Brokers are intermediaries that facilitate the trading of cryptocurrency between buyers and sellers. A broker can act as either a buyer or seller in order to bring two parties together for a successful trade. Brokers typically charge fees, which may be based on either fixed dollar amounts or percentages of the total transaction amount.
In most cases, brokers require traders to open an account with them before they can begin trading cryptocurrencies. This process usually involves verifying identity documents such as passports or driver’s licenses, providing proof of address (utility bills) and completing anti-money laundering requirements like submitting banking information and tax records so transactions can be monitored by regulators if necessary.
When choosing a broker it is important to pay attention to their reputation as well as any additional services offered beyond simply buying/selling crypto assets such as education materials about blockchain technology and market analysis tools for informed decision making when entering new trades. It is also important consider whether certain features like stop loss orders are available from your chosen broker since this will help protect against large losses due to sudden price movements in volatile markets like those experienced within cryptocurrency markets at times
