| Updated: July 18, 2024As intriguing and potentially profitable as crypto trading is, beginner traders may feel intimidated by the steep learning curve associated with digital currencies. Our expert team of reviewers and writers has compiled a top list of regulated and trustworthy brokers and exchanges catering to the needs of beginner crypto traders. We provide further information on how to get started in the exciting world of crypto trading and what to consider when picking a beginner-friendly crypto trading platform.
Fusion Markets74-89% of retail CFD accounts lose money
FP Markets73.85% of retail investor accounts lose money
Pepperstone75.5% of retail investor accounts lose money
AvaTrade76% of retail investor accounts lose money
eToro51% of retail investor accounts lose moneyBest Brokers for Beginner Traders
- 1. eToro
EToro launched its operations in 2007 and attracted an enviable base of 30+ million users from more than 100 countries. The broker supports an extensive range of 5,000+ tradable instruments across several asset classes, including 100+ cryptocurrencies. There are no account opening and management fees. A fixed fee of $5 is in place for withdrawals and a 10 per month fee for inactive accounts for more than 12 months.
EToro is undoubtedly among the best picks for beginner traders, with a seamless account opening process, social trading, and a broad range of educational resources. The eToro Academy is a valuable resource, enabling users to learn finance basics. Furthermore, the trading platform offers the innovative CopyTrader™ feature, allowing traders to copy the trading picks of other experienced investors automatically. They can choose an investor they believe in and duplicate their actions in real-time.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 51% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. - 2. FP Markets
FP Markets is another top-rated beginner-friendly broker supporting crypto CFDs trading, with free and quick deposits and withdrawals, easy account opening, and plenty of research and educational materials. The trading platform, powered by performance-driven technology and tight spreads provides traders a choice between 12 crypto CFDs including Bitcoin, Ethereum, and Litecoin.
Video tutorials, a comprehensive trading glossary, plus an option for a daily market report conveniently delivered every trading day help traders stay in tune with the latest market developments. FP Markets supports advanced trading platforms including MT4, MT5, cTrader, and Webtrader, with award-winning customer support available 24/7 to respond to issues of various nature.
10 per quarter for non-AU traders; 20 per quarter and notional volume of AU$1,000,000 per 4 quarters in the last 1 year 73.85% of retail CFD accounts lose money - 3. AvaTrade
AvaTrade stands out as an excellent choice for beginners willing to start their crypto trading journey. A range of leading cryptocurrencies is in place, offering traders a chance to speculate on rising and falling prices. Besides Bitcoin, traders can diversify their portfolio with altcoins such as Dash, NEO, Stellar, and Ripple, to name a few. The broker offers transparent trading conditions, with detailed info on spreads, overnight interest rates, margins, and maximum position limits.
Customers can keep the associated risks under control through stop-loss, take-profit orders, buy/sell stop orders, and buy/sell limits. Furthermore, AvaProtect™ is a unique risk management tool empowering traders to recover their lost trades of up to $1 million over a selected time frame. The AvaTrade Education Center provides a diverse range of free educational resources – from basic tutorials to advanced strategies for traders of all levels – beginner, intermediate, and advanced. AvaAcademy offers trading courses across all asset classes, including cryptocurrency.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Beginner crypto traders can also check out what Fusion Markets has in store – a broker with competitive spreads and an excellent selection of crypto assets. The account opening process is quick and easy. The broker does not impose minimum requirements for account size, which is yet another reason making it perfect for novice traders.
Fusion Markets offers its customers the option to enable DupliTrade, a user-friendly copy trading platform, enabling new traders to duplicate the trades of experts. By opting for this feature, they automate their trading based on signals from experienced traders. The broker supports a broad range of region-based funding methods, with credit cards and crypto being processed instantly.
Gleneagle Asset Management Limited (ABN 29 103 162 278) trading as Fusion Markets, is the issuer of the Fusion Markets Products described in this communication. Trading in Fusion Markets Products involves the potential for profit as well as the risk of loss which may vastly exceed the amount of your initial deposit and is not suitable for all investors. You should read all of these Financial Product Service Terms, the Product Disclosure Statement (PDS) and the Financial Services Guide (available on our website) carefully, consider your own financial situation, needs and objectives for investing in these Fusion Markets Products and obtain independent financial advice.- 5. Pepperstone
Pepperstone offers a diverse portfolio of 1,200 tradable instruments, including 9 major, 18 minor cryptocurrencies, and 3 crypto indexes. New traders do not have to adhere to specific minimum requirements for account opening. The broker’s section dedicated to education includes videos, webinars, and trading guides, and the support department is equally helpful and responsive. Pepperstone offers the option for opening a demo account, enabling traders to explore different markets before they deposit real funds.
