Best Crypto Brokers and Trading Platforms in 2025
Crypto brokers offer a way to trade cryptocurrencies like Bitcoin that’s safer than directly buying and selling tokens on exchanges, many of which we’ve seen go bankrupt following high-profile scandals.
We’ve evaluated dozens of platforms to find you the best cryptocurrency brokers, taking into account:
- The trustworthiness of the crypto broker
- The number of digital tokens available
- The usability of the trading platform and app
- The fees you will incur placing short-term crypto trades
- The unique selling points that distinguish the top crypto brokers
Best Brokers For Cryptocurrency Trading In 2025
Our exhaustive reviews show that these are the 10 best crypto brokers and trading platforms in January 2025. Every cryptocurrency broker listed we assessed using either a real money or test account.
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1
eToro USAInvest $100 and get $10Securities trading offered by eToro USA Securities, Inc. (“the BD”), member of FINRA and SIPC. Cryptocurrency offered by eToro USA LLC (“the MSB”) (NMLS: 1769299) and is not FDIC or SIPC insured. Investing involves risk. https://www.daytrading.com/ is not an affiliate and may be compensated if you access certain products or services offered by the MSB and/or the BD.
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$100$10SEC, FINRAStocks, Options, ETFs, CryptoeToro Trading Platform & CopyTraderACH Transfer, Debit Card, PayPal, Wire TransferUSD -
2
NinjaTrader
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$00.01 Lots1:50NFA, CFTCForex, Stocks, Options, Commodities, Futures, CryptoNinjaTrader Desktop, Web & Mobile, eSignalACH Transfer, Debit Card, Wire Transfer, ChequeUSD -
3
Interactive Brokers
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$0$1001:50FCA, SEC, FINRA, CFTC, CBI, CIRO, SFC, MAS, MNB, FINMA, AFMStocks, Options, Futures, Forex, Funds, Bonds, ETFs, Mutual Funds, CFDs, CryptocurrenciesTrader Workstation (TWS), IBKR Desktop, GlobalTrader, Mobile, Client Portal, AlgoTrader, OmniTrader, eSignal, TradingCentralCheque, ACH Transfer, Wire Transfer, Automated Customer Account Transfer Service, TransferWise, Debit CardUSD, EUR, GBP, CAD, AUD, INR, JPY, SEK, NOK, DKK, CHF, AED, HUF -
4
OANDA USCFDs are not available to residents in the United States.
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$00.01 Lots1:50NFA, CFTCForex, Crypto with Paxos (Cryptocurrencies are offered through Paxos. Paxos is a separate legal entity from OANDA)OANDA Trade, MT4, TradingView, AutoChartistWire Transfer, Visa, Mastercard, Debit Card, ACH TransferUSD, EUR, GBP, CAD, AUD, JPY, CHF, HKD, SGD -
5
UpholdTerms Apply. Cryptoassets are highly volatile. Your capital is at risk.
