What Are Stablecoins & How Do They Work?

Mastercard has partnered with social commerce platform Spring to bring its payment network to NFT purchases. Cryptocurrency exchange Huobi has launched a new investment arm, Ivy Blocks, to fund decentralised finance and Web3 projects. The company’s then-CFO Yaron Shalem was one of 10 people arrested by Israeli police in November 2021 in connection with suspected fraud in the field of cryptocurrencies amounting to tens of millions of US dollars. “We are taking this necessary action … in order to stabilize liquidity and operations while we take steps to preserve and protect assets,” the company said in a blog post. Crypto lending service Celsius has paused withdrawals and transfers from its platform, citing ‘extreme market conditions’.

• But if you’re an advanced user or want to speculate on low-cap tokens, KuCoin is invaluable.
• The Crypto.com App has Crypto Earn, where you can earn interest on your holdings by locking them for a period.
• Over 200 data points are considered, from minimum deposits and trading fees to the platforms and apps available.
• A ‘Flash Loan’ is a feature in DeFi, allowing borrowers to obtain substantial liquidity from a lending protocol without collateral but must be repaid within the same transaction block.

The best crypto savings accounts contain differing tradeoffs between available assets, risk, reward, and method of generating yield. We recommend LEDN as the best crypto savings account available right now because it offers reliable yield on BTC and USDC. It restricts card payments to many crypto exchanges and has taken a firm stance against supporting crypto-related activities.

Stablecoins and Inflation in the Market

Derivatives like perpetual futures or margin trading often require appropriateness tests and extensive risk warnings. Some exchanges don’t offer these products to UK retail customers at all to avoid regulatory complications. Check whether UK alternative dispute resolution (ADR) or ombudsman services apply to your relationship with the platform. Often they don’t for unregulated crypto activities, but it’s worth knowing upfront. Check what support channels are available (chat, email, phone), typical response times, and how complaints are handled.

While those two might not have quite the level of SOC2 compliance or a New York Trust charter, they are still secure and regulated enough for comfort, and deliver more value to the average user (more coins, cheaper trades). In short, if you stick to the default flow, you’re paying a premium for Gemini’s bank-grade security and polished UX rather than low trading costs. This ultimately gives users the ability to engage in trading whenever it works best for them. Undoubtedly, one of the more significant benefits that crypto exchanges bring to the table is their sheer convenience. Unlike the stock market, which closes and reopens at a certain time, the crypto market never sleeps. The “Travel Rule” now requires UK-facing crypto platforms to collect and share information about both senders and recipients when you’re making blockchain transfers.

How to Choose the Best Wallet for Polygon (POL)

Against Binance or KuCoin, Bitstamp obviously has far fewer coins – but it is regulated, which those are not. Bitstamp has rock-solid reliability, low fees, and regulatory compliance. It’s essentially on par with Crypto.com in our scoring, but we placed it slightly below Crypto.com because Bitstamp lacks some of the flashy features and huge coin catalog that modern users often want. For example, Crypto.com’s 400+ coins and integrated DeFi/earn tools cater to a wider range of interests. Bitstamp sticks to being an exchange and doesn’t offer things like a crypto card or an earn program (aside from basic staking).

Some UK banks may still decline transactions to/from Binance, adding friction. However, for a retail user focused on convenience and trust, Uphold is excellent. It’s fully compliant, transparent, and even got recognition by Forbes Advisor as the best exchange in the UK (likely for its well-roundedness and safety). Notably, the IG partnership in 2025 means tens of thousands of UK investors will be using Uphold’s infrastructure without even realizing it, which is a strong vote of confidence. Gemini has decent support, including email and chat during business hours.

• CEX.IO also supports margin trading for certain pairs and even offers crypto-backed loans and savings (some interest on stablecoin deposits etc.).
• We maintain a mixed portfolio of clients ranging from start-ups to £50M.
• BlockFi also boasts an impressive security repertoire, with cold storage custodian services from Gemini and backing from names like Valar Ventures and Morgan Creek Capital Management.
• Basically, they are motivated by the potential to transform cross-border payments, exploring opportunities in the niche.

It’s a bit more paperwork, but it’s the trade-off for operating in a regulated environment. Obviously, the more thorough these assessments are, the safer they are for traders in the UK to use. Some UK banks have become suspicious of crypto-related transfers and might flag them for manual review. This can cause delays of several days, especially for larger amounts or if you’re a new customer. USDT interest account Remember, PoR is just one piece of the puzzle alongside regulation, track record, and security practices. Don’t rely on it as your sole measure of an exchange’s trustworthiness.

But, generally speaking, you’d be hard-pressed to find an exchange that doesn’t offer trading pairs with these crypto assets — it’s typically the bare minimum. And lastly, just to add that extra amount of peace of mind to their users, a lot of these exchanges will also offer some form of insurance coverage in order to protect user funds in the rare case of a security breach. It goes without saying that the best UK crypto exchanges are all going to prioritise the security of their user funds and personal information above all (unlike Sam Bankman-Fried of FTX infamy, for instance).

DeFi Platforms and Its Numbers

As monetary competition naturally unfolds, governments globally will be faced with the decision to expend ongoing resources to restrict stablecoin usage or allow dollarization to run its course. In our view, given the level of surveillance and enforcement necessary to restrict usage, these tactics will be too costly to sustain. However, on the other hand, if regulatory frameworks were to adapt in a positive way, stablecoin growth could accelerate, driving them closer to the mainstream.