Best platforms to buy cryptocurrencies South Africa 2021

Digital assets are on the rise

Before 2009, no one had ever heard of cryptocurrencies. But the invention of Bitcoin spawned thousands of new electronic currencies, which made the choice really huge. Logically, this new type of currency immediately created a huge interest in making cryptocurrencies a powerful trading tool. This is mainly due to its high volatility.

In the early days, you could find very different prices for the same cryptocurrency, including Bitcoin. And since these new coins existed only in the electronic space, they had no directly assigned value. All this led to dramatic price fluctuations for all digital currencies in the first years of their existence. It is not yet stable, but in recent years a clear trend is emerging.

Some currencies have proven to be reliable enough to attract the attention of traders. Thus, cryptocurrencies were introduced to the stock market, where they could be freely traded. The process was quite simple: traders exchanged one asset for another to hold until its price increased. The popularity of this activity led to the emergence of many new exchanges around the world. And they all work quickly and respond to any market changes.

What is a trade in cryptocurrencies?

Before you compare the best stock exchanges in the world, you need to understand how they work.

A cryptocurrency exchange is a service that allows you to trade cryptocurrencies. A great many platforms accept both fiat currencies and electronic coins. Thus, you can buy and sell both fiat and cryptocurrencies in any combination.

There is really nothing special about the way trading works. All you have to do is sign up with the platform of your choice and start trading. These services bring together real people who want to trade their digital assets. Just enter the amount you want to buy or sell and start trading. You can keep the funds you receive until their value increases and then trade them at a later time.

Cryptocurrencies are traded like any other assets. There is a certain market value that is heavily influenced by many external factors, the main ones being supply and demand. This can be explained by the fact that cryptocurrencies are completely unique and have no real value.

In order to fund your account with a cryptocurrency exchange, you must have an active virtual wallet. This is a service that allows you to store your capital in cryptocurrencies. You will use the wallet address to send funds to the exchange's account. Please check if the particular exchange accepts the coins you want to sell. Some exchanges offer their own built-in wallets that are well protected.

After filling your trading account from your portfolio, you can create a buy or sell order in the system. Once another interested client sees your offer and is satisfied with the prices and other details, you start the transaction. So the goal of trading is to help people make mutually beneficial transactions. Always check the exchange's requirements for such transactions, as they may vary slightly from one site to another.

What influences the value of cryptocurrencies?

Digital assets are always very volatile and difficult to predict.

Before you start actively trading on reputable crypto exchanges, you should learn about cryptocurrencies, especially what affects their value. It is impossible to list all the factors, but here are the most important ones you should consider.

• Limited supply. This is one of the top factors that can affect the price of a particular coin. For example, bitcoin has a preset emission. So, in many cases, it is known in advance how many coins can be issued in total. Once the coin has limited supply, it becomes extremely difficult to get more coins when current circulation gets closer to the maximum.

For example, only 21 million Bitcoins can be mined. This number is nothing when it comes to any currency. This is the reason why the value of Bitcoin is so high. This coin is already approaching its supply limit, so fluctuations are inevitable when there are no more coins in circulation. At least, this is the opinion of the leading Bitcoin holders.

• Demand. It is another crucial factor that significantly influences the value of this or that cryptocurrency. The more customers want to purchase a certain coin, the higher the mark is reached if the supply does not grow. In cases when supply is not limited, there is an end limit which also influences the demand.

This is not the only factor that influences demand. It is very important to take into account all the advantages that a particular coin offers, as well as the rules that apply to different currencies. If you know how much interest there is in a particular coin, you can predict approximately how much demand will affect its value.

• Regulations. There is no generally accepted cryptocurrency regulation in the world financial system. In some countries, there are restrictions at all, while in others, there are still disputes on how to monitor this relatively new type of money. Experts believe that once this question is solved, the value of digital money will substantially rise.

No one can say for sure how regulations will limit the use of cryptocurrencies. Electronic coins might lose their current value. However, the introduction of cryptocurrencies is inevitable and will affect their value.

• Media. All forms of mass media always have influence on the value of cryptocurrencies. Public reaction can seriously change the value of any coin. So any information can lead to unexpected jumps of cryptocurrency. All people follow major events today, and any breaking news immediately becomes an effective tool for price prediction.

This list is not exhaustive, but these factors are the most important.

Overview of the exchanges

There are many different exchanges for cryptocurrencies today, and the average user often has trouble deciding which one to choose. These services can sometimes offer similar deals, but there are also differences. It is therefore important to know these nuances and understand how they differ if you plan to trade cryptocurrencies.

The most important feature is the level of security that a particular exchange offers its clients. This is crucial when you perform transactions in an online environment. So, if you are looking for a trustworthy exchange, you should make sure that this is the most important criterion. A cryptocurrency exchange is your guide through the world of cryptocurrencies.

