With the development of the cryptocurrency market, the ability to effectively exchange digital assets for other cryptocurrencies or fiat funds becomes important. Among the numerous trading platforms that specialize in cryptocurrencies, there are centralized exchanges (CEX), decentralized exchanges (DEX), p2p platforms and crypto exchangers.
CEX have enormous functionality for systematic trading on different timeframes. However, under pressure from regulators, more and more CEX refuse to cooperate with anonymous clients. However, even on those platforms where identity verification is not required, an anonymous user will most likely not be able to work with fiat gateways and will not have access to some other features.
DEXes work completely differently and are quite complex for complete beginners. In addition, decentralized sites often have problems with liquidity, since this market segment has emerged quite recently. It should also be noted that DEXs do not work with fiat currencies.
What is a crypto exchanger
A crypto exchanger is a trading platform where users are given the opportunity to instantly and conveniently convert one cryptocurrency to another. This service cooperates with other cryptocurrency trading platforms from among the TOP centralized and decentralized exchanges, and also has partnerships among traditional financial institutions.
Thanks to a wide range of partners, the service provides the opportunity to exchange cryptocurrencies at current exchange rates. In addition to convert BTC-ETH and operations with other popular altcoins, on such platforms you can quickly find little-known assets and completely exotic trading pairs.
How the service works
The exchanger’s operating process is very simple:
- The user selects the source and target cryptocurrencies for exchange.
- Then the amount the user wishes to exchange is indicated.
- The wallet address for crediting purchased coins is required.
- The system calculates the expected amount after the exchange and displays the current exchange rate.
- After reviewing the results, the user confirms the operation, and the transaction is completed and the coins are credited to the wallet balance.
Benefits of using a crypto exchanger
Variety of cryptocurrencies. Crypto exchanges support the exchange of a variety of cryptocurrencies, providing users with a wide selection of cryptocurrency pairs. For example, LetsExchange.io supports over 3,800 coins and tokens.
Online cryptocurrency exchange. The process of exchanging cryptocurrency with is carried out online, and this is as convenient as possible.
Cryptocurrency exchange calculator. Some platforms provide an exchange calculator that helps calculate the expected amount after the exchange, taking into account the current rates.
Anonymity. An instant cryptocurrency exchange service is often available without registration and KYC. The system does not store the client’s personal data and there is no risk of confidential information leakage.
No restrictions. Many classic platforms restrict access to users from certain regions. In addition, for unverified clients there are often restrictions on trading volume and withdrawal amount. Exchangers usually do not impose such restrictions.
No wallet. At first glance, this looks like a significant drawback, although it is quite the opposite. The user has complete control over their coins. They leave your personal wallet only for the duration of the transaction. This approach almost completely eliminates the possibility of a successful hacker attack and theft of funds.
Bottom line
The existence of different types of trading platforms is a sign of active market development. Although they all perform similar functions, they are aimed at satisfying different needs.
CEX is an ideal place to gain experience in working with cryptocurrencies and systematic trading, including intraday trading. In addition to speculative operations themselves, clients have access to various methods of passive income.
DEXs are more suitable for more advanced users, but they also provide access to some options for generating passive income.
Crypto exchangers help out in cases where a swap needs to be completed urgently, or if it is important for the user to anonymously sell or buy cryptocurrency for a large amount. Such services are convenient for long-term investors who regularly rebalance their portfolio or purchase additional assets to replenish it.