Crypto Demo Trading Account - How to start

Cryptocurrencies are one of the most attractive choices when it comes to investing or trading. They are rightfully called the investment of the decade and many experts consider them to be the future of the financial system. Cryptocurrencies defied all market expectations this year and they have successfully eclipsed many other financial markets. Having said that, cryptocurrencies are still a risky investment not only for new traders but for all investors who do not have the knowledge and understanding of the relatively new market.

 

It would be a terrible shame not to provide such people with an opportunity to trade cryptocurrencies and be a part of the exponentially growing market where anything is possible. Cryptocurrency trading with real money can be, however, a devastating experience for unprepared investors and one should approach it very carefully. Luckily for us, there is a practice account called a crypto demo account offered by many companies where risk-free trading is possible.

Crypto trading - Where to open a Free Demo

Cryptocurrency trading is available at many CFD brokers. These providers give the chance to try crypto trading with imaginary funds and do not require any initial investment. An email account and your name usually suffice. Here is a selection of 3 leading cryptocurrency brokers that all offer a free demo version, are highly reputable, and are all regulated and authorised by at least one reputable financial regulatory body.

 

Broker
Regulated by
?

Regulatory agencies ensure that brokers operate in a transparent and honest way. They protect the best interests of clients and also feature an investor compensation scheme which protects trader's deposits up to a certain limit. Some of the major regulators in the industry include the CySEC in Cyprus, the FCA in the UK and the ASIC in Australia.

Min. deposit
Trading platforms
?

A trading platform is a computer or mobile software program used to execute transactions within the financial markets.

Cryptocurrencies
Special features
?

A list of features that provide a given broker with a competitive edge.

Warning & Ad Disclosure
?

The table below contains links to 3rd party websites of our top partners from whom we receive compensation at no additional cost to you.

FSCA
FSCA
FCA
FCA
CySEC
CySEC
10
MT4 & MT5
7 crypto pairs
Very tight spreads, affordable pro account
Wide range of payment methods including BTC
ASIC
ASIC
FCA
FCA
CySEC
CySEC
£/€/$
0
MT4 & MT5, TradingView
21 crypto pairs
Razor-sharp spreads
4 World's leading trading platforms
ASIC
ASIC
CySEC
CySEC
£/€/$
100
MT4 & MT5, cTrader
12 crypto pairs
Very competitive spreads, Avg. spread on BTC 18.66
ECN Broker with execution times under 0.04 seconds

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.
Between 74-89% of retail investor accounts lose money when trading CFDs.
You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

 


 

If you want further information regarding each company, do not hesitate to read separate reviews where you can also share your experience once you obtain it.

How to open a free crypto demo and your first trade

There is nothing difficult about opening a free demo version for crypto trading. You can visit one of the mentioned brokers above or any other company that you trust. Once you do that head for their homepage where information about a free demo account should be mentioned. In order to create your first crypto position visit the cryptocurrency section, which might be also sometimes located under the CFD or Forex segment. Once you do that you are free to choose your desired coins and start trading with your imaginary funds. If you lose this capital, nothing happens and you can ask for replenishment or open a new demo.

Cryptocurrency Trading - Purpose of a demo Account

A function of a cryptocurrency demo account is to try trading without having to worry about your real money. You should behave on your demo version as if you were trading on a real account so you could learn the appropriate behaviour which you can then apply on the real market. A crypto demo account should help you to:

  • Get a real touch on how the cryptocurrency market works and behaves in certain situations.
  • Test the platform of a broker where you might trade in the future with your real funds.
  • Test your strategies for crypto trading and your expected moves which you plan to use later on with real sources.
  • Determine which cryptocurrencies are the most suitable and profitable for your style of trading.

Cryptocurrency demo account - FAQ

What is a cryptocurrency demo account?

A cryptocurrency demo account is an account type that allows you to trade Bitcoin and altcoins without taking any risks. Reason being is that you trade with imaginary chips that have no real value. This account type is for practice purposes only.

Is a crypto demo account free of charge?

Yes, a cryptocurrency demo account is offered by dozens of CFD brokers free of charge. No initial deposit required. Here is a list of companies that support demo trading. More details.

How do I start a demo trade?

To start a demo trade you first have to open a new demo account. In most cases, that is a matter of a few seconds. Once your demo account is opened, you can start your demo trades.

What is the best cryptocurrency demo account?

Generally speaking, it is advised to use a cryptocurrency demo account where you might want to trade with real funds in the future. By doing so, you will already familiarise yourself with the trading platform of a cryptocurrency broker. Proceed to our article the best cryptocurrency brokers to see brokers compared side by side.

