Germany is one of the most crypto-friendly countries out there. It was the first country to adopt a blockchain strategy in 2019 and is now the second-most crypto-friendly country as per Coincub’s Global Crypto Ranking for Q4 2022. Germany, along with the US, also has the highest number of Bitcoin nodes in the world.
German banks are also allowed to sell and store customers’ crypto assets in accordance with the EU’s fifth and sixth Anti-Money Laundering Directives(AMLD5 and AMLD6). It is estimated that about 5.8% of the German population holds cryptocurrency. Bitcoin is, by far, the most popular cryptocurrency in the country.
German cryptocurrency regulations make crypto trading legal in the country and provide a rather favorable tax regime for income from cryptocurrencies. Since crypto is legal in Germany, there are many popular and licensed crypto exchanges that are available in the country.
Among these, we have compiled a list of the best cryptocurrency exchanges in Germany online to help you learn more about crypto exchanges in Germany and make a well-informed decision regarding crypto trading.
7 Best Cryptocurrency Exchanges Online in Germany
Coinbase
Coinbase is an old and famous cryptocurrency exchange that is suitable for a wide range of crypto traders. It obtained a crypto custody and trading license from BaFin in 2020 and was the first firm to be issued the license.
With 250+ tradable assets, Coinbase offers a healthy choice of crypto assets to its users. Its basic and pro platforms have been created to cater to different demographics of crypto traders. The basic version is meant more for regular crypto buying and selling while the Pro version features more advanced tools for experienced traders.
With Coinbase, you can also access and explore the world of Web3. You can create a Web3 profile for yourself, customize it, explore other Web3 profiles and check out popular NFT collections. For institutions, there is the Coinbase Prime brokerage platform that uses an advanced smart order router to execute trades and securely custodies assets at scale.
Features
✔️Over 250 tradable assets
✔️Basic and Pro versions for users
✔️Wallet for storing crypto
✔️Coinbase Prime for institutional investors
Pros and Cons
✅Terrific crypto selection ❌Basic version is more expensive
✅Easy-to-navigate UI ❌Incompetent customer service
✅NFT collections
✅Coinbase Pro has sophisticated
tools
Trading Fees
Coinbase exchange trading fees breakdown
Customer Reviews
Coinbase is a secure exchange with a smooth trading experience
ID verification on Coinbase can be annoying
Why We Picked It
Coinbase is one of the most accessible and beginner-friendly exchanges. Its basic version is a very no-nonsense platform that facilitates simple crypto buying, selling, trading and storing. The fees here may be slightly higher but it is a good pay-off for the security and reliability of Coinbase.
CoinSmart
CoinSmart is a Canadian cryptocurrency exchange that aims to make cryptocurrency accessible to everyone. It is an easy-to-use platform that has been designed specifically for beginners. For advanced traders, CoinSmart offers advanced charting, order book functionality, stop loss and limit orders. Dedicated SmartReps are also available for premium traders.
CoinSmart enables same-day funding and there are no wait times for account verification, deposits and withdrawals. It is licensed by the Financial Transactions and Reports Analysis Centre(FINTRAC) in Canada and also has a Digital Assets and Wallet Provider licensed in Estonia.
For funding accounts, CoinSmart accepts payments from Interac, wire transfers, e-transfers, SEPA and cryptocurrencies. It also accepts debit and credit cards in Europe.
Features
✔️15+ cryptocurrencies available
✔️Licensed by FINTRAC
✔️Runs a referral program for users
Pros and Cons
✅Instant deposits ❌Limited cryptocurrencies
✅Easy-to-use platform ❌No staking
✅Multiple payment types supported
✅Advanced tools available
Trading Fees
CoinSmart trading fees
Customer Reviews
CoinSmart has helpful customer service
CoinSmart’s transaction fee can be high
Why We Picked It
CoinSmart is a duly licensed and trusted exchange. It is an easy-to-use platform that simplifies crypto trading for everyone. It enables same-day funding of accounts and even accepts SEPA and debit and credit cards for transactions in Europe. At the same time, it offers advanced features and tools for more experienced traders and several perks with CoinSmart premium.
Crypto.com
Crypto.com is quite popular among traders who prefer to access their portfolios and trade cryptocurrencies from the comfort of their mobile phones. It is, therefore, no surprise that it is one of the fastest growing crypto trading apps.