Coinbase

It is one of the largest exchanges. It started its operations in 2012, shortly after the invention of Bitcoin. It is based in the USA and operates in accordance with all the regulations that apply here. When you join the platform, you can use one of two accounts: Standard and Pro. This exchange has high commissions for the Standard account, while the Pro account offers many benefits. Pro account holders can use the advanced charting features and powerful indicators that allow you to spot the smallest changes in the market. Moreover, the service offers an extensive list of coins that can be traded. However, it is fair to say that some of Coinbase's competitors have an even better selection of cryptocurrencies. The trading system is very user-friendly and even a newbie will quickly learn to navigate the site. If you want to use the exchange's cryptocurrency wallet, you can be sure that it is well protected against hackers. Overall, this cryptocurrency exchange offers a really favorable trading environment with all the features that a regular user might need in the process. It is especially recommended for newcomers to cryptocurrencies. Get to know its main features:

Available currencies		23 pairs.
Fees and commissions		You pay $0.00 for all transactions up to $10; you pay $1.49 for transactions from $10 to $25; you pay $1.99 for transactions from $25 to $50; you pay $2.99 for transactions from $50 to $200. A flat interest rate will be charged for higher amounts, depending on the payment method.
Portfolio		A free online wallet compatible with mobile devices.
Payments		All major payment methods - credit card, bank transfer, e-services.
Security		Two-factor authentication; traffic encryption with SLL protocols; wallet encrypted with AES-256; only 2% of customer funds are stored online and insured.
Applications cell phones		For iOS and Android.

Binance

This cryptocurrency platform was founded in 2017. Although it is still young, it has managed to attract many traders. This can be easily explained by one thing: The exchange offers more than 150 different cryptocurrencies to its clients. It is quite difficult to find a service that offers such an impressive selection of crypto assets. Binance doesn't only work with digital money - it also accepts fiat money, although cryptocurrencies still dominate. It also offers trading in its own token, BNB. The exchange quickly reached a very high trading volume, which earned it a place among the most influential crypto platforms in the world. And the flexible and affordable fee system left the competition far behind. The platform managed to build an enormous customer base in record time, with new users joining every day.

When you register on the site, you can make a deposit in cryptocurrency or fiat currency. This feature makes trading accessible to literally everyone. The only drawback you might find here is the somewhat complicated configuration. For a newbie, it can be a bit difficult to navigate through the service. Other than that, everything works well.

Available currencies		740 fiat pairs and cryptocurrencies.
Fees and commissions		A flexible and competitive fee system. You pay 0.01% per transaction and only 0.075% for transactions with a BNB token.
Portfolio		The mobile application is Trust Wallet.
Payments		All basic methods are supported - bank transfer, bank cards, electronic payments.
Security		The exchange has launched an exclusive monitoring system, CryptoSafeAlliance (CSA). It includes a range of services to enhance the security of the platform.
Applications cell phones		Free application for iOS and Android.

Kraken

This exchange was launched in 2011. The service has developed at an impressive pace and has become one of the most important exchanges on the market in just a few years. It remains very popular among traders as it offers a good selection of altcoins and fiat currencies. Although some other exchanges offer a wider selection, Kraken has other advantages that make customers stay with it.

Users appreciate this exchange because of the many technical features that are essential for successful trading - comprehensive charting tools and margin trading. Advanced traders benefit greatly from these features. Beginners may find it difficult at first, but with a little effort, even they can master the interface. Once you have successfully made your first trades, things will move faster.

In summary, this exchange offers everything a trader needs on a daily basis. The only drawback that should be mentioned is the insufficient choice of payment methods. Before you decide to open an account on the site, you should make sure that you can deposit and withdraw your money freely. If you do not find the option you want, you may not feel comfortable working with this exchange.

Available currencies		8 Cryptocurrencies.
Fees and commissions		For all transactions up to 50,000 specific coins, the seller is charged 0.16% and the buyer 0.26%. For amounts over 50,000 designated coins, the fees increase to 0.14% and 0.24% respectively.
Portfolio		No wallet with cryptocurrencies.
Payments		Only direct cryptocurrency transactions or bank transfers. Bank cards are not accepted on this platform.
Security		2-factor authentication; PGP encryption; the exchange also uses a global settings lock to avoid too frequent account changes.
Applications cell phones		Kraken Pro и Kraken Futures.

Bittrex

This exchange was launched in 2014. At that time cryptocurrencies entered the global financial market and became an interesting tool for trading. The founders took the right approach by offering a truly impressive selection of coins. This allowed traders to easily diversify their trading portfolios to achieve better results. Moreover, the founders of the exchange also added a virtual wallet to their service, which allows users to store their funds safely on the platform. The website is quite reliable as many security technologies are used for the safety of the clients.

