What is an Exchange?
What is an Exchange?
An Exchange offers you the opportunity to buy and sell cryptocurrency. So you need an account with an Exchange (compare it with a bank account) and from here you can buy and sell cryptocurrency.
Practical example:
In practice, you give the Exchange an order to, for example, buy Bitcoin for € 500 at the current rate. The Exchange executes that transaction and collects € 500 + the transaction costs from your Euro account with the Exchange (so you must ensure that there is sufficient balance in that account).
The Exchange deposits the amount of Bitcoin that you have purchased into your Bitcoin account with the Exchange.
If you then give a sales order for the amount of Bitcoin purchased (because the price has risen and you want to convert the price profit into euros), the Exchange will sell the Bitcoin, save its transaction costs and deposit the difference into the euro account. You can transfer the balance of the euro account with the Exchange to your own euro bank account at any time, so that you can use it freely again.
Bitbrokertrade works together with 4 Exchanges, with these Exchanges you can bet the trader:
- Bitvavo
- Binance
- BL3P
- Bitstamp
Last modified 3yr ago