The broker supports four major trading platforms, including TradingView, MT5, MT4, and cTrader, all guaranteeing fast execution of trades and a diverse range of trading tools. Traders will find competitive minimum spreads of 17 for BTC/USD, 39 – for BTC/EUR, and 31 – for BTC/GBP.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75.5% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Comprehensive Comparison of the Top 5 Crypto Brokers for Beginner Traders
| Broker | Account Minimum | Commissions and Fees | Leverage | Cryptocurrencies | Research and Education | Account Security and Protections | Demo Account | Payment Methods | Regulators | Trust Pilot Rating |
|---|---|---|---|---|---|---|---|---|---|---|
| 1. Fusion Markets | $0 |
| 1:2 (ASIC), 1:10 (FSA, VFSC) | 13 | Fusion Markets Blog | Negative Balance Protection for clients under ASIC | Yes | Visa, Mastercard, PayPal, Skrill, Neteller, Fasapay, Jeton Wallet, Perfect Money, Online Naira, Doku, Bitcoin, Ethereum, Litecoin, USDT, Tether, Ripple, bank wire | ASIC, FSA (Seychelles), VFSC (Vanuatu) | 4.9 ⭐ |
| 2. FP Markets | $100 |
| Up to 1:2 (Retail); Up to 1:5 (Pro) | 12 | Video Tutorials Trading Glossary |
| Yes | Visa, Mastercard, Neteller, Bank Transfer, Skill, Sticpay, Fasapay, Virtual Pay, Perfect Money, Pagsmile, Dragonpay, Crypto, Apple Pay, Google Pay, Online Banking, Broker to Broker | ASIC, CySEC, FSA (Seychelles), FSCA | 4.8 ⭐ |
| 3. Pepperstone | $0 |
| 1:2 | 27 | Pepperstone Education - videos, webinars, and trading guides | Negative balance protection for retail clients | Yes | Visa, Mastercard, PayPal, Bank Transfer | UK FCA (No.684312), CySEC (No. 388/20), ASIC (No. 414530), BaFin (No.151148), DFSA, CMA | 4.7 ⭐ |
| 4. AvaTrade | $100 |
| 1:2 for EU residents 1:25 for non-EU residents | 20 | AvaAcademy |
| Yes | Visa, Mastercard, Skrill, WebMoney, Neteller, bank wire | FFAJ (License No.1574),CySEC (No. 347/17) ISA (No. 514666577), IIROC, ADGM / FSRA (No.190018), CBI (No.C53877), BVIFSC (No. SIBA/L/13/1049), FSCA(No.45984), ASIC(No.406684) | 4.5 ⭐ |
| 5. eToro | $50 - $10,000 (varies in different jurisdictions |
| Up to 1:2 (European and Australian Retail traders) Up to 1:5 (Pro and FSA traders) | 100+ | eToro Academy | 2FA; Biometric authentication; Customer funds are held in segregated accounts | Yes | eToro Money, Visa, Mastercard, Neteller, PayPal, Skrill, iDeal, Klarna, Bank Transfer, Trustly, Przelewy24 | FCA, CySEC, ASIC, MFSA, ADGM, FSA, FINRA/FinCEN | 4.2 ⭐ |
Best Exchanges for Beginner Traders
| Exchange | Tradable Coins | Maker/Taker Fees | Wallet Service | Staking | Leverage | Min Order | Research and Education | Payment methods | Regulators | Trust Pilot Rating |
|---|---|---|---|---|---|---|---|---|---|---|
| 1. Coinbase | 260+ | Taker fee between 0.05% and 0.60% depending on monthly traded volume; Maker fee between 0% and 0.40% depending on monthly traded volume | Yes (Self-Custody) | Up to 1:10 | BTC Perpetual Futures - 10 USDC | Coinbase Learn | SEPA Transfer, East Bank Transfer, 3D Secure Card, Instant Card Cashouts, Sofort, iDeal, PayPal, Apple Pay, Google Pay, BancomatPay, Sofort, iDeal, Crypto | CFTC (US), FCA (UK), Licensed in almost all states in the US | 1.9 ⭐ | |
| 2. OKX | 350+ | Regular users - 0.140%/0.230% | Yes (Non-Custodial) | Yes | 1:100 for futures; 1:10 for spots | Spot/margin BTC/USDC - Min trade amount 0.00001 BTC | OKX Learn | Debit Cards, Credit Cards, Mobile Wallets, SEPA, iDeal, Pix, Bank Transfer, Crypto | FSA (Seychelles), VARA (Dubai) | 1.8 ⭐ |
| 3. Bybit | 1,300+ |
| Yes (Self-Custody) | Yes | 1:200 | USDC Perpetual Contracts and USDC Futures Contracts min order size - 0.001 BTC | Bybit Learn | Debit/Credit Cards, SWIFT Trasnfer, Bank Transfer, PIX, SEPA, Zen.com, iDEAL, BLIK | VARA (Dubai), CySEC (Cyprus), AFSA (Kazakhstan) | 1.5 ⭐ |
