Cryptocurrency has a lot of potential in Egypt. Considering the large unbanked population of the country, cryptocurrencies can help people in Egypt access financial services and receive remittances in a timely manner at a low cost.
High inflation and slow economic growth have also pushed people towards cryptocurrencies as an alternative income stream. However, while the 2020 amendments to the country’s Banking Law reflect Egypt’s intention to move towards a digital and inclusive financial system, it also severely restricts crypto trading in the country.
Though there are cryptocurrency exchanges operating in Egypt, the absence of a regulatory and licensing framework for crypto exchanges has made their position precarious. Crypto trading is essentially illegal in Egypt and hence, traders should tread carefully while buying or trading cryptocurrencies.
Top 6 Cryptocurrency Exchanges in Egypt
Kraken
San Francisco-based Kraken is one of the oldest cryptocurrency exchanges which also offers its services in Egypt. Here, you can create an account for free and then easily buy and sell 200+ cryptocurrencies. It also offers some good staking opportunities for interested users. You can invest in bonded or flexible products as per your liking and earn some good rewards.
For seasoned traders, Kraken has a Pro version with more advanced trading options. Here, you can do spot and margin trading with lower spreads as compared to the basic version. You can do margin trading with upto 5x leverage on Kraken Pro and even trade 70+ futures contracts.
To maintain transparency, Kraken publishes its Proof-of-Reserves audit results on its website which can be verified by anyone. It also runs a bug bounty program where anybody who reports a bug is rewarded as per the severity of the vulnerability reported.
Features
✔️200+ cryptocurrencies available
✔️Has two versions- Basic and Pro
✔️Spot, margin and futures trading available
✔️Publically available proof-of-reserves reports
Pros and Cons
✅Decent coin selection ❌Costly Kraken Instant Buy
✅Lower fees on Kraken Pro ❌Reports of losses due to account hacks
✅Staking opportunities
✅Bug bounty program
Trading Fees
Fees on Kraken Instant Buy are determined by dynamic factors such as order size, market conditions, and payment method etc., Kraken Pro simply uses the maker-taker model for the same.
Kraken Instant Buy fees breakdown
Kraken Pro fees breakdown
Customer Reviews
Kraken has really fast and smooth withdrawals
ID verification on Kraken can be a tedious process
Why We Picked It
Kraken is a good platform for intermediate and above-level traders due to the several trading types available combined with the low fees especially on Kraken Pro. It is transparent about its reserves and the proof-of-reserves audit reports are available on the Kraken website.
Crypto.com
Singapore-based Crypto.com offers not just cryptocurrencies but a whole range of several blockchain-related products. Along with 250+ cryptocurrencies for trading, it has a native wallet, an NFT marketplace, a prepaid Visa card and staking services.
Crypto.com mainly focuses on app-based trading and you can pretty much access all features available on the web version. You can trade crypto, get crypto-based loans, make payments and stake your cryptocurrencies via the Crypto.com app.
Crypto.com has quite competitive pricing and you can even get discounts on the fee paid for trades by staking the exchange’s native CRO token. It has adopted several industry-standard security measures such as cold storage for assets and funds, multi-factor authentication and address whitelisting.
Features
✔️Major focus on app-based trading
✔️More than 250 cryptocurrencies available
✔️Offers cryptocurrency-based loans
✔️Native token called Cronos(CRO)
Pros and Cons
✅Decent coin collection ❌Poor educational resources
✅Competitive fees ❌Not very suitable for beginners
✅Calculator for staking rewards
✅NFT marketplace
Trading Fees
Crypot.com has levels based on the 30-day trading volume according to which fees for trading are charged. The exchange further gives out discounts as oer the amount of CRO staked.
Crypto.com gives discounts on fees if CRO is staked
Customer Reviews
Crypto.com has some great features
Crypto.com has lousy customer service
Why We Picked It
Go for Crypto.com if you prefer trading from your phone. The app is quite navigable if you have experience with cryptocurrencies or even stock trading from an app. While not the lowest, its fee is competitive and you can get further discounts by staking CRO.
Bybit
Bybit is primarily a derivatives exchange suitable for experienced traders who may want to take advantage of the lucrative returns it offers. It combines Decentralized Finance(DeFi) with Traditional Finance(TradFi) to offer users next-level services.
Along with derivatives, Bybit also supports spot trading and perpetual trading. With over 280 spot trading pairs, Bybit is one of the top 10 cryptocurrency exchanges as per CoinMarketCap. Along with that, it also ranks second among cryptocurrency derivatives exchanges.
