Understanding the necessity of a crypto exchange account is crucial for anyone looking to dive into the world of automated cryptocurrency trading.
Your funds stay with the exchange
It's important to know that your funds remain on the crypto exchange you choose and not with Cryptohopper. Cryptohopper forwards buy and sell orders on your behalf to the cryptocurrency exchange you're using. The moments when Cryptohopper forwards orders to your cryptocurrency exchange depend on the trading bot settings you've configured.
Connectivity is key
You need to connect your Cryptohopper account to your crypto exchange account. This connection is typically made using an API key, though some exchanges offer an alternative called Fast Connect. Fast Connect stands out for being quicker, easier, and faster than creating an API key. For more information on how to connect to your crypto exchange click here.
Security matters
When using an API key, Cryptohopper doesn't need or want withdrawal rights. This measure ensures improved security, limiting the actions that can be performed through the platform to trading activities only.
Trading with paper money
For those new to trading or looking to practice without financial risk, it's possible to trade using paper money. In that case, there's no need for a crypto exchange account. For more information on paper trading click here.