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$0$1CryptosDesktop Platform, Mobile AppWire Transfer, ACH Transfer, Bitcoin Payments, Debit Card, Credit Card, Mastercard, Visa, Ethereum PaymentsUSD, EUR, GBP -
6
IQCent20% to 200% Deposit Bonus
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$250$0.011:500IFMRRCBinary Options, CFDs, Forex, Indices, Commodities, CryptoOnline Platform, TradingViewCredit Card, Debit Card, Wire Transfer, Bitcoin Payments, Ethereum Payments, Visa, MastercardUSD, EUR -
7
xChief$100 No Deposit Bonus
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$100.01 Lots1:1000ASICCFDs, Forex, Metals, Commodities, Stocks, IndicesMT4, MT5Wire Transfer, Bitcoin Payments, Credit Card, UnionPay, Skrill, Neteller, WebMoney, Perfect Money, Debit Card, Ethereum Payments, FasaPay, VoletUSD, EUR, GBP, JPY, CHF -
8
Videforex20% to 200% Deposit Bonus
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$250$0.011:500Binary Options, CFDs, Forex, Indices, Commodities, CryptoTradingViewSkrill, Perfect Money, Bitcoin Payments, Neteller, Credit Card, Visa, Mastercard, Ethereum PaymentsUSD, EUR, GBP, AUD, RUB -
9
InstaTrade
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$10.011:1000BVI FSCFISP, CFDs, Forex, Stocks, Indices, Commodities, Cryptos, FuturesInstaTrade Gear, MT4Visa, Mastercard, Wire Transfer, Credit Card, Debit Card, Bitcoin Payments, Ethereum PaymentsUSD, EUR, RUB -
10
Zacks Trade
Ratings/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5/ 5
$2500$3FINRAStocks, ETFs, Cryptos, Options, BondsOwnWire Transfer, ACH Transfer, ChequeUSD, EUR, GBP, CAD, AUD, NZD, INR, JPY, ZAR, TRY, SEK, NOK, DKK, CHF, HKD, SGD, RUB, PLN, CZK, HUF
This is why we think these brokers are the best in this category:
- eToro USA - eToro US offers 24 tradeable cryptoassets, with just a 1% buying/selling fee added to the spread. Additionally, there are 80 different coins available through the broker’s proprietary wallet service. You can also practice your crypto strategies easily by switching between live and demo mode. Crypto asset investing is highly volatile and unregulated. No consumer protection. Tax on profits may apply.
- NinjaTrader - You can get exposure to micro Bitcoin futures through the CME Group’s centralized exchange, which is highly regulated by the US CFTC. Micro contracts allow you to trade a fractional size of one Bitcoin, giving you more risk control and order flexibility.
- Interactive Brokers - IBKR lets you purchase and hold Bitcoin, Bitcoin Cash, Ethereum, and Litecoin at competitive commission rates and without needing a crypto wallet. Additionally, there is a range of other diverse assets to explore, such as crypto indices like the NYSE Bitcoin Index, as well as futures contracts like the BAKKT Bitcoin Futures.
- OANDA US - Cryptocurrency trading is offered via Paxos, a separate entity from Oanda. You can speculate on the world’s biggest cryptos by market cap. Commissions are lower than many peers starting at 0.25%. Through the broker’s partnership with Paxos, clients can spot trade cryptocurrencies on the itBit exchange through the OANDA native platform.
- Uphold - You can buy and sell 250+ crypto assets with fiat currencies or in crypto pairs using the straightforward mobile app or through Uphold's browser-based account homepage. This is significantly more than many rivals. You can also earn up to 16% APY by staking one or more out of 32 valid tokens, or send tokens to an external wallet.
- IQCent - IQCent offers 17 crypto pairs through its proprietary terminal, including Bitcoin, Ethereum and Litecoin. Leverage on crypto CFDs is capped at 1:10, whilst binary options payouts vary by token but remain competitive. OTC assets, for example, pay out up to 95%.
- xChief - xChief’s range of 5 cryptocurrencies paired with USD is smaller than most competitors. In addition, the average BTCUSD spread of 30 pips is not the cheapest. That said, the broker does offer some useful crypto trading guides for beginners.
- Videforex - Traders can speculate on crypto prices in pairs with USD and CNY through binary options and CFDs. The range of digital currencies is fairly narrow vs alternatives but major tokens like Bitcoin are available.
- InstaTrade - InstaTrade offers a modest selection of around 12 cryptos against the USD, tradable via CFDs. Fees are low, especially for major assets like BTC/USD with spreads from 0. There's also a dedicated cryptocurrency blog with useful technical insights to support short-term trading decisions.
- Zacks Trade - Clients can trade a modest handful of cryptos including Bitcoin, Ethereum, and Litecoin. Real-time quotes are available and fees are low. Commissions also drop if you trade digital currencies in high volumes.