Bybit has top-notch security and 99.99% functionality with a 100k TPS matching engine. In other words, it can process about 100,000 transactions at a time which is considerably fast. Bybit also uses data encryption technologies, Trusted Execution Environment(TEE) and Threshold Signature Schemes(TSS) to protect user accounts from unauthorized access.
Features
✔️Primarily a derivatives trading exchange
✔️280+ spot trading pairs available
✔️World’s biggest USDC Options marketplace
✔️USDT as collateral for perpetual contracts
Pros and Cons
✅Easy-to-use interface ❌Not the best option for spot trading
✅Inexpensive trades ❌Unverified trade statistics
✅Several order types supported
✅Testnet site for demo trading
Trading Fees
The fees on Bybit are in general quite low even for non-VIP users.
Bybit has VIP, non-VIP and Pro levels for determining fees
Customer Reviews
Bybit has a comfortable and slick interface
Bybit has been alleged to indulge in price manipulation
Why We Picked It
Bybit is a top-notch exchange, especially for derivatives trading. Both the website and mobile app have a slick UI and extremely fast transactions due to its 100k TPS matching engine.
OKX
OKX(formerly OKEx) is a Seychelles-registered cryptocurrency exchange that promises its customers low fees, fast transactions and powerful APIs. This exchange even has its own OKX Chain and a native token OKB which differentiates it from other exchanges.
Along with spot trading, OKX also supports margin trading, options trading and perpetual swaps. It also offers crypto loans and crypto mining services. You can also explore DeFi apps on OKX and farm DeFi tokens with its Jumpstart Mining initiative.
OKX has a multi-level security system in place to protect user assets. It uses a special network communication protocol that is partially offline in order to prevent online attacks.
Features
✔️Over 350 cryptocurrencies available
✔️Native blockchain called OKX Chain
✔️OKX Web3 Wallet supports 40+ networks
✔️Spot, futures and options trading available
Pros and Cons
✅Fees are not very high ❌Lousy customer service
✅Several payment options ❌Complex structure for fee calculation
available
✅Learning material
✅Demo trading for practice
Trading Fees
OKX has a somewhat convoluted method for determining trading fees based on levels and several other criteria such as OKB holdings and the 30-day trading volume.
OKX has VIP and non-VIP categories for determining fees
Customer Reviews
Customers find OKX to be an easily navigable platform
OKX has a poor customer support
Why We Picked It
OKX supports spot, futures and options trading as well as offers crypto-based loans and mining services. You can explore various DeFi apps via OKX and even farm some DeFi tokens.
KuCoin
Check out KuCoin if you want an exchange with a massive cryptocurrency collection. There’s a lot to explore here and you might even find a few gems. KuCoin’s low fees along with the 20% discount it offers for paying with KCS make it an option worth considering.
In order to foster a global crypto community, KuCoin supports over 20 major languages on its platform. Further, it is one of the few centralized exchanges that still allow unverified accounts without KYC verification to trade to a limited extent on the exchange. However, it is to be noted that unverified accounts do not get the same fraud and hacking protection as verified accounts.
Along with spot, futures and margin trading, you can also lend your crypto holdings to other traders on KuCoin. With KuCoin Earn, you can invest your crypto assets in several flexible and fixed-term products.
Features
✔️More than 700 cryptocurrencies available
✔️Multi-lingual platform
✔️Native coin is KuCoin Token(KCS)
Pros and Cons
✅Enormous crypto selection ❌Complex fee structure
✅Multiple order types ❌Glitchy trading bots
✅Earning opportunities
✅Limited trading without KYC
Trading Fees
KuCoin employs the maker-taker model for determining trading fees. The highest rate is 0.10% and it only goes down from there. Plus, you can get 20% off for using KCS for payments.
KuCoin fees breakdown
Customer Reviews
KuCoin’s massive cryptocurrency collection is a major attraction
KuCoin’s customer service is poor
Why We Picked It
Apart from its cryptocurrency collection, KuCoin is known for the several order types and advanced features it supports. It is available in over 20 languages which has helped it in fostering a global crypto community.
CEX.io
CEX.io is a London-based exchange that prides itself on its simplicity. This is an exchange that seeks to make the cryptocurrency trading process as simple as possible. It boasts of an advanced order matching algorithm and an order book with high liquidity.
