Hello and welcome to our new post about the best crypto brokers of 2023: As an investor, you have the choice between a crypto exchange and a crypto broker. Our editorial team has selected 5 providers for you that enable you to buy your first cryptocurrency safely, quickly, and reliably.

In order to find the best crypto broker for you, we extensively compared the advantages and disadvantages of the respective providers in our test.

Top 5 Best Crypto Brokers

In the following, we, therefore, share our experiences with the best providers in our crypto broker comparison.

1. eToro

In our comparison of the best crypto brokers, the largest social trading platform in the world, eToro, takes first place.

In our test, the provider scores with more than 10 years of company history, a variety of free deposit options, and a transparent, flat-rate trading fee of 1% per trade.

From our perspective, eToro is also one of the best crypto brokers because you can buy physical cryptocurrencies on the platform. The crypto broker also supports deposits via PayPal.

With now more than 50 cryptocurrencies, the offer is more than suitable for beginners.

The biggest advantages you should know:

• eToro offers a free demo account
• You can trade more than 50 cryptocurrencies
• There are no deposit fees
• eToro allows deposits with PayPal, credit card, instant bank transfer, and classic bank transfer
• You acquire physical cryptocurrencies

Add to that a fast sign-up process, a well-organized and well-thought-out user interface, so you can start right with the crypto broker.

From our perspective, there is still criticism and a need for optimization. We see the potential for improvement in eToro support, which cannot be contacted in real-time, but only via e-mail/form. Limiting contact to 5 working days, i.e. from Monday to Friday, is also not ideal. In our experiences with the crypto broker eToro, you will find a detailed review.

2. XTB

XTB ranked second in our comparison of the best crypto brokers.

The fact that it is one of the largest CFD brokers in the world and that the German business is handled by X-Trade Brokers Dom Maklerski SA, based in Frankfurt am Main, should be positively emphasized.

This is a company registered with the German Federal Financial Supervisory Authority ( BaFin ), which is also regulated by the Polish supervisory authority KNF.

CFDs on more than 20 cryptocurrencies

The provider XTB currently allows customers to trade 20 CFDs on cryptocurrencies. These include Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), Ripple (XRP) and Chainlink (LINK) or Polkadot (DOT).

XTB has no deposit fees and the spread is just 0.22 percent plus 0.02 percent overnight fees for Bitcoin (BTC).

Due to the exclusive limitation to CFD products, the provider XTB does not come first in our comparison of the best crypto brokers. Above all, we see a need for optimization in the selection of tradable cryptocurrencies.

3. Libertex

Libertex is a CFD broker that allows you to trade 70+ crypto CFDs with no commission fees, however, please note that tight spreads apply.

One of the main reasons for the good ranking is the fact that the company behind Libertex was founded in 2012.

Regulated by the Cyprus Securities and Exchange Commission as a stock and CFD broker, the company offers the ability to trade CFDs on Bitcoin and other cryptocurrencies and buy real stocks.

A positive thing to mention is the large number of tradable cryptocurrency CFDs at the crypto broker. As an investor, you can choose between more than 70 different coins and tokens.

Trading crypto CFDs is fee-free. There is only a narrow spread.

At the same time, we welcome a variety of deposit options, starting with PayPal and credit cards through to classic bank transfers. In addition, deposits at Libertex are free of charge.

Demo account for a free test

Especially for beginners, the possibility to use a demo account is very welcome. This gives you the chance to test the platform without having to use real money.

However, it is important to note that the online broker only offers the opportunity to invest in CFDs.

Physical Bitcoin vs CFDs

In comparison to eToro and Coindex, with Libertex you do not purchase physical Bitcoin, but certificates that reflect the market value of the cryptocurrency.

In our view, this is one of the key advantages of eToro compared to Libertex.

CFDs are complex instruments and come with a high risk of losing money quickly due to leverage. 87.8% of retail investor accounts lose money when trading CFDs. You should weigh whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

4. Coindex

Coindex also corresponds to the classic definition of a crypto broker.

The company, based in Bielefeld, is characterized above all by its own crypto index. You can also physically purchase around 20 cryptocurrencies at Coindex. Here it is possible to transfer the cryptocurrencies to your own hardware wallet.

However, if you are looking for a crypto broker with a really large selection of coins and want to keep the option open of taking both long and short positions, you will find alternatives to Coindex in our comparison. You can find more information in our Coindex reviews.

5. Trade Republic

The Trade Republic is not just a crypto broker but is primarily known as one of the largest neo-brokers in Europe.

The company, based in Germany, has been offering trading in cryptocurrencies for more than a year. You can buy more than 20 coins and invest in them via a savings plan.

The transparent fee calculation, which is a flat rate of 1 euro for each trade, is particularly positive. With the provider Trade Republic, however, we do not have the option to transfer the coins to another wallet. Traders who also want to bet on falling prices cannot do so with the Trade Republic.

This is how we test in our crypto broker comparison

In the following, we explain the most important test criteria when selecting the best crypto brokers.

The 5 components include the aspects of trust and security, fees and cost structure, user-friendliness, the range of tradable cryptocurrencies, and any additional functions.

Trust and security

The top priority when choosing a crypto broker is security and trust in the company in question.

we, therefore, test whether the provider has a registered office in Germany, or at least within the European Union. There is also the question of whether the Bitcoin and crypto broker is regulated by the German Federal Financial Supervisory Authority, BaFin for short.

Other aspects of the evaluation is any awards and the company history.

Fees and Cost Structure

If you are looking for a broker for cryptocurrencies, you intend to trade Bitcoin and Co.

It is therefore essential that services and costs are in reasonable proportion.

This aspect mainly includes trading costs, deposit and withdrawal fees, and overnight costs.

Ease of use

How is the user experience for the user?

