5 best cryptocurrency exchanges to use in Singapore 2021

So you’ve heard about Bitcoin, Ethereum and Dogecoin giving their investors some truly incredible returns. If you’re feeling major #fomo, here are some of the top cryptocurrency exchanges available for aspiring crypto-investors in Singapore.

Cryptocurrencies need no introduction. They’ve been all the hype over the past year, with Bitcoin skyrocketing from the depths of less than US$6,000 (S$8,010)to more than US$60,000 per Bitcoin in April 2021. 

If you’re entirely new to the crypto scene, read this guide to cryptocurrency investing to get yourself up to speed.

Before we dive into cryptocurrency exchanges, we would first like to mention that trading or investing in cryptocurrency isn’t for everyone. Cryptocurrencies are best known for their extreme volatility and of course, their crazy growth, particularly over the past year. 

How to trade cryptocurrency in Singapore 

First up, you’ll need to open an account with a cryptocurrency exchange.

If you’re an investor who has already dabbled in stocks, bonds, ETFs and robo-advisors, one way to look at cryptocurrency platforms is that they’re akin to your brokerage accounts.

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With these platforms, you can access and trade various cryptocurrencies, much like how you’d buy and trade shares with your brokerage account. 

But, can’t you just use a stock brokerage account? No, you can’t. It’s like trying to buy fried chicken from a frozen yogurt store like llaollao, when you should actually be buying from the likes of Popeyes, Texas Chicken or Arnold’s.

Then again, there is always the possibility of a store selling both fried chicken and frozen yogurt in the future. 

For some cryptocurrency exchanges, you might also require a separate platform to help you transfer your Singapore dollars into the crypto exchange, such as an Xfers account, as not all exchanges accept Singapore-dollar deposits.

Best cryptocurrency exchanges in Singapore

To help you make a quicker decision on the cryptocurrency exchange to use, we’ve picked out five for you to consider as you embark on your wild crypto ride. 

1. Binance International (Binance.com): Best overall and for low fees

Binance (Binance.com) is an all-in-one platform where you’ll find everything that you’ll need when it comes to trading crypto. It’s also the world’s largest crypto exchange with the highest daily trading volume, supporting more than 500 cryptocurrencies. 

You can start trading either by depositing crypto that you currently have in another wallet into your Binance account. Alternatively, you can buy crypto either using your credit card or through the Binance P2P platform where you buy from other crypto holders.

If you choose to use Binance P2P, it comes with zero trading fees and 150 ways to make payment, including bank transfers, cash, PayPal, via e-wallets and more.

Binance offers more than simply access to buy and sell cryptocurrencies. You can find a wide variety of financial tools for your cryptocurrency needs on the platform, including derivatives, a margin account to increase your profits with leverage, a Binance Visa card, crypto loans, stock tokens and more. 

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Fees charged: A low 0.1 per cent of the transaction cost, with an additional two per cent charged if you make the purchase using a credit card. 

If you’re looking for a simplified version of Binance.com, you can consider Binance.sg (the Singapore version of Binance), which has all the basics required for new cryptocurrency investors, while excluding the more complicated and advanced tools.

Binance.sg only offers eight different cryptocurrencies: Bitcoin (BTC), Ethereum (ETH), Binance Coin (BNB), Litecoin (LTC), Bitcoin Cash (BCH), Ripple (XRP), Neo (NEO) and Chainlink (LINK). 

Unfortunately, Binance.sg doesn’t offer other altcoins like Dogecoin, Cardano and Sushi. It also has higher fees of 0.6 per cent when you buy or sell from your Binance Cash Wallet or from Xfers. 

2. Gemini: Best for local bank transfers and earning interest on your holdings

First off, Gemini is available in all US states and Singapore. It offers more than 30 cryptocurrencies and also allows for local bank transfers. However, there are some better-known cryptocurrencies that are not available for trading on Gemini just yet, such as Cardano, Polkadot and Solana. 

Gemini supports seven different fiats, specifically: SGD, USD, AUD, CAD, HKD, EUR and GBP. Users can also set up recurring buys as well as dynamic price alerts.

With Gemini, you can also earn interest on your crypto holdings. Gemini Earn is Gemini’s lending programme that offers the opportunity to earn interest compounded daily up to 7.4 per cent annual percentage yield, by lending your crypto to institutional borrowers.

There are of course fees you incur in order to lend out your crypto and receive interest.

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Fees charged: $1.50 to 1.49 per cent of your order value, depending on your web order amount. If you’re transacting in USD, the fees range from US$0.99 to 1.49 per cent of your order value.

There are no hidden fees, and you can redeem your assets any time with no minimum balance, transfer or withdrawal fees required.