Further, CEX.io hosts a good collection of 200+ cryptocurrencies where the trading fees goes down as your trade volume increases. You can also directly buy cryptocurrency with a debit or credit card or via bank transfers though you may be charged service fees and commissions depending on the method used.
CEX.io takes security very seriously and hence practices full data encryption and employs cold storage for crypto assets. It also takes all adequate measures to protect the platform from DDoS attacks.
Features
✔️Over 200 cryptocurrencies available
✔️Heavily regulated platform
✔️Everyone, Traders and Businesses categories for customers
✔️Has a mobile app
Pros and Cons
✅Satisfactory coin collection ❌Low liquidity
✅Inexpensive spot trades ❌Lengthy verification process
✅Staking opportunities ❌High deposit and withdrawal fees
✅Data encryption and cold storage
Trading Fees
CEX.io charges fees as per the 30-day trading volume using the maker-taker system.
CEX.io fees explained
Customer Reviews
Simplicity is CEX.io’s biggest advantage
Deposits and withdrawals can be a problem on CEX.io
Why We Picked It
CEX.io has a simple interface and promises a smooth trading experience. It is a duly licensed and regulated platform in several territories, offers earning opportunities and the fees, atleast for spot trading, are reasonable.
Top 5 Decentralized Exchanges in Egypt
UniSwap
UniSwap is a community-governed decentralized exchange. Rather than being controlled by a centralized corporation, it is governed by the people who vote on proposals on the platform by using its UNI token. Since it is developed on the Ethereum network, UniSwap users can easily access thousands of ERC-20 tokens.
UniSwap is one of the largest DEXs which means that it is constantly able to maintain high liquidity on the platform. Its popularity is spurred by its extremely simple UI, low-cost trades and support for multiple blockchains.
Since UniSwap is a DEX, it does not require any sort of ID verification and you can immediately start trading by just connecting your cryptocurrency wallet.
Features
✔️Built on the Ethereum network
✔️Native token is UNI coin
✔️Works with Metamask, Trust Wallet etc.
✔️Supports multiple blockchains
Pros and Cons
✅ERC-20 token swapping ❌Costly Ethereum gas fees
✅High liquidity ❌Issue of scam coins
✅Instant trading
✅Community governance with
UNI
Trading Fees
The fees on UniSwap depend on the nature or risk factor of the pair being traded.
UniSwap has three(practically four) pool fee tiers
Customer Reviews
UniSwap is a standard DEX
UniSwap has no grievance redressal mechanism
Why We Picked It
UniSwap is a high liquidity platform and one of the most popular DEXs out there. It has an intuitive UI and is quite beginner-friendly. The prospect of private and near-instant trading makes UniSwap an attractive option.
PancakeSwap
PancakeSwap is also a popular decentralized exchange. However, one key difference between PancakeSwap and its contemporaries like UniSwap is that the former has been developed on the BNB Chain while the latter runs on Ethereum.
The BNB Chain has helped PancakeSwap avoid the problems of network congestion and extremely high gas fees which are common among Ethereum-based DeFi platforms. One thing to note about PancakeSwap is that since it uses the BNB Chain, mostly BEP-20 tokens can be swapped here. The number of ERC-20 tokens available is quite small.
The PancakeSwap v3 has introduced four tiers for charging fees for swap transactions. The fees are lower than the industry average which is good news for traders. For stable pairs, PanckaeSwap has a StableSwap feature which facilitates stable pair trades with lesser slippage and more efficiency.
Features
✔️Developed on the BNB Chain
✔️Four tiers for trading fees
✔️Native token is called CAKE
✔️Community governance by CAKE holders
Pros and Cons
✅No registration required ❌BTC trading not available
✅Trading of BEP-20 tokens ❌Problem of scams
✅StableSwap for stable pair trades
✅Has yield farms for staking tokens
Trading Fees
PancakeSwap trading fees
Customer Reviews
PancakeSwap is a great exchange with many tokens available for swapping
PancakeSwap has an issue with low-quality coins and scams
Why We Picked It
You don’t need to register to trade on PancakeSwap. Just connect your crypto wallet and you are good to go. It has several crypto-related products that are bound to get your attention. Further, you get to vote on proposals related to the development of the platform if you hold the CAKE token.
Balancer
Balancer is an Ethereum-based DEX that has some great investment options. Its open architecture allows users to create pools of various types with functionalities that suit their specific needs. In addition, pool creators can also set the fee for the pool themselves.
