How to create an account in cryptocurrency exchange?
Signing up on crypto exchange
If you're just getting started with cryptocurrencies, creating an account in a cryptocurrency exchange should be among one of the first things you do.
As a crypto enthusiast just getting started in the crypto space it's easier to start with just an exchange, instead of first trying to figure out which crypto wallet you should use or what not.
Creating an account in good a cryptocurrency exchange will initially satisfy all your needs - deposit fiat money, buy your first cryptos and store them in the exchange. Note that generally it's not recommended to keep huge amounts of cryptos in an exchange account, but just get started, it's more than good enough.
One of the easiest exchanges to get started this way is Binance.
Step by step: how to set up an exchange account
There are numerous cryptocurrency exchanges to choose from and they do not all function the same way.
But the basic registration process is pretty similar independent of your chosen trading platform.
- Go to the exchange website
- Click Sign up - the button can normally be found in the top-right corner
- Enter your name, email address, and any other information asked
- Enter your phone number
In most cases you do need to share your email and phone number during the first steps and you also need to verify them immediately (you'll be sent a code to both of them).
Now that your account has been created, you need to go through the identity verification process also known as KYC process (Know Your Customer).
And you're ready to go!
In some exchanges it is possible to deposit and trade also without KYC, but mostly that's not the case. And even in case of those exchanges they might want you to verify yourself before you can make your first withdrawal.
Information you need to share with the exchange
The exact information an exchange asks from you can vary, but normally they can ask for:
- Full name
- Date of birth
- Address
- Email address
- Phone number
- A copy of your ID card or passport
- Sometimes also a selfie of you holding your document and potentially a hand-written note.
- A copy of utility bill or bank statement to verify your address
- Social security number
You might also be asked about the source of your money and some other questions.
Time it takes to create an account
Creating an account on a cryptocurrency exchange can sound intimidating at first with all the info they can ask for, but the process is actually painless and very fast.
In most cases it doesn't take you more than just couple of minutes to sign up for an exchange and very often this time can even include the KYC process.
The latter is possible if the exchange has automated the verification process.
Why should you create an account on a crypto exchange?
If you are serious about cryptos, if you want to buy cryptocurrencies for HODL or trade cryptocurrencies continuously, crypto exchanges are the best places to do that.
How to choose a crypto exchange?
But before you create an account on a crypto exchange, which exchange should you choose?
Which criteria should you pay attention to when choosing an exchange?
You can read more about choosing the best cryptocurrency exchange here, but let's quickly look at the basics.
Trust and security
Crypto exchanges are still mostly working in a gray area, which means it's extremely important to do your own due diligence, and make sure you only create account in trustworthy exchanges with lots of active accounts and ideally years of history.
You don't want to risk your money more than you have to. Cryptos are risky enough investment already and you don't want to worry about the safety of your cryptos.
Availability
Not all crypto exchanges are open to everyone. Most of them have some kind of geographic restrictions.
So before creating a crypto exchange account, make sure they actually accept users from your country.
Crypto selection
If you want to buy Bitcoin, it doesn't really matter how big crypto selection the exchange has. Bitcoin is always listed.
But if you want to buy less known altcoins, then you need to look around more.
UI
Good user interface makes buying and selling cryptos easier. Independent of whether you're a beginner or a professional.
But if you're a beginner, it's even more important not to get immediately overwhelmed.
Payment methods
As a beginner, it's very good if the exchange has fiat deposit and withdrawal option, as this makes everything so much easier.
Not every good Bitcoin exchange offers this option.
But when it comes to exchanges with fiat payment options, we can recommend Binance and Kucoin.
Fees
Depending on the exchange, the fees can easily vary tenfold.
Look for exchanges where fiat deposit and withdrawal fees wouldn't be more than 3% (max) and trading fees would be as close to 0.1% as possible.
Other things to keep in mind when creating an exchange account
The moment you have created an account on a cryptocurrency exchange, we recommend you to immediately set up two-factor authentication.
This makes your account more secure and gives you peace of mind.
If your chosen exchange does not requite you to verify your identity, we do recommend you to do it anyway.
Mainly for two reasons.
- Firstly, they might decide at a later date that they start requiring KYC now and it's a hassle to deal with it just when you want to make a withdrawal.
- Secondly, it might help to regain access to your account, should you not be able to log in anymore for one reason or another.
Create an account and get started with cryptos
Creating an account on a crypto exchange is the first step towards starting your own crypto portfolio. Account creation process is fast and you can usually expect to get started in a matter of minutes of maximum an hour or two.
I became interested in cryptocurrencies only a bit more than two years ago. Since then I have been in investing in cryptos using different exchanges. And I also launched Cryptolorium.com when I started trading, just to share my crypto journey and my results.