Differences between cryptocurrency and fiat-currency are numerous, and the field of cryptocurrencies just keeps growing. As a result, there has been an upsurge in the number of companies offering cryptocurrency investment strategies. These companies have launched multiple products that aid in making cryptocurrency investments easier. The new development requires people to have an understanding of what they can do to manage their cryptocurrency investments without attracting losses.
Table of Contents
Best Apps For Investing In Cryptocurrency
Where can you buy cryptocurrency?
If you’re wondering where to buy cryptocurrency, you have several options. The best places to buy cryptocurrency can generally be separated into two main baskets:
Brokerages. A brokerage is a company that facilitates the purchase and sale of investments, such as stocks, bonds, and mutual funds. Several of the best stock brokers now offer cryptocurrency trading through their platforms. These can be desktop-based, app-based, or both.
Exchanges. A cryptocurrency exchange facilitates the buying and selling of digital currencies. The biggest difference is that brokerages offer other investment vehicles. Cryptocurrency exchanges don’t.
Whether you go with a broker or an exchange, make sure it has the functionality you need. For example, if you want to buy cryptocurrency on your mobile, look for the best cryptocurrency app.
It’s also possible to buy cryptocurrencies directly from other people. This used to be far more popular in the early days of Bitcoin. However, that can get a little complicated and is beyond the scope of this discussion.
What is a cryptocurrency exchange?
A cryptocurrency exchange is a company that facilitates cryptocurrency transactions. Cryptocurrency exchange customers can buy and sell various digital currencies. They may also be able to do the following through the exchange’s platform (not an exhaustive list):
Exchange one type of cryptocurrency for another at prevailing exchange rates.
Exchange cryptocurrency for fiat currency (like U.S. dollars), or for cryptocurrencies tied to fiat currencies.
Spend cryptocurrencies, for example, using a linked debit card.
Access educational resources to learn about digital currencies.
Many of the best crypto exchanges have mobile apps which offer convenience if you plan to trade digital assets on the go
Features of the best cryptocurrency apps and exchanges
There are several great cryptocurrency apps on the market. To choose the best exchange, you’ll need to decide on which features matter most to you.
Here are a few to consider:
Security. Look at the exchange’s security features to see how many of its assets are kept offline in cold storage, whether it has private insurance, and whether it is part of a bug bounty program that encourages ethical hackers to report any weaknesses. You can also find out whether the exchange has ever been hacked.
Customer service. If you’re new to cryptocurrency investing, 24/7 customer service is a must. Nobody wants to wade through pages of FAQ to get help because money hasn’t arrived in their account.
Range of currencies. There are over 4,000 cryptocurrencies, but even big exchanges only offer 50 to 150 coins. On most platforms, you’ll likely be able to buy Bitcoin and one or two other major currencies. But if you want to buy a specific currency or plan to invest in some of the smaller coins, you’ll need an exchange that has some variety.
Ease of use. Cryptocurrency apps have developed rapidly as more people want to invest. However, at times that fast development has come at the cost of user-friendliness. Make sure the app has the features you want to use, and if you’ve never traded before, pick one that is beginner-friendly.
Fees. Paying unnecessary fees is throwing money away, whether you’re choosing a bank, a brokerage, or the best cryptocurrency exchange. Check how much it costs to deposit, withdraw, and trade before you open an account. It’s also worth checking the withdrawal and deposit options to make sure they work for you.
Research. Cryptocurrencies are a relatively new kind of investment, so the more you can learn, the better. Some apps include cryptocurrency learning centers as well as information on specific coins.
Interest earning. Several cryptocurrency exchanges offer ways to earn interest on your coins. Make sure you understand and are comfortable with how the interest is generated. The exchange may loan out your money, or it may pay you staking fees if you commit to leaving your coins alone for a set period.
Location. Some exchanges cannot operate in every U.S. state. Make sure the exchange you choose covers your state and complies with U.S. crypto regulations.
Learn more about the best crypto exchanges
Compare top exchanges, view our expert reviews, and find the right platform for your needs.
Cryptocurrency exchanges vs. brokers
By definition, a broker is an intermediary between two parties. It typically involves a financial transaction. For example, a real estate broker facilitates transactions between buyers and sellers of real estate.
So, technically speaking, cryptocurrency exchanges can be considered brokers. However, as we discussed above, there are two different types of intermediaries that facilitate the buying and selling of cryptocurrencies. Cryptocurrency exchanges, which allow users to buy and sell cryptocurrencies only. And brokerages that offer cryptocurrency trading alongside other investments like stocks and bonds.
They are all technically brokers. But there are two distinct types of businesses you can use to buy and sell cryptocurrencies.
What is the best Bitcoin trading app?
Binance.US won The Ascent’s 2022 award for best cryptocurrency exchange for Bitcoin. It has excellent security credentials, and offers a wide range of features for beginner and advanced traders.
Outside of focusing on just Bitcoin, Gemini stands out as one of the best cryptocurrency trading apps because you can do more than just buy Bitcoin. Gemini Earn pays interest on cryptocurrencies, and Gemini Pay lets you spend your Bitcoin at over 30,000 stores.