| 4. MEXC | 2,700+ |
| Yes | Yes | 1:200 | 0.00001 BTC | MEXC Learn - Master Cryptocurrency Trading | Bank transfers, bank cards, Skrill, Apple Pay, crypto | Registered in Seychelles | 1.3 ⭐ |
| 5. Gemini | 100+ | 0.20%/0.40% (Regular); 0.00%/ 0.03% (highest VIP tier) | Yes | Yes | 1:100 | 0.00001 BTC | Gemini Cryptopedia | ACH Transfer, Wire Transfer, Debit Card, GPay, Apple Pay, Bank Transfer, FAST Transfer, PayPal, CBIT, Plaid Direct Payments (UK), Crypto Network | NYDFS, the majority of states in the US, FCA, HCMC, CBI, OAM | 1.2 ⭐ |
Coinbase
Coinbase is a leading cryptocurrency exchange offering a straightforward process of buying, selling, exchanging, and storing digital currencies. It operates in over 100 countries across the globe and has more than 100 million users. The exchange supports an extensive list of more than 260 cryptocurrencies and offers passive earning opportunities on over 100 assets. Coinbase is among the most trusted exchanges, with $145 billion in quarterly volume traded and $130 billion in assets under management.
The business uses a maker/taker fee model, with taker fees between 0.05% and 0.60% and maker fees between 0.00% and 0.40%. Coinbase customers can take leveraged positions capped at 10:1. The brand offers best-in-class cold storage protecting its customers’ crypto. Powerful tools designed for advanced traders are not missing either.
Bybit
Beginner crypto traders might be interested in Bybit’s offering, with 37M+ registered users, operation in over 160 countries, and 1,300+ tokens listed. They can take advantage of a unified trading account, with an opportunity to trade conveniently in spot, derivatives, and options from a single account.
Users’ data is encrypted while in storage and transit. A triple-layer asset protection is in place, ensuring robust protection of user assets. Real-time monitoring of suspicious transactions further enhances the security provided to consumers. In terms of customer support, research, and education, the brand offers a 24/7 support department, an extensive FAQ section, as well as a quick-start guide in trading crypto.
OKX
Founded in 2017, OKX is a global crypto spot and derivatives exchange, catering to over 50 million customers in more than 180 regions. The exchange supports more than 150 cryptocurrencies, including Bitcoin, Ethereum, and Solana. OKX’s fees vary based on the different tiers of users, determined by their assets under management and 30-day trading volume. The exchange offers a feature-rich crypto wallet, supporting over 70 blockchains.
Besides the competitive fees, traders will enjoy high-interest trading opportunities, and the easy process of buying crypto through bank cards, bank accounts, and digital wallets. OKX has a dedicated section enabling users to expand their crypto and blockchain knowledge. From market analysis to the latest tokens, the topics are informative and all-encompassing.
MEXC
Established in, MEXC serves more than 10 Million + users from 170+ countries and regions. The exchange is widely recognized for its high performance and mega transaction matching technology. Besides its mainstream offerings such as Bitcoin, Ethereum, and Solana, the exchange carefully monitors up-and-coming projects to expand its crypto tokens portfolio.
New traders can take advantage of the educational resources available on MEXC’s website. Beginner’s Guides feature valuable information on Futures trading and Spot trading. Market insights cover various topics such as the latest meme coins introduced to the market. With Blockchain Encyclopedia, they can learn the fundamentals of blockchain technology.
