Australia is one place where we can say the crypto industry has positively flourished. Australians are a crypto-curious bunch as indicated by Roy Morgan’s research institute which estimated that 1 million Australians, accounting for about 5% of the population, owned at least one cryptocurrency in early 2022.
The Australian government’s minimal intervention in the sector has certainly helped it to grow though it has gradually been introducing measures for better regulation and consumer protection.
Either way, the fact is that Australia is now home to a bunch of major cryptocurrency exchanges offering a plethora of crypto and crypto-adjacent products in the country. Generally, you head over to a cryptocurrency exchange if you want to invest in cryptocurrencies.
Now, the question that arises here is- which cryptocurrency exchange is the best? As we always say, best is subjective. An exchange that is the right fit for you may not be the one for your friend.
Hence, while we present to you this list of what we consider to be the best cryptocurrency exchanges in Australia, remember that the final call has to be made by you after reviewing all the information.
Top 5 Cryptocurrency Exchanges Operating in Australia
Australian traders are lucky as they have lots of choices between popular global exchanges and reputable home-grown cryptocurrency exchanges.
Binance
The first name that comes up is Binance. It is the world’s largest exchange known for its low fees and a wide variety of coins. It has mandatory KYC verification that you need to complete before you can fund your account and trade.
People looking to stake their crypto assets may also like Binance Earn which has a number of staking options and pretty high APYs. An auto-invest feature has also been introduced where you can invest in cryptocurrency with a pre-determined amount. For buying crypto too, you can also set up recurring buys for your regular transactions.
To fund your account, you can directly deposit the Australian Dollar(AUD) in your Binance account via a bank transfer. Additionally, you can also buy crypto with a debit or credit card or with your AUD cash balance.
The trading fee charged on Binance is generally less than 0.10% and 10% of it is kept in a secure asset fund to protect user funds.
Features
✔️More than 350 available cryptocurrencies
✔️Maker-taker model of charging fees
✔️Auto-invest and recurring buy feature
✔️Native token is Binance Coin(BNB)
Pros and Cons
✅Great collection of crypto assets ❌Not very suitable for beginners
✅Instant Buy with AUD ❌Regulatory problems in many nations
✅Inexpensive trades
✅Good staking options
Trading Fees
Customer Reviews
Why We Picked It
Binance supports multiple order types as well as payment methods. Whether you want to buy crypto with fiat or prefer P2P trading, Binance has it all. The fees are rather low and it gives options to earn some passive income with the Binance Earn program.
Bybit
There’s a reason Bybit is on every crypto trader’s radar. Apart from being a multi-lingual platform with 270+ spot assets, it has some extremely competitive fees.
Spot fee is just 0.1% at the lowest non-VIP level and the derivatives trading fee is also quite low at 0.06% taker fee and 0.01% maker fee. In fact, the maker fee for derivatives comes down to 0% at higher VIP levels.
Its 100k TPS matching engine and 99.99% system functionality ensure that there is no delay in processing transactions. Bybit tries to make sure that users don’t face any inconvenience due to server downtime.
Bybit can be easily used by both beginner and advanced traders. While beginners can simply purchase cryptocurrency with their AUD balance, senior traders would appreciate its charting and advanced analysis tools.
Features
✔️More than 270 spot assets available
✔️99.99% system functionality
✔️VIP and non-VIP levels
✔️Available in 16+ languages
Pros and Cons
✅Suitable for beginners ❌Does not adequately tell the risk of
✅Advanced tools available derivatives trading
✅Low fees for trading ❌Trade stats have not been verified
✅Testnet site available
Trading Fees
Customer Reviews
Why We Picked It
Bybit is the place to go if you want to trade derivatives on a centralized exchange. Trades here are extremely cheap as your VIP level increases and it has features and tools that can be utilized by both inexperienced and seasoned traders.
Swyftx
If you want to trade on an exchange that is based in Australia, Swyftx is the place to go. This platform comes with more than 320 cryptocurrencies, no trading limits and some great discounts on high-volume trades.
Swyftx is a good platform if you’re just starting out due to its simple and uncluttered interface. You won’t get stuck trying to make sense of complicated charts and graphs and can easily buy some cryptocurrency if that’s all you want to do.
It has a demo mode too where you can practice trading without the risk of losing money. Swyftx is an ISO 27001 certified platform and takes all requisite measures such as 2-factor authentication(2FA) and biometric login for the safety of user accounts.
Features
✔️320+ cryptocurrencies available
✔️Android and iOS compatible mobile app
✔️ISO certification, 2FA and biometric login for security
Pros and Cons
✅Diverse range of coins ❌Margin trading not available
✅Allows demo trading
✅Simple to use
Trading Fees
Customer Reviews
Why We Picked It
Swyftx is a home-grown exchange known for its vast crypto collection and simplicity of use. It is suitable for both beginners and advanced traders and for a change, there is an exchange which has responsive and helpful customer service.
