The COVID-19 pandemic has shown the true colors of many companies. The world's largest financial organisations have failed, causing billions of dollars of losses. Many smaller businesses have been forced to shut down, unable to fulfill their obligations as customers were worried about their safety and well-being.
Cryptocurrencies were initially designed to provide an alternative to mainstream finance. However, during the pandemic, the industry has proven its resilience by providing a safety net for retail and professional traders. Here are the five best destinations to trade cryptocurrencies.
1. Coinbase
All eyes are on Coinbase as the most prominent bityx platform during the pandemic. The company has earned a reputation for providing a safe and easy-to-use spot for buying, storing and exchanging digital assets. The company is highly regarded for its relatively low fees and generous sign-up bonuses. While many have lost trust in mainstream banking, trusting a financial services firm with their personal information is a very different matter. Coinbase has also earned a good reputation for customer service during the pandemic, with many users reporting being contacted within 24 hours and given helpful advice.
On March 20th 2020, Coinbase closed its New York office, relocating its staff and operations to other parts of the country. The company claims this is to “reduce the risk of the virus spreading”, but many investors see it as a sign of the uncertainty and unpredictability which characterize crypto investments during the pandemic.
2. Binance
Like Coinbase, Binance is another cryptocurrency platform that provides a safe and easy-to-use environment for buying, selling and storing digital assets. The company is fairly new, launching in early 2018 and currently offering a wide range of popular coins and tokens for trading. It also runs a crypto bank which provides fiat on-ramps for users who want to exchange cryptocurrencies for traditional money. Binance has also partnered with VISA, establishing payment processors which allow businesses to accept credit cards as well as cryptocurrencies.
Binance's US office in San Francisco closed its doors to comply with the city's order to limit the size of gatherings. However, the company continues to operate out of its New York office, where it has about 100 employees.
3. Kucoin
Kucoin is one of the leading cryptocurrency platforms, currently accepting over 150 different cryptocurrencies for trading. The company is based in Hong Kong and quickly became one of the leading crypto-to-crypto trading platforms, due mainly to its focus on providing a secure and reliable environment for its users. The platform is also committed to keeping its costs low, minimizing transaction fees as much as possible. As a result, many consider Kucoin to be the Robin Hood of cryptocurrency, acting as a protector of the little guy.
On March 23rd 2020, Kucoin closed its doors, along with many other cryptocurrency businesses, to avoid potential legal issues as a direct result of the pandemic. The industry has seen a huge amount of uncertainty, with many firms facing an uncertain future. As a result, many have turned to cryptocurrencies as a store of value, rather than as a vehicle for making quick profit.
4. Liquipedia
Liquipedia is a blockchain-based encyclopedia that provides a decentralized, verifiable and permanent record of any kind of data. The platform aims to build a trusted source for verified information, providing a useful tool for scientists, researchers and students. It also serves as a digital library, allowing users to access and utilize content whenever they like. Lastly, the encyclopedia itself is a valuable digital asset, acting as a store of value and an investment opportunity.
Liquipedia's native cryptocurrency, LIG, is currently ranked 111 on the CoinMarketCap global listings. Many consider the project to be a bit of an oddity, as its purpose is somewhat antithetical to most other cryptocurrencies. While most other coins exist to provide an open marketplace for buying and selling goods, services and information, Liquipedia's sole objective is to become “the Wikipedia of cryptocurrencies”. By providing a trusted source for financial and digital information, as well as a store of value, Liquipedia provides a solid foundation for interested investors.
5. Allcoins
Allcoins is a cryptocurrency portfolio management platform. The service offers the ability to easily track the performance of different coins, keeping track of the value of each coin in relation to the price of an equivalent amount of traditional investments, like stocks or fiat currencies. It also allows users to create watch-lists, monitoring the values of specific coins, or the cryptocurrency market as a whole. All the value data is freely accessible to users, providing them with a clear picture of the current market condition.
The future of cryptocurrency investing is bright, with many considering it to be a safe haven for people seeking alternative investments during this pandemic. The industry has proven its resilience during the pandemic, proving that even in the face of a global health crisis, cryptocurrency can provide secure, reliable and convenient ways to make instant purchases and investments.