Lowest Spread Crypto Brokers - Comparison
The availability of an asset on a broker site is not the only thing that matters. Traders also need to consider the fees they will have to pay to trade these assets. The fees charged have to be low enough for the traders to make profits that are worthwhile. While there are many brokers that allow cryptocurrency trading on their platforms, not all of them charge fair prices to their clients. In this review, we will look at some of the best low-spread crypto brokers in the market. We are going to pin them against each other and see how they fair out against competitors. Let’s jump in.
Quick Crypto Spread Comparison Table
While researching this piece, we managed to collect and record the typical spreads offered by some CFD brokers in the market (with two exceptions of brokers that state only the minimum spread). Below is a comparison table with the findings:
|Broker||Typical Spread On BTCUSD Pair||Regulated By|
|FP Markets||13.48||CySEC, ASIC, FSCA|
|Tickmill||24.9||CySEC, ASIC, FSA|
|Pepperstone||31.01||FCA, ASIC, CySEC, BaFin, DFSA|
|XM||30.55* (minimal)||FCA, CySEC, ASIC|
|IG||36* (minimal)||FCA, ASIC, BaFin, NFA|
|IC Markets||42||FCA, CySEC, FSCA, FSA|
|XTB||66.1**||FCA, CySEC, KNF, IFSC|
|Forex.com||80||FCA, CFTC, NFA, ASIC, IIROC|
*Spreads recorded on 15.10.2023 at 12:00 P.M GMT from the official websites of the brokers. * The broker does not state on the site their average spread, this number is the minimal spread **Current spread on 15.10.2023 at 12:00 P.M GMT
FP Markets allows clients to trade various market instruments across a wide range of asset classes. With this broker, clients can trade forex currencies alongside CFDs on cryptocurrencies, shares, metals, commodities, indices, bonds, and ETFs. Notably, FP Markets avails 12 different popular cryptocurrencies to trade against the US Dollar. These assets are tradeable on some fair and low spreads with an average of 13.48 USD for the BTCUSD pair. The spreads depend on the crypto asset a client is trading. For example, the average for the ADAUSD pair sits at 0.0025 USD.
The trading platforms availed by FP markets to its clients are noteworthy. Clients can pick between MT4, MT5, cTrader, and IRESS. The average execution time on the FP Markets broker site is a mere 0.04 seconds making it one of the fastest execution brokers today. This is a testament to the revolutionary trading platforms that the company provides to its clients. On another positive note, FP Markets is regulated across multiple jurisdictions by various bodies. These include the CySEC in Cyprus, the ASIC in Australia, and the FSCA in South Africa. These regulatory licenses allow the company to operate in Europe, Australia, and Africa.
73.85% of retail CFD accounts lose money
Pepperstone also supports crypto trading at competitive spreads. On this broker site, clients can trade 21 different cryptocurrency assets to trade. These include CFDs on 17 different cryptocurrencies and four crypto indices. The cryptocurrencies are traded against the US Dollar with the minimum spread on the BTCUSD pair at 30 USD. The average spread on BTC is not much higher sitting at 31.01 USD. In comparison, the minimum spread on the ADAUSD pair sits at 0.004. There are four different trading platforms to choose from on the Pepperstone broker site. These include TradingView, MetaTrader 4, MetaTrader 5, and cTrader, which are some of the world’s top trading platforms. On these platforms, crypto assets are not the only instruments available for trading. Investors can also trade CFDs on forex currency pairs, shares, indices, ETFs, commodities, and currency indices.
In terms of regulations, Pepperstone’s activities are under the strict supervision of a number of regulatory bodies. These include the FCA in the UK, the ASIC in Australia, and the CySEC in Cyprus, three of the top regulatory bodies in the world. Additionally, the company is regulated by the BaFin, the DFSA, and the CMA.
74.6% of retail CFD accounts lose money
XM Offers clients a number of advantages in trading cryptocurrencies on its platform. For starters, there are 31 different crypto pairs to trade. Secondly, XM is one of the brokers that allow cryptocurrency trading over the weekend. And lastly, XM offers low spreads when trading cryptocurrencies. For example, the spreads on the BTCUSD pair can go as low as 30.55, which is very low compared to other brokers. The spread on the ADAUSD pair on this broker site sits at 0.00385. The trading platforms available on XM include MetaTrader 4, MetaTrader 5, and the XM App. Diversity is supported here as these platforms are available on PC, Web, iOS, and Android. Diversity is also supported on the XM broker site by the availability of a wide collection of instruments. Other than cryptocurrencies, clients can also trade CFDs on forex currency pairs, stocks, indices, shares, energies, and precious metals.
Finally, XM is also a regulated broker in various jurisdictions. XM has regulations in the UK by the FCA, in Cyprus by the CySEC, and in Australia by the ASIC. These three financial regulators are some of the stringent organizations with tough laws to follow. Having licenses from these organizations speaks to the commitment of this broker to deliver a fair trading environment.
72.89% of retail investor accounts lose money when trading CFDs with this provider.
XTB is another broker that allows clients to trade cryptocurrencies at fairly low spreads. Positively, there are 46 different crypto assets available for trading on the XTB broker site which are all CFDs. These assets are tradeable on the company’s proprietary trading software, xStation 5. This platform is available on the web, on Windows, and on macOS, while its mobile app, xStation Mobile is available for Android phones on the Google Play Store. Most of the crypto assets on this broker site feature low spreads. For example, at the time of writing this, trading Bitcoin on the platform features spreads of 66.1 USD. Other assets like Ripple feature spreads sitting at 0.002.