Independent Reserve
Independent Reserve, founded in 2013, is one of Australia’s oldest and most well-known exchanges. This platform was launched with the idea of providing a secure and trusted way to buy cryptocurrencies. So, you can rest assured that it takes the safety of assets and information very seriously.
All the users’ fiat and crypto assets are held on a 1:1 basis and most of the assets are held in secure, offline cold storage. Its books are verified by annual audits conducted by external auditors.
While the number of cryptocurrencies available on Independent Reserve is low, it makes up for that with its interface that helps you keep track of your desired cryptocurrencies.
Features
✔️30 cryptocurrencies available for trading
✔️Native wallet for storing crypto
✔️Segregated funds and 1:1 reserves for assets
Pros and Cons
✅Ease of navigation ❌Less liquidity
✅Uncomplicated fee system ❌Less coins available
✅Impressive security architecture
Trading Fees
Customer Reviews
Why We Picked It
Independent Reserve is a reputable platform that is regulated by the relevant authorities. It is committed to ensuring secure trading and has taken a number of steps including annual audits and segregation of funds for that.
CoinSpot
CoinSpot is one of the earliest cryptocurrency ventures in Australia. Expanding its footprint over a decade, it now boasts a collection of over 380 cryptocurrencies that are available for buying, selling and swapping.
Along with a wide variety of coins, CoinSpot has a simple fee structure and charges a low 0.1% for market orders and OTC making it quite cost-effective. Besides that, it offers a range of coins for staking so you can earn some passive income too on CoinSpot.
Also, it is an ISO 27001 certified platform and offers a range of security measures to ensure platform and account security. Users can always enable 2FA, custom withdrawal restrictions and session timeout limits to secure their accounts.
Features
✔️Over 380 cryptocurrencies available
✔️Has a crypto credit card
✔️2FA, customizable withdrawal restrictions and session timeout limit for security
Pros and Cons
✅Simple fee structure ❌Instant buys are expensive
✅Staking opportunities ❌Advanced features are limited
✅Massive variety of coins
✅NFT marketplace
Trading Fees
Customer Reviews
Why We Picked It
CoinSpot promises a positive trading experience to users. It has a massive collection of cryptocurrencies for you to choose from and charges a flat rate of 0.1% for market orders. The platform is easily navigable and you can also explore NFTs here.
Top 5 Decentralized Exchanges in Australia
Decentralized Exchanges(DEXs) are preferred by people who want to do peer-to-peer trading and want to do so while retaining their privacy.
UniSwap
UniSwap, launched in 2018, has quickly become one of the top DEXs. It was built on the Ethereum network and employs a collection of smart contracts that contain details about how liquidity is to be created on the platform and how liquidity providers are to be compensated.
This system is entirely automated and hence, less prone to manipulations and system attacks. UniSwap facilitates instant trading by having zero ID verification requirements.
It is known for its attractive and easy-to-navigate design that is actually quite beginner-friendly when it comes to DEXs. UniSwap has three pool fee tiers- 0.05%, 0.30% and 1%. The fee is distributed among the liquidity providers in the proportion of their contribution.
Features
✔️Employs Automated Market Maker(AMM) protocol
✔️Three tiers for pool fees
✔️Compatible with nearly all major crypto wallets
✔️Utility token called UNI
Pros and Cons
✅Private and anonymous ❌Transactions can be slow
trading ❌No vetting process for coins
✅Users control private keys
✅Does not require custody of
funds
✅Culture of democratic governance
Trading Fees
Customer Reviews
Why We Picked It
UniSwap is a non-custodial platform that is quite easy to navigate as far as DEXs go. You can use any major crypto wallet to access UniSwap and start trading. There is no possibility of a loss of funds here due to system attacks since the user always retains control of his private keys.
PancakeSwap
PancakeSwap, as the name suggests, is quite similar to UniSwap. They both are AMM-based DEXs i.e. use smart contracts to determine the parameters of liquidity pools and to decide the compensation for liquidity providers.
However, a major advantage that PancakeSwap has over UniSwap is that the former is free from the issue of frequent network congestion and extremely expensive gas fees. This is because it is built on Binance BNB Chain and not Ethereum.
PancakeSwap has a dedicated syrup pool meant for staking its native token CAKE. Unlike most exchanges on this list, PancakeSwap charges a flat fee of 0.25% per trade.
Features
✔️Employs AMM protocol
✔️Flat 0.25% fee rate
✔️Utility token called CAKE
Pros and Cons
✅Syrup pool for CAKE ❌Less non-BEP-20 tokens
staking ❌No dedicated customer support
✅Swaps of BEP-20 tokens
✅User control over funds
✅StableSwap for stablecoin
swaps
Trading Fees
Customer Reviews
Why We Picked It
PancakeSwap is a good place to go if you want to try out lots of innovative crypto products. Its open-source code helps ensure transparency and the bug bounty program encourages people to report vulnerabilities in the system and smart contracts.
dYdX
When we talk about DEXs and derivatives trading, the name that comes up is dYdX. This Ethereum-based DEX is particularly known for its derivatives markets though it also supports spot and margin trading.
