Cryptocurrency exchanges are a lot like stock exchanges. Except that they facilitate trade in digital currencies and not conventional securities. These exchanges are ubiquitous these days if you want to get into cryptocurrency trading.
The cryptocurrency market in Bangladesh is still in its infancy. This is not helped by the harsh stand taken by the country’s authorities on cryptocurrency. Due to this, it is difficult to get an exact estimate of the popularity of cryptocurrency in Bangladesh.
Still, there are exchanges that are operating in the country. Here, we have listed some of the leading ones that have a presence in Bangladesh.
Top 6 Exchanges Operating in Bangladesh
While Bangladesh may not have the most conducive environment for cryptocurrencies, there are still some exchanges that offer their services in the country. Let us have a look at some of the prominent ones:
Binance
The world’s largest cryptocurrency exchange, Binance, also has a presence in Bangladesh. It would be apt to say that Binance is not just an exchange but it encompasses an entire blockchain ecosystem.
With Binance, you get to trade in over 350 cryptocurrencies. You just want some Bitcoin? Binance has it. Or maybe a gaming token like AXS is more your thing? Cool, Binance has that too. You get all this at a low trading fee of 0.10%.
This exchange is fully KYC-compliant and keeps all the data encrypted. It enforces 2-factor authentication(2FA) and encourages the use of IP and wallet address whitelisting, device management and API access control for added security.
Features
✔️Hosts over 350 cryptocurrencies
✔️0.10% or lower maker-taker fee
✔️Enables 2FA, address whitelisting and device management for security
✔️Its native token is known as BNB
✔️Earn crypto by completing educational courses
Pros and Cons
✅Wide variety of coins ❌Regulatory troubles in many
✅Competitive trading fee countries
✅Mandatory KYC verification ❌Too many products and services
✅Multiple order types supported can overwhelm new users
✅Tutorials in over a dozen languages ❌Instances of serious cyber attacks
Trading Fees
The trading fee on Binance is 0.10% at the lowest tier. Users can also get further discounts by using BNB for transactions.
Binance’s fee breakdown
Customer Reviews
Binance ensures ease of conducting transactions
Some users have had trouble getting transparent information from Binance
Why We Picked It
There is a lot to do on Binance other than simple buying and selling of cryptocurrencies. You can explore NFTs, brush up your knowledge with its educational resources, and get some crypto while doing quizzes. It might not be the best idea to jump straight into Binance if you’re just beginning but you can surely make your experience worthwhile if you’re a seasoned crypto trader.
Kraken
Kraken, one of the oldest cryptocurrency exchanges out there, also operates in Bangladesh. Beginning with just Bitcoin, Litecoin and Euro trades, it now hosts 185+ cryptocurrencies on its platform.
San Francisco-based Kraken is the first cryptocurrency company to receive a bank charter from the Wyoming Division of Banking.
Along with 2FA, Kraken employs SSL encryption for security. Email communication is also encrypted and it does not support phone or SMS account recovery for the safety of the users.
Features
✔️Well-established exchange
✔️Has two versions- Basic and Pro
✔️Maker-taker model of determining fees on Kraken Pro
✔️Conducts Proof-of-Reserves audit for transparency
Pros and Cons
✅Decent selection of coins ❌Loss of funds due to hacks
✅Fiat currencies are accepted ❌Not suitable for beginners
✅Low fee on Kraken Pro ❌Basic version has higher fees
✅Staking opportunities
Trading Fees
The final fee on Kraken Instant Buy depends on several factors like order size and payment method; it is generally higher than the fee on Kraken Pro.
The fee on Kraken Instant Buy is not fixed
Kraken Pro fee schedule
Customer Reviews
Kraken’s high fee is a good trade-off for the solid experience it provides
Accounts have been closed without explanation on Kraken
Why We Picked It
Kraken is a stable and regulated exchange. Along with the basic functions, Kraken Pro users can get access to some advanced trading tools. The fees on it are standard for the industry and there are plenty of attractive staking options.
eToro
eToro is not just a cryptocurrency exchange. It is primarily a social trading platform that supports investments in cryptocurrency along with stock trading.