For clients interested in diversifying their portfolios, XTB features a variety of other markets. They can trade forex currency pairs, indices, commodities, and CFDs on stocks and ETFs. Importantly, with XTB, clients will be trading with a broker regulated in the UK by the FCA, in Cyprus by the CySEC, in Poland by the KNF, and in Belize by the IFSC.
78% of retail investor accounts lose money when trading CFDs with this provider.
Forex.com is yet another broker that allows its clients to invest in a variety of market instruments. On this broker site, people from most countries can trade CFDs on forex, indices, shares, commodities, and cryptocurrencies. Unfortunately, crypto trading is not available for clients in the US. In fact, clients from the US can only trade forex, gold and silver, and futures and futures options assets on Forex.com. Nonetheless, clients that can trade cryptocurrencies on Forex.com enjoy fairly low spreads with the BTCUSD pair seeing typical spreads of 80. On other crypto pairs, the spreads can go even lower, with spreads on the Litecoin US Dollar pair having spreads as low as 0.8. The trading platforms on this broker site include MetaTrader 4, MetaTrader5, and Forex.com Trader.
Finally, Forex.com has regulations in some of the most heavily regulated jurisdictions in the world. This broker is regulated in the UK by the FCA, in the USA by the CFTC and the NFA, in Canada by the IIROC, and in Australia by the ASIC. This is an impressive regulatory status, to say the least.
81% of retail investor accounts lose money when trading CFDs with this provider.
IG provides clients with some of the best trading platforms in the world. Today, it offers one of the best trading apps for mobile traders. The trading platforms available on this broker site include MetaTrader 4, the IG online trading site platform, ProRealTime, L2 dealer, and a wide range of user-friendly trading apps for Android and iOS. Further, IG features a deep collection of trading instruments available for clients to invest in. Specifically, this broker features forex, shares, commodities, cryptocurrencies and more. Cryptocurrency trading on the IG broker site features fairly low spreads that depend on the asset a client is trading.
For example, the spreads on trading Bitcoin against the US Dollar start from as low as 36. Other assets can feature lower spreads like Dogecoin with spreads starting from 0.1. Sadly, the company does not mention the typical spreads on the website. Typical spreads can significantly be higher than minimum spreads in times of high market volatility. As we always only present regulated brokers, let's look at how this company is supervised. The company is currently regulated by the FCA in the UK, ASIC in Australia, BaFin in Germany, and the NFA in the USA. Any trader would be glad to trade with a company that is so heavily regulated.
Tickmill continues to stand out in the quality of services that it offers to clients. There are many markets clients can invest in on this broker site. They can buy and sell forex alongside CFDs on stocks, indices, oil, precious metals, bonds, and cryptocurrencies. Clients looking to trade cryptocurrencies here have CFDs on nine popular cryptocurrencies available to them. Better yet, these crypto assets are available with fairly low spreads. For example, trading Bitcoin against the US Dollar on this site features a minimum spread of 12. However, typical spreads for this currency pair on this site sit at 24.9.
On another note, Tickmill provides three main trading platforms. These include MetaTrader 4, MetaTrader 5, and Tickmill Mobile App. These trading platforms are customizable, come with a plethora of tools and have fast execution times. This is necessary to support clients in their trading journey. In terms of regulations, Tickmill has regulations by the FCA in the UK, the CySEC in Cyprus, the FSCA in South Africa, and the FSA in Seychelles. The FCA and the CySEC are two of the best regulators in the world. They set tough laws to ensure traders receive fair trading environments. Nonetheless, regulations alone are not enough. Fortunately, this broker has had a good reputation in the market since its inception in 2014.
Closing out our list today is the ECN broker, IC Markets. With this broker, clients can speculate on CFDs on Cryptocurrencies, commodities, indices, over 65 currency pairs, futures, stocks, and metals. Seeing this, traders interested in diversifying their portfolios will not have to leave IC Markets to invest in multiple markets. This is a bonus for all kinds of traders. Better yet, trading cryptocurrencies on this broker site offers clients some of the fairest spreads in the market.
The spreads for trading the BTCUSD pair sit at 42. However, the minimum spread is set at 8.71. The trading platforms available for traders to choose from include MetaTrader 4, MetaTrader 5, and cTrader. These platforms cater for traders on all kinds of devices including PC users, macOS users, and mobile users. Finally, let’s look at the regulatory status of IC Markets. Well, the company has regulations from two reputable regulators in Cyprus and Australia. The company is regulated by both the CySEC and the ASIC. On top of that, IC Markets is regulated by the FSA in Seychelles.
Our Conclusion of Low-Spread Crypto Brokers
Trading with a broker that features low fees is a top priority for any trader. This is especially true for a market that is as volatile as the cryptocurrency market. Low trading fees offer clients the opportunity to earn a larger profit. Today, we looked at some brokers that offer their clients low spreads when trading cryptocurrencies. We looked at the trading platforms, other assets available, and the regulatory status of the crypto brokers. We believe these are the top features to consider when selecting a broker to invest with.