A crypto exchange is a platform on which you can buy and sell cryptocurrency. You can use exchanges to trade one crypto for another — converting Bitcoin to Ethereum, for example — or to buy crypto using regular currency, like the Rand.
A cryptocurrency exchange acts like an intermediary – a brokerage firm – between a buyer and a seller of cryptocurrency. The first thing a buyer (or investor) will need to do is to find the right online exchange. This step will require a fair bit of research about the platform’s history, credibility, and what benefits it will offer you for trading.
A cryptocurrency is a type of digital currency. In other words, it is a currency that only exists electronically. Bitcoin, the most common cryptocurrency, went into circulation in 2009. In fact, Bitcoin was the first one.
Once you’ve decided you want to buy some Bitcoin, Ethereum, or another cryptocurrency, you’ll need to create an account on a crypto trading platform to exchange your fiat currency for digital assets.
A crypto currency exchange can be a brick-and-mortar business or a strictly online business. As a brick-and-mortar business, it exchanges traditional payment methods and digital currencies. As an online business, it exchanges electronically transferred money and digital currencies.
A typical cryptocurrency exchange works 24/7, i.e., it never closes. One of the reasons people like them is their anonymity feature. Nobody knows who the buyers and sellers in cryptocurrency exchanges are.
ChainEX (a proudly South African private company founded in 2018), is an online digital currency exchange platform from which users from all over the world can securely trade digital currencies. It is currently one of the few digital asset exchanges which allow South Africans to trade different digital assets using the South African rands.