The best Bitcoin trading app depends on your personal needs, and there are many good apps on the market. Before you download an app, think about everything you want it to do. For example, if you want to buy and hold Bitcoin, your needs are different from those of a person who plans to build up a diverse portfolio of coins.
Learn more: Best Places to Buy Bitcoin in 2022
Do you need a cryptocurrency wallet?
Cryptocurrency wallets are a safe way to store your digital assets, but you really only need one if you plan to amass large amounts of crypto assets or want to spend your crypto easily. The cryptocurrency you own is protected by public and private keys — a bit like your PIN and bank account number. You use a wallet to store your encrypted keys and keep them safe.
There are two types of wallet:
Cold wallet. This is usually a piece of hardware that is kept offline, making it extremely difficult to hack. Cold wallets cost between $50 and $150, and are often considered the safest way to store digital currencies.
Hot wallet. Hot wallets are connected to the internet, so they are not as secure. However, like normal wallets, they are a convenient place to keep small amounts of crypto you might want to use.
Until recently, when cryptocurrency became more mainstream, wallets were a lot more necessary. In the early days, several cryptocurrency exchanges fell victim to hacks. And at that point, if your crypto was stolen, there was no way to get it back. So long-term crypto enthusiasts use exchanges only for trading, and store their coins in their own wallets.
However, these days, it is a lot safer to leave your coins with the exchange or brokerage where you bought them. The best app for cryptocurrency will have excellent security and store your assets offline in cold storage. Several companies also insure the crypto assets they hold.
Moreover, some platforms don’t give you the option to move your digital currencies. For example, the crypto platforms offered by Robinhood or SoFi Active Investing are designed for investment purposes. So if you bought Bitcoin with them, you wouldn’t be able to move it out of your account.
In contrast, some of the best exchanges, like Coinbase and Gemini, have built-in wallets. Like any good exchange, each lets you transfer your currency to an external wallet as well, though you may have to pay a withdrawal fee. You may have to find a wallet that is compatible with your exchange.
Think about what you plan to do with your cryptocurrencies before you buy them. If you are investing long term and want to buy and hold, you may be happy to entrust your crypto keys to the exchange or brokerage. But if you plan to trade regularly or want to spend your coins, a wallet may make sense. In which case, you’ll need to look for the best app for trading cryptocurrency that will connect easily to your wallet.
Best cryptocurrency app 2021
Comparison Table of Best Apps for Cryptocurrency
Name Features Fees to Trade Fiat Deposit Supported? Our Rating
Pionex User-friendly Mobile app interface, Excellent Email and Live chat support. and Low Trading fees. 0.05% trading fee Yes Star_rating_5_of_5
CoinSmart Same-day fiat cash out to banks.
Instant crypto-crypto conversions. 0.20% for single trades and 0.40% for double trades.
Buying – Up to 6% for credit card deposits, 1.5% e-Transfer, and 0% for bank wire and draft. Yes Star_rating_4.5_of_5
Crypto.com Crypto.com Visa card – 4 tiers. From 0.4% maker and taker for Level 1 ($0 – $25,000 trading volume) to 0.04% maker and 0.1% taker fees for Level 9 ($200,000,001 and above trading volume). Yes Star_rating_5_of_5
Coinmama Buy crypto with fiat via credit card and electronic payments and cash out Bitcoin via bank account. 0% for SEPA, 0% SWIFT for orders above $1000 (otherwise 20 GBP), 0% for Faster Payments in UK only, and $4.99% credit/debit card. No. Just direct buying with fiat. Star_rating_4.5_of_5
Binance Centralized order books with peer-to-peer support and advanced charting for traders. Trading fee is 0.02% to 0.10%. It varies from 3% to 4.5% for debit card, or $15 per U.S. wire transfer Yes Star_rating_5_of_5
Bybit Security, 24×7 multilingual support, state-of-the-art pricing system, 100K TPS matching engine, HD cold wallet, etc. For spot trading, the maker fee rate is 0% & the taker fee rate is 0.1%. Yes Star_rating_5_of_5
Kraken Android, iOS, & web apps; Exchange of USD, Canadian Dollar, Euro, & GBP into crypto. 0% to 0.26% Yes Star_rating_5_of_5
Cash App U.K., U.S. only. No cross-border transactions elsewhere. Free to send from app or bank; 3% fee for sending from credit cards Yes Star_rating_5_of_5
Bisq Peer-to-peer exchange with global support. 0.1% for makers and 0.3% for takers. Yes Star_rating_5_of_5
Coinbase Institutional grade all with custody support. From $0.99 for $10 or below; to $2.99 for $200 or less. A flat 2.49% with Coinbase Card; 2% for credit transactions; up to 2% for crypto conversions; Debit cards up to 3.99% and PayPal up to 1% Yes Star_rating_4.5_of_5
Blockfolio Price tracker with precision alerts. No fees for trading or tracking. No fees to use the app. No trading supported Star_rating_4_of_5
Let us review the crypto trading apps below:
Pionex – Best for Cheap Trading Fee.