Available currencies		More than 250 pairs of negotiations.
Fees and commissions		The exchange uses a flexible commission system, but there is a different commission for each coin.
Portfolio		Online wallet for cryptocurrencies.
		Cryptocurrencies, bank cards and bank transfers.
Security		About 80% of all funds are stored in cold storage; 2-factor authentication; verification of IP address by email address when a user logs in using a new IP address; white list of IP addresses.
Applications cell phones		Bittrex Global and the Bittrex application.

Bitmex

This trade took its first customer in 2014. And it took only a few years to attract thousands of traders. This is mainly due to the tempting offers for margin trading. There was no other platform that offered such attractive terms for binary trading. For example, in futures contracts, a trader can use leverage, which is a powerful way to multiply his profits significantly. However, leverage is a tricky mechanism that always carries a high financial risk. Therefore, margin trading is recommended only for traders with sufficient market experience.

Bitmex is a reliable platform. The registration process is more than simple. It is an excellent compromise between ease of use and the many additional features. Traders continue to register on the exchange to benefit from margin trading.

Available currencies		55+ Exchange Couples.
Fees and commissions		No fees are charged for deposits and withdrawals. Users pay 0.075% of the total amount of the transaction for all transactions.
Portfolio		BitMex Online-Wallet.
Payments		The service accepts cryptocurrencies only.
Security		Funds in cold wallets; 2-factor authentication; login via SMS; wallets with multiple signatures.
Applications cell phones		Application mobile Bitmex.

Bitfinex

This exchange has been in operation since 2012 and is considered one of the first of its kind. During all these years, it has managed to develop and remain popular. One of the successful features of Bitfinex is margin trading. Many traders have been able to make regular profits using this feature. As mentioned earlier, you need to have some experience to use margin trading. Otherwise, the risk of losing your investment is high.

Bitfinex does not have the largest selection of trading instruments on the market. But the platform has been accepting crypto and fiat assets since 2015, which has made it extremely popular among traders. Thanks to this feature, users from all over the world can use the exchange without any problems.

Available currencies		140 cryptocurrencies and over 300 trading pairs.
Fees and commissions		No fees are charged for deposits and withdrawals. A fee of 0.1% is charged for all transactions in US dollars, but not less than $20. Transactions in fiat money are charged at $60. Other transactions are charged at 0.1% for the originator and 0.2% for the recipient.
Portfolio		Three different portfolios are available - Margin, Exchange, Financial.
Payments		The service accepts cryptocurrencies, bank cards and bank transfers.
Security		99.5% of all funds are stored in cold wallets; multiple authentication steps are required to access this money, therefore it is secure.
Applications cell phones		Available.

Localbitcoins

This is another pioneer among cryptocurrency exchanges. Localbitcoins entered the market in 2012. Its main feature is that it originally started as a P2P (peer-to-peer) service and did not focus much on trading volume.

The platform allows each trader to find a profitable offer and discuss the bets with the other participants until you come to an agreement. You can open an escrow account to facilitate the trading process. The exchange has managed to create a really robust trading environment. For this reason, it is quite popular, especially among those who are new to the industry. However, it is important to note that Localbitcoins operates at slightly higher fees than other similar services.

Available currencies		Only Bitcoin is traded here.
Fees and commissions		Buyers pay no commission, while sellers receive 1% of the traded amount.
Portfolio		Cryptocurrency portfolio for btc.
Payments		Bank transfers, bank cards, electronic systems.
Security		2-factor authentication; escrow account system.
Applications cell phones		Not.

Poloniex

The first transactions on this exchange were recorded in 2014. Since then, the platform has developed successfully. It offers more than 100 pairs of cryptocurrencies for trading in a highly secure environment. The service charges very low commissions and offers numerous benefits to its clients. For example, the higher your trading volume, the lower the commission.

Poloniex charges separate commissions for takers and makers. This is to encourage traders to open more positions, as makers pay a very small commission for this. There is a whole list of other benefits for traders registered with Poloniex, such as chat, analytics tools, news feeds and much more. The website has a very easy to navigate user interface.

Available currencies		More than 100 currency pairs.
Fees and commissions		All deposits are free of charge. Fees for collection are fixed for each item. Separate commissions for acceptance and production.
Portfolio		Online wallet for cryptocurrencies.
Payments		Payment methods vary depending on the country where the merchant lives.
Security		2-factor account authentication.
Applications cell phones		Available.

KuCoin

It is one of the youngest exchanges listed in Singapore in 2017. Despite its age, the platform was founded by very experienced market participants. Therefore, the service has everything needed for successful cryptocurrency trading. Thanks to its advanced features, it has immediately gained popularity and attracted users from almost every country in the world.

