Why should you choose Poloniex? Is it the right platform for you? 🤔 | 05 Factors to consider.

Have you ever wondered what are the key factors we should consider before step into cryptocurrency exchanges? Selecting the correct platform from the initial stage could avoid a road riddled with hacks, distractions and wasted effort. Because picking an exchange is just as important as doing your research before investing.

In this post I like to analyze 05 factors any interested trader or investor must consider. For the analysis I will compare the Poloniex services against other services in the market.

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What Is Poloniex?

Poloniex is a crypto assets exchange service which allows users to buy, trade and sell cryptocurrencies. Found in 2014 Poloniex has become one of the fully regulated cryptocurrency exchanges in the market by registering with the Securities and Exchange Commission (SEC) as well as FINRA as a broker. The exchange structure in Poloniex is unique. It is designed only to serve for digital currencies, hence the platform allows digital currency to digital currency exchanges only.

What are the other favorite platforms?

Exchange	Deposit Methods	Fiat Accepted	Cryptocurrency Supported
Coinbase	Credit card, debit card, bank transfer, Paypal, crypto	USD, EUR, GBP, AUD, CAD & many more	BTC, ETH, XRP, LTC, BCH, ETC, ZEC, BAT, USDC, ZRX
Binance	Crypto	None	BTC, BNB, ETH, EOS, XLM, ADA, LTC, XRP & 140+ more altcoins
Bittrex	Bank transfer, crypto	USD	BTC, ETH, LTC, XLM, XRP, PIVX, POLY, REP & more (238 total)
Poloniex	Crypto & credit and debit cards through Simplex	Fiat currencies that Simplex currently supports	BTC, ETH, BNB, LTC, ATOM, AVA, BCH, BSV, BUSD, DASH, PAX, QTUM, TRX, USDT, XLM, XRP & 100+ more altcoins

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How does the crypto assets exchange service make money?

The crypto assets exchange is in demand, with daily trading volumes of more than $100 million! Every day, trade that make through these platforms are high, buyers and sellers have to pay a transaction fee on their respective trades. Ultimately every company needs to make money 😉

Factors to consider

01. Reputation

While many different crypto currency exchanges flooding to the market Poloniex remains a prominent exchange due to how long it's been in the industry. It offers quality service when it comes to trading bitcoin and altcoins. In 2019 company has been backed by Circle Internet Financial Ltd, the exchange has relocated to Seychelles and adopted a more open, loosely regulated approach, which allows it to offer a wider array of services, support more cryptocurrencies, and gradually get back towards being an important part of crypto exchange service.

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02. Security

All cryptocurrency exchanges want to guarantee that users experience safety and security while transacting. However, Poloniex experienced a security breach back in 2014 and suffered 12% of its BTC from a high-profile hack.

Nevertheless, the exchange’s management responded to the hack openly and paid everyone back their stolen money out of company’s profits. Since then the security was updated and never been hacked.

03. Fees

Though you have so many options in the market some exchanges charge higher fees than others. For example Poloniex charges 0-0.25% for every transaction, whereas Coinbase charges 1% as a fixed rate. You have to do your own research to understand the Fee Schedule of each company you consider choosing.
Poloniex in this case has a reputation as the lowest fees or cheaper option in the industry. Check out their complete guide to Fee Schedule

04. Ease of use

Unlike other exchange platforms Poloniex users do not need to verify their identity. Poloniex only asks for your email during registration as identity verification. However, if the daily withdrawal amount is larger than $10,000 a day Poloniex will ask for Level 02 verification which involves Completing Profile Information such as Name, Address, Date of Birth, Mobile Number and ID Verification. This process is really easy for newbies who just got into the trading.

For experienced traders Poloniex offers many features such as broad range of efficient data analysis tools as well as very detailed charts. Developers will also appreciate the fact that API is available, this makes it possible to create tools for managing accounts and analyzing data to get the most out of Poloniex

05. Supported countries

Poloniex is based in the United States but anyone can use it as long as the country doesn't have laws that prohibit the exchange of cryptocurrency. As it is a crypto to crypto exchange it does not need to adhere to any financial regulation.

However, there are only a few geographic restrictions due to the exchange not accepting fiat currencies. Below is the list of countries which do not have authorization to access the Poloniex platform:

Cuba / Iran / North Korea / Sudan / Syria / The United States

Users from other countries can access and trade on Poloniex without restrictions.

Summary

These are some highlighted factors to consider when you make the decision to choose exchanger. Everyone has different requirement. Since Poloniex exchange is great for beginners and offers very attractive fee schedule this service is a must look.

References,

support.poloniex.com
cointelegraph.com
wikipedia.org

Cc:-
@steemitblog
@steemcurator01
@steemcurator02

Thank you for reading my post.

I am NOT a financial advisor nor represent any exchange services, and none of this advice should be taken without speaking to a qualified professional first.

The post payout is set to "Power Up 100%".

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