When it comes to auto-trading, it is hard to find an app that functions as seamlessly as Pionex. This cross-platform app comes equipped with 16 free in-built trading bots that facilitate auto trading. Pionex has also earned a reputation for being one of the safest cryptocurrency apps on the market. It aggregates liquidity near ticker prices from Platforms like Binance and Huobi.
In fact, Pionex is one of the biggest brokers on Binance and market makers on Huobi. Pionex also possesses a highly revered MSB license by FinCEN. Another thing that makes Pionex worth trying is the trading fee it demands, which is extremely low when compared with other exchanges.
16 Free to use trading bots.
Low Trading fees on all transactions.
User-friendly mobile app interface.
Excellent email and live chat support.
Price: 0.05% trading fee
=> Visit Pionex Website
CoinSmart – Best for same-day crypto to fiat conversions.
CoinSmart lets you buy crypto using credit cards, SEPA, wire transfers, e-transfers, and direct crypto deposits but also trade them on the spot market. It does not have a derivatives market.
The exchange also supports less than 20 cryptocurrencies. Additionally, with limited advanced orders (limit and stop-loss orders), it is most preferable for buying crypto with fiat and swapping cryptos with each other.
It is the most convenient way to cash out crypto without a crypto Visa card. All you need to do is swap the deposited crypto for Bitcoin and leverage guaranteed same-day fiat withdrawal payouts via a bank account.
Guaranteed same-day deposits.
Sell crypto to fiat through a bank account. BTC conversion to fiat is paid on the same day via your bank account.
Portfolio tracking and tracking of your trading activity in full.
$100 minimum and $5,000 maximum with credit or debit card. $500-$5000 with bank draft, $10,000-$5,000,000 with bank wire, $100 to $3,000 with Interac e-Transfer.
Trading Fees: 0.20% for single trades and 0.40% for double trades. Single trade involves crypto being exchanged with Canadian dollars or Bitcoin. Up to 6% for credit card deposits, 1.5% e-Transfer, and 0% for bank wire and draft.
=> Visit CoinSmart Website
Crypto.com – Best for stakers and regular spenders alike.
Crypto.com can be used on web or mobile (iOS and Android) trading platforms. It is one of the best crypto trading apps because you can hook an account with a Crypto.com credit card allowing you to spend crypto easily. The Visa card, for instance, lets you convert any crypto to cash easily and spend on thousands of merchant stores and withdraw at ATMs around the world.
Crypto.com lets you buy crypto instantly with a debit or credit card. You can also swap crypto or trade it actively on the spot market. This app also makes it to the list because it supports in-app derivatives trading. You can leverage margin trading up to 10x for spot or derivatives trading needs. You can also use the app to pay and get paid for goods and services using crypto.
Over 250 cryptos are supported.
Earn up to 14.5% on crypto holdings.
DeFi and NFT support.
Spot market and derivative markets support advanced order trading.
Trading Fees: From 0.4% maker and taker for Level 1 ($0 – $25,000 trading volume) to 0.04% maker and 0.1% taker fees for Level 9 ($200,000,001 and above trading volume).
=> Get USD $10 Sign Up Bonus on Crypto.com
Coinmama – Best for fiat to crypto trading.
Coinmama would probably suit this list because it allows users to trade with much more available payment methods than most other apps on this list. You can buy crypto using bank, VISA, SEPA, MasterCard, Apple Pay, Google Pay, and Skrill. While some methods, like bank transfers, take up to 3 days, credit and debit cards are instant to buy crypto with.
For those willing to convert crypto to cash, you would have to first convert other coins to Bitcoins and then use the exchange to withdraw via bank. Otherwise, only Bitcoin is supported for selling to fiat via bank accounts. Another drawback with Coinmama is that it is not available on Android or iOS operating systems. Those wishing to use it on mobile devices can only use the website.
Buy up to $5,000 in daily limits when using credit cards. The limit is $15,000 when buying via a bank account.
Both allow 5 and 10 trades per day respectively.
Instant crypto purchases. No crypto to crypto transfers.
Trading fees: 0% for SEPA, 0% SWIFT for orders above $1000 (otherwise 20 GBP), 0% for Faster Payments in UK only, and $4.99% credit/debit card.
=> Visit Coinmama Website
Binance – Best for institutions and group traders.
Binance also provides basic features of sending and receiving as well as staking and investing features. It comes as a free Binance Normal version or paid Pro and Binance Lite. Being one of the largest exchanges by trading volumes on CoinMarketCap, it is high in liquidity. The Binance US adheres to US trade regulations.
Over 500 crypto and tokens supported for crypto-to-crypto trading pairs
Credit card and wire transfers are supported via Simplex and other third-party platforms.
Lower fees when paying gas with BNB platform token.
Peer-to-peer crypto-to-crypto trades supported. Users can also trade crypto for fiat with each other and pay in a wide variety of payment methods.
Fees: 0.02% to 0.10% purchase and trading fees, 3% to 4.5% for debit card purchases, free Single Euro Payments Area (SEPA) transfer, or $15 per U.S. wire transfer
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