Gemini also has resources available for their users as well as non-users, providing blog content, news about Gemini, video content and even a ‘cryptopedia’ to help you understand all things crypto.

This will allow you and your friend to enjoy U$10 worth of Bitcoin once you buy or sell U$100 or more within 30 days of creating your account.

3. Coinhako: Best for local bank transfers and trading in SGD

If you want to #supportlocal, look no further than Coinhako. Founded in Silicon Valley but based in Singapore, Coinhako’s focus is on Asia. 

On Coinhako, you buy and sell more than 20 cryptocurrencies including Bitcoin, Ether, Litecoin, Dogecoin, Ripple and more. There are also some tokens offered that are trade-only, with no wallet features available. These include Binance Coin, Neo, Solana and more.

Coinhako allows you to top up your account with your local currency and start trading. For those in Singapore, this means funding your accounts by depositing Singapore dollars via bank transfers. Withdrawals can also be done via bank transfers.

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Alternatively, you can also make a deposit via a platform like Xfers. 

If you prefer to fund via credit or debit card, you can also do so on Coinhako with cards issued by VISA and Mastercard. However, there is a three per cent card processing fee per transaction.

Coinhako incentivises users with reward points every time you log in and trade. These points can be used to redeem rewards such as trading fee discounts.

Fees charged: 1.0 per cent for every buy, sell or swap transaction. No fees for depositing but $2 per withdrawal.

4. Coinbase: Best for variety of cryptocurrencies and assurance

Coinbase might be the most commonly heard of exchange for equity investors, given that it was newly listed on the Nasdaq (Nasdaq: COIN) in April 2021.

As the first crypto exchange listed on the stock exchange, this could provide investors with a degree of confidence that Coinbase will be around for years to come. 

Founded in 2012, Coinbase is one of the earliest crypto exchanges on the market. It offers more than 60 cryptos, with a handful of coins only limited to Coinbase Pro users.

You can trade cryptocurrencies on Coinbase and even schedule recurring buys daily, weekly, or monthly. Investors worried about the security of crypto exchanges will be glad to know that cryptos stored on Coinbase servers are covered by their insurance policy.

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Besides trading crypto, you can also spend your crypto anywhere around the world with the Coinbase visa debit card, which will be funded by your Coinbase account balance.

The card allows you to choose which crypto to pay with through the Coinbase app. To store all your tokens in one place, you can also get the Coinbase wallet.

In Singapore, you can only fund your Coinbase account with a credit or debit card. However, this would mean that you incur the additional fee of 3.99 per cent.

On the Coinbase platform, you can also find a library of tips and tutorials on all things crypto, including a glossary of crypto terms, guides for beginners and market updates. 

Fees charged: Range from US$0.99 to US$2.99, depending on your total transaction amount. There’s also an additional 3.99 per cent fee if you purchase using a credit or debit card.

5. Huobi: Best for variety of crypto assets, currencies and payments 

Yet another leader in the crypto field, Huobi has more than 340 cryptocurrencies available. Like Coinbase, Huobi is also a listed company, having been listed on the Hong Kong Exchange (HKEX: 1611) since 2018.

You can buy and sell crypto in 57 local currencies and 60 payment methods on Huobi. Like most of the crypto exchanges listed in this article, you can use your credit card to purchase cryptocurrencies on Huobi.

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Similar to Binance, Huobi also has a P2P market where avid crypto traders can buy and sell coins with like minded peers — some even offer PayNow as a payment option. Huobi’s fees are almost as competitive as Binance’s, at 0.2 per cent compared to 0.1 per cent. 

Huobi offers various crypto tools, including derivatives, margin trading and crypto lending. If you’re looking to use leverage, Huobi allows their users to trade with up to five times leverage for spot trading.

Finally, Huobi has their own educational materials and communities for you to follow, ranging from the usual Facebook, Telegram, Instagram, and YouTube to Reddit and Medium. 

Fees charged: Range from US$0.99 to US$2.99, depending on your total transaction amount. There’s also an additional 3.99 per cent fee if you purchase using a credit or debit card.

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However, there are some restrictions to using Huobi. For example, some sign-up promotions might not be applicable to users who register in Singapore. 

Finally, before you open an account with any crypto exchange, be sure to try and get a referral code in order for both you and your friend to earn a referral reward! 

If the riskiness and volatility of investing in cryptocurrencies is something you can’t afford to stomach, fret not — there are alternative ways to invest, such as with a robo-advisor or setting up a regular savings plan.

This article was first published in SingSaver.com.sg. All content is displayed for general information purposes only and does not constitute professional financial advice.