Adding cryptocurrency (crypto) to your investment portfolio is becoming increasingly popular. To be able to buy and sell cryptocurrencies like Bitcoin, Ethereum and other digital currencies in cryptocurrency markets, you'll need to decide which type of crypto trading platform is best for you.
Check out our expert picks for some of the best cryptocurrency exchanges for 2024. These include the best online crypto exchanges, brokers, and apps you can use to start building your own cryptocurrency portfolio today.
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Best Cryptocurrency Exchanges and Apps
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- Investing simplicity and high interest rates:Gemini Exchange
- Trading platform and crypto selection:Coinbase
- Advanced trading tools:Kraken
- Diversified investing needs:Robinhood
- Finding new cryptocurrency investing strategies:eToro
- Investing and peer-to-peer payment:Cash App Investing
Ratings Methodology
Our Rating:
Rating image, 4.50 out of 5 stars.
4.50/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. = Best = Excellent = Good = Fair = Poor
Bottom Line
Offers a nice range of cryptocurrencies and a simple-to-use app experience. Available in all 50 U.S. states, Gemini has a reputation for security and accessibility for new crypto investors.
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Fees:
$0.99-$2.99 orders < $200, 1.49% for orders at least $200 (default), 0% - 0.40% (Gemini ActiveTrader)
Account Minimum:
$0
Open Account for Gemini Exchange
Our Rating:
Rating image, 4.50 out of 5 stars.
4.50/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. = Best = Excellent = Good = Fair = Poor
Bottom Line
Coinbase shines with its vast array of cryptocurrencies available. There's also an advanced trading platform for serious cryptocurrency enthusiasts. Plus, you can earn some free cryptocurrencies if you're willing to take some educational courses.
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Fees:
Variable fees (Coinbase), 0%-0.80% (Coinbase Advanced Trade), $29.99 monthly (Coinbase One)
Account Minimum:
$2
Our Rating:
Rating image, 4.00 out of 5 stars.
4.00/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. = Best = Excellent = Good = Fair = Poor
Bottom Line
Stands out for its competitively low fees, cryptocurrency selection, and trading platform. But its customer service ratings are low and warrant reviewing before signing up.
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Fees:
0.0% - 0.26% maker-taker fees (Kraken Pro)
Account Minimum:
Varies by cryptocurrency
Open Account for Kraken
Our Rating:
Rating image, 4.50 out of 5 stars.
4.50/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. = Best = Excellent = Good = Fair = Poor
Bottom Line
Among the best apps to buy cryptocurrencies and traditional investments like stocks and options under one roof. It has wide array of popular cryptocurrencies and gives immediate access to deposits. Plus, cryptocurrency trading on Robinhood is 100% commission free.
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Fees:
$0 for stocks, ETFs, options, and cryptocurrencies
Account Minimum:
$0
Open Account for Robinhood
Limitations Apply
Our Rating:
Rating image, 4.00 out of 5 stars.
4.00/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. = Best = Excellent = Good = Fair = Poor
Bottom Line
eToro has a good selection cryptocurrencies on its platform. It also offers some unique offerings, such as social network-like commentating capabilities and the ability to follow and match the investments of other cryptocurrency traders.
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Fees:
1% for trading crypto plus spread, $0 commission for stocks & ETFs
Account Minimum:
$10
Special Offer
Limited time offer: Deposit $100 and get a $10 bonus. Terms apply.
Open Account for eToro
eToro USA LLC; Investments are subject to market risk, including the possible loss of principal.
Our Rating:
Rating image, 4.00 out of 5 stars.
4.00/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. = Best = Excellent = Good = Fair = Poor
Bottom Line
Square's Cash App only offers Bitcoin. But it could be a smart choice for people who only want to buy, sell, and hold the leading cryptocurrency. Plus, the popular finance app has some other great features, such as stock trading and person-to-person payments.
Fees:
$0 for stocks, fees vary for cryptocurrencies
Account Minimum:
$0
Read Review
The right crypto investing mindset
Investing in crypto can be extremely risky. We think investors should approach these assets like any other technological investment — with a long-term mindset and the expectation of ups and downs. The Fool realizes there may be opportunities for investors. We do actively recommend select cryptocurrencies to our community. But we encourage everyone to be well versed prior to investing to understand the potential risks and rewards.
What is a cryptocurrency exchange?
Cryptocurrency exchanges allow users to buy and sell cryptocurrencies only. 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.
How to choose the best crypto trading platform
There are several great cryptocurrency apps on the market. To choose the best exchange for crypto, you'll need to decide which crypto features matter most to you.
