Kavan Choksi's Guide to Crypto Trading: How to Select a Trading Platform

Suppose you ask any seasoned crypto OG or trader about their first Bitcoin purchase. In that case, they will most likely tell you about how they wasted significant amounts of money and time dealing with incompetent, buggy, or expensive exchanges in the beginning. Therefore, Kavan Choksi believes learning how to select the right trading platform will help you avoid significant financial mistakes.

You must consider various factors before engaging in any random exchange. For example, Kavan Choksi believes exchange security, liquidity, fees, history, markets, and user experience are all critical. Therefore, you may need to wait and invest some effort to find the best cryptocurrency exchange for you, but it will be worth it.

How to Select the Best Platform for You

Remember that mileage may vary when selecting an exchange. For example, you may prefer a platform that supports specific altcoins, trading pairs, and extra features like margin trading or over-the-counter (OTC) transactions. Therefore, after finding an exchange that meets your basic requirements, Kavan Choksi thinks it would be best to consider the following additional factors:

Security

Kavan Choksi believes security is an essential aspect of a crypto exchange. If a platform is not secure, someone else could steal your funds, rendering any other benefits the platform provides useless. No one wants to lose money, so consider the following factors in this regard.

Legal considerations

Kavan Choksi recommends using an exchange from the country where you are located to help you comply with regulatory changes. Yes, you can also use other platforms in other countries. However, it would be best to find an exchange that provides you with fund insurance, in which they may provide reimbursements if they lose your funds.

Liquidity

The more liquid a specific exchange is, the higher the trading volume. Additionally, liquidity allows you to complete transactions more quickly, efficiently, and without dealing with price volatility. So, Kavan Choksi suggests checking if an exchange offers "locked-in" pricing, which guarantees you the price at the time of your transaction even if it does not settle right away.