The cryptocurrency boom of 2021 saw millions of Americans dive into digital asset trading, making choosing the **best crypto exchange in USA 2021** a critical decision for investors. With varying fees, security protocols, and features, picking the right platform can significantly impact your trading success. This guide reviews the top exchanges of 2021, highlights key factors to consider, and answers common questions to help you make an informed choice.
## Factors to Consider When Choosing a Crypto Exchange
Before selecting a platform, evaluate these essential criteria:
– **Security**: Look for exchanges with two-factor authentication (2FA), cold storage for funds, and insurance policies. Regulatory compliance (e.g., FinCEN registration) is a must.
– **Fees**: Compare trading fees, deposit/withdrawal charges, and hidden costs. Some platforms offer lower fees for high-volume traders.
– **Supported Cryptocurrencies**: Ensure the exchange supports Bitcoin, Ethereum, and altcoins you’re interested in. Some platforms offer 100+ coins.
– **User Experience**: Beginners should prioritize intuitive interfaces, while advanced traders may prefer robust charting tools and APIs.
– **Customer Support**: 24/7 live chat, email support, and detailed FAQs are vital for resolving issues quickly.
## The Best Crypto Exchanges in the USA for 2021
Here are the top platforms that dominated the U.S. market in 2021:
### 1. Coinbase Pro
**Pros**:
– User-friendly for beginners and pros
– Insured custodial accounts
– Supports 50+ cryptocurrencies
**Cons**:
– Higher fees for instant buys
– Limited staking options
Coinbase Pro emerged as a favorite for its balance of simplicity and advanced features, including real-time order books and margin trading.
### 2. Binance.US
**Pros**:
– Low trading fees (0.1% per trade)
– 50+ cryptocurrencies
– High liquidity
**Cons**:
– Limited services compared to global Binance
– No futures or derivatives trading
Binance.US catered to cost-conscious traders but faced regulatory scrutiny in 2021, leading to restricted features.
### 3. Kraken
**Pros**:
– Advanced trading tools (e.g., futures, margin)
– Strong security track record
– Staking rewards
**Cons**:
– Complex interface for beginners
– Slow customer support
Kraken stood out for seasoned traders seeking diverse investment options and robust security.
### 4. Gemini
**Pros**:
– SOC 2-certified security
– FDIC insurance on USD balances
– Earn interest via Gemini Earn
**Cons**:
– Higher trading fees
– Limited altcoin selection
Gemini appealed to security-focused users, offering a regulated environment for trading major cryptocurrencies.
### 5. eToro
**Pros**:
– Social trading features
– Commission-free stock trading
– User-friendly mobile app
**Cons**:
– High withdrawal fees
– Limited crypto options
eToro’s unique copy-trading tool made it ideal for beginners learning from experienced investors.
## FAQ About Crypto Exchanges in the USA (2021)
**1. Are crypto exchanges legal in the USA?**
Yes, but platforms must comply with federal and state regulations. Exchanges like Coinbase and Gemini are fully licensed.
**2. Do I pay taxes on crypto trades?**
In 2021, the IRS required reporting crypto gains as taxable income. Use platforms with tax reporting tools for easier filing.
**3. Which exchange is safest for U.S. users?**
Coinbase and Gemini were praised for insurance policies and regulatory compliance, making them top choices for security.
**4. How do exchange fees work?**
Most platforms charge 0.1%–1.5% per trade. Fees vary by payment method (e.g., bank transfers are cheaper than credit cards).
**5. Can I switch exchanges later?**
Yes. Transfer crypto between wallets or sell assets and withdraw funds. Always compare fees before moving large amounts.
## Final Thoughts
Choosing the **best crypto exchange in USA 2021** depended on your priorities: Coinbase Pro for ease of use, Binance.US for low fees, or Kraken for advanced trading. While newer platforms have since emerged, these 2021 leaders set the standard for security, variety, and reliability. Always research updates to regulations and features before trading.