Best Crypto Brokers and Trading Platforms in 2025 Comparison
| Broker | Bitcoin Trading | Crypto Spread | Crypto App | Minimum Deposit |
|---|---|---|---|---|
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✔ | BTC 0.75% | iOS & Android | $100 |
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✔ | Floating | iOS & Android | $0 |
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✔ | 0.12%-0.18% | iOS & Android | $0 |
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✔ | $100 | iOS & Android | $0 |
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✔ | Up to 1.5% | iOS & Android | $0 |
|
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✔ | Variable | iOS & Android | $250 |
|
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✔ | Variable | iOS & Android | $10 |
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✔ | Floating | Android | $250 |
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✔ | - | iOS & Android | $1 |
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✔ | 0.18% fee per trade | iOS & Android | $2500 |
eToro USA
"eToro remains a top pick for traders looking for leading social investing and copy trading services. With a low deposit, zero commissions and an intuitive platform, the broker will meet the needs of newer day traders."
Jemma Grist, Reviewer
eToro USA Quick Facts
| Bonus Offer | Invest $100 and get $10 |
|---|---|
| Coins | BTC, ETH, BCH, DASH, LTC, ETC, MIOTA, XLM, EOS, NEO, ZEC, XTZ, MKR, COMP, LINK, UNI, YFI, DOGE, AAVE, ALGO, MANA, ENJ, BAT, MATIC, FLR, SHIBxM |
| Crypto Mining | No |
| Auto Market Maker | No |
| Crypto Spread | BTC 0.75% |
| Crypto Lending | No |
| Crypto Staking | No |
| Platforms | eToro Trading Platform & CopyTrader |
| Minimum Deposit | $100 |
| Regulator | SEC, FINRA |
| Account Currencies | USD |
Pros
- The low minimum deposit and straightforward account opening process means beginners can get started quickly
- A free demo account means new users and prospective day traders can try the broker risk-free
- eToro USA Securities is a trustworthy, SEC-regulated broker that is a member of FINRA and SIPC
Cons
- The proprietary terminal doesn't support trading bots and there are no additional stock market analysis tools
- There's a narrower range of day trading instruments available compared to competitors, with only stocks, ETFs and cryptos
- Average fees may cut into the profit margins of day traders
NinjaTrader
"NinjaTrader continues to meet the demands of active futures traders looking for low fees and premium analysis tools. The platform hosts top-rate charting features including hundreds of indicators and 10+ chart types."
Tobias Robinson, Reviewer
NinjaTrader Quick Facts
| Coins | BTC |
|---|---|
| Crypto Mining | No |
| Auto Market Maker | No |
| Crypto Spread | Floating |
| Crypto Lending | No |
| Crypto Staking | No |
| Platforms | NinjaTrader Desktop, Web & Mobile, eSignal |
| Minimum Deposit | $0 |
| Regulator | NFA, CFTC |
| Account Currencies | USD |
Pros
- Traders can get free platform access and trade simulation capabilities in the unlimited demo
- Low fees are offered, with $50 day trading margins & commissions from $.09 per micro contract
- NinjaTrader is a widely respected and award-winning futures broker and is heavily authorized by the NFA and CFTC
Cons
- There is a withdrawal fee on some funding methods
- Non forex and futures trading requires signing up with partner brokers
- The premium platform tools come with an extra charge
Interactive Brokers
"Interactive Brokers is one of the best brokers for advanced day traders, providing powerful charting platforms, real-time data, and customizable layouts, notably through the new IBKR Desktop application. Its superb pricing and advanced order options also make it highly attractive for day traders, while its diverse range of equities is still among the best in the industry."
Christian Harris, Reviewer
Interactive Brokers Quick Facts
| Coins | BTC, LTC, ETH, XRP |
|---|---|
| Crypto Mining | No |
| Auto Market Maker | No |
| Crypto Spread | 0.12%-0.18% |
| Crypto Lending | No |
| Crypto Staking | No |
| Platforms | Trader Workstation (TWS), IBKR Desktop, GlobalTrader, Mobile, Client Portal, AlgoTrader, OmniTrader, eSignal, TradingCentral |
| Minimum Deposit | $0 |
| Regulator | FCA, SEC, FINRA, CFTC, CBI, CIRO, SFC, MAS, MNB, FINMA, AFM |
| Account Currencies | USD, EUR, GBP, CAD, AUD, INR, JPY, SEK, NOK, DKK, CHF, AED, HUF |
Pros
- With low commissions, tight spreads and a transparent fee structure, IBKR delivers a cost-effective environment for short-term traders.