While it has 3,000+ assets for trading and investment, the number of available cryptocurrencies is slightly limited to a little over 75 coins.
When it comes to security, eToro keeps funds in both hot and cold wallets. It is a platform that is heavily regulated by the designated authorities in multiple countries like the USA and Australia. Encryption and masking technologies are used for the safety of users’ personal and financial information.
Features
✔️Social trading and investment entity
✔️2FA, encryption and FDIC insurance for the safety of information and funds
✔️Inactivity fees in case of no login for 12 months
✔️One of the first places to introduce copy trading
Pros and Cons
✅Old and established platform ❌Limited cryptocurrencies available
✅Heavily regulated ❌Trading fees are on the higher side
✅Allows demo trading
✅Zero fees on debit card deposits
Trading Fees
When it comes to fees, there is a 1% fee for buying and selling cryptoassets. There is no fee for sending or receiving cryptocurrency though blockchain charges may be applicable.
Details about eToro’s fees for cryptocurrency transactions
Breakdown of eToro wallet fees
Customer Reviews
eToro provides a great variety of assets and excellent service
eToro can be sometimes hard to navigate
Why We Picked It
eToro is the right choice for people that want to trade cryptocurrency and stocks in one place. One of the first to offer copy trading, eToro has a vibrant community and provides a unique social trading experience.
Crypto.com
It has 250 cryptocurrencies available for trading on the app. Moreover, there are zero fees for depositing or exchanging crypto for crypto on the app. It also has products like a prepaid Visa Card, a DeFi wallet and staking opportunities.
Crypto.com has enabled address whitelisting and multi-factor authentication for account security. User assets are held on a 1:1 basis and the Proof-of-Reserve results are published on its website.
Features
✔️Focuses on app-based trading
✔️Enables direct payments from Crypto.com Pay
✔️Can earn passive income by staking assets
✔️Has a native token called CRO
Pros and Cons
✅Access to over 250 cryptocurrencies ❌Non-CRO holders are charged
✅Satisfactory risk management system higher fees
✅Low trading fee by staking CRO ❌Limited FAQs and tutorials
✅Publishes Proof-of-Reserves for ❌Unimpressive customer service
financial transparency
Trading Fees
Crypot.com follows the maker-taker method of charging fees. High-volume trades attract a lower fee and the final fee paid also depends on the amount of CRO staked by the user.
Crypto.com fee schedule
Customer Reviews
Crypto.com Visa Card is well-received by customers
Some users have had trouble withdrawing funds from Crypto.com
Why We Picked It
Crypto.com is an exchange that is committed to making the idea of crypto trading from anywhere a reality. It is not difficult to use if you have previous experience in cryptocurrency trading. The fees are reasonable and there is an impressive product suite waiting to be explored.
CEX.IO
CEX.IO is a London-based exchange founded in 2013. Unlike a lot of other exchanges, CEX.IO embraces simplicity. It reduces the complexity of the cryptocurrency trading experience to enable seamless and convenient trading.
The platform has over 200 cryptocurrencies for users to trade in. It categorizes users into three categories- Everyone, Traders and Businesses. ‘Everyone’ can use the Instant Buy option to buy cryptocurrencies with various payment options.
‘Traders’ can participate in spot and margin trading while ‘Businesses’ can access institutional-grade services with CEX.IO PRIME.
CEX.IO, like every major cryptocurrency exchange, keeps the majority of the user funds in cold wallets for safety. It is also an exchange that is duly licensed and regulated by authorities around the world. CEX.IO is registered as a Money Service Business(MSB) in the US and Canada. It has also received a Moneylending license to operate in Europe.
The data is encrypted on CEX.IO and it also takes adequate measures to protect against DDoS attacks.
Features
✔️Licensed and regulated exchange
✔️Three-tier categorization of customers
✔️CEX.IO Earn to earn passive income on crypto assets
✔️Mobile app for on-the-go trading
Pros and Cons
✅Decent range of coins ❌Lower liquidity compared to other
✅Lucrative staking options exchanges
✅24/7 customer support ❌The verification process may be tedious
✅Low spot trading fee ❌Limited number of educational resource
Trading Fees
CEX.IO adopts the commonly used maker-taker model based on the 30-day trading volume for determining trading fees. Its fee rates are industry-standard and get lower with rising trade volume.
