanges to access the crypto market. Although, choosing this leans more towards the experienced side of investing since you will directly manage everything from contacting buyers and sellers. Additionally, they have varying transaction fees, depending on your exchange.
What makes crypto exchanges stand out is that it offers a wide range of trading pairs between cryptocurrencies and fiat currency. On top of that, the price stated on the order list is based on market movement.
In terms of services, crypto exchanges offer advanced features like futures trading and leveraging for more advanced traders.
Uses of cryptocurrency trading platforms in South Africa
Crypto trading platforms can do much for you when investing in digital assets. Get to know how they work, so you can fully grasp their use and apply them to your trading:
- Accessible means of trade for people
Cryptocurrency trading platforms exist on the internet, which makes them accessible to anyone who wants to try crypto trading. All they need is a phone or computer with internet to facilitate trades such as buying and selling.
They also have downloadable computer software so they can be accessed across devices such as phones, PCs and tablets. With these, you can easily conduct trading with just one click without opening your browser.
- Making transactions on popular crypto trading platforms
When you use crypto trading platforms, the common transactions you make are buying, selling or trading. All these are done directly via a peer-to-peer exchange where the buyer or seller dictates prices.
- Observing market changes
Crypto trading platforms allow you to observe the value changes of each digital currency on its interface. Usually, these appear as trading charts that display the current trajectory of a coin or token in the market.
Using this to your advantage can help you track a crypto’s performance and predict its future values before trading or investing in certain assets.
- Providing you with a safe and secure trading environment
Crypto trading platforms prioritise your safety and security by providing multiple measures to counter fraud and scams. These include steps such as identity confirmation, two-factor authentication and the like. Moreover, developers of crypto exchanges comply with the regulation rules of different countries to be legitimately recognised.
Best South African crypto trading platforms
If you are in South Africa and have been meaning to invest in crypto, below is the crypto trading platforms list you can check out:
Binance is the most well-known and best trading platform for cryptocurrency. Its global reach allowed multiple countries to use its features, such as trading, buying and selling crypto.
What makes Binance popular among investors is its low fees, diverse selection of crypto and a discount of up to 25% when you use its native coin, BNB. Additionally, beginners will find it helpful that the site also has educational materials for first-time traders.
Next among the best cryptocurrency trading platforms in South Africa is KuCoin. Since its launch in 2017, it has become popular due to its high daily transaction volumes.
This kind of liquidity is a good recommendation for people to begin trading on this platform. Moreover, you can easily exchange your coins for another currency without changes in the price. Above all, KuCoin allows you to earn interest from your crypto tradings and enjoy low transaction fees.
Luno is one of the best crypto trading platforms in South Africa for beginners with its user-friendly features. Its pros include an easy-to-navigate interface that allows traders to familiarise its features.
Another attractive feature of the site is its fast verification process, which allows traders on the go to create their accounts right away. Additionally, novice traders can access learning materials about cryptocurrencies and blockchain for added information before trading.
Another best trading platform for crypto worth looking into is Gate.io. It has a good reputation among experienced traders, especially in altcoins. This is because users have a lot of assets to invest in and diversify their portfolios.
The platform allows you to make smooth transactions with third-party partners using different payment methods, such as fiat currencies and credit & debit cards. The platform is all the more attractive because it offers you more than 1,300 cryptocurrencies to trade.
ForexTime is a popular crypto trading broker loved and supported by many. It offers low trading fees, 24/7 support and educational sources to keep you updated about crypto.
On top of that, creating a ForexTime account takes only a bit of your time and allows you to begin trading. Putting your trust in this crypto broker firm allows you to enjoy the benefits of market overview, stock trading and CFDs, trading tools, and much more.
When it comes to trading Forex and CFDs, AvaTrade is one of the most promising exchanges out there. Often recommended by brokers and traders, this platform offers a promising portfolio of digital assets along with educational materials for novice users. The site also has an easy-to-navigate interface with a clean and sleek design.
On top of that, it also teaches you how to use MetaTrading platforms 4 and 5, which are the most used tools for trading nowadays. The exchange has over 200,000 clients globally, which helps the platform reach 2 million trades monthly. Account creation is a breeze, and you can enjoy free deposit and withdrawal options.
You can never go wrong with Alpari since it is under the top crypto trading platforms. It is an attractive exchange for users because it offers demo accounts where you can utilise copy trading.
This is a highly beneficial feature for beginners since it can help familiarise users with the ins and outs of trading to avoid losses.