- While primarily geared towards experienced traders, IBKR has made moves to broaden its appeal in recent years, reducing its minimum deposit from $10,000 to $0.
- IBKR is one of the most respected and trusted brokerages and is regulated by top-tier authorities, so you can have confidence in the integrity and security of your trading account.
Cons
- You can only have one active session per account, so you can’t have your desktop program and mobile app running simultaneously, making for a sometimes frustrating trading experience.
- Support can be slow and frustrating based on tests, so you might find it challenging to reach customer service representatives promptly or encounter delays in resolving issues.
- TWS’s learning curve is steep, and beginners may find it challenging to navigate the platform and understand all the features. Plus500's web platform is much better suited to new traders.
OANDA US
"OANDA remains an excellent broker for US day traders seeking a user-friendly platform with premium analysis tools and a straightforward joining process. OANDA is also heavily regulated with a very high trust score."
OANDA US Quick Facts
| Coins | BTC, ETH, LTC, BCH, PAXG, LINK, UNI, AAVE |
|---|---|
| Crypto Mining | No |
| Auto Market Maker | No |
| Crypto Spread | $100 |
| Crypto Lending | No |
| Crypto Staking | No |
| Platforms | OANDA Trade, MT4, TradingView, AutoChartist |
| Minimum Deposit | $0 |
| Regulator | NFA, CFTC |
| Account Currencies | USD, EUR, GBP, CAD, AUD, JPY, CHF, HKD, SGD |
Pros
- The proprietary OANDA web platform continues to deliver a highly competitive charting environment, including 65+ technical indicators powered by TradingView
- The broker offers a transparent pricing structure with no hidden charges
- Beginners can get started easily with $0 minimum initial deposit
Cons
- There's only a small range of payment methods available, with no e-wallets supported
- It's a shame that customer support is not available on weekends
- The range of day trading markets is limited to forex and cryptos only
Uphold
"Uphold remains a top choice for crypto investors looking for a one-stop-shop solution to accessing the markets. There are over 250 tokens to buy, sell and trade through flexible platform options."
William Berg, Reviewer
Uphold Quick Facts
| Coins | BTC, BTCO, AAVE, ALCX, DYDX, INH, XYO, API3, GHST, LSK, AUDIO, GLMR, NMR, CAKE, GODS, REQ, CHR, TRB, DAO, ROOK, XRP, ETH, BAT, ADA, ALGO, ATOM, AVAX, AXS, BCH, BAL, BTG, CSPR, COMP, CRV, DASH, DCR, DGB, DOGE, DOT, EGLD and many more |
|---|---|
| Crypto Mining | No |
| Auto Market Maker | No |
| Crypto Spread | Up to 1.5% |
| Crypto Lending | No |
| Crypto Staking | Yes |
| Platforms | Desktop Platform, Mobile App |
| Minimum Deposit | $0 |
| Account Currencies | USD, EUR, GBP |
Pros
- Crypto staking is available on 30+ tokens with above-average rates up to 16%
- UK users can get the Uphold card with up to 2% cashback in XRP
- Uphold continues to remain ahead of the industry, often being one of the first platforms to list new crypto tokens
Cons
- The charting analysis features on the platform trail specialist exchanges
- Uphold operates with limited regulatory oversight
- Customer service is slow based on tests, with limited contact options
IQCent
"IQCent will appeal to day traders looking for a straightforward binary options and CFD trading platform with low fees, a range of accounts, and copy trading. Getting started takes less than 1 minute and a $250 deposit. "
IQCent Quick Facts
| Bonus Offer | 20% to 200% Deposit Bonus |
|---|---|
| Coins | BTC, ETH, LTC, ETC, DOGE, MATIC, QNT, SOL, XRP, USDT, XMR, BNB |
| Crypto Mining | No |
| Auto Market Maker | No |
