What are the best exchange options in USA?

[wrongbenson]

Hi guys,

With Binance shutting down for USA customers, I am wondering what exchange I should use? I know they're supposed to come out with their own USA exchange but just wondering what my best options are. I have Bitcoin, XRP, and Litecoin all in wallet, and not that interested in anything else. 

I've used GDAX (Coinbase Pro now??) as well in the past, and would be open to them, but it used to be no fees and now it seems like I'm paying fees there. I do like that they have 2-factor authentication and whitelisting, and that they seem to be ahead of everyone else in USA in terms of regulatory compliance.

So fees, regulatory compliance, and security are the main priorities for me, and obviously that there is a XRP-USD pair. I'll probably try out the new Coinbase Pro if there's nothing decent out there. 

Thank you!

Edited June 27, 2019 by wrongbenson

[automatic]

FYI - Binance indicated they will be opening US-specific site this fall (www.binance.us).  

In the meantime, take a look at Kraken.

[GoldenGoose]

You might as well have accounts at Coinbase, Kraken, and Bittrex. XRP is available from all of them, and a variety of other digital assets would be as well. And don't be worried about the Coinbase Pro fees. The maker fees begin at a 40% discount from what Bitstamp charges, for example, and go down from there. 

[HazzaHat]

On 6/27/2019 at 7:21 PM, GoldenGoose said:

You might as well have accounts at Coinbase, Kraken, and Bittrex. XRP is available from all of them, and a variety of other digital assets would be as well. And don't be worried about the Coinbase Pro fees. The maker fees begin at a 40% discount from what Bitstamp charges, for example, and go down from there. 

Which would you say are the easiest/quickest to sign up to and pass KYC?

[GoldenGoose]

26 minutes ago, HazzaHat said:

Which would you say are the easiest/quickest to sign up to and pass KYC?

I have business accounts, mostly. Coinbase and Kraken have provided the best customer service. 

[HazzaHat]

On 7/1/2019 at 1:11 AM, GoldenGoose said:

I have business accounts, mostly. Coinbase and Kraken have provided the best customer service. 

Thanks

Do you recall how long it took to pass KYC and most important which documents they asked for?

[GoldenGoose]

13 minutes ago, HazzaHat said:

Thanks

Do you recall how long it took to pass KYC and most important which documents they asked for?

Business accounts require more documentation. If memory serves, a personal account is usually just a passport or driver license, a selfie, and maybe a utility bill. You then set up 2-factor authentication, whitelisting, etc., for added security measures. It seems like it was all done in a day. No fingerprints or DNA samples required.  

[HazzaHat]

On 7/4/2019 at 12:18 AM, GoldenGoose said:

Business accounts require more documentation. If memory serves, a personal account is usually just a passport or driver license, a selfie, and maybe a utility bill. You then set up 2-factor authentication, whitelisting, etc., for added security measures. It seems like it was all done in a day. No fingerprints or DNA samples required.  

The selfie was a live video one or a photograph?

For withdrawal amounts to your bank what are the limits per day/month?

Have a favourite out of Kraken and Coinbase for user experience and customer services?

[GoldenGoose]

@HazzaHat, The photograph can be a selfie or it can be taken by a third party. You're generally asked to hold a photo ID and a handwritten Post-It Note (or equivalent) with the current date and purpose for the photograph, without obstructing the view of either the ID or the note.

There is an extra verification step for business accounts. I'd rather not say the withdrawal limits, but they are ample.

Both Kraken and Coinbase have provided excellent customer service. The user experience has been better with Coinbase. Coinbase has never been hacked. It is FDIC-insured, up to the usual limits. It tends to have greater volume/liquidity than other direct-from-fiat exchanges, and it now offers far more digital assets than it ever did for its first several years in business. The Kraken platform can be a little buggy. I like having accounts at multiple exchanges, just to have easier access to more digital assets, and because of a terrible experience with Bitstamp. I now want numerous on-ramps, just in case there is ever another problem with one of them.