    

 

22 comments
George
September 08, 2018 AT 19:12 / reply
please, is Itrade Gold company a legitimate one? if yes, for how long have they be in business? Does it (company) have any negative track record? is it safe to invest with them?
Michael
September 09, 2018 AT 08:27 / reply
Hello George, I tried to look into the company, but even tho they have been operating since 2016, there is basically not a single mention about them on the internet. It is, therefore, very hard to determine whether they are legitimate or not. If you were also unable to find any information that they are good to go, I would if I were you rather go for something more established than this.
Gerry
September 23, 2018 AT 19:12 / reply
Please, where can I open a demo account for Ethereum?
Michael
September 23, 2018 AT 19:42 / reply
Hey Gerry, All 3 cryptocurrency brokers that are in the comparison above offer Ethereum trading, so you can decide which company you like the most and there you can open a demo version. Note that apart from Ethereum you can also open a demo version to trade Bitcoin, Bitcoin cash, Bitcoin gold, Ethereum Classic, Litecoin, Zcash Ripple, IOTA, Dash, EOS, Cardano, Neo, Stellar, Monero, Tron, Qtum. Each crypto broker features different coins so make sure to check the icons of cryptocurrencies in the comparison above.
Juan miguel
September 24, 2018 AT 18:20 / reply
Hi Michael. Please I really want to inquire if Crypto world company is legitimate? Reasons because less than a week after I bought a robot coin, my account stopped functioning.
Michael
September 24, 2018 AT 19:23 / reply
Hello Juan, I am sorry to disappoint you, but I personally do not think they are trustworthy and there are a number of reasons why. The biggest issue I see is that they advertise a 2.40% daily return on your investment. That means 72% per month, this amount is absurd. That is why I wrote the article about them so you guys would be careful before you invest money with them.
gugu
October 10, 2018 AT 17:30 / reply
Message *hi I want a demo that I can use so that I would start
Michael
October 10, 2018 AT 17:47 / reply
Hello Gugu, In that case feel free to choose one of the companies from the table above, visit their website and open a free demo :)
Gordy
June 27, 2019 AT 13:14 / reply
Thanks for the sharing the guide. Are there more legitimate cryptocurrency brokers that you would recommend?
Michael
June 27, 2019 AT 14:07 / reply
Hi Gordy, You are welcome. Feel free to check out our article crypto brokers that compares the offer of top cryptocurrency regulated brokers.
Gordy
June 27, 2019 AT 23:03 / reply
Thanks once again for the updated link you sent. Please have do you know anything about "https://www.blockchain.com/" ?
Michael
June 28, 2019 AT 20:40 / reply
No worries, glad I could be of help. Despite the domain name of the website, I never heard about it, so I can't really help you there.
Ahmad
September 05, 2019 AT 15:21 / reply
hello Michael....I have no experience in trading crypto currency but I read a lot about them on the internet. I was thinking to use pre programmed trading bots but after researching I found that some needs technical skills and some (or most) too good to be true. so my question is how/where can I learn to trade crypto currency without using automated trading bots or even brokers. thank you for your help
Michael
September 06, 2019 AT 08:30 / reply
Hello Ahmed, I dare to say that almost every bot is a scam that will just rob you of your money. If they worked, people who invented them would use them for their own gain and they would not sell them on the internet. May I ask why don't you want to use a broker to try cryptocurrency trading on a free demo? There is nothing to lose for you, there do not require from you any deposit or investment. Anyway, there is always paper trading.
Ahmad
September 08, 2019 AT 14:49 / reply
thank you Michael...i'll try the free demos and I think using a knowledgeable broker is a good idea for a newbie like me. thanks again
Michael
September 08, 2019 AT 18:07 / reply
You are welcome. Best of luck on your trading journey. If anything, drop me a line. Cheers!
joseph
March 09, 2020 AT 18:51 / reply
do i have to first open a live account and do kyc before accessing a demo
Michael
March 09, 2020 AT 18:58 / reply
Hello, No, to open a demo account, you do not need to first open a live account.
Shawa
November 29, 2020 AT 13:57 / reply
Hi Michael, This cryptocurrencies thing has been going around for far too long for me not to dab into it. I would love to join the train of crypto traders but I dare to say I know nothing about it. Your advice and guidance would go a long way. Anticipating your response. Thanks
Michael
November 29, 2020 AT 20:16 / reply
Hello, Thank you for reaching out. Feel free to read all the cryptocurrency guides I have published on the portal (You can start with -https://tradingbeasts.com/cryptocurrency-trading-for-beginners/ and my guidepost https://tradingbeasts.com/cryptocurrency-trading/). Best of luck! Kind regards, Michael
Mimy
December 25, 2023 AT 21:49 / reply
Hello Michael I am a beginner never trade crypto before, what I'm expecting is to have more experience in trading, and also know eacht the tokens and coins how to use ithem, thanks
Michael
December 27, 2023 AT 16:42 / reply
Hello Mimmy, thank you for reaching out. I hope our website will help you with finding all the necessary information.
Add a comment
ZjhlNjBh