Cryptocurrency Exchange Platform

On 27 Aug., 2020

A cryptocurrency exchange platform is meant to provide an interface for buyers and sellers of cryptocurrency to trade.

Cryptocurrency Exchange Platform

A cryptocurrency exchange platform is meant to provide an interface for buyers and sellers of cryptocurrency to trade. Just like a stock exchange is used for trading in stocks, a cryptocurrency exchange platform is used for trading cryptocurrency. A cryptocurrency exchange allows buyers of cryptocurrency to put up their orders on the market which state the quantity and the price at which they wish to buy.

The sellers of cryptocurrency also put up their orders in terms of the quantity and the price band at which they wish to sell. If the price bands between the buy orders and the sell orders match, then those orders are fulfilled by the exchange. The exchange facilitates the change in ownership of cryptocurrency from the seller to the buyer. It is important to note that the trades execute only if the price bands between buyers and sellers match. Thus, a fulfilled trade is always on terms acceptable to buyer and seller based on the pre-set conditions outlined by each of them.

Trading Across A Cryptocurrency Exchange Platform

To trade across a cryptocurrency exchange platform, you first need to create an account with that cryptocurrency exchange. There are numerous cryptocurrency exchanges to choose from and you can choose whichever ones suit you the best. An account with a cryptocurrency exchange platform allows you to trade across that platform itself. This means that creating an account with an exchange allows you to trade only using that exchange.

If you wish to explore more trading opportunities across different exchanges, then you will have to create an account with each one of them. Juggling between multiple trading accounts across different exchanges can give you access to a wide berth of trading opportunities, including cryptocurrency arbitrage when a crypto trader can earn money on discrepancies in prices on different exchanges. However, monitoring all these accounts simultaneously can be a challenging task. The fact that cryptocurrency can be volatile and the prices can change rapidly only adds to the challenges that come with monitoring multiple accounts.

Using Torex Crypto Trading Platform

You can use the Torex trading platform to track your accounts with multiple crypto exchanges using a single dashboard. Currently Torex supports Binance, Bittrex, BKEX, Crex24, Coinsbit, Huobi, Poloniex, Bitfinex and KuCoin cryptocurrency exchanges. Torex links your accounts with various exchanges to a single portal using API keys. These API keys allow Torex to interface with the exchanges. You can then track different exchanges and trade across them using the Torex trading platform itself.

Since Torex allows you to parallelly monitor several accounts across different exchanges, you can assess the market conditions better. This in turn allows you to execute potentially profitable trades at a given time across several exchanges of your choice. It also allows you to spot arbitrage opportunities when there is a difference in the prevailing price of a cryptocurrency across two or more exchanges. Torex also has an Arbitrage Tool that automates the process of finding arbitrage opportunities across different exchanges. You can use this to discover arbitrage opportunities across the exchanges that you have linked with the Torex platform.

Final Thoughts

To start trading in cryptocurrencies, having an account with one cryptocurrency exchange can be the bare minimum requirement. However, Torex tools like Arbitrage Tool, Price Checker, Price Notification, and HODL Tool do not require API-linking of a cryptocurrency exchange account. 

If it suits your crypto trading needs, then you can link your accounts with various exchanges to Torex via API keys. You are welcome to open a free account with Torex and download the Torex cryptocurrency trading application from Google Play. Here’s the link