| Crypto Spread | Variable |
| Crypto Lending | No |
| Crypto Staking | No |
| Platforms | Online Platform, TradingView |
| Minimum Deposit | $250 |
| Regulator | IFMRRC |
| Account Currencies | USD, EUR |
Pros
- Keen traders can take part in trading contests with cash prizes
- IQCent is one of the few binary options brokers that also offers a copy trading service for hands-off traders
- CFD trading fees are competitive based on tests, including 0.7 pips on major forex pairs such as EUR/USD
Cons
- IQCent trails binary brokers like Quotex with its narrow investment offering of around 100 assets with no stocks
- The market analysis is very basic with limited technical summaries and insights from analysts
- The broker is not overseen by a respected regulator, though this is common among binary options firms
xChief
"xChief continues to prove popular with investors looking to trade highly leveraged CFDs on the popular MetaTrader platforms. The broker's rebate scheme and investment accounts will particularly appeal to seasoned traders. However, the lack of top-tier regulatory oversight is a major drawback."
xChief Quick Facts
| Bonus Offer | $100 No Deposit Bonus |
|---|---|
| Coins | BTC, BCH, ETH, LTC, XRP |
| Crypto Mining | No |
| Auto Market Maker | No |
| Crypto Spread | Variable |
| Crypto Lending | No |
| Crypto Staking | No |
| Platforms | MT4, MT5 |
| Minimum Deposit | $10 |
| Regulator | ASIC |
| Account Currencies | USD, EUR, GBP, JPY, CHF |
Pros
- The low minimum deposit of $10 will appeal to beginners, as well as the beginners’ guides in the Library
- The broker offers several account types to suit different traders, including a Cent account for beginners and pro-level hedging/netting accounts
- Traders can access a copy trading solution via the MetaQuotes Signals service
Cons
- Fees and minimums are imposed on most withdrawal methods, including a €60 minimum for SWIFT bank transfers
- xChief is an offshore broker with weak regulatory oversight from the VFSC, so traders will receive limited safeguards
- The total range of 150+ assets is much lower than most competitors who typically offer hundreds
Videforex
"Videforex will serve traders looking for a no-frills, easy-to-use platform to speculate on the direction of popular financial markets through binaries. With a sign-up process that takes a matter of minutes and a web-accessible platform, getting started is a breeze. "
Videforex Quick Facts
| Bonus Offer | 20% to 200% Deposit Bonus |
|---|---|
| Coins | BTC, ETH, QUANT, UNI, SOL, BNB, DOGE, XRP, XMR, MATIC, USDT |
| Crypto Mining | No |
| Auto Market Maker | No |
| Crypto Spread | Floating |
| Crypto Lending | No |
| Crypto Staking | No |
| Platforms | TradingView |
| Minimum Deposit | $250 |
| Account Currencies | USD, EUR, GBP, AUD, RUB |
Pros
- Videforex regularly runs trading contests, offering practice opportunities and cash prizes to beginners and experienced traders, with position sizes from just ¢0.01.
- Videforex is one of the few brokers with 24/7 multilingual video support, providing comprehensive assistance for active traders.
- Traders can earn up to 98% payouts on 100+ assets with the broker’s binary options, bringing it in line with competitors like IQCent.
Cons
- Videforex lacks authorization from a trusted regulator, meaning traders may receive little to zero safeguards like segregated client accounts.
- The absence of any educational tools is a serious drawback for newer traders who can find blogs, videos and live trading sessions at category leaders.
- The client terminal needs improvements based on our latest tests, sporting sometimes slow and unresponsive widgets which could dampen the experience for day traders.
