Whether you’re starting or are an expert trader, choosing the right crypto exchange is hugely important. Your funds can be at risk when deposited on centralized exchanges (CEXs). That’s why you should only use platforms that offer top-end protection. We’ve compiled a list of the safest crypto exchanges in 2024, so you know exactly what to look for.
Top most safe crypto exchanges
- BingX: A CEX known for offering withdrawal protection, insurance coverage, and ensuring the safety of funds.
- BloFin: An exchange providing asset transparency, custody with Fireblocks, and full insurance coverage to protect users’ crypto assets.
- Coinbase: Leading global crypto exchange with high financial transparency, strong asset custody practices, and comprehensive security measures.
- M2: Regulated exchange in the U.A.E., offering spot trading and virtual asset custody with high-security standards and regulatory compliance.
- Wirex: Platform integrating advanced anti-fraud technology, multi-signature cold storage, and comprehensive encryption for user data protection.
- YouHodler: Crypto platform emphasizing asset security with Ledger Vault integration and full insurance coverage.
- Binance: The world’s largest crypto exchange with advanced security protocols, cold storage, multi-signature wallets, and extensive regulatory compliance.
- OKX: Top exchange that provides a secure trading environment with cold storage and real-time monitoring for user protection.
- Bybit: Known for its advanced security features, including multi-signature wallets, stringent data protection and real-time risk management.
1. BingX
BingX is considered to be one of the safest crypto exchanges due to its rigorous withdrawal protections, insurance fund for unexpected risks (derivatives trading), and strict regulatory compliance across multiple regions.
BingX is regulated by various financial authorities across multiple regions. In the European Union, BINGX EU UAB is registered and regulated in Lithuania by the Financial Crime Investigation Service (FSIC) as a digital currency exchange. In Australia, BINGX GLOBAL PTY LTD is registered as a Digital Currency Exchange (DCE) provider under the Australian Transactions and Reports Analysis Centre (AUSTRAC). These regulatory approvals ensure that BingX operates in compliance with local laws and maintains high standards of security and transparency.
BingX continuously updates its system and adopts new technologies to enhance platform security. Users are also encouraged to create strong passwords, enable two-factor authentication, and keep their devices updated, ensuring a secure and reliable trading experience.
- Rigorous withdrawal protections
- Insurance fund mechanism for futures trading
- Licensed in multiple regions (Australia and Europe)
- Regular system updates
- The regular updates require users to maintain updated devices and software
- Geographical restrictions
2. BloFin
BloFin maintains a 1:1 reserve of all customer assets, ensuring full transparency of reserves and user funds. By implementing a Merkle Tree structure and wallet-as-a-service custody, BloFin ensures top-tier asset protection. As such, the platform easily makes it to our list of the most secure exchanges in 2024.
BloFin also collaborates with Fireblocks, a leading asset custodial institution, to provide top-notch security for users’ assets. This partnership guarantees that all assets are securely held, and the platform also offers full insurance coverage for additional protection.
- 1:1 reserve for all customer assets
- Fireblocks partner
- Full insurance coverage on assets
- Wallet-as-a-service
- Complexity of security features
- Limited information about public audits or third-party security assessments
- Regulatory compliance may vary by region
3. Coinbase
Coinbase is highlighted in this list thanks to its status as the largest public crypto company. This ensures Coinbase operates with high financial transparency, publishing quarterly financial statements and undergoing annual independent audits. It holds customer assets on a 1:1 basis.
The platform employs state-of-the-art encryption and security technologies to protect against emerging threats, and it offers powerful security tools, including auto-enrolled two-factor authentication, password protection, and multi-approval withdrawals via Coinbase Vault.
Finally, with more than a decade of operation in the crypto industry under its belt, Coinbase has a proven track record of prioritizing user trust and security. Coinbase’s bug bounty program further enhances security by rewarding the responsible disclosure of vulnerabilities.
