Several cryptocurrency exchanges have started offering incentive programs to their users to assist them to get more out of their bitcoin holdings. However, this hasn’t been their primary emphasis in the past.
The details of each of these programs vary. People who “stake” their bitcoin or use it to help verify transactions on the blockchain network are rewarded. Others provide loan services that allow customers to earn money on their assets by putting them on a platform and keeping them there. NerdWallet-reviewed exchanges that will enable consumers to utilise their bitcoins to make rewards are included in this list. Below, you’ll find information on each platform’s reward scheme.
Top 5 Crypto Trading Platforms
- Gemini – Best Beginner Platform
- Bitcoin Loophole – Best Overall Platform
- Kraken – Best for Experienced Traders
- Crypto.com – Best Automated Trading Platform
- BlockFi – Best Innovative Trading Resources
Gemini is a privately held cryptocurrency exchange that enables users to purchase, sell, trade safely, and store bitcoin, ether, and about 40 additional cryptocurrencies. Cameron and Tyler Winklevoss founded it in 2015.
Gemini offers a tier-based service with distinct interfaces and cost structures for casual investors and experienced traders. It has a mobile application, a payment application, and its cryptocurrency, the Gemini dollar. In contrast to most cryptocurrencies, the Gemini dollar is a “stable currency” that is pegged to the US dollar.
Gemini is a rival of Coinbase and Kraken, two popular cryptocurrency exchanges. Gemini is a cryptocurrency exchange that is one of the biggest in the United States for buying, holding, and selling cryptocurrencies. It boasts a diverse variety of cryptocurrencies and some rather unique features like a diverse coin selection, cheap minimum purchase amounts, a highly rated mobile app, and a sophisticated trading platform.
Bitcoin volatility is expected to peak in 2022 as experts continue to foresee an unprecedented crypto boom. Fast gains and losses characterise volatility. Bitcoin Loophole enables you to benefit from both ups and downs. The robot takes Short-selling trades to profit from declining prices.
Bitcoin Loophole is a High-Frequency Trading (HFT) platform that includes tactics for profiting from small price swings. Among them is scalping, which entails using excessive leverage on tiny transactions.
The Bitcoin Loophole platform is partnered with the industry’s leading brokers to provide our customers with a frictionless trading experience. These brokers are globally recognised and regulated in all areas they do business.
Kraken clients may purchase over 90 different cryptocurrencies, placing it second only to Coinbase among NerdWallet-reviewed exchanges. And with 130 trading pairs accessible, it has the most of any program we’ve examined.
Kraken offers a restricted number of methods for US consumers to fund their accounts. The platform connects users’ bank accounts using Trustly, which Kraken claims works with over 1,000 financial institutions. However, if your bank is not one of those organisations, you will need to transfer funds into your account – a procedure that may require you to contact your bank to organise the transaction. Kraken is one of the most influential cryptocurrency trading platforms for crypto-to-crypto trading, margin trading, and sophisticated traders.
Customers that are seeking a broad range of cryptocurrencies and are comfortable making purchases on a mobile device using conventional cash may find Crypto.com appealing. At Crypto.com, you’ll find a wide range of digital assets and minimal transaction costs. Even though it doesn’t provide traditional crypto-to-crypto trading, sophisticated users may be interested in its DeFi products.
If you utilise an ACH (automatic clearing house) transfer to pay for your purchase on Crypto.com, you will not be charged any trading or transaction fees. When it comes to using a credit or debit card to make purchases, the fees may add up quickly. In late 2021, the cost was 2.99%. Even though these fees may be avoided with little effort, this has traditionally been the most convenient depositing money into a Crypto.com account.
Instant ACH transfers were made available by Crypto.com in December 2021. Clients formerly had to go via their banks to do ACH transfers or wire transactions, a time-consuming procedure that might take days. For mobile-first consumers, fiat currency transactions, DeFi tokens, or decentralised finance, Crypto.com is the ideal option.
While the prices on the BlockFi exchange are similar to those on other deals, they will appeal to consumers inquisitive about earning interest or borrowing against their bitcoin. BlockFi has created a reputation for itself by attempting to expand standard banking services into the bitcoin sector. Individuals who utilise the location may earn interest on their bitcoin or use it as collateral for loans – a feature not offered by many rivals. Customers may earn up to a 4.5% annual percentage yield on their Bitcoin, supported by the quantity that survived the platform.
BlockFi’s innovative approach — fusing elements of the cryptocurrency realm with certain services customarily supplied by banks — has drawn considerable regulatory attention. Numerous states haven’t certified it to produce all its services, and sure its products, like interest accounts, face extra ambiguity in areas where they’re already permitted. Additionally, in February 2022, the Securities and Exchange Commission stated that BlockFi had agreed to pay a $100 million penalty for failing to register its products and services properly. Half this amount was distributed to 32 states to resolve SEC accusations. BlockFi is good for crypto-to-crypto trading, interest accounts, and crypto-to-crypto borrowing.
Cryptocurrency is a volatile asset; thus, choosing the right crypto trading platform will be a crucial part of the start of your trading journey. Thus, choosing a reliable and reputable crypto exchange site such as Gemini, Kraken, Crypto.com, and BlockFi or going for a legit system like Bitcoin Loophole will help you avoid scammers and fraudsters that flock to the crypto market.
Several aspects affect staking and incentive programs, such as the rate you may earn rewards, how frequently they are paid out, how easy it is to withdraw your holdings, and the number of eligible cryptocurrencies. When choosing a currency exchange company, examine customer service options, website quality, and mobile app ratings. Make sure you understand the program’s terms and conditions. Ascertain that the advantages exceed the risks.