Bitcoin is an online currency that has taken the world by storm. It is now possible to buy Bitcoin in Australia using a crypto exchange.
28.8% of the population owns Bitcoin in Australia as per 2021’s report. It’s placed first as the crypto of choice in the country.
However, not all exchanges are created equal. How do you find the right one? This blog post will let you know the factors to consider when choosing a crypto exchange like Swyftx bitcoin Australia.
What Is a Crypto Exchange Platform, and How Do They Work?
A cryptocurrency exchange is a platform that allows you to buy, sell, or trade digital assets in exchange for multiple assets, such as fiat currencies or cryptocurrencies. Cryptocurrency exchanges are digital platforms that enable users to transact with each other using different digital currencies.
These exchanges act as the middleman between buyers and sellers and usually charge a fee for their services.
Here’s how they work:
A user initiates a trade by placing an order. The order is matched with another order from another user on the exchange. Once the orders are matched, the trade is executed, and the users receive their respective assets.
The platform then records the trade on its blockchain ledger. A ledger is a database that records all the transactions that have taken place on the exchange.
Most crypto exchanges allow users to buy and sell Bitcoin and other major cryptocurrencies.
Cryptocurrency exchanges are different from the traditional stock exchanges because a central authority does not regulate them.
Instead, crypto exchanges are governed by the decentralized nature of the blockchain. It means that there is no single point of control or failure.
How to Select the Right Crypto Exchange to Buy Bitcoins in Australia?
Cryptocurrency exchanges come in many different shapes and sizes. Some exchanges only offer crypto-to-crypto trading, while others also allow users to buy and sell digital assets using fiat currencies.
Here are the tips for finding the right platform:
It is the number one priority when selecting a crypto exchange. The exchanges listed below have been thoroughly vetted and offer industry-leading security features.
Swyftx bitcoin in Australia is one of the most popular choices for security. They offer two-factor authentication, multi-sig wallets and other security features.
- Two-factor Authentication: It is an extra layer of security that requires you to input a code from your smartphone in addition to your password.
- Multi-sig Wallets: A multi-sig wallet is a type of wallet that requires more than one signature to authorize a transaction. If a user tries to hack your account, they would need more than just your password.
- Other Security Features: The exchanges listed below also offer security features such as IP whitelisting and email notifications for suspicious activity.
IP whitelisting involves only allowing specific IP addresses to access your account. It is helpful to make sure that only you can log into your account from your device.
Email notifications for suspicious activity can help you keep track of your account and know if someone is trying to access it without your permission.
Fees are an essential consideration when choosing a crypto exchange. Please ensure that you are not paying too much, especially if you are a frequent trader.
Compare the fees of different exchanges before making your decision. Some exchanges charge a flat fee, while others charge a percentage of the total trade.
Consider the withdrawal fees when choosing an exchange. Some exchanges have high withdrawal fees, which can eat into your profits.
3. Types of Coins
The next thing you need to look at when choosing a crypto exchange is the types of coins. Some exchanges only offer a handful of coins, while others offer hundreds. Around 30% of Australians have invested in cryptocurrency to diversify their portfolio.
The more coins an exchange offers, the better. It gives you more alternatives to choose from and helps ensure that you’ll be able to find the coins you’re looking for.
It includes all the major coins like Bitcoin, Ethereum, Litecoin, and XRP and a wide selection of altcoins.
4. Fiat Exchange
A fiat exchange is a platform that allows you to buy Bitcoin with AUD. Fiat exchanges are usually more user-friendly than cryptocurrency-only exchanges, making them suitable for first-time buyers.
One thing to remember when using a fiat exchange is that you’ll need to go through a verification process before you can start buying. It usually involves providing personal information, like your full name and DOB.
Then you need to link a payment method, such as a bank account or credit card. Once you’ve done this, you’ll be able to buy Bitcoin.
Bitcoins are still a new and volatile asset, and there are plenty of risks involved with buying them. However, if you’re willing to take on those risks, there are plenty of rewards.
It is crucial to choose a fair exchange when buying Bitcoin in Australia.