Thanks to modern technologies, we now can get access to various services or products that we couldn’t get in the past. Yes, cryptocurrency is liberating due to the basic principles of the work of blockchain technology.
It’s difficult to find a person today who wouldn’t know about the existence of digital money. Most people follow crypto news to sell one coin and buy another to increase their profit. For example, when exchanging eth to btc, or usdt to doge, etc.
Most modern people have cryptocurrencies in their wallets. But what to do if you want to gain another type of crypto coin? In this case, you have mainly 2 options:
- Mine currency you want.
- Exchange fiat money (or available digital coins) for the cryptocurrency type that you wish to receive.
The easiest way is, of course, exchanging one type of currency for another. Mining is a difficult process that mainly requires a ton of electricity and expensive equipment. You also need to figure out which pool to join since it’s more difficult to mine alone. And there are other difficult things to take care of when it comes to mining.
And that’s why most people prefer exchanging! Check out the article to learn more about how crypto exchanges work and how to use them.
How do Crypto Exchanges Work?
The idea is simple, similar to the way ordinary exchanges work, but without huge fees. To start exchanging, you need an account. To create one, you will have to prove your identity. No information about you will be released or sold/transferred to third parties, but ID verification is required to prove that you are a real user. It’s also a protection measurement.
When you have the account, you simply choose what currency you want to sell and what type of crypto money you wish to receive. Then you just choose the number of coins to trade, and you will see how much you get in return for the currency you want to receive.
Depending on the type of platform you use, you pay a higher or lower fee. If it’s a p2p, the fees are lower, but you can’t exchange whenever you want. With centralized platforms, you pay a bit more but may exchange anytime you prefer.
Why Use Crypto Exchanges?
Here are just a few reasons why it’s more beneficial to exchange than to mine:
- No expenses on electricity, mining equipment, etc.
- You can quickly sell or buy coins you need considering the market situation.
- It’s extremely easy.
- Most platforms work 24/7.
- It’s safe and convenient.
A crypto exchange is one of the best ways to invest in a currency you prefer. It’s easy, convenient, and doesn’t require any effort!