We ask ourselves this question in the test criterion of user-friendliness. Although the evaluation is more subjective, in our comparison we make sure that the crypto brokers are clear and beginner-friendly.

Another part of user-friendliness is also the process of registration, deposit, and final withdrawal. In short: how quickly can you start trading with the bitcoin broker of your choice?

Supply of cryptocurrencies

Anyone looking for a cryptocurrency broker probably wants to buy more than just Bitcoin or Ethereum.

Therefore, our editorial team pays attention to how many cryptocurrencies you can trade and how extensive the range of coins and tokens is. In addition to the range of crypto, we also consider the possibility of trading other assets.

Additional features

From the point of view of additional features, we pay attention to any functions and unique selling points of the platform.

This can be a particularly well-functioning app, an opportunity for crypto savings plans, or a very special feature such as social trading.

Which crypto broker do we recommend in comparison?

In our comparison of the best crypto brokers, we have already given you a good overview of our experiences.

Since your personal situation and your own goals should be the decisive factor in choosing a reputable crypto broker, we have shown three scenarios for you.

Depending on your preferences, they can help you with your decision-making.

eToro: The Best Crypto Broker 2023

The social trading platform eToro is the winner for us when looking at the category of the best crypto brokers.

On the one hand, as a user of the platform, you can trade more than 70 cryptocurrencies. On the other hand, you acquire physical coins and tokens, which you can also transfer directly to a hardware wallet of your choice, depending on the deposit method.

In addition, there are points for the variety of deposit methods.

With the crypto broker eToro you can start for free with PayPal, credit card, instant transfer or classic transfer.

In terms of costs, the crypto broker eToro also does not charge any deposit fees. There is no flat fee of $5 for withdrawals.

The trading fees are also transparent and are a flat spread of 1 percent per trade.

Libertex: The online broker with the largest selection of crypto CFDs

The crypto broker Libertex has the largest selection of tradable coins.

So if you are primarily looking for a trading platform where you can speculate on a large range of over 70 CFDs on cryptocurrencies, Libertex is the best place to go.

From our experience, however, it is advisable to use the crypto broker eToro due to the better user interface and the possibility of buying physical cryptocurrencies.

Basics: Crypto Broker or Exchange?

The elementary basics include the distinction between crypto brokers, bitcoin brokers, and crypto or bitcoin exchanges.

In the following section, we explain the differences and the respective advantages and disadvantages that await you as a user.

What is a crypto broker? definition and explanation

A crypto broker is a broker that facilitates cryptocurrency trading.

Crypto brokers often offer not only cryptocurrencies but also stocks, ETFs, precious metals or other financial products.

With a broker, you always trade with the respective platform, which offers you fixed prices for buying and selling a respective asset.

This is the biggest difference to an exchange since you always trade with other exchange participants. In addition, the Bitcoin and crypto broker always guarantees that your respective cryptocurrency can be traded at the specified price. Many brokers also give you the opportunity to earn crypto interest by staking.

How do brokers make money?

The broker is financed by the difference between the purchase and sale price, the so-called spread.

What is a bitcoin broker?

A bitcoin broker is just another name for a crypto broker.

As a rule, it is a collective term that generally refers to cryptocurrency brokers.

In short: You can buy Bitcoin and Co. on such a trading platform. The principle is based exactly on the functionality that was explained in the previous section.

What is a crypto exchange?

A Bitcoin or crypto exchange differs from a crypto broker in many aspects.

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On the one hand, you always trade with a different trading partner on an exchange. Bringing together the respective partners is one of the core tasks of an exchange. The basis for this is the so-called order book, which transparently shows the current buy and sell offers.

On the other hand, you always buy physical coins and tokens from a crypto exchange.

Compared to a crypto broker, however, using an exchange can be more complex, especially for beginners.

This affects, for example, the user interface as well as the respective terms that you should know on a stock exchange. This includes aspects such as market buy, limit order, or stop loss. However, some exchanges offer the benefit of allowing you to purchase your own crypto credit card.

Crypto broker fees: an overview of costs

A crypto broker’s fees typically range from 0.5 to 2.5 percent per trade.

This means that more complex trading on a crypto exchange is often cheaper. Here the fees are between 0.1 and 0.5 percent.

eToro: Flat trading fee for all coins

A positive example of transparent fees is eToro. As a user, you pay a fee of 1 percent when buying or selling cryptocurrencies.

In general, when looking at crypto broker fees, you should always differentiate between deposit and withdrawal fees, trading fees, and any overnight fees for CFDs.

Find the right crypto broker for Bitcoin and Co

How can you now find the best crypto broker for Bitcoin and Co.?

In this comparison, our editors have already shown the best crypto brokers on the market and shared their experiences with the respective platforms.

In the following section, we summarize what we consider to be the 3 most important aspects of decision-making. We also give you specific tips on which providers do very well in exactly these points.

Company history: Which reputable crypto brokers are there?

If you look at the company history, our comparison shows 3 providers who have been on the market for more than 10 years: eToro, Libertex, and XTB.

The company eToro was founded in January 2007 and can therefore look back on almost 15 years of company history. The social trading platform has been operating as a Bitcoin or crypto broker for more than 4 years and offers the second-largest selection in our test with over 50 tradable cryptocurrencies.

Deposit options: Are there crypto brokers with PayPal and Co?

If you combine the aspects of deposit options and the selection of tradable cryptocurrencies, the two companies eToro and Libertex are the test winners in our crypto broker comparison.

eToro and Libertex support all common deposit options: from PayPal to credit card to instant transfer

You can currently buy 50 cryptocurrencies on eToro, and there are even 70 tradable CFDs on cryptocurrencies on Libertex.

Frequently Asked Questions about the crypto broker

In this section, we provide answers to the most important questions to identify a reputable and safe trading platform.