Coinbase has very limited trading tools. Truth be told, my ideal exchange would be a hybrid of several. It would have the relative safety and security of Coinbase. It would have the volume and smorgasbord of offerings available from Binance, but would allow me to purchase directly with USD. It would have the Dark Pool feature available from Kraken. It would have the sub account feature from Bitstamp, since subs are very useful for certain trading strategies or the ability to differentiate ownership with a business partner or family member, even when funds for the overall account are commingled. When I still had a Bitstamp account, for example, one of the subs contained money that belonged exclusively to my children. Each one had ponied up an equal amount to be traded by me, along with the overall account. I had them treat it as though their sub account was a business entity and they were its Board of Directors. They would then be responsible to make joint decisions by majority vote, since I required them to remain equal shareholders at all times, rather than having to track ever-changing percentages that would occur if only one withdrew money or wanted to put more in at some future time(s). It also gave them the opportunity/responsibility to jointly decide whether and when they would withdraw anything, what to hold back for taxes, etc. And it gave them the chance to learn the difference between realized and unrealized gains/losses. They enjoyed a 20-fold increase over several months in 2017, prior to pulling back their original investment money and profits and moving from Bitstamp.

[HazzaHat]

27 minutes ago, GoldenGoose said:

@HazzaHat, The photograph can be a selfie or it can be taken by a third party. You're generally asked to hold a photo ID and a handwritten Post-It Note (or equivalent) with the current date and purpose for the photograph, without obstructing the view of either the ID or the note.

There is an extra verification step for business accounts. I'd rather not say the withdrawal limits, but they are ample.

Both Kraken and Coinbase have provided excellent customer service. The user experience has been better with Coinbase. Coinbase has never been hacked. It is FDIC-insured, up to the usual limits. It tends to have greater volume/liquidity than other direct-from-fiat exchanges, and it now offers far more digital assets than it ever did for its first several years in business. The Kraken platform can be a little buggy. I like having accounts at multiple exchanges, just to have easier access to more digital assets, and because of a terrible experience with Bitstamp. I now want numerous on-ramps, just in case there is ever another problem with one of them.

Coinbase has very limited trading tools. Truth be told, my ideal exchange would be a hybrid of several. It would have the relative safety and security of Coinbase. It would have the volume and smorgasbord of offerings available from Binance, but would allow me to purchase directly with USD. It would have the Dark Pool feature available from Kraken. It would have the sub account feature from Bitstamp, since subs are very useful for certain trading strategies or the ability to differentiate ownership with a business partner or family member, even when funds for the overall account are commingled. When I still had a Bitstamp account, for example, one of the subs contained money that belonged exclusively to my children. Each one had ponied up an equal amount to be traded by me, along with the overall account. I had them treat it as though their sub account was a business entity and they were its Board of Directors. They would then be responsible to make joint decisions by majority vote, since I required them to remain equal shareholders at all times, rather than having to track ever-changing percentages that would occur if only one withdrew money or wanted to put more in at some future time(s). It also gave them the opportunity/responsibility to jointly decide whether and when they would withdraw anything, what to hold back for taxes, etc. And it gave them the chance to learn the difference between realized and unrealized gains/losses. They enjoyed a 20-fold increase over several months in 2017, prior to pulling back their original investment money and profits and moving from Bitstamp.

A very detailed explanation

Going by what you said I think Coinbase sounds like the obvious choice. I've still got reservations about sending my ID off to these companies to comply with KYC & AML but that's something I probably need to get over.

Why are you hesitant to mention withdrawal limits? I was told it is a maximum of $100,000 per day and capped at $500,000 a month. Is that true?

[GoldenGoose]

7 minutes ago, HazzaHat said:

Why are you hesitant to mention withdrawal limits? I was told it is a maximum of $100,000 per day and capped at $500,000 a month. Is that true?

The short answer is financial privacy. I learned the hard way the parasites one tends to attract when there is even a perception of wealth. Read up on the stories of countless lottery winners, if you want more examples. Again, business and personal account limits are apples and oranges. The account limits can go so high that there is no practical effect/restriction on even having a limit.

I understand the reluctance to share things like your ID or SSN. I wouldn't want to send mine freely to many of the crappy exchanges in far off places, but I'd say bite the bullet with Coinbase. The only way I see to get around it and still have an account is to do a business account with a partner and surreptitiously have them be the face of the verification process. If you overtly disclosed your motives for doing a business account with them, it may not go over well with some. 

[HazzaHat]

Coinbase does have a good reputation so sending ID to them wouldn't be too much of an issue. I am glad people even today are cautious about who they send their ID to because these are important personal documents and information.

I need to check up on the Business accounts to see exactly what they are and what they offer and how they differ from Personal accounts but thanks for the tips and information. You've given me plenty to ponder.