CEX.IO fee schedule
Customer Reviews
CEX.IO is a simple and efficient platform
Users have had trouble withdrawing funds from CEX.IO
Why We Picked It
CEX.IO is an exchange that supports multiple payment methods for buying and selling cryptocurrencies. It also gives opportunities to earn rewards by staking cryptocurrency. You can check it out if you do high-volume trades and do not require much help in navigating the platform.
Wirex
Wirex, founded in 2014, is a simple platform where people can buy, sell and store cryptocurrency. Its selection of 250 digital assets is easily comparable with that of other major cryptocurrency exchanges in the market.
Wirex’s biggest draw is its Visa debit card which is touted as a Web3 alternative to traditional banking services. You can get as much as 8% cryptoback when you use the debit card for payments. You can also earn a decent APR on WIrex by staking your crypto assets.
Along with the standard 2FA, Wirex also implements a Strong Customer Authentication(SCA) system using a 4-digit SMS code for additional security. The Wirex wallet is a multi-signature wallet which helps secure transfers and withdrawals of funds.
Wirex is PCI DSS Level 1 and ISO 27001 certified ensuring the security of the platform itself.
Features
✔️250 cryptocurrencies available
✔️2FA and SCA for security
✔️In-built Wirex Wallet
✔️Native token is known as Wirex Token(WXT)
Pros and Cons
✅Regulated exchange ❌No advanced analysis tools
✅Supports both fiat and cryptocurrency ❌Long wait time for resolving
✅Mobile app for flexible trading complaints
✅Industry-standard fees ❌Demo trading not available
✅Debit card for crypto payments
Trading Fees
When it comes to fees, Wirex charges a commission along with the Over-the-Counter(OTC) rates for exchanging cryptocurrency while fiat exchange services are free. For external crypto transfers, the fee varies according to the type of cryptocurrency. Bitcoin, for example, has a $10 external transfer fee.
Wirex transaction charges details
Wirex charges for external transfers
Customer Reviews
Wirex is liked for the various services it provides
Accounts have been blocked without explanation on Wirex
Why We Picked It
Wirex provides good services at competitive fees. It has a native wallet that makes trading convenient and offers great rewards on its debit card. You can also get some income by staking your assets on Wirex.
Top 6 Decentralized Exchanges Available in Bangladesh
Decentralized cryptocurrency exchanges(DEXs) are purely peer-to-peer networks. There are no intermediaries or central order books to match buyers and sellers. Generally, you just need a cryptocurrency wallet to trade on them. Decentralized exchanges also have mostly lesser geo-restrictions on them as compared to centralized exchanges.
UniSwap
This is one of the original and the most popular DEX using the Automated Market Maker(AMM) model for creating liquidity. It is built on the Ethereum network; therefore, most ERC-20 tokens are easily available on UniSwap.
UniSwap is safe in the sense that users always have control over their assets. Loss of funds due to a system breach is hence, nearly impossible. Plus, UniSwap has an open-source code and anyone can report security issues in it.
Features
✔️Built on the Ethereum network
✔️Automated Market Maker model for creating liquidity
✔️Open-source project and runs a Bug Bounty program
✔️Has a native token called UNI
Pros and Cons
✅Access to all ERC-20 tokens ❌No vetting of coins
✅Compatible with most crypto wallets ❌Does not support fiat
✅No sign-up and quick trading ❌High Ethereum gas fee
✅Community governance by UNI
holders
Trading Fees
UniSwap has a three-tiered fee structure. Safe pairs like USDC/USDT are charged a 0.05% fee. Established pairs like USDT/BTC fall in the 0.30% category. Exotic pairs, meanwhile, have the highest fee of 1%.
UniSwap fee details
Customer Reviews
UniSwap is liked for its no-frills simple design
High gas fee continues to be an issue for UniSwap
Why We Picked It
UniSwap is one of the largest and most well-known DEXs. It is compatible with most crypto wallets such as MetaMask, Coinbase Wallet and Trust Wallet. This makes trading on it a matter of minutes if you know your way around DEXs. UniSwap also has good staking options if you want to make good use of your idle assets.