Balancer’s Smart Order Router(SOR) helps traders find the optimum price for their token pairs. Its use of the Automated Market Maker(AMM) system enables the platform to operate in a permissionless manner. You can use Balancer with any popular Ethereum wallet such as Metamask.
Features
✔️Built on the Ethereum blockchain
✔️Employs AMM system
✔️Creators can customize liquidity pools
✔️Native token is BAL token
Pros and Cons
✅Automated portfolio manager ❌Negligible educational resources
✅Public and private pools available ❌Impermanent loss
✅Smart Order Router for optimum
pricing
✅Multi-token pools
Trading Fees
As of January 2023, Balancer takes 50% of the trading fees and distributes the rest to liquidity providers.
Pool creators decide the fees on Balancer which can be between 0.0001% to 10%
Why We Picked It
Balancer’s multi-token pools are its defining feature. Its high interest rates and programmable pools are great for people looking to diversify their portfolios and those who have an appetite for risk.
dYdX
dYdX is a decentralized platform known for being one of the few places where you can trade derivatives without KYC verification. Making it an even more attractive option is its extremely competitive fees. Trades up to $100,000 are completely free on dYdX.
Something unique about dYdX is that hosts regular competitions or trading leagues where users get promoted or demoted according to their overall performance. Plus, it is one of the few DEXs which has educational resources for users to learn about various concepts related to cryptocurrencies.
Features
✔️DEX for derivatives trading
✔️Uses AMM model
✔️Native coin is DYDX token
Pros and Cons
✅Competitve fees ❌Derivatives trading can be risky
✅Regular trading leagues
✅dYdX Academy for learning
✅Fast transactions
Trading Fees
dYdX follows the maker-taker system for charging trading fees.
dYdX offers free trades up to $100,000
Why We Picked It
dYdX is the way to go if you want to anonymously trade derivatives. It quickly settles transactions and facilitates near-instant withdrawals. The maker-taker fees are negligible and the security architecture is top-notch.
DODO
DODO is a newer entrant in the crypto industry but it has quickly made its mark with the products that it offers. Its use of the Proactive Market Maker(PMM) model makes it a more efficient exchange with high liquidity and low slippage.
Further, PMM has helped DODO pretty much eliminate the possibility of impermanent loss and ensure better pricing on the platform.
While the DODO Vending Machine enables anyone with a cryptocurrency wallet to create a liquidity market, its private pools offer advanced traders uninterrupted liquidity, one-sided deposits and withdrawals and active price discovery.
Features
✔️Built on the Ethereum blockchain
✔️Uses the PMM system
✔️Native token is DODO Coin
Pros and Cons
✅Free listing of coins ❌Lesser usage
✅Cross-chain trading
✅No impermanent loss
✅Price stability
Trading Fees
The final fees on DODO come to be around 0.6% per transaction
Why We Picked It
DODO is a platform that is free from the limitations of AMM-based DEXs. It has high liquidity and better price stability due to its use of the PMM protocol. Listing tokens on DODO is very easy and there are no minimum deposit requirements for its liquidity pools. The DODO Vending Machine and private pools give users the freedom to create their own liquidity markets.
Is Buying Crypto Illegal in Egypt?
Issuing, trading and promoting cryptocurrency is primarily prohibited in Egypt. In 2018, the country’s Grand Mufti declared cryptocurrencies to be forbidden under Islamic law due to their potential for money laundering and terror financing.
Although a religious decree is not legally binding, the Banking Law was later amended in 2020 to tighten control over digital asset trading in Egypt.
The Banking Law amendments state that issuing, dealing in or promoting cryptocurrencies without the appropriate license from the Central Bank of Egypt(CBE) is illegal. In the absence of a proper crypto licensing framework, cryptocurrency trading is for all purposes prohibited in Egypt.
The CBE too, from time to time, has been issuing warnings against crypto trading. In 2018, it warned people against trading Bitcoin and other cryptocurrencies citing the extremely high risk associated with them. Similar warnings have also been issued in 2020 and 2022.
Conclusion
Crypto trading in Egypt can be a difficult task due to regulatory uncertainty and the absence of an official licensing framework for crypto trading platforms. Yet, Egyptians continue to buy Bitcoin and other cryptocurrencies.
While cryptocurrencies may seem like an attractive alternative income stream, you should remember that these are extremely high risk assets and any investment in them should be made only after thorough research. The regulatory uncertainty and arrests made by authorities are an added risk for Egyptian traders.
Therefore, you should tread carefully if you’re thinking about trading cryptocurrency in Egypt.