On Crypto.com, you get access to a wide variety of over 250 cryptocurrencies including its native token Cronos(CRO). There are several staking opportunities on Crypto.com and in a win-win situation, you can also get discounts on the trading fees paid if you stake CRO. Plus, token deposits and crypto-to-crypto conversions are free here.
Crypto.com is not merely an exchange for trading cryptocurrencies. It offers a wallet that you can use to store your crypto assets, a prepaid Visa-backed card for crypto payments and supports an NFT marketplace. Crypto.com is a secure platform with multi-factor authentication(MFA) and address whitelisting for account security.
Features
✔️Mainly concerned with app-based trading
✔️More than 250 tradable cryptocurrencies
✔️Enables crypto lending
✔️Native coin is known as Cronos(CRO)
Pros and Cons
✅Wide range of coins ❌Unimpressive learning material
✅Assets available for staking ❌Bad customer service
✅Crypto.com wallet for storing assets
✅MFA, address whitelisting for security
Trading Fees
Crypto.com exchange trading fees
Customer Reviews
Crypto.com app has several great features
Withdrawals are often an issue on Crypto.com
Why We Picked It
Crypto.com mobile app is a solid choice if you want an app with interesting features to trade crypto from your phone. It has a decent crypto coin collection and great APYs for staking assets. Plus, by staking CRO, you can get discounts on trading fees on Crypto.com.
OKX
OKX is a cryptocurrency exchange based out of Seychelles that offers some good deals and products to its customers. It has a great collection of 400+ cryptocurrencies that you can trade for quite low fees, strong APIs and fast transactions.
If you want to earn some passive income, you can stake your assets in OKX’s mining pools that offer some good interest rates. The usual spot, margin and derivatives trading options are available here and you can also access various DApps with the OKX wallet.
Using old storage for the majority, if not all, of the user assets is a common practice on cryptocurrency exchanges which OKX also follows. However, it goes one step further and ensures that more than 1,000 BTC are not kept in one cold wallet address. The exchange also maintains an asset risk reserve fund for user assets and employs 2FA and mobile verification for security.
Features
✔️More than 400 tradable coins
✔️Native coin is OKB and native chain is OKX Chain
✔️Over 40 networks compatible with OKX Wallet
✔️Token Farming via Jumpstart Mining initiative
Pros and Cons
✅Trading fees are quite low ❌Fees categories are complex
✅Multiple order types ❌Unsatisfactory customer service
supported
✅Extensive learning material
✅Demo trading for practice
Trading Fees
OKX exchange trading fees
Customer Reviews
There is no big learning curve on OKX
OKX’s customer service needs to be upgraded
Why We Picked It
OKX is one of the best exchanges for new and casual crypto traders. It even lets you practice trading first in its demo trading mode before investing real money. There are excellent liquidity mining options on OKX with which you can earn passive income.
eToro
eToro is not just a cryptocurrency exchange but a multi-asset social trading and investment platform. Founded in Israel, it has 3,000+ assets belonging to different asset classes available for trading. It may not have the widest crypto collection but it does allow for cross-asset trading.
eToro is completely transparent about its charges and there are no hidden fees anywhere. You can also get discounts on the withdrawal fee once you join eToro’s VIP club. It is one of the first brokerage platforms to introduce copy trading to its users. Hence, you can freely copy the trading strategies of top traders to invest in several assets.
Features
✔️Platform for social trading and investment
✔️More than 75 crypto coins for trading
✔️Supports stocks and ETFs with crypto
✔️VIP club with added benefits for users
Pros and Cons
✅Copy trading feature available ❌Limited cryptocurrencies
✅Strictly regulated investment platform ❌Charges inactivity fees
✅Zero fees for card deposits
✅Enables demo trading
Trading Fees
eToro fees for buying and selling cryptocurrency
eToro wallet fees
Customer Reviews
eToro has a wide range of tradable assets
Users are dissatisfied with eToro’s customer service
Why We Picked It
There are over 3,000 assets on eToro. This includes not just cryptocurrencies but other conventional assets as well for investment. Therefore, you can easily keep all your investments and manage your portfolio on one platform. eToro has been around for a long time and is one of the most regulated places for trading crypto.