PancakeSwap
One of the many “swap” exchanges albeit on BNB Chain and not Ethereum. Using the AMM protocol, it is used primarily for swapping BEP-20 tokens. But token swaps are not the only thing that PancakeSwap has. It also offers limit orders, perpetual trading, yield farming and lottery programs.
As for security, PancakeSwap has an open-source code for transparency. It has been audited by cybersecurity firms like Peckshield and Snowmist and received positive ratings.
Features
✔️Developed on the BNB Chain
✔️Uses Automated Market Maker model for liquidity
✔️Native token is called CAKE
✔️CAKE holders vote on proposals for the platform
Pros and Cons
✅Diversified product suite ❌Limited non-BEP-20 tokens
✅Simple fee structure ❌Risk of impermanent loss
✅Easy trading for BEP-20 tokens ❌Phishing attempts and scams on
✅Changes are implemented with the exchange
with the consent of token holders
Trading Fees
Unlike UniSwap, PancakeSwap has only one fee level i.e. a single 0.25% fee for trading on the platform.
PancakeSwap fee details
Customer Reviews
PancakeSwap does not require KYC verification
There is an issue of scams and pump and dump schemes on PancakeSwap
Why We Picked It
PancakeSwap caters to the needs of traders who want to try out something new. The dedicated syrup pool for CAKE staking offers some attractive returns. You can use PancakeSwap with most major crypto wallets which makes trading easy and hassle-free.
Changelly
Changelly is a cryptocurrency exchange built on the idea of ensuring privacy and anonymity while trading. It is a non-custodial platform without any KYC requirements. This makes registering on the platform a simple and hassle-free task.
It is an uncomplicated exchange that efficiently does its main task of facilitating cryptocurrency trading. It offers an impressive 200+ cryptocurrencies for trading and also supports a limited number of fiat currencies.
While using Changelly, traders are responsible for their own safety. Since the exchange does not hold any funds and users have to use their own crypto wallets, the users are responsible for maintaining the security of their wallets and verifying transactions before proceeding.
Features
✔️Non-custodial platform
✔️Crypto-to-crypto and fiat-to-crypto trades supported
✔️Fixed and floating rates
✔️Partnerships with major wallets such as Trust Wallet
Pros and Cons
✅Easy-to-use platform ❌Fiat-to-crypto exchange fee
✅Diverse collection of cryptocurrencies is high
✅Privacy and Anonymity due to no KYC ❌Large minimum trade amounts
✅Low fees on crypto-to-crypto ❌ Fees may be difficult to
exchanges compute for floating rate
Trading Fees
For fees, Changelly has two options- floating and fixed. While the floating rate may change while the transaction is still being processed, the fixed rate is unchanging.
There is a 0.25% transaction fee plus additional charges for floating rate
Customer Reviews
Changelly is a beginner-friendly platform
Some customers have encountered scams on Changelly
Why We Picked It
Changelly is a platform that does what it promises. Its UI is uncomplicated which makes for a convenient cryptocurrency trading process. It has a competitive selection of coins and is best suited for crypto-to-crypto trades due to the high charges for fiat-to-crypto transactions.
Balancer
Balancer is a DEX built on Ethereum. It may seem similar to other Ethereum-based DeFi projects but Balancer is a bit different since it allows multiple tokens to be added to the pools. Users can add as many as eight tokens in one pool.
Balancer also has public and private pools. Even small holdings on public pools can earn some fee for providing liquidity. Private pools are more suitable for people with higher risk tolerance. Here, only pool creators can change the pool’s parameters or add or take out assets.
Features
✔️Has an automated portfolio manager
✔️Liquidity pools can be customized by traders
✔️The native token is called BAL
Pros and Cons
✅Multi-token liquidity pools ❌Limited educational resources
✅High interest for staking ❌Possibility of impermanent loss
✅Minimal gas fee ❌Only has a web browser version
Trading Fees
On Balancer, since the pools are programmable, it is the pool creators that decide how much the fee should be. It can be anything between 0.0001% to 10%.
