Switcheo Exchange Review
What is Switcheo Exchange?
Switcheo Exchange is another one of the decentralized exchanges. As of the date of last updating this review (19 July 2019), the exchange has managed to obtain 34,800 global traders, which really shows it is doing something right. The exchange has a four-part guarantee to its users, as set out in the below picture.
We really feel that the above promises resonate with what we feel is important with crypto exchanges.
General Information on DEXs
Decentralized exchanges are becoming increasingly more popular. They are definitely gaining market shares against their centralized counterparts. But why are they so popular? Well, probably due to one or several of the below facts:
- They do not require a third party to store your funds, instead, you are always directly in control of your coins and you conduct transactions directly with whoever wants to buy or sell your coins.
- They normally do not require you to give out personal information. This makes it possible to create an account and right away be able to start trading.
- Their servers are localized in many different places across the globe leading to a lower risk of server downtime.
- They are essentially immune to hacker attacks.
At Switcheo, you can trade a large number os less known altcoins against the NEO-token. You can also trade directly from your wallet file. This means that you don’t have to worry about deposit times and hidden fees anymore!
We have no reason to believe that US-investors would be prohibited from trading at Switcheo Exchange. There are no prohibitions against US-investors in the exchange’s Terms and Conditions or anything similar. But, as always, any US-investors interested in trading here should in any event form their own opinion on any issues arising from their citizenship or residency.
Switcheo Exchange Trading View
Different exchanges have different trading views. And there is no “this overview is the best”-view. You should yourself determine which trading view that suits you the best. What the views normally have in common is that they all show the order book or at least part of the order book, a price chart of the chosen cryptocurrency and order history. They normally also have buy and sell-boxes. Before you choose an exchange, try to have a look at the trading view so that you can ascertain that it feels right to you. The below is a picture of the trading view at Switcheo Exchange:
Switcheo Exchange Fees
Switcheo Exchange Trading fees
Every trade occurs between two parties: the maker, whose order exists on the order book prior to the trade, and the taker, who places the order that matches (or “takes”) the maker’s order. Makers make the liquidity in a market and takers remove this liquidity by matching makers’ orders with their own.
Switcheo Exchange’s fee for takers is 0.20%. 0.20% can be argued to be in line with the historic industry average taker fees. However, this exchange does not charge any fees for makers, thus promoting the liquidity at the exchange. This is a very strong part of Switcheo Exchange's offering and can be really helpful for people interested in not picking up existing orders from the orderbook.
Switcheo Exchange Withdrawal fees
This platform only charges the network fee when you withdraw crypto. This is a more consumer friendly withdrawal fee model than what is industry average in the crypto industry.
Switcheo Exchange does not accept any deposits of fiat currency. This means that new cryptocurrency investors (i.e., investors without any previous holdings of cryptocurrencies) can’t trade here. In order to purchase your first cryptocurrencies, you need a so called entry-level exchange, which is an exchange accepting deposits of fiat currency. Find one by using our Exchange Finder!
Switcheo Exchange Security
The servers of decentralized exchanges normally spread out across the globe. This is different from centralized exchanges that normally have their servers more concentrated. This spread-out of servers leads to a lower risk of server downtime and also means that decentralized exchanges are virtually immune to attacks. This is because if you take out one of the servers, it makes little to no difference for the network of servers in its entirety. However, if you manage to get into a server at a centralized exchange, you can do a lot more harm.
Also, if you make a trade at a decentralized exchange, the exchange itself never touches your assets. Accordingly, even if a hacker would somehow be able to hack the exchange (in spite of the above), the hacker can not access your assets. If you make a trade at a centralized exchange, however, you normally hold assets at that exchange until you withdraw them to your private wallet. A hacker can therefore hack a centralized exchange and steal your funds held at such exchange. This is not the case with respect to decentralized exchanges.