One of the most profitable features is the top-notch security system used in the exchange. It is comparable to the one used by the most prestigious banks. It uses high-level encryption and multi-level authentication. So far, there has not been a single case of hacking on this platform. However, it is too early to evaluate the security of this exchange, as it is not yet on the market.

Available currencies		200 tokens and 450 currency pairs.
Fees and commissions		All deposits are free of charge. Withdrawal fees are fixed for each specific coin. A fixed fee of 0.10% is charged for all transactions.
Portfolio		Available.
Payments		All major payment channels are supported, including electronic systems.
Security		Google 2-factor authentication.
Applications cell phones		Available.

Bitpanda

The exchange was originally known as Coinimal. The Austrian service was launched in 2014. However, some time later it was renamed Bitpanda. The goal of the platform was to make cryptocurrency trading accessible and easy for everyone. To this end, the founders created a user-friendly website where even a complete beginner could navigate effortlessly. This approach worked well, as the exchange attracted more than a million users in just a few years.

Apart from cryptocurrencies, you can also trade other instruments like silver and gold here. The platform offers automated tools that make trading cryptocurrencies much easier. Once you have gained enough experience in this field, you can trade between digital assets and metals. The company has many partners around the world that offer additional earning opportunities. You can invest in your own exchange token and use it to minimize transaction costs.

Available currencies		30+ Cryptocurrencies.
Fees and commissions		All deposit and withdrawal fees are fixed for each specific coin. The same approach applies to cryptocurrency trading.
Portfolio		Bitpanda cryptocurrency exchange.
Payments		Bank transfers, bank cards, electronic systems.
Security		Two-factor authentication at each login. Cold storage of funds. Validation via email address.
Applications cell phones		Available.

Coinmama

Coinmama is another decent resource for trading cryptocurrencies. It was launched in 2013 when cryptocurrencies entered the global financial system. You should not treat the platform as a trading service. Technically, you buy and sell assets on the exchange itself.

The selection of cryptocurrencies on this platform is not that big. If you buy Bitcoins by credit card, be prepared that there is a limit to the amount you can buy. And don't forget to check what commission is charged for the amount you want to exchange. The website accepts enough payment methods. You can also find decent multilingual support, as the exchange is focused on the global market. The only downside is that there is no wallet for cryptocurrencies on this platform. Otherwise, this is a good option for beginners.

Available currencies		10+ Cryptocurrencies.
Fees and commissions		A service fee is charged for the use of the credit card. Fixed fees for buying and selling cryptocurrencies.
Portfolio		There is no wallet.
Payments		Bank transfers, bank cards, electronic systems, SEPA and SWIFT payments.
Security		Trust Guard and Comodo security technology.
Applications cell phones		Available.

Paxful

This exchange started serving traders in 2015 and was registered in the USA. Since its inception, the service has attracted a global audience, taking in clients from Europe and the US. The platform itself is quite simple, with robust security and affordable pricing. In other words, you could call Paxful a P2P exchange. When you start here, you need to build your portfolio. You can view other traders' portfolios and evaluate their trustworthiness before confirming a transaction.

One of the main drawbacks of this service is that you can only trade with Bitcoins. In fact, you can use a whole list of currencies to pay with Bitcoins. However, when it comes to a sales transaction, you can only sell Bitcoins. A 1% commission is charged for all sales, while purchases are free of charge. The exchange supports multiple payment methods.

Available currencies		Bitcoin.
Fees and commissions		A 1% commission is charged for all sales, while purchases are free of charge. Depending on the selected payment method, an additional commission may be charged.
Portfolio		Paxful Wallet Application.
Payments		All known payment methods are supported.
Security		Mandatory verification procedure; 2-factor authentication.
Applications cell phones		Paxful Wallet Application.

HitBTC

This scholarship is based in Denmark. It was launched in 2013. It was established to provide individuals with the widest possible choice of cryptocurrencies. Currently, the exchange offers more than 800 trading pairs. Even the rarest coins can be found on this platform. This approach is an excellent way for users to diversify their investment portfolio. HitBTC offers a demo account that allows any new client to test the service for free. All client funds are protected by the most secure technology. The exchange allows you to trade large volumes.

The downside of the platform is that it does not accept fiat money. Only cryptocurrencies can be traded here. However, to compensate for this drawback, the exchange has added a special integrated system where you can buy digital coins and pay with a bank card. However, in this case, you will have to pay a higher fee.

Available currencies		800 exchange pairs.
Fees and commissions		All deposits are free of charge. Withdrawal fees are fixed for each specific coin. Multi-level trading system.
Portfolio		No wallet with cryptocurrencies.
Payments		Only cryptocurrencies are accepted.
Security		2-factor authentication; high-level encryption technology.
Applications cell phones		Not.

As you can see, the market is full of excellent exchanges. You now need to analyze your needs and choose the one that best meets your expectations.