The crypto industry has really grown, welcoming both new audiences as well as service providers. In fact, if you were to consider the statistics, Exploding Topics claims the number of global crypto owners has risen to more than 560 million, which is about 6.8% of the world’s population. Now given that this figure will most likely increase in the future, you can be sure that the number of crypto platforms will also increase alongside.
With the growing number of crypto platforms comes the challenge of identifying the best one for your investment goals. Of course, in such a sector that is growing rapidly, not everyone is genuine; others may join just to cause harm. So, how do you ensure that you are participating on a reputable platform? Well, that is exactly the reason for this article. Read on to learn more.
Security and regulation
Do you actually know that, according to NBC News, people in the United States alone lost about $5.6 billion in 2023? You can imagine what this value could translate to if were to look at the statistics globally. So, online security is not something you want to ignore when it comes to crypto investment. A great crypto trading platform will always adopt necessary security measures to ensure you participate in a secure and safe environment.
Consider whether the platform allows for things like two-factor authentication. This feature alone can prevent exposure to up to 99.9% of automated attacks and 96% of phishing attacks. And remember, phishing attacks are some of the most prevalent threats in this sector. Deloitte actually claims that more than 90% of cyberattacks often start with a phishing email. So, you want to ensure your chosen platform adopts technologies like 2FA to guarantee your security.
In the same breadth, you may want to check whether the platform is compliant with the relevant regulatory standards. This safety measure just ensures you are protected from the consequences of potential fraud or any other associated legal complications. Assuming a platform stopped operation today, how sure are you that you’ll be compensated and so on?
What is the reputation of the platform?
The very effort you normally put into studying a brand’s reviews before you purchase is the same you require before investing. Reviews are good because they give a glimpse into other users’ experiences, helping us to make the right decision. If you notice most of them are negative, you should get suspicious about the platform; otherwise, if most of the reviews are positive, it could be a great indication of reputability.
Also, check whether the company displays the company address on its website. If it doesn’t, it could mean that it doesn’t want you to know about their location, which is very suspicious. Running a street-view map search can help determine whether the address is real and legitimate. Something else scam sites normally do is build customer confidence by showing off awards that you’ve never heard of. In most cases, these titles are usually generic like ‘the top most site’ or ‘customer satisfaction.’
User experience and customer support
A platform’s intuitiveness will determine the kind of experience you have. You definitely do not want to participate on a platform that has difficulties loading, navigating, etc. That makes you part of 88% of online shoppers who, according to Linearity, are less likely to do business again after just one bad experience. And you can actually get a glimpse of this from the reviews since some studies claim that negative experiences affect the likelihood of customers leaving reviews by 21% more than positive ones.
To minimize such experiences, a great platform will ensure users can receive apt and speedy support. Just imagine having to wait for ages to receive feedback about your incomplete transactions. No one would want such an experience, especially in a world where tech improvements have made it possible to receive speedy responses. Therefore, the platform should allow for multiple customer support channels like live chat, phone and so on, as they can save time and alleviate concerns in critical moments.
More features to consider
Well, you can agree that not all traders operate on the same budget and not all trading companies have similar fee structures. After checking and comparing different fee structures, select one that perfectly aligns with your budget. Also, beware of hidden fees that can affect your returns. And since platforms can have differing tiers of fees based on trading volume, you also want to check that.
Especially for advanced traders, check whether the exchange offers access to a wide variety of trading tools and features. Trading strategies may vary, and an exchange that offers the right tools for your approach can be a great option.
From this discussion, it should be very clear that choosing a reputable crypto trading platform is non-negotiable. With everyone seeking customer data and many individuals turning to the sector, the number of cybercriminals continues to increase. So, going for platforms with the necessary infrastructure to guarantee employee safety can really be a great way to get started.
And besides security, factors like reputation and user-friendliness cannot be ignored. As much as the platform is safe, there is still a lot that goes into making a platform a suitable option. For example, the customer support should be responsive to ensure you receive apt feedback if you have any questions or encounter hitches.
