How to Start Trading Cryptocurrency: A Beginner’s Guide to Crypto Trading

Updated 2 October 2026 · Reviewed by the Ecoinomy editorial team · Facts checked against official sources linked below.

To start trading cryptocurrency in 2026, open an account with an exchange listed in ESMA’s MiCA register (such as Kraken, Bitpanda, eToro or Bybit EU), verify your identity, deposit a small amount, buy Bitcoin or Ether on the spot market with a limit order, and turn on 2FA. Since 1 July 2026, unlisted providers may not serve EU residents.

Key Takeaways

• Since the MiCA transitional period ended on 1 July 2026, only crypto-asset service providers listed in ESMA’s interim MiCA register may lawfully serve EU residents; Binance, Bitget and BingX are not in it as of 2 October 2026.
• Trading fees for small accounts range from 0.25% per trade (Bybit EU and Bitpanda Fusion entry tiers) to 1% to buy plus 1% to sell (eToro), as of October 2026.
• Beginners should start on the spot market: when ESMA restricted CFDs in 2018, national regulators found that 74-89% of retail CFD accounts lose money.
• A common rule of thumb is to risk no more than 1-2% of your trading account on a single trade, enforced with a stop-loss.
• Under the EU’s DAC8 directive, crypto providers collect data on EU users’ transactions from 1 January 2026 and report it to tax authorities, so keep a record of every trade.
• Scams are the biggest single threat: the FBI received reports of $7.2 billion in cryptocurrency investment fraud losses in 2025 alone.

Trading cryptocurrency has become a mainstream way to get exposure to digital assets like Bitcoin and Ethereum. For a beginner, though, crypto trading can look complex and risky, and in the EU the rules changed in 2026. This guide walks you through every step, from choosing a regulated exchange to placing your first order and managing risk, with fees and regulatory facts we checked on 2 October 2026.

Beginner’s Guide to Crypto Trading: Where Do You Start?

A beginner’s guide to crypto trading starts with three decisions: trade on a MiCA-authorised exchange, buy spot crypto rather than leveraged products, and fix your risk rules before your first order. Everything else, from order types to strategies, builds on those three.

Most beginners lose money for avoidable reasons: they pick an exchange that is not authorised where they live, they use leverage before they understand it, they pay fees they did not notice, or they fall for a scam. This guide is ordered to remove those risks one by one:

• Where to trade: a MiCA-authorised exchange you have checked yourself in ESMA’s register.
• What to trade: large, liquid coins such as Bitcoin and Ether on the spot market.
• How to trade: limit orders, small position sizes and a stop-loss on every trade.
• How to keep it: 2FA on the exchange account and self-custody for long-term holdings.
• How to improve: a trading journal and written rules, then strategies and technical analysis.

How to Start Trading Cryptocurrency: What Are the Steps?

To start trading cryptocurrency, follow seven steps: pick a regulated exchange, confirm it in ESMA’s MiCA register, complete identity checks, fund the account, place a first spot order, secure your account and coins, and keep a journal with fixed risk rules.

1. Pick a regulated exchange. Choose a platform that serves your country, offers the coins you want and publishes its fees. For EU residents, that means a crypto-asset service provider (CASP) authorised under MiCA. The table further down compares five of them.
2. Check the ESMA MiCA register (EU users). Open ESMA’s register of authorised crypto-asset service providers (CSV file) and search for the legal entity named in the exchange’s terms, for example “Payward Europe Solutions Limited” for Kraken. Also check the list of non-compliant entities on the same ESMA page. If the entity is not there, do not open an account.
3. Complete KYC. Regulated exchanges must verify your identity before you can trade: expect to upload an ID document, take a selfie and confirm your address. Only enter these details in the official app or website, never via a link someone sent you.
4. Fund the account. Deposit only money you can afford to lose. A SEPA bank transfer in euros is usually the cheapest route; card payments are faster but often cost more. Check the deposit fee on the exchange’s own fee page first.
5. Place your first spot order. Buy a small amount of Bitcoin or Ether on the spot market. A market order fills immediately at the best available price; a limit order fills only at your price or better and, on maker-taker exchanges, usually costs less. Start with a limit order close to the current price.
6. Secure the account and your coins. Turn on app-based two-factor authentication (2FA), set a withdrawal address allow-list if offered, and move coins you plan to hold long term to a wallet you control (self-custody). Never share your seed phrase. When you withdraw, check both the address and the network: crypto sent to the wrong address or over the wrong network is usually lost for good.
7. Keep a journal and fixed risk rules. Write down why you entered each trade, the entry, the stop-loss, the exit, the fees and the result. Set your maximum risk per trade (many traders use 1-2% of the account) and a maximum loss per week before you trade, not after.

A Sensible First Month

If you want a simple schedule, this is how we would spend the first four weeks:

• Week 1: learn order types, fees, wallets and security; open and verify your account.
• Week 2: practise on a demo account or watch the market without trading; write your risk rules.
• Week 3: make a few small spot trades in Bitcoin or Ether with limit orders and stop-losses.
• Week 4: review your journal and decide whether active trading, or slower long-term investing, actually suits you.

Want to practise first? A demo account lets you try orders with virtual money. eToro, for example, gives any registered user a $100,000 demo account for freeAd. See our guide to demo trading.

What Is Cryptocurrency Trading?

Cryptocurrency trading means buying and selling crypto-assets such as Bitcoin and Ether to profit from price changes. Your result is the difference between your buy and sell price, minus fees.

Just like you can trade stocks or precious metals, you can trade cryptocurrencies like Bitcoin, Ethereum and thousands of other altcoins. As a beginner, all you need to know to get started is:

• Cryptocurrencies are digital assets secured by cryptography and recorded on a blockchain. They are not issued by governments.
• You buy cryptocurrencies on an exchange with traditional money such as euros. This is a buy order.
• You sell your crypto later, ideally at a higher price, to lock in a profit. This is a sell order.
• You always trade a pair: BTC/EUR means Bitcoin priced in euros, BTC/USDT means Bitcoin priced in the