- High financial transparency with quarterly financial statements
- Customer assets are held on a 1:1 basis
- State-of-the-art encryption and security technologies (Coinbase Vault)
- Over 10 years in the crypto industry
- Occasional service outages
- Geographical restrictions
- Centralized control
4. M2
M2 is a U.A.E.-based crypto exchange that offers virtual asset transactions and custodianship for both institutional and retail clients. The CEX has a rigorous Know Your Customer (KYC) process to securely verify client sign-ups.
Operated by M2 Limited and M2 Custody Limited, M2.com functions as a regulated Multilateral Trading Facility and custodian under the vigilant oversight of the Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market.
- Has obtained regulatory approval (FSRA) of the Abu Dhabi Global Market
- Top security measures
- User-friendly and optimized for secure crypto investment
- Limited currency pairs compared to other exchanges
- Dependence on local regulation (U.A.E.)
- It’s a newer platform than its competitors
5. Wirex
BeInCrypto considers Wirex to be among the top safest crypto exchanges due to its solid range of security measures, including Strong Customer Authentication (SCA), sophisticated device authorization, and state-of-the-art fraud analytics.
The platform uses advanced technologies like facial recognition and biometrics and stores assets in cold-storage multi-signature vaults, ensuring only users have access.
Wirex employs TLS and 256-bit AES encryption to protect sensitive data, which makes it a secure environment to buy, store, exchange, and spend crypto.
- Range of security measures
- Funds stored in cold-storage multi-signature vaults
- Data encryption for sensitive user data
- Complex security processes for less tech-savvy users
- Detailed public audits not available
6. YouHodler
YouHodler is highlighted as a safe crypto platform due to its commitment to security, transparency, and legal compliance. It uses a combination of hot and cold wallets, leveraging Ledger Vault’s advanced custody technology and $150 million insurance coverage.
The platform employs a 3FA security level, ensuring secure storage and withdrawals. YouHodler also adheres to E.U. laws, providing legally structured contracts, and uses Elliptic and CipherTrace to prevent criminal activities, offering a secure and trustworthy environment for users to store and manage their crypto assets with confidence.
- Uses a combination of hot and cold wallets for funds
- Insurance coverage for up to $150 million
- 3FA security
- Operates under E.U. laws
- Geographical restrictions, features differ based on location
- Lack of transparency
- High APRs on loans
7. Binance
Binance uses state-of-the-art protocols, including real-time monitoring, a 360-degree risk management system, and advanced data encryption, to safeguard user funds and personal information.
Most assets are stored offline, in cold storage wallets, and any unusual account activity triggers a suspension of withdrawals to prevent unauthorized access. Binance is also highlighted due to its strict sign-in protocols, advanced access control features, and security notifications.
- Real-time monitoring
- The majority of user assets are stored in cold storage
- High-end security features
- Adhere to global regulatory standards, enhancing trust and security
- Regional restrictions and operational challenges.
- The platforms might block withdrawals when unusual activity is detected
- Previous incidents of hacking and fraud
8. OKX
OKX employs a mix of advanced measures, including offline cold storage with multiple backups, compulsory two-factor authentication (2FA), semi-offline multi-signature mechanisms, and secure private key storage in RAM.
The exchange has a dedicated asset risk reserve fund and uses anti-phishing codes to provide added protection. Following the FTX collapse, OKX implemented proof-of-reserves (PoR) to verify that customer assets match the assets held in reserve, ensuring transparency and security.
These factors helped OKX secure a spot on this list, despite past security breaches.
- Web3 wallet
- Proof of reserves
- Past security breaches
- Reliance on third-party services (Ledger Vault) for cold storage
9. Bybit
Bybit employs advanced security technologies and protocols, including multi-signature wallets, Trusted Execution Environment (TEE), and Threshold Signature Schemes (TSS). This ensures the safety of user funds, most of which are stored offline in cold wallets. Bybit also wins a spot on this list as the platform prioritizes data protection with end-to-end encryption and real-time monitoring to detect and respond to suspicious activities promptly.
Bybit collaborates with regulators and security experts to maintain compliance and enhance overall security. The platform also commits to compensating users in the case of a security-issued hack.