Bybit
Bybit is a famous exchange for derivatives trading. It allows the use of stablecoins such as USDC as collateral for perpetual, inverse and options contracts. Even for spot traders, Bybit has some lucrative offers. It hosts 280+ spot pairs for trading at very low fees. The higher the VIP level, the lower the fees for all types of trades on Bybit.
Bybit has spot and futures grid bots that can be used to automatically buy and sell assets at strategic times. The Bybit launchpad also gives you early access to new tokens from emerging projects on the platform.
Apart from that, it gives opportunities for liquidity mining, supports crypto lending and offers a Bybit card for making crypto payments.
Further, the tools discovery feature on Bybit recommends trading tools that would work best for you based on the analysis it conducts of your investment profile.
Features
✔️Derivatives are the main focus
✔️Over 280 tradable spot pairs
✔️Biggest marketplace for USDC Options
✔️In-built crypto wallet
Pros and Cons
✅Excellent user interface ❌Mainly for derivatives trading
✅Trading costs are low ❌Stats are not independently verified
✅Multiple order types supported
✅Demo trading to test strategies
Trading Fees
Bybit exchange trading fees breakdown
Customer Reviews
Bybit has a great UI and a comfortable system for placing orders
Locking of accounts is reported on Bybit
Why We Picked It
Bybit is the best choice for traders looking to trade derivatives at a low price. Bybit supports several order types and provides many other opportunities for earning income from your crypto assets. It offers trading bots to automate your trades and a Bybit card for making crypto payments.
Bitstamp
Bitstamp has been a trusted and reliable exchange ever since its launch in 2011. It is a simple exchange that seeks to make cryptocurrency trading accessible for everyone. Keeping in line with this, Bitstamp has an intuitive interface which helps users quickly access the services they want to.
It enables instant deposits for accounts so you can start trading as soon as possible on the exchange. With Bitstamp, you can also directly cash out your crypto balance in your bank account.
It also has two different apps for casual and professional traders. The Bitstamp app enables you to easily buy and sell cryptocurrencies from anywhere while the Bitstamp Pro app caters more to experienced professional traders.
For security purposes, Bitstamp keeps 95% of the users’ crypto assets in offline cold storage. It also uses encryption technology to protect personal information and enables address whitelisting and transaction confirmations for additional security.
Features
✔️Over 80 cryptocurrencies for trading
✔️One of the OG exchanges of the crypto world
✔️95% of crypto assets kept in cold wallets
Pros and Cons
✅Standard fees for trading ❌Fewer coins compared to others
✅Minimalist and navigable UI ❌Does not support margin trading
✅Mobile apps for new and
experienced traders
Trading Fees
Bitstamp exchange trading fees breakdown
Customer Reviews
Bitstamp is a simple and no-frills exchange for crypto trading
Users have had trouble withdrawing funds from Bitstamp
Why We Picked It
Bitstamp is an old and trusted cryptocurrency exchange. It is a no-nonsense, minimalist platform that makes crypto trading accessible to everyone. Bitstamp is a heavily regulated exchange that keeps the majority of the user funds in cold storage and encrypts all personal data.
Top 3 Decentralized Exchanges in Germany
UniSwap
Any discussion about decentralized exchanges is incomplete without the mention of UniSwap. Launched in 2018 on Ethereum, it is the exchange that started the DeFi wave a few years later. While decentralized exchanges have a reputation for being difficult to use, UniSwap is relatively accessible and beginner-friendly.
On UniSwap, everything from the creation of liquidity pools to the swapping of tokens is automated with the help of smart contracts. This system is known as Automated Market Maker(AMM) and helps to reduce the risk of manipulation on the platform.
For using UniSwap, all you have to do is get a crypto wallet, fund it and then connect it to the platform. You don’t need to submit any other information or hand over the custody of your assets. There are three tiers for pool fees on UniSwap and fees are charged generally according to the nature or stability of the pair being traded.
Features
✔️Created on the Ethereum network
✔️Employs the AMM protocol
✔️Native token is known as UNI
✔️Governed collectively by UNI holders
Pros and Cons
✅Get access to ERC-20 tokens ❌Coins are not vetted before listing
✅Ensures users’ privacy
✅Easy-to-navigate platform
✅Active bug bounty program
Trading Fees
Pool fees tiers for UniSwap exchange
Customer Reviews
UniSwap is an accessible decentralized exchange for swapping tokens
UniSwap has no official system to review customer complaints
Why We Picked It
UniSwap is an established, popular and accessible decentralized cryptocurrency exchange. The whole process here is automated by AMM to reduce the possibility of price manipulation. UniSwap gives you instant access to tons of ERC-20 tokens for trading as soon as you connect your crypto wallet to the platform.
