Cryptocurrency exchanges have come a long way in a short space of time. When it comes to selecting one, it’s good to know what a modern Digital Currency Exchange (DCE) should offer.

Trust, Security & Compliance:
The prioritisation of trust and security is becoming more and more important to customers, and to exchanges too as they seek to provide the kinds of levels often associated with traditional financial institutions.

The introduction of regulatory frameworks has helped advance this area greatly. The implementation of legislation such as Markets in Crypto-Assets Regulation (MiCA) in Europe, for example, is helping DCE’s follow approved guidelines while offering reassurance to consumers at the same time.

When assessing an exchange, it’s highly advisable to always review the trust and security measures in place, and establish which regulations it complies with.

Institutional Focus & Wealth Building:
With exchanges gaining more traction in the mainstream, they are offering products that align with such a consumer base. Bitcoin Exchange-Traded Funds are now popular, and offered not only by DCEs but major traditional institutions like BlackRock.

As such, a focus on wealth building has become prevalent amongst DCEs via the range of products they offer, as they move beyond simple crypto trading offerings.

Artificial Intelligence (AI) Integration:
Perhaps an area where crypto exchanges have always been slightly ahead, the use of such tech to enhance market analytics and optimize trading efficiency and execution is a clear advantage on offer.

The descriptions provided above are all based on publicly available information, and cannot be considered as financial advice or encouragement to invest. Sources of information used in this post include Investopedia and Forbes. All transactions involving digital assets involve certain risks, which you should familiarize yourself with prior to any investment.