InstaTrade
"Although InstaTrade offers active trading on a comprehensive platform, it stands out with its fairly unique Fixed Income Structured Product (FISP), providing passive investment opportunities with up to 50% returns in 6 months if conditions are met. "
InstaTrade Quick Facts
| Coins | BTC, ETH, XRP, LTC, SOL, UNI, DOGE, BCH, FIL, ADA, DOT, LINK |
|---|---|
| Crypto Mining | No |
| Auto Market Maker | No |
| Crypto Lending | No |
| Crypto Staking | No |
| Platforms | InstaTrade Gear, MT4 |
| Minimum Deposit | $1 |
| Regulator | BVI FSC |
| Account Currencies | USD, EUR, RUB |
Pros
- VPS hosting caters to algo trading strategies with a dedicated physical server providing rapid execution speeds as low as 9 milliseconds.
- InstaTrade delivers an excellent suite of charting tools for day traders with its web trader comprising 250+ indicators, 11 chart types and a user-friendly design.
- Despite an average investment offering of around 300 assets, InstaTrade offers a particularly strong suite of currency pairs, catering to advanced traders seeking opportunities in volatile exotics.
Cons
- InstaTrade is registered in the offshore jurisdiction of the British Virgin Islands, resulting in limited regulatory safeguards for retail investors.
- Marketing of the FISP, especially phrasing around the “guarantee of profitability” and the “elimination of risks of trading on financial markets” raises concerns.
- Profits are only guaranteed in the FISP if investors do not reach the 50% profit level and attract other users with a total sum of $4 for each dollar in compensation.
Zacks Trade
"Zacks Trade will suit active day traders with experience using powerful platforms. Fees and margin rates are low while the market research is excellent."
Zacks Trade Quick Facts
| Crypto Mining | No |
|---|---|
| Auto Market Maker | No |
| Crypto Spread | 0.18% fee per trade |
| Crypto Lending | No |
| Crypto Staking | No |
| Platforms | Own |
| Minimum Deposit | $2500 |
| Regulator | FINRA |
| Account Currencies | USD, EUR, GBP, CAD, AUD, NZD, INR, JPY, ZAR, TRY, SEK, NOK, DKK, CHF, HKD, SGD, RUB, PLN, CZK, HUF |
Pros
- 20+ account denominations
- Demo account
- Regulated by FINRA with access to the Securities Investor Protection Corporation
Cons
- Shortcomings regarding platform loading times and technical glitches
- No MT4 or MT5 platform integration
- No forex, commodities or futures trading
Regulatory variations may result in the unavailability of specific crypto brokers in some regions.
How Did DayTrading.com Choose The Best Crypto Brokers?
- We selected crypto brokers that year after year have earned the trust of our in-house experts, helping to ensure your funds are secure. AvaTrade excels as a highly trusted crypto broker with authorization from 9 regulators, including 4 top-rate bodies.
- We favored online crypto brokers that offer an excellent range of cryptocurrencies, from major tokens like Bitcoin to up-and-coming tokens, ensuring you have a wide range of trading opportunities. XTB stands out with a list of 45+ digital currencies, including crypto-fiat pairs like BTC/USD and crypto-crypto pairs like ETH/BTC.
- We chose cryptocurrency brokers with platforms and apps that offer a terrific user experience with an easy-to-use design for beginners and excellent analysis tools for advanced traders. OANDA continues to tick these boxes for us, with OANDA Trade excelling for its ease of use and MetaTrader 4 serving advanced day traders.
- We prioritized cryptocurrency brokers with low fees because we’ve seen that high costs can seriously erode the profits of active day traders, in particular. IC Markets routinely impresses for its low fees, with tight spreads from 8.710 on Bitcoin, as well as no inactivity fees that can penalize casual investors.
- We opted for crypto brokers with unique features that elevate the trading experience and your ability to discover market opportunities. Eightcap continues to impress here with its Crypto Crusher market scanner that’s great for finding live trading ideas.
Find out more about how we test.
What Is A Crypto Broker?
Crypto brokers provide an online platform to trade cryptocurrencies such as Bitcoin (BTC).