PancakeSwap
PancakeSwap was launched in the DeFi golden year of 2020 and has grown by leaps and bounds since then. It is one of the most successful DeFi projects out there and has a lot to offer to crypto traders of different backgrounds.
Its use of the BNB Chain keeps it free from frequent problems of slowed-down transactions and high gas fees. You can swap a number of BEP-20 tokens and some ERC-20 tokens as well at very low fees. Even then, PancakeSwap offers lower slippage and more efficiency especially for stable pair trades via its StableSwap feature.
Features
✔️Created on the BNB Chain network
✔️Four-tiered trading fee system
✔️Native utility token is known as CAKE
✔️CAKE holders govern the network
Pros and Cons
✅Non-custodial exchange ❌Bitcoin is not available
✅Access to many BEP-20 tokens ❌Issue of persistent scams
✅Efficient stable pair trades with
StableSwap
✅Staking in yield farms
Trading Fees
Trading fees for PancakeSwap exchange
Customer Reviews
PancakeSwap has a plethora of tokens available at reasonable fees
There is a persisting problem of low-quality coins on PancakeSwap
Why We Picked It
PanckaeSwap gives you access to tons of BEP-20 tokens for swapping and that too, without any issue of extremely costly gas fees. Its native token CAKE can be staked in syrup pools and it is also compatible with other chains like Ethereum and Aptos. Along with being an efficient exchange, PancakeSwap simply makes crypto trading fun.
dYdX
dYdX is also a platform meant more for derivatives trading. The difference between dYdX and a platform like Bybit is that the former is a next-generation DeFi project while the latter is a conventional centralized cryptocurrency exchange.
dYdX’s use of the Ethereum Layer 2 solution called StarkWare helps it provide a fast and seamless trading experience to users. This solution also helps it maintain the privacy and security of the platform. Trading on dYdX is made all the more attractive due to its dynamic interest rates and lack of gas fees.
Features
✔️Runs on the Ethereum network
✔️Focuses on derivatives trading
✔️Uses StarkWare for seamless trading
✔️Native utility token is known as DYDX token
Pros and Cons
✅Quick transaction settlements ❌Low number of trading pairs
✅Trades below $100,000 are free
✅Zero gas fees for trading perpetuals
Trading Fees
Trading fees for dYdX exchange
Why We Picked It
dYdX is for traders who want to trade crypto and particularly partake in derivates trading on a smart, next-generation DeFi platform. It has very low fees and dynamic interest rates and you don’t have to pay any gas fees for trading perpetuals.
Is Crypto Trading Legal in Germany?
Yes, crypto is legal in Germany. Legislation passed in 2020 brought crypto tokens under the definition of financial instruments as per the German Banking Act. This includes not just payment tokens but also security and investment tokens.
Cryptocurrencies, therefore, come under the regulatory purview of the German Federal Financial Supervisory Authority(BaFin). In other words, Cryptocurrency exchanges must be licensed by BaFin to operate in the country.
In Germany, cryptocurrencies are considered private money by the German Federal Central Tax Office(BZSt) for tax purposes. Cryptocurrency disposal activities conducted after one year of asset acquisition are entirely tax-free. In other words, selling cryptocurrencies after one year of buying them would not attract any tax.
Further, short-term gains of less than €600 from cryptocurrency activities are exempt from taxation. However, taxes are imposed on cryptocurrency income from mining and staking activities.
Since cryptocurrencies are considered private money or assets, crypto gains above €600 and crypto income are taxed according to the income tax laws in Germany.
Conclusion
Crypto traders in Germany have a lot of options for trading in cryptocurrencies. Cryptocurrency exchanges in Germany are properly licensed and regulated by BaFin which gives a sense of security to traders.
All the crypto exchanges listed here are popular and established exchanges that offer a multitude of crypto-related products and services to users.
While crypto trading has lots of potential for financial gains, it is also true that you can quickly lose money if you venture into the crypto world without proper knowledge and information. Therefore, consult a professional for advice before investing your money in cryptocurrencies.