Cryptocurrency or digital currency or cyber cash is a type of currency that has no physical form and only exists in digital form. It is also used as traditional money to buy and sell goods without necessarily having a bank to verify the transaction. It allows a person to pay electronically using technologies such as smartphones, credit cards, and online cryptocurrency exchange. There are different kinds of cryptocurrencies present today, and none of them is tied to a government or bank that allows people to anonymously spend money.
Cryptocurrency Exchange or Digital Currency Exchange (DCE) is a business that facilitates the customers to do digital currency or cryptocoin market trade for other assets, such as fiat money and other digital currencies. They are market makers that earn for charging fees as a matching platform. They accept credit card payments, wire transfers, and other forms of payment in exchange for digital currencies or cryptocurrencies. Dealing with digital exchanges in many jurisdictions remains unclear, as many regulators are still considering how to deal with these types of businesses. Examples of DCE are Coinbase, Coinmama, Bitpanda, CEX.io, Kraken, LocalBitcoins, Bitstamp, Gemini, Binance, Kucoin, Changelly, Bittrex, Cryptopia, BitFinex, and Poloniex.
If you are exchanging a fiat, linking the payment method in a bank account, having a credit or debit card is necessary. But if it’s a crypto-to-crypto exchange, just click the tab or page on the exchange titled “wallets”, and from there, you should see a deposit address for every cryptocurrency available.
Many people prefer to transact using cryptocurrency because it is faster and safer to use. However, some countries have laws that specify cash or check payments only. If you are new to cryptocurrency and the cryptocoin market, do a lot of research before exchanging your money. There are certain countries wherein cryptocurrencies are banned so it might not be helpful at the end of the day.