Unlike crypto exchanges that are generally used to buy and sell digital currencies directly and often operate with little to no regulatory oversight, brokers can be established firms that deal in other asset classes and have obtained multiple regulatory licenses, so we consider them as a more reliable and trustworthy way to trade cryptocurrencies.
Some cryptocurrency brokers may allow traders to directly buy and sell the crypto tokens, but most will provide trading through derivatives like CFDs.
These derivatives typically allow for leveraged trading, meaning you can magnify your profits (or losses) by a factor, though this is often at levels far below those mandated for other assets due to crypto’s volatility.
For example, the majority of crypto brokers we’ve reviewed offer 1:2 leverage on cryptocurrencies, while retail trading on traditional currencies is often available up to 1:30 in major jurisdictions like Europe.
Should I Trade With A Crypto Broker Or Crypto Exchange?
Crypto exchanges like Binance offer popular ways to trade tokens, since their clients can place buy and sell orders in the same way as you would on a stock exchange.
In addition, some exchanges offer margin trading and decentralized finance (DeFi) functionality that lets you put your digital assets to work.
So, why sign up with crypto brokers?
There are many good reasons – and foremost among them is safety. From the 2014 collapse of the Mt. Gox exchange to 2022’s FTX fiasco, the largely unregulated exchanges have time and again fallen foul of poor management, unscrupulous business practices or bankruptcy, losing clients’ assets worth billions.
Brokers offer similar services to exchanges, but many are overseen by reputable regulators, reducing the risk factor in our view. Although, it’s important to note that not every cryptocurrency broker is regulated for their activities in digital currency trading.
Since they are generally not wholly invested in the crypto sector, online brokers are also usually better able to withstand the crypto markets’ wild swings. eToro, for example, offers stocks and commodities as well as cryptocurrencies.
Finally, many cryptocurrency brokers offer derivative products such as CFDs or binary options that can be difficult to find on an exchange. These allow you to make leveraged bets on crypto assets without having to actually purchase and hold them – meaning you don’t need to worry about an exchange being hacked or about keeping their crypto keys safe.
What Do I Need To Start Trading Crypto?
The first step is to open an account with brokers that offers cryptocurrency trading.
As part of the sign-up process, you will normally need to provide contact details, verify your identity and make a minimum deposit (typically ranging from $0 to $500).
Most cryptocurrency brokers then offer the opportunity to trade tokens using fiat currency through pairs such as USD/BTC.
When you have decided on a crypto you want to trade, you can place an order directly through your brokerage platform or mobile app.
Whether you make a profit or loss, and the size, will depend on the direction and extent the market moves when you close the trade, as well as any fees.
Bottom Line
Crypto brokers offer an excellent way to make short-term trades on digital assets, benefiting from the market’s notorious volatility while avoiding some of the risks associated with crypto exchanges.
Which crypto brokerage you choose to trade with is ultimately a personal decision. However, you can use our list of the best crypto brokers to find the right firm for your needs.
FAQ
Can Crypto Brokers Be Trusted?
We see crypto brokers as a step up from exchanges in terms of security since they tend to have better regulatory oversight and a longer track record.
That said, not all crypto brokers are necessarily regulated for their digital currency operations. Also, not all brokerages are equal in terms of service and security.
You should deal with one that is reputable and trusted.
Do Crypto Brokers Offer Leverage?
Yes, there are online crypto brokers that offer leverage. Rates are usually capped at around 2x (1:2) your deposit amount, however, some firms offer up to 5x (1:5) leverage on certain digital assets.
It’s worth noting that some regulators, including the UK’s FCA, have imposed blanket restrictions banning leverage for crypto markets.
Which Is The Best Crypto Broker For Day Trading?
Our analysis shows that AvaTrade, OANDA, Eightcap, IC Markets and NordFX are all excellent brokers for day trading cryptocurrencies. They offer a good range of digital currencies including Bitcoin, low fees, great charting tools, access to leverage, and are trusted.