If you are looking to invest in cryptocurrency assets for the first time, then the easiest and safest way to do that is via a cryptocurrency broker. A cryptocurrency broker eases the process of cryptocurrency purchasing by providing a secure, reliable place by which to do that.
On the market, there are many to choose from, but there is a large differentiation in terms of the levels of security they offer and the trading possibilities they award their users. On this page, we will discuss the most secure brokers in the cryptocurrency business, so you know which ones to use.
Why is safety important when it comes to brokers?
Much like a bank, you should always be looking for the safest bitcoin broker you can. This is because, in the same way as a bank, a cryptocurrency broker will be looking after assets that could be valued in the hundreds or even thousands. As such, the last thing you want to have to experience is logging in to your cryptocurrency broker one day to learn that your assets have all been stolen.
Unfortunately, there have been several examples of this happening in just the past 12 months alone. In some cases, the assets were replaced. In others, their traders lost significant sums. At even the most secure brokers, this can still happen but the likelihood of this happening is reduced much more. The best piece of advice we can give to you is to use a cryptocurrency wallet as these are much more full-proof security-wise. However, finding one of the safest bitcoin brokers is at least a good start.
Top 5 secure cryptocurrency brokers
Therefore, the question is, which are the most secure cryptocurrency brokers? Well, in this section, we have compiled a list of the ones we feel have the best security measures and track record in the business.
eToro is likely the most recognizable brand in the cryptocurrency brokering business. Originally specializing in bitcoin CFDs, the platform has expanded its operations a great deal and offers a variety of ways to trade cryptocurrency assets.
You can read an exhaustive eToro review here on Cryptimi.
Part of the reason they have got to where they are is via the strict security measures that have made them a tried and trusted platform for traders to use. The use of firewalls and data encryption is one way they conduct this, while Two Factor Authentication (“2FA”) offers belt and braces security on accounts. Furthermore, they are regulated by top-tier financial authorities and are a reputable name in the business.
IQ Option are a multi-awarding winner cryptocurrency broker and are considered one of the most secure brokers on the market. As well as providing a strict KYC procedure when onboarding, and allowing for you to make your account as private as you wish, they regularly provide traders with guides about all manner of things – security included. They too offer Two Factor Authentication among other account security settings that ensure your personal data and your assets are never compromised. 40,000,000 registered users can attest to their reliability which is guaranteed by the CySEC (Cyprus Securities and Exchange Commission) and the FSA (Seychelles Financial Services Authority) who regulate and license them.
This UK-based firm offers traders a choice of over 2000 financial instruments. These are a firm who specializes in bitcoin CFDs and they have been permitted to do so thanks to a license awarded by the British Financial Regulator (FCA). They disclose all their financial details and are a publicly-traded company on the London Stock Exchange. As such, everything that happens behind the scenes on their platform is public knowledge so you can be ensured nothing untoward is happening.
In accordance with the Financial Conduct Authority’s customer money rules, all users’ funds are held separately from the firms so your funds are always protected, regardless of what happens to the broker itself. Thanks to this, they have achieved one of the highest ratings by users on both Google Play and the Apple App Store.
XTB offers four licenses, FCA (UK), CySec (Cyprus), KNF (Poland), IFSC (Belize), and has offices across the world. This is their first guarantee of security as they are well monitored and have a physical entity to chased back to. They also utilize a secure SSL connection and have celebrity endorsement from Mads Mikkelson to further add credibility to their brand.
Coinmama are one of the oldest cryptocurrency brokers in the business and the fact they have lasted the test of time is the first indicator that they are reliable because they have been tried and trusted by thousands of users already. While they offer fast-track verification which takes just minutes to complete, this ensures protection from fraud and keeps your account safe. They promise the highest security and privacy standards and this is exactly what you get from them.