Crypto platform security
Security is a major issue for cryptocurrency investors because crypto assets don't have the same protections equities in a brokerage account or cash in a bank. If your crypto platform fails, you could lose the assets deposited there. It's important to use a reputable exchange or broker and to look at the crypto exchange's security features.
Different types of cryptocurrency available
There are over 25,000 cryptocurrencies, but even big exchanges only offer 50 to 150 coins. Many cryptocurrency investors only want to buy Bitcoin and one or two other major currencies. However, if you plan to invest in some of the smaller coins, you'll need an exchange that has some variety.
Crypto staking fees & crypto coin interest
Some cryptocurrency exchanges offer ways to earn interest on your coins. When it comes to platform staking fees & interest, 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.
Be aware that these interest-paying options can carry risks, and may put your assets at risk. The SEC argues that platforms involved in lending or staking crypto assets may be subject to the federal securities laws. As a result, several U.S. crypto platforms have already withdrawn these products.
Crypto trading fees
Fees can really eat into your profits, especially if you trade regularly. Here are some crypto platform & broker trading fees to watch out for:
- Trading fees. Fees vary depending on the exchange and type of trade. You can expect to pay between 0.1% and 0.5% per trade. Fees usually get lower if you trade high volumes or use the advanced platforms.
- Deposit fees. A lot of the best crypto trading apps let you transfer money from your bank account for free. But it is worth checking for crypto transaction fees, as some will charge 1.5% or more, especially if you use a debit card. If you want to pay by credit card, be aware that you're likely to get charged at least 3.5% and your bank may also treat it as a cash advance.
- Withdrawal fees. You can't currently withdraw your digital assets from many traditional brokerages that are trading cryptocurrencies. The exchanges usually charge a set fee depending on the currency you want to withdraw.
Crypto app transaction options
Before you open an account, make sure the platform offers all the transaction types you may need. Find out 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.
Crypto app customer support
24/7 customer service transaction support is a must if you're new to cryptocurrency investing. Nobody wants to wade through pages of FAQ to get help because money hasn't arrived in their account.
Crypto app features & ease of usability
Make sure the app has the features you want to use, and if you've never traded before, pick one that is beginner-friendly.
- Ease of crypto app 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.
- Crypto knowledge. 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.
Are cryptocurrency apps safe?
Reputable cryptocurrency apps take security seriously and are safe to use. Two of the best options in terms of safety are Gemini and Coinbase, which are known for employing industry-leading security measures. Even so, know that cryptocurrency platforms don't have the same investor protections as other investment types such as stock investments or cash in the bank.
If you're trying to figure out whether a specific cryptocurrency app is safe, research the security features it offers and check if it has been hacked before. Look to see if it carries out a third party audit of its reserves. The most secure crypto apps use two-factor authentication (2FA), keep the majority of customer funds offline in cold storage, and have bug bounty programs.
What's the best cryptocurrency app for beginners?
The best cryptocurrency app for beginners is Coinbase. It has a user-friendly design that makes it easy to buy and sell crypto, a wide selection of coins, and modules with educational content. Coinbase even rewards you with free crypto when you complete its educational modules.
Compare the best crypto exchanges
| Offer | Best For | Commissions | Next Steps | |
|---|---|---|---|---|
Gemini Exchange | Investing simplicity and high interest rates | $0.99-$2.99 orders < $200, 1.49% for orders at least $200 (default), 0% - 0.40% (Gemini ActiveTrader) | Open Account for Gemini Exchange | |
Coinbase | Trading platform and crypto selection | Variable fees (Coinbase), 0%-0.80% (Coinbase Advanced Trade), $29.99 monthly (Coinbase One) | Open Account for Coinbase | |
Kraken | Advanced trading tools | 0.0% - 0.26% maker-taker fees (Kraken Pro) | Open Account for Kraken | |
Robinhood | Diversified investing needs | $0 for stocks, ETFs, options, and cryptocurrencies | Open Account for Robinhood Limitations Apply | |
eToro | Finding new cryptocurrency investing strategies | 1% for trading crypto plus spread, $0 commission for stocks & ETFs | Open Account for eToro eToro USA LLC; Investments are subject to market risk, including the possible loss of principal. | |
Cash App Investing | Investing and peer-to-peer payment | $0 for stocks, fees vary for cryptocurrencies | Read Review |
Crypto Expert Tips
Hailey Lennon
Partner at Anderson Kill
What should you know before buying cryptocurrency?
You do not need to buy a whole Bitcoin or any cryptocurrency; you may make fractional purchases. For example, you can buy $10 worth of Bitcoin regardless of the price.
