Poloniex is one of the more , but that does not inherently mean it is the best choice. It is essential to thoroughly vet any brokers before you sign up to use them. Throughout this review, you will discover both the benefits of Poloniex compared to other companies and the red flags that you should be aware of before signing up.
Let’s start with the benefits:
- It probably has options available for you.
- It is based in the United States, a country with stringent regulations. The Poloniex company will want to avoid fines from U.S regulators, so they are significantly more likely to keep your funds safe and keep any crime off of their site.
- Anonymously unless you are trading massive amounts at one time (if you are trading more than 2000 dollars a day, you will have to verify your identity.) Keep in mind that the main reason they can do this is because they do not work at all with fiat money. Fiat money is any money that is backed by a government. This means that you will already have to have cryptocurrency to invest. You can not directly invest your fiat money.
- Finally, they have a wide range of excellent tools. They offer candlestick charts for a wide time range, stop-limit orders, and more. The amount of tools does not mean a beginner can not learn to use it, though it may take some time, but rather it means that they can appeal to a broader consumer base made up of people of all experience levels.
Now for some of the issues that you should look out for.
- You must first use another company to get some.
- Is their customer support. While they offer lots of options for customer support (email, chat room, etc.), many people have problems getting an answer from customer support. This can prove to be a problem if you are facing a withdrawal issue or some other major issue with your money. It concerns most people when a company they are investing money through is hard to get a hold of.
- System that allowed the hacker to withdraw more than what was actually in his account. Since then, the site has worked diligently to fix bugs and avoid other hacks, but the fact that there ever was one is a red flag to pay serious attention to.
In conclusion, Poloniex has some great things to offer a perspective cryptocurrency investor. The company provides excellent tools for beginners and experts, an extensive list of possible cryptocurrencies, and you can do it all anonymously. However, there are still some negatives and red flags that you should take into consideration before making this your company of choice. You can not invest fiat money (mainly a problem for first-time investors), they are known to have some customer support issues, and they do have a past of security problems. In the end, each investor must decide what values are most important to them in a cryptocurrency exchange company.