In a departure from the standard practice, low-volume trades up to $100,000 are completely free on dYdX. This is good news for casual traders who may want to first test out the platform without having to pay a high percentage of the trade amount as transaction fees.
dYdX has some exceptionally fast transaction settlements and withdrawals. It uses StarkWare’s Layer 2 solution to ensure privacy and security while trading.
Features
✔️Uses AMM protocol
✔️Exchange for derivatives trading
✔️Utility token DYDX token
Pros and Cons
✅Zero fees upto $100,000 ❌Trading pairs are limited
✅Fast transaction settlements
✅Learning resources available
Trading Fees
Why We Picked It
dYdX is a secure exchange that promises you lightning-fast transactions. You would like the low fees and dynamic interest rates here if you are into derivatives trading.
Curve Finance
If you want a no-nonsense DEX that can operate on multiple chains, Curve Finance is the right choice for you. This DApp, though built on Ethereum, can be used with other chains like Solana, Arbitrum, and Avalanche as well.
It is a low-risk and stable platform since it primarily provides liquidity for stablecoins. Curve Finance pools are great for long-term crypto holdings and even in the short run, you can get pretty good rewards by putting your crypto assets in Curve pools.
Features
✔️Uses AMM protocol
✔️Liquidity pools can be programmed
✔️Utility token called CRV
Pros and Cons
✅Multi-chain support ❌Not beginner-friendly
✅Stable platform
✅Culture of community governance
Trading Fees
Why We Picked It
If you want a low-risk, no-nonsense and efficient platform for crypto trading, you should definitely check out Curve Finance. Its pools are suitable for depositing assets both for the short and long term and the fees are quite reasonable as well.
DODO
The whole idea of DODO is to develop a platform that improves upon the limitations of AMM-based DEXs. To address this, it uses the Proactive Market Maker(PMM) model. This helps it have better price stability and more liquidity on the platform.
Further, DODO ensures better price discovery for its customers by using oracles which act as a link between real-time data and blockchains. You can also do cross-chain trading on DODO and even better, create a whole liquidity market with the help of the DODO Vending Machine.
Features
✔️Employs PMM protocol
✔️Utility token DODO coin
✔️Oracles for price discovery
Pros and Cons
✅Cross-chain trading ❌Lower usage
✅Simple process for coin
listing
✅Eliminates impermanent loss
Trading Fees
Why We Picked It
DODO is an efficient exchange where anyone can create a liquidity market and participate in the Initial DODO Offerings(IDOs). There is zero possibility of impermanent loss here and it has better liquidity and price stability than many other DEXs.
Is Crypto Allowed in Australia?
Yes, cryptocurrency is pretty much legal in Australia. Australian citizens are allowed to spend, trade, receive and invest in cryptocurrencies. However, note that Australia treats cryptocurrency as property and not money. Digital coin does not equal legal fiat money and no one is obliged to accept payments in crypto.
The authorities in Australia have historically taken a neutral stance on cryptocurrencies and have largely embraced the technology underlying them. This has allowed cryptocurrency exchanges to rapidly expand in the country. However, this has also highlighted the risk of cryptocurrencies being used for nefarious purposes.
To deal with this, cryptocurrencies were brought within the ambit of Anti-Money Laundering(AML) and Counter-Terrorism Financing(CTF) in the country. Since then, Australia has set the dice rolling for better regulation of cryptocurrency exchanges operating in the country.
Digital Currency Exchange(DCE) providers are required to register with the Australian Transaction Reports and Analysis Centre(AUSTRAC) and then renew this registration after every three years.
This registration process is mandatory and any DCE provider not complying with these requirements is subjected to penalties and criminal charges.
A thing to note is that legislations are largely technology-neutral here and therefore, the Corporations Act 2001 and the National Credit Consumer Protection Act 2009 also apply to cryptocurrency.
In 2021, there was an increase in the governmental review of the fintech sector in general and the crypto industry in particular. The Australian Treasury also published a consultation paper for a regulatory framework for crypto asset service providers in 2022.
Later, the government announced that it would start a consultation process to develop a regulatory framework for the cryptocurrency sector.
In the same year, the Treasury commenced a “token mapping” exercise in which it would uncover and define the characteristics of all digital asset tokens in Australia and then assess which tokens should be regulated by the financial service laws.
On the taxation front, cryptocurrency is considered an asset by the Australian Taxation Office(ATO) and therefore, it is subjected to capital gains tax like any other form of property.
It will be treated like a trading stock if the sale or exchange of digital assets takes place as a part of the holder’s ordinary trading activity. Therefore, gains will be quantifiable and losses will be deductible in this case.
The Bottom Line
The crypto industry in Australia is a particularly vibrant one. There are several exchanges catering to the needs of different demographics in the country. In the face of so many options, finding the right exchange may seem like a daunting task.
While this guide may help you simplify the process to some extent, remember that cryptocurrencies are extremely volatile assets and any investment has to be done carefully. You need to be aware of the risks before undertaking crypto trading. A piece of advice to always remember is that don’t put in money you cannot afford to lose.