Balancer fee details and breakdown
Why We Picked It
The interest rates on Balancer are a lucrative option for experienced investors with an appetite for risk. The multi-token pools are a unique feature which helps investors diversify their portfolio on Balancer.
Curve Finance
Curve Finance mainly provides liquidity for stablecoins or wrapped versions of assets. It can, therefore, be considered to be a more stable platform than other DeFi projects.
A big advantage for Curve Finance is that works on multiple chains including Ethereum, Avalanche, Polygon and Arbitrum. It has a native token called CRV and the ones who hold these tokens are allowed to vote on proposals for the platform. This establishes a culture of community governance on Curve Finance.
Features
✔️Primarily for stablecoin swapping
✔️Highly liquid platform
✔️Uses Automated Market maker model
Pros and Cons
✅Pools are customizable ❌Not very beginner-friendly
✅Supported on multiple chains ❌Does not have a mobile app
✅Low transaction fee
Trading Fees
There is a minimum of 0.04% fee for token swaps in all Curve Finance pools.
Curve Finance fee details
Why We Picked It
Curve Finance is perfect for people who want a totally decentralized exchange for trading. It is stable, efficient and has high liquidity to facilitate convenient cryptocurrency trading.
DODO
DODO may not be as well-known as the others but it is a unique DEX. Unlike many other AMM-based DeFi exchanges, it uses a protocol called Proactive Market Maker(PMM) model. This helps DODO maintain more price stability and liquidity on the platform.
Liquidity providers have no minimum deposit requirements on DODO. They just have to deposit their tokens in a pool to earn rewards in the form of a portion of the transaction fee.
Features
✔️Proactive Market Maker model instead of Automated Market Maker
✔️Coins can be easily listed
✔️Cross-chain trading is possible
✔️Has a native token known as the DODO coin
Pros and Cons
✅Cross-chain trading can be done ❌Has lower usage compared
✅Liquidity market can be created by to its competitors
any person ❌No fiat currency can be
✅Slippage is minimized used here
✅Eliminates the possibility of
impermanent loss
Trading Fees
Radar Bear, DODO’s co-founder, states that the platform charges a 0.3% transaction fee per trade. This overall comes about to be a transaction fee of 0.6% for every trade.
DODO fee breakdown as per Radar Bear
Why We Picked It
DODO has features that set it apart from other DeFi platforms. The biggest of them is the adoption of PMM to address the limitations of the AMM protocol. The NFT Vault, DODO Vending Machine and the private pools are other services that might make traders give a chance to DODO.
Is Cryptocurrency Legal in Bangladesh?
Bangladesh is a country that is considered “hostile” to cryptocurrency. While it has largely embraced blockchain technology and even published a National Blockchain Strategy, it has tightened the noose on cryptocurrencies.
In the past few years, the Bangladesh Bank has reiterated multiple times that cryptocurrency is illegal in the country. In 2014, it announced that the use of cryptocurrency was a punishable offence.
A circular was issued again in 2022 clarifying that there is no approval for any kind of exchange or trade of virtual assets in the country. Banks were also told to stop the assistance for such activities.
Any such transaction will be in defiance of the Foreign Exchange Regulation Act, 1947 as the definition of “currency” under the Act does not include virtual currency. Cryptocurrency transactions are also in contravention of the Anti-Terrorism Act, 2009 and the Money Laundering Prevention Act, 2012.
The legal consequences for this include a fine or seven years imprisonment or both.
However, the presence of several cryptocurrency exchanges shows that there are crypto enthusiasts in the nation despite limitations.
Conclusion
Choosing a cryptocurrency exchange is an important part of cryptocurrency trading. Along with the features and fees, your ability to tolerate risk and the legal landscape of your environment also matters. Bangladesh, however, is not a country that is accommodating of cryptocurrency.
Dealing with virtual assets is pretty much outlawed in the nation under various regulations. Still, there are exchanges that offer their services in Bangladesh.
Whether you should invest in cryptocurrency or not is up to you but it is important to be aware of their legal position and the government’s official stance on the use of digital currencies in Bangladesh.