Looking to jump straight to the answer? You can get a $20 bonus for using CoinSmart Crypto Exchange!
Global participation is pushing the adoption of cryptocurrency to new heights. Continuously outperforming more traditional investment vehicles, the cryptocurrency market has recently pushed past $2 trillion on its way toward a brand new all-time high. And with top altcoins making amazing gains for their investors, aspiring crypto traders are asking just one question: How can I get in?
Despite huge strides being made in the space, it can still be difficult to find a trustworthy exchange in an expanding field of competitors. And as altcoins continue to grab the attention of an emerging investor class, the demand for reputable trading platforms becomes evermore pressing.
But what makes one exchange better than another? And to which should you trust your hard earned fiat? While personal tastes will ultimately determine an investor's choice, there are a number of factors to consider when deciding on the best crypto exchange in Denmark.
Quick Look: Best Crypto Exchange in Denmark
- Best for Simplicity: CoinSmart
- Best Security: Coinbase
- Best for Margin Trading: ByBit
- Best Financial Services: FTX
- Best Language Support: eToro
Best Crypto Exchanges in Denmark
As the official gateholder between consumers and their favorite altcoins, an exchange often represents the face of the entire cryptocurrency market to onboarding consumers. As such, a proper exchange should be friendly and intuitive for new investors, while simultaneously offering advanced tools for experienced traders.
But the most important aspect of any exchange is undoubtedly its security. With hacks and cyberattacks becoming more commonplace, an exchange’s ability to combat these threats is the first thing all traders should be interested in.
But not everyone has the time to research the unique aspects of each exchange. Luckily, we’ve done it for you. For the discerning trader on the go, the following list represents the best crypto exchanges in Denmark.
1. Best for Simplicity: CoinSmart
The crypto industry is booming and CoinSmart is on a mission to make cryptocurrencies like Bitcoin, Ethereum, and altcoins like Doge and Solana accessible to everyone. With a crypto trading platform designed to break down the barriers of complex and confusing crypto transactions, CoinSmart offers simplicity, learning tools for all levels, as well as 24/7 omni-channel support. Plus, CoinSmart currently offers a $20 sign-up bonus to new users that trade crypto on its platform.
CoinSmart is a regulated, Canadian-headquartered crypto asset trading platform registered with the Ontario Securities Commission and securities regulators across Canada, allowing Canadians to buy and sell crypto in as little as five minutes. CoinSmart is also one of the first Canadian-run trading platforms to have an international presence, accepting customers across 40+ countries at a time when the digital asset industry continues to rapidly expand.
2. Best Security: Coinbase
Sum of median estimated savings and rewards earned, per user in 2021 across multiple Coinbase programs (excluding sweepstakes). This amount includes fee waivers from Coinbase One (excluding the subscription cost), rewards from Coinbase Card, and staking rewards. ³Crypto rewards is an optional Coinbase offer. Upon purchase of USDC, you will be automatically opted in to rewards. If you’d like to opt out or learn more about rewards, you can click here. The rewards rate is subject to change and can vary by region. Customers will be able to see the latest applicable rates directly within their accounts.
Available to customers in Denmark, the U.S.-based exchange, Coinbase has perhaps the most secure platform anywhere in the world. With best-in-class offline storage, Coinbase insures all crypto stored on their servers. And with 2-factor authentication (2FA) required on all withdrawals, you can be assured of your crypto's safety on this regulated exchange.
Plus, Coinbase has a promotional program going on called Coinbase Learn. You can earn free cryptocurrency for watching short videos to learn about blockchain technology. Complete all the videos and you can earn over $100 of free crypto instantly credited to your account!
3. Best for Margin Trading: ByBit
ByBit is a fantastic alternative to Coinbase and Binance for Denmark residents. Boasting a 100,000 TPS matching engine and state-of-the-art pricing system, the trades on ByBit are lightning fast and always at a fair price. Impressively, with a 24/7 multilingual support team, you’re sure to get your most pressing questions answered in a timely manner.
Also, ByBit allows investors to trade on margin. Margin trading increases your risk significantly, so it should only be used by experienced traders. You can trade with up to 100x leverage, but the higher your levered, the more likely you are to be liquidated.
4. Best Financial Services: FTX
A tried-and-true platform for Denmark residents, FTX International has an incredible array of features available on the platform. From leveraged tokens to futures markets, FTX is a one-stop-shop access point to financial markets. Best of all, you can feel great about your trades, as 1% of all net fees is dedicated to the world’s most effective charities. (FTX is not available in the U.S.)
5. Best Language Support: eToro
Cryptocurrency is offered by eToro USA LLC (“the MSB”) (NMLS: 1769299) and is not FDIC or SIPC insured. Investing involves risk
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more
Last but not least on this list of the best crypto exchanges available in Denmark is eToro. eToro is trusted by millions of users worldwide, having been available to consumers for over a decade. With a strong presence in Scandinavia, eToro has implemented language support for Norwegian, Swedish and Danish-speaking clients, allowing people in the area to trade in their native language.