- FP Markets
Invest in crypto trading websites like FP Markets since it provides solid customer support. By becoming a member, you can access educational tools, customer service, product offerings and great prices.
FP Markets offers relatively low charging fees for traders using the MetaTrader platform compared to other broker trading sites.
XM deserves a spot on the biggest crypto trading platforms because of its great services, such as forex trading, stock CFDs, commodities and equity indices. Over 1.5 million users use this website and are a mix of beginner and experienced traders. On top of that, XM allows you to get a glimpse of what it is like to trade crypto by providing you with a demo account containing USD 100,000 of virtual currency.
- Global GT
One of the top South African crypto trading platforms is Global GT. It is a reliable broker that provides you with tools to make your online trading worth it. These include account comparisons, market pulses and the MT5 trading platform.
Crypto trading platforms tips: How to choose the best one?
Since many crypto trading platforms are popular in South Africa, it’s hard to discern which one suits your needs. Here are some tips to help you choose one that fits your preferences:
Commit to researching crypto trading platforms
To be an effective trader, you must learn how exchanges work to fully utilise the features they have to your advantage. By having prior knowledge, you would be familiar with the features present in these exchanges.
Accurate research about crypto trading platforms will expose you to multiple networks and lead you to the exchange that perfectly matches your needs to maximise your investments.
Look for a platform with high security
Security should be your priority when choosing a crypto trading platform before creating an account. If anything bad happens to the site, you and other investors will be left empty-handed.
You must ensure that your chosen trading platform has high-security methods. You need to see if it uses two-factor authentication, know-your-customer process, liveness, whitelisting and anti-phishing code. These are some of the most popular security features that top exchanges provide.
Double-check the legitimacy of the platform
Unfortunately, scams and fraud are also common in the crypto world. Not everything advertised or presented online is real or legitimate.
Moreover, some of the exchanges are made to trick people into investing their money for nothing. That is why double-checking a platform’s authenticity is important since it shows if it is trustworthy.
Aside from that, you also need to see how a crypto trading platform fares in public. Reading reviews about it will give you an idea of whether or not users have a good experience. On top of that, doing so shows you what you can expect once you hop in the exchange.
Compare and contrast the fees of each platform
Crypto trading platforms profit by charging transaction fees for buying, selling and trading. Usually, the rates depend on the site you’re using, so it’s best to compare platforms to see how much they’ll charge you.
Usually, crypto exchanges would have separate tabs containing details about their transaction fees, so check these out before you start trading.
Take note of the platform’s liquidity
Choosing the right crypto trading platform means checking the liquidity of the exchange. This feature refers to the ease of digital trading assets with another without affecting the price.
When the liquidity is high, traders can exchange crypto whenever they want. In turn, the transaction volume of a platform increases and has an abundance of orders on the market.
Aside from that, an exchange’s liquidity entails the traders holding many assets that are traded frequently. This is because users are actively trading and maintaining the balance of the crypto market. Above all, a trading platform with high liquidity can lessen the volatility of crypto assets. In a way, this attracts more people to invest due to the stability of an exchange.
Choose a crypto trading platform today and begin trading!
As the crypto world expands in South Africa, it is only time for you to select the best crypto trading platform in this region.
Since there are a lot of exchange sites available online, you need to open your doors to a lot of opportunities. By doing so, you can explore the different features offered by each platform. Through this, it would be easy to find a crypto trading platform that best suits your needs.
Additionally, make sure to stay updated with crypto news. Having abundant knowledge allows you to make sound decisions when it comes to trading. In the end, your enthusiasm for crypto will be the one that maximises your assets.
Frequently Asked Questions
What is the best crypto trading platform?
The best crypto trading platform for you to use is Binance. Aside from it being the biggest exchange, users of all ages, regardless of experience, can easily enter and begin trading.
What is the best-automated crypto trading platform?
The best-automated trading platform is Pionex since it offers 16 free built-in trading bots. Using a trading bot will monitor the crypto market for you, so you do not have to check it 24/7 constantly.
Which platform is best for crypto trading?
There are a lot of platforms to choose from, but it would be better for you if you use the best crypto trading platforms listed in this article.
Which crypto trading platform has the most coins?
With over 1,549 coins, Hotbit ranks first in offering the highest number.
Which crypto trading platform has the lowest fees?
Uphold is the crypto trading platform that offers the lowest fees for depositing, withdrawing, making and taking.