Gemini
Founded in 2014, Gemini is another beginner-friendly exchange for crypto trading enthusiasts. As of 2021, the company was happy to announce it had over $30 billion in crypto under custody. It is among the safest exchanges enabling traders to buy, sell, store, and stake cryptocurrencies. Gemini is regulated by the New York State Department of Financial Services (NYDFS).
The exchange currently supports 100+ digital cryptocurrencies including Bitcoin, Ethereum, and Litecoin. It utilizes a maker-taker fee model to charge its customers, considering a 30-calendar-day trading volume updated daily at midnight UTC. Beginner traders, for example, start their trading journey with 0.20% maker fees and 0.40% taker fees. The maximum allowable leverage at Gemini is 100:1. It is set at the account level, with a default ratio of 20:1 that can be increased or decreased anytime by customers. Once they set up their Gemini account, they can buy crypto assets supported by Gemini staking and start earning rewards.
How to Get Started?
Interest in cryptocurrency trading has been on the rise in recent years, with plenty of digital coins entering the market. Due to their decentralized nature, they are not affected by many of the political and economic factors associated with traditional currency trading. However, digital currencies are not exempted from external factors such as supply and demand, media coverage, and key events.
Traders must be aware of various strategies to navigate cryptocurrency volatility. Setting stop-loss orders, for example, helps them protect their investments and minimize risks. Diversification of the portfolio is another way to spread risk across several assets.
To get started, traders must choose a reputable trading platform and create an account. They must check several factors such as fees, tradable assets, educational resources, availability of demo accounts, and adequate customer support. Going for a demo account first is recommended as it would simulate how a live account works and allow them to learn how the cryptocurrency market operates without risking real funds. They can choose one or several crypto coins to focus on.
Subsequently, traders must create a live account and fund it with a small amount of capital. As they gain confidence in their trading skills, they can gradually increase their account deposits. A trading plan needs to be in place, which aligns with a trader’s budget and risk tolerance.
Whether crypto enthusiasts have decided to trade Bitcoin, Ethereum, or Litecoin, they need to determine the size of the position, then select buy to open a long position or sell to open a short position. They need to monitor their position and add stops or limits to close it when it reaches a certain level to protect their trade from risks.
Major Crypto Categories
Due to the phenomenal growth of cryptocurrency markets, beginner traders must be familiar with the various types of cryptocurrencies to profit from price movements and efficiently diversify their portfolios. We can distinguish between three major cryptocurrency categories, including Bitcoin, altcoins, and stablecoins.
Initially released on January 09, 2009, by an anonymous person or a group of persons known by the pseudonymous name of Satoshi Nakamoto, Bitcoin initiated the modern crypto movement. It serves as a decentralized store of wealth and digital currency that has become a top-performing asset. It is the world’s largest cryptocurrency by market capitalization. Bitcoin has a limited supply of 21 million coins, with nearly 19.7 million bitcoins in existence as of May 2024. Bitcoin can be purchased at a cryptocurrency exchange. Due to its high price, traders can buy a portion of the digital currency using bank accounts or bank cards, for example.
Bitcoin’s popularity has given rise to numerous other cryptocurrencies, known as altcoins. They represent any other crypto assets different from Bitcoin. There are thousands of altcoins on the market. Many find applications in smart contracts, utility tokens, and privacy features. Litecoin was the first altcoin, created from the Bitcoin blockchain in 2011. Other popular altcoins include Ethereum, Ripple, and Solana.
Stablecoins were developed to balance the extremely volatile nature of the cryptocurrency market. They are digital currencies pegged to another currency such as the US dollar or a commodity such as gold. Popular examples of stablecoins are Tether, USD Coin, and DAI.
Cryptocurrency Brokers and Exchanges
To participate in the global cryptocurrency market, traders can either opt for a broker or an exchange.
Brokers offer traders the opportunity to speculate on crypto price movements through CFD trading without having to own the underlying asset. Traders speculate on price fluctuations by going long (‘buy’) if they think a cryptocurrency will increase in value, or going short (‘sell’) if they think it will decrease in value. Brokers profit from spreads, or the difference between the buy and sell prices. Traders must consider other trading and non-trading fees too, including withdrawal fees, inactivity fees, and overnight financing fees.