- Utilizes multi-signature wallets
- Majority of user funds are stored offline in cold wallets
- Continuous monitoring and analysis of user behavior to detect suspicious activities
- End-to-end encryption of user data
- Advanced security features may be challenging for some users
- Rumors of hacking
How we evaluated the most secure crypto exchanges
When choosing a crypto exchange, consider the following criteria if you are looking to prioritize safety.
- Security features
- Regulatory compliance
- User protection measures
- Customer support
- Insurance policies
Security features
Typically, a crypto exchange’s safety is determined by its security protocols. One of the most important things to consider is how a platform holds users’ funds.
The safest place for an exchange to hold funds is in cold storage. This is the most effective way to prevent hacking, as it means assets are offline. The next measure is to use multi-sig wallets for your stored funds, as these remove the risk of single-point failures. Most established platforms also actively monitor user activities so that they can react in real-time if they detect suspicious activities.
Since the collapse of FTX, many platforms have added new security features to ensure users know the location of their funds. One notable example is the proof-of-reserves process, which demonstrates that the exchange holds sufficient assets to cover all user balances.
Regulatory compliance
In 2024, while regulation is still not satisfactory and will likely evolve, it is possible to choose a platform that is licensed and registered with relevant financial authorities in the jurisdictions in which it operates.
For instance, in the U.K., exchanges should be regulated by the Financial Conduct Authority (FCA). In the U.S., the Securities and Exchange Commission (SEC) oversees financial operations. There are other institutions that may operate in your country. It’s important to make this distinction because the top cryptocurrency exchanges in the U.S.A. might not be the same as the top crypto exchanges in Europe or even match any of the safest crypto exchanges in Australia.
Since crypto platforms also use and store users’ personal information, make sure that the exchange you are using adheres to global regulatory standards and best practices. This includes compliance with the General Data Protection Regulation (GDPR) for data protection and other relevant international regulations.
The most secure crypto exchanges are transparent about all these policies and offer users clear and relevant information on their websites.
User protection measures
It’s important to note that both the exchange and the user are responsible for the security of funds.
In 2024, some of the most popular and useful user protection measures are two-factor authentication (2FA), end-to-end data encryption, real-time monitoring, know-your-customer (KYC) policies, security notifications, and anti-phishing measures. Note that there are still some reputable no-KYC crypto exchanges for users who want to preserve anonymity, but such platforms often lack essential security features.
Customer support
In the unfortunate event of a breach or hacking, it’s important to have the option to talk to customer support. A reliable platform should offer 24/7 support and various communication channels such as live chat, email, phone support, and social media.
It may also help if the platforms offer a detailed and up-to-date help center or FAQ section to cover all the common issues, from account setup and security to trading and withdrawals.
The biggest platforms also have educational resources to prevent any issues and multilingual support to assist users who are not proficient in English. Don’t overlook the importance of user resources and communication channels. These are crucial for assistance if you lose funds.
Insurance policies
Larger exchanges that have been in business for years are more likely to try to assure users of their legitimacy and offer extra insurance policies, such as asset insurance and cold storage insurance. However, this is not yet a widespread practice.
While everyone has to be careful when picking a crypto platform, users who fund their accounts with considerable amounts of cash or crypto should always be aware of a platform’s insurance.
Be sure to check the requirements and limitations of those insurance plans and the coverage limits. We found that platforms were most likely to lack transparency on this topic.
Different traders have different needs
As we’ve already mentioned, there are many different considerations when choosing a safe crypto exchange. Always start by checking the latest user reviews of platforms and try to identify the most common complaints.
The most important thing to remember is to choose a platform to suit your personal needs. Let’s explore what a beginner, experienced, or high-volume trader might want to consider when choosing a safe crypto exchange.
Beginners
If you are a beginner, it’s important to look for an exchange with a simple, intuitive interface. User protection also comes from understanding and implementing the available security features, such as two-factor authentication (2FA) and anti-phishing measures.
