How to Get Registered on a Bitcoin Exchange

How to Get Registered on a Bitcoin Exchange

Bitcoin exchange is the currency equivalent of services provided by banks or other regulated institutions that allow currency exchange – otherwise known as forex transactions.
You may have an account with a bitcoin exchange where you keep funds in your local currency and use that account to trade bitcoins. From this account, you can send bitcoins to your favorite wallet and use bitcoins as you see fit – similar to how you would use local fiat currency held in your checking account.
A bitcoin exchange usually takes the form of a website, although there are quite a few physical exchanges out there (discussed later in this chapter). When it comes to choosing a stock exchange, you have a lot of options from providers. Depending on your geographical location and the type of fiat currency you are using, some exchanges may be better than others. At the moment, there is no bitcoin exchange that serves all countries in the world, for legal reasons.

Check the list of linked exchanges from Bitcoin.org or check out the current guide from an online news site like Coindesk.
You can check it out here:
The main objective of any bitcoin exchange platform is to facilitate the transfer to and from physical currencies to and from digital currencies, such as bitcoin.
Anyone can create an account on the bitcoin exchange without having to buy bitcoins at the time or own bitcoins beforehand.
Here’s how an online bitcoin exchange works (actual details will vary depending on which exchange you’re signed up for):

  • You register for a user account by providing basic information.

 

  • Then you will receive an email in your mailbox to activate your account.

 

  • Once your account is activated, the actual registration process begins.

As you might expect from exchange services, they are the main indicators of how volatile the current market rates are. In the case of a bitcoin exchange, these prices can fluctuate quite a bit, as each company operates on a slightly different business model. Some bitcoin exchanges will pay you less when you sell bitcoins and require a slightly lower market price when you want to buy bitcoins. Other exchanges will give you the current market value but take a small deduction (0.05-0.5 percent) for each executed transaction as commission.

Although Bitcoin is all about supply and demand based on the open market, buyers and sellers still need to be connected. Most bitcoin exchanges use a trading engine, which automatically matches buy and sell orders on both sides of the order book. However, there are other options as well, such as local peer-to-peer trading.
A very important aspect of bitcoin exchanges is the fact that some – but not all – platforms allow you to exchange BTC into a global currency that is not necessarily your local currency. For example, if you live in China, your local currency is the Chinese yuan. However, if you want to get hold of the US dollar (USD), the euro (EUR) or the British pound (GBP), you can choose to use bitcoin exchange trading in these currency pairs.
When you attempt to make a withdrawal to your bank account, the value may still be converted to your local currency if your bank does not accept foreign currency transfers. Always do some research before attempting these types of transfers and make sure you are prepared for any risks associated with doing so.
Bitcoin exchanges are obligated by their local laws and relevant national regulators of financial services and products to obtain some of your personal information. This information includes, but is not limited to, your full name, address, telephone number (mobile and/or landline), and country of residence. Furthermore, most bitcoin exchanges require you to fill in your date of birth, which is part of the identity verification process.