Most exchanges also allow you to do auto-buys so that you can have an automated purchase each week or month. This allows you to dollar-cost average given how volatile cryptocurrencies can be and not buy a large sum all at one.
There are also ways to earn free Bitcoin. For example, rewards platform Lolli offers Bitcoin back on online purchases.
How do you buy cryptocurrency?
Through a regulated exchange. I recommend exchanges that have state money transmitter licenses and the NY Bitlicense or other state or Federal licenses/charters, including, but not limited to, Gemini, Kraken, or Square.
How is cryptocurrency taxed?
Cryptocurrency is taxed as property, and as such, any profits will be taxed as capital gains. Capital gains occur when a person sells their cryptocurrency for dollars or another cryptocurrency and makes a profit.
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FAQs
If you're wondering where to buy cryptocurrency, you have several options.
- cryptocurrency exchanges
- cryptocurrency brokers
- Peer to Peer cryptocurrency exchanges (P2P cryptocurrency exchanges)
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 allow investors to buy and sell cryptocurrencies alongside their stocks, mutual funds, and other investments. These platforms 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.
What about person to person ( P2P crypto exchanges )? It's also possible to buy cryptocurrencies directly from other people, though that can get a little complicated. This used to be far more popular in the early days of Bitcoin.
A cryptocurrency exchange is a company that facilitates cryptocurrency transactions. A cryptocurrency exchange facilitates the purchase and sale of cryptocurrencies only.
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, a crypto broker is a type of investment platform. And brokerages that offer cryptocurrency trading alongside other investments, like stocks and bonds, might allow users to buy and sell cryptocurrencies as well as stocks, mutual funds, and other types of investments.
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.
Cash App makes it easy to buy, sell, or send Bitcoin and could be a good option for first time investors. Gemini stands out as one of the best cryptocurrency trading apps because you can do more than just buy Bitcoin.
Learn more: Best Places to Buy Bitcoin in 2024
Check out our expert picks above for some of the best cryptocurrency exchanges
The cost to buy and sell cryptocurrencies depends on the platform. Some charge a percentage of each transaction as a "markup." Others simply make their money on the spreads between a bid and ask price. Either way, the cost of trading is one of the main points to compare between the different brokers and exchanges. Read more about cryptocurrency transaction fees.
Several popular cryptocurrency apps have hundreds of available cryptos. For example, Crypto.com has one of the largest lists of cryptocurrencies available for U.S. traders to buy and sell. Coinbase and Gemini also have a wide range of cryptos.
Some decentralized exchanges, including Uniswap, SushiSwap, and PancakeSwap, have much larger selections with thousands of different cryptocurrencies. However, they don't allow you to buy crypto using fiat money and can involve a steep learning curve. You can only trade cryptocurrencies on these exchanges, which means you need to already have your own cryptocurrency ready to trade.
It depends. There are more than 25,000 (not a typo) different cryptocurrencies in existence, and some are far more legit than others. Most investors should stick to Bitcoin and other large, established digital currencies. Avoid the newer and smaller varieties.
Cryptocurrency wallets are a safe way to store your digital assets. Consider opening one if you plan to amass large amounts of crypto assets, want to spend your crypto easily, or are worried about platform failure.
Some of the best exchanges for cryptocurrency 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.
Our Cryptocurrency Experts
By:Matt Frankel, CFP®
Writer, Analyst
Matt is a Certified Financial Planner™ and investment advisor based in Columbia, South Carolina. He writes personal finance and investment advice for The Ascent and its parent company The Motley Fool, with more than 4,500 published articles and a 2017 SABEW Best in Business award. Matt writes a weekly investment column ("Ask a Fool") that is syndicated in USA Today, and his work has been regularly featured on CNBC, Fox Business, MSN Money, and many other major outlets. He’s a graduate of the University of South Carolina and Nova Southeastern University, and holds a graduate certificate in financial planning from Florida State University.
By:Emma Newbery
Emma lives in Bogota, Colombia, where she owns the English-language newspaper The Bogota Post. She began her editorial career at a financial website in the U.K. over 20 years ago and has been contributing to The Ascent since the summer of 2019.
Fact CheckedNathan Alderman
Fact checker
Nathan Alderman has worked with The Motley Fool since 2005, making errors his arch-enemies in a variety of roles including a six-year stint as the dedicated fact-checker for The Motley Fool's premium newsletter services. As The Ascent's Compliance Lead, he makes sure that all the site's information is accurate and up to date, which ensures we always steer readers right and keeps various financial partners happy. A graduate of Northwestern University's Medill School of Journalism, Nathan spends his spare time volunteering for civic causes, writing and podcasting for fun, adoring his wife, and wrangling his two very large young children.