Beginners also need a platform that offers tutorials and educational resources to help them learn about crypto exchanges and day trading.
If you are new to crypto, only use exchanges regulated in the U.S. or your country.
Clem Chambers, CEO of Online Blockchain and Seeking Alpha and Forbes columnist
As a beginner, you should also select a platform with stellar customer support that can assist you with any issues that may arise. Check out our guide to the best crypto apps for beginners if you are not sure where to start.
Experienced traders
As an experienced trader, you will likely seek platforms that offer advanced trading options like margin trading and futures. To assist in these trades, you might need access to comprehensive charts, technical analysis tools, and real-time market data. All of these tools are crucial for making informed decisions.
Experienced traders also need to carefully assess the fee structure of the platform and choose the best option to keep costs down. Keep in mind that some platforms claim to have no trading fees but instead operate on spreads. If such a platform fits your needs, then be sure to choose a crypto exchange with low spreads. If you are using advanced third-party trading tools, then you also need API access.
High-volume traders
As with everything else, with great value, and in this case, volume, comes great responsibility. One of the most obvious risks of high-volume trading is the lack or limitation of an insurance policy in the event of a security breach, which may lead to losses.
Not all crypto exchanges are suitable for holding large amounts of assets. Those that do should always offer institutional-level security, including cold storage and multi-signature wallets.
Since trading is the main reason for keeping a large sum on an exchange, it’s important to ensure that your chosen platform offers high liquidity so that trades can be executed. If you’re not trading, you should not leave large sums of crypto on any exchange. Instead, choose a secure, non-custodial wallet.
How to keep your crypto safe on a CEX
According to a 2024 Chainalysis report, over 25% of all crypto stolen in 2023 happened on CEXs. It’s important to know which platforms have suffered hacks and closely examine their security protocols. However, users are also responsible for ensuring the security of their funds when interacting with centralized services.
Even if a platform has top-tier user reviews and an impeccable security record, it is up to you, the end user, to make the best personal choices regarding crypto security.
Here are the security practices you must follow to ensure the safety of your crypto funds on a CEX.
1. Account security measures
Create strong, complex passwords that are difficult to guess. Use a different password for each account to minimize the risk of multiple accounts being compromised. Private key compromises are unfortunately common:
Always activate two-factor authentication (2FA) for an added layer of security. This ensures that even if your password is compromised, unauthorized access to your account is prevented.
An obvious recommendation is never to share your credentials with third parties. Keep your account details safe and stored away when nobody else can access them.
2. Transaction and access security
Keep an eye on your account activity and set up notifications for any significant actions, such as withdrawals or login attempts from new devices. This will help you detect any malicious activity in real-time.
Set up withdrawal whitelists to ensure that funds can only be sent to pre-approved addresses. This adds an extra layer of protection against unauthorized transactions.
Avoid accessing your crypto exchange account over public Wi-Fi networks. These networks can be less secure and more susceptible to hacking. If you’re on the move, consider using a VPN.
3. Ongoing security practices
The number one concern around security on centralized exchanges is phishing. Nowadays, hackers are more agile than ever and use social engineering hacks to access your financial information. Even well-versed and experienced users can be fooled. That’s why it is essential to verify the authenticity of emails and websites. Avoid clicking on suspicious links, and ensure that you are on the correct website before entering login details.
Another step to make sure you don’t fall prey to hackers is to ensure that your devices, browsers, and any crypto-related software are up-to-date with the latest security patches to protect against vulnerabilities.
Stay informed about the latest security practices and threats. Utilize resources provided by the exchange, such as security guides and tutorials.
One size does not fit all in crypto
The reality is that the responsibility of keeping funds safe is divided between the exchange and the user. Because every trader has different needs, we can’t recommend the ultimate safe crypto exchange — the answer will differ depending on your personal requirements. However, we strongly encourage users to research a platform’s history and read crypto exchange reviews before committing.
Always be vigilant about crypto scams and fraud, as not even the most secure exchange is entirely foolproof against sophisticated phishing attacks or social engineering.
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