When you look at your financial trading options; you’re either buying and selling stocks 8 hours a day, Monday through Friday or trading currency on the Forex exchanges where your trading hours depend on your trading timezone. Traditionally trading requires the broker to execute your trade; most of the order executions are done by computers today. When you buy a percentage of an asset, the brokers also ad commission fees for executing your trade. Those fees may seem minimal if you’re trading thousands of dollars at a time but if you’re trading penny stocks the fees may out weigh the gains.
With the technology advances of cryptocurrency everyone from around the world has true 24/7 access to the digital trading floor. As long as you have a connection to the internet you can trade. There is no recognized holiday to keep you from buying and selling digital assets. What makes trading cryptocurrency really great verses traditional trading, is the fact that the commission fees are so small that you’d hardly every recognize it. You can also buy and sell all day long without hitting a day trader limit. In the stock market you can only buy and sell the same stock up to 3 times before you’re recognized as a day trader. Once you’re considered a day trader, your account requires a $25,000 minimum balance.
There are many different exchanges to trade your cryptocurrency like Coinbase’s GDAX platform, Bitifinex, Bittrex, and Kraken. Each exchange has their own quarks, some have great chart analysis, some allow you to trade exclusive coins but they all typically perform the same way. When you buy and sell cryptocurrency it is very similar to Forex, they both trade currency. If you look at a trading pair like BCC/BTC for example; you’re saying that you want to Buy Bitcoin Cash(BCC) with bitcoin(BTC) or sell BCC and receive Bitcoin. Each trading platform typically allows you to trade with Bitcoin(BTC) and Ethereum(ETH). Other trading pairs depend on what each exchange deems popular.
My favorite cryptocurrency trading platform is Binance, which stands for binary finance. Binance is a company led by Changpend Zhao from China. One of the many advantages of Binance is how strong their support is, you can access the platform on the web, they support both Android and iPhone, as well as Mac and Windows. The Binance platform can process over 1 million transactions a second! Binance has one of the best charts out there right now for any exchange. The best part is, they allow you to save 50% on their already low trading fee! When you trade on their exchange buy some BNB tokens, which currently sell for less than $2. This allows you to automatically receive a discount on fees.
I’ve been trading Cryptocurrency for a while now, it has been a fun ride so far. Once you get into the game, I think you’ll see why I prefer cryptocurrency trading to traditional methods. This post was meant to compare the differences between digital asset trading and buying and selling of stocks and traditional currencies. I hope you found this informative. Drop a comment below and let me know what your experiences has been while trading.