Cryptocurrency Exchange Types
The availability of trading platforms reflects the demands of a diverse and growing investor class. While the choice between them can only be decided by individual preference, knowing the differences among a few of the more common financial services offered can help guide your investment goals.
Cryptocurrency service providers can be classified in a number of ways depending on the products they offer. For example, while a cryptocurrency exchange is simply a platform for trading in and out of cryptocurrencies, a brokerage has the ability to search multiple exchanges for the best deal on your coins.
From decentralized finance (DeFi) swaps to Bitcoin ATMs, the services provided in the space have expanded dramatically. The provider you choose will ultimately depend on your own unique investment goals.
Current Crypto Prices
The cryptocurrency market is down altogether, sitting just under a $1 trillion market cap, down from its all-time high of just under $3 trillion. Bitcoin (BTC) and Ethereum (ETH) struggle to break through current levels of resistance, its been hard for altcoins like Cardano (ADA) and Solana (SOL) to break their resistance levels as well.
Bitcoin dominance hovers near 43%, and is trending lower in the midst of an unprecedented altcoin season. The real-time prices shown here reflect top-tier cryptocurrencies available in the market.
What to Look for in a Cryptocurrency Exchange
When researching an exchange or brokerage service, it can be easy to get lost in the details advertised on competing platforms. Before concerning yourself with the specifics behind the latest trading algorithm, it makes sense to consider the fundamental features found in the best crypto exchanges.
1. Security
When trading cryptocurrencies, nothing is more important than the security of your chosen platform. As news of cryptocurrency exchange hacks become more frequent, it is vital to choose from reputable sources. The cryptocurrency exchanges listed previously encompass the best-in-class when it comes to protecting your crypto.
From insured holdings to cold storage, make sure you understand the security features offered by a platform before engaging with them. Feeling secure with your purchase is well worth the due diligence involved.
2. Altcoin Offerings
When deciding among options you’ve come to trust, the next crucial factor that can make or break a trader’s decision to sign up is the selection of altcoins available on a platform. And with the gains recently seen with a number of top-tier altcoins, who can blame them?
From AAVE to ZIL, providers have been rapidly expanding the availability of cryptocurrencies on their platforms. And as altcoins continue to make headlines with news of massive gains for their investors, the public will increasingly demand new listings. Besides, when buying multiple cryptocurrencies, it pays to choose a trading platform with a diverse selection — it can save you from the headache of needing to sign up for multiple exchanges later.
3. Advanced Trading Capabilities
For experienced traders, the capabilities included on a platform can often be the deciding factor among exchanges. From orderbooks to charting, experienced traders demand more than what you’ll find in most mobile trading applications.
New technologies are developing at a rapid pace. Understanding the tools offered by available cryptocurrency providers is imperative when making comparisons between them.
Crypto Regulation in Denmark
Denmark boasts some of the most relaxed regulatory requirements for traders of cryptocurrencies. But that could change as the country prepares to update their tax code in an effort to include digital currencies.
While traders may be compelled to report their holdings at some point in the future, there’s no reason to worry just yet. The Tax Law Council isn’t expected to present ideas on the change until 2023.
What You Need to Open a Crypto Account in Denmark
For many traders in Denmark, the Know Your Customer (KYC) process won’t be necessary for basic trading. However, when making large transactions, the need to verify your identity with your chosen exchange will likely be required.
Make sure you have your identification handy. It’s also possible that an exchange will ask to see a utility bill in your name. Remember, you may need to take a photo, so have your camera ready. Smile! You’re almost ready to trade.
Best Crypto Wallets in Denmark
If you want to take full ownership of your holdings, you’ll need to move your coins off of the exchange and into a secure wallet. Whether you’re looking for cold storage or mobile connectivity, it's a good idea to use a cryptocurrency wallet to hold your digital assets. While most software wallets on the market are free, they're not the most secure way to store cryptocurrency.
If you want to hold your crypto in the safest way possible, then you should consider a hardware wallet. Hardware wallets are physical devices that store your crypto offline, making it impossible for a hacker to steal your funds via the internet. Ledger Wallet has been making cryptocurrency wallets since 2014, and they're the most well-known wallet brand in the industry. Ledger lets you store thousands of cryptocurrencies on a single wallet, so it'll be the only hardware wallet you'll ever need.
Decision Time
When choosing a trading platform, you’ll need to do your due diligence to ensure the security of your crypto. But security by itself doesn’t make an exchange great. Other factors that may influence an investor’s decision to sign up for an exchange include the platform's altcoin selection and advanced trading capabilities.
With a somewhat relaxed regulatory environment, the options available to customers in Denmark have grown along with the market. Whichever exchange you choose, the platforms listed here represent the most secure options available to consumers in the country.
Understanding the nuances of blockchain technology can seem daunting. If you’re looking for up-to-date, reliable information on the topic, check out Benzinga’s fantastic educational crypto platform.
Frequently Asked Questions
Do you pay taxes when you sell your crypto in Denmark?
Yes, you pay income taxes when you sell your crypto in Denmark.
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About Micah C. Miracle
Before writing for Benzinga, Micah’s work was featured on a number of ranking news sites, including The Merkle, Global Coin Report and the Crypto Gazette.