Exchanges, on the other hand, offer traders the opportunity to buy cryptocurrencies, meaning that they own the underlying asset. Traders must set up their crypto wallets to store their virtual funds. Exchanges typically utilize a maker-taker fee model to determine trading fees for customers of all levels. Orders that are filled immediately take liquidity from the marketplace, thus traders are considered takers and will be charged a taker fee. Orders that are not filled immediately add liquidity to the marketplace, and respectively, traders are considered makers and will be charged a maker fee. Additionally, orders can be subject to both taker and maker fees. To determine the rates of their taker and maker fees, exchanges consider traders’ assets under management and recent trading volume.
What to Consider When Picking a Beginner-Friendly Crypto Trading Platform?
Below, you will find the most important aspects to consider when looking for a beginner-friendly trading platform.
Demo accounts
All of the crypto trading brokers listed above offer demo trading accounts. They enable beginner traders to test and develop their trading skills, get acquainted with the trading platform, and try out different strategies without the risk of losing any real funds. Demo accounts expire anywhere between 30 days and unlimited. On average, they can be used for 4-5 months.
Minimum deposit requirements
Minimum deposit requirements are another important aspect to consider when looking for beginner-friendly cryptocurrency brokers. The brokers we have reviewed in the current publication either set no minimum account requirements or cap them at $50, with a minimum time required to open a live trading account. This is beneficial for novice traders considering the enhanced risks of losing funds associated with cryptocurrency trading.
Trading and non-trading fees
Most cryptocurrency brokers profit from spreads, or the difference between the bid and ask prices of crypto assets, with no extra commissions. Before they create a live account, traders must check the other non-trading fees, if any, such as account maintenance fees, withdrawal fees, overnight financing fees, and inactivity fees.
Exchanges, on the other hand, profit from maker and taker fees. They typically organize their fee structures depending on customers’ assets under management and recent trading volume. The larger it gets, the more competitive maker and taker fees are on offer.
Regulation
By picking a reputable, properly regulated, and transparent crypto trading platform, traders significantly reduce the risks associated with online trading. The operations of brokers and exchanges are monitored by official financial regulators set up by governments. Based on the jurisdictions they operate in, trading platforms can conform to the regulatory requirements of several financial authorities. This information is typically present in the footer of their home pages, with respective links to the regulatory body and license number.
Educational resources
To make informed trading decisions, crypto traders must be aware of the basics of crypto trading, follow market trends, and conduct comprehensive research and analysis of the assets they are interested in. Brokers and exchanges typically provide a sufficient range of educational resources, including tutorials, webinars, and online courses, which help traders remain successful in their crypto trading journey.
Payment methods
The range of supported payment methods should be sufficiently diverse, enabling cryptocurrency traders to fund their accounts in the most convenient manner. From bank cards and bank transfers to digital wallets, the best trading platforms on the market cater to customers with plenty of secure banking methods.
User experience
A broker’s spotless track record can be reviewed by checking users’ feedback on their experience with the platform. The provided tables for brokers and exchanges above indicate each platform’s Trustpilot score, which is indicative of the business’s reputation and policy on handling customer issues.
FAQ
The number of supported cryptocurrencies varies greatly across different platforms. It can be anywhere between 10-12 coins to more than 250. Cryptocurrency exchanges generally provide a greater diversity compared to cryptocurrency brokers.
To reduce the risk of losing funds while trading cryptocurrencies, traders are advised to diversify their portfolios with a variety of cryptocurrencies. This helps them spread the risk and benefit from favorable market movements across several assets. Furthermore, traders must calculate their risk/return ratio and use stop-loss and take-profit orders.
Centralized exchanges facilitate transactions between buyers and sellers and act as a market maker. In contrast, decentralized exchanges match buyers and sellers. For transactions to be completed, a buy order needs to be matched with a corresponding sell order.
Crypto wallets are used to store private keys or passwords that give crypto owners access to their assets. Crypto wallets can be either “hot wallets” or “cold wallets”. The first type is connected to the internet, whereas the second type is offline. Cold wallets offer enhanced security and are recommended for long-term storage of cryptocurrencies as they are not connected to the internet and are less susceptible to being hacked.
Beginner crypto traders can use copy trading, as they will be enabled to replicate the trades of experienced traders. Along with developing their skills, novice traders can learn from the strategies applied by other skilled traders. Picking the right trader, however, is essential for a successful copy trading experience. However, the ability to change their individual settings helps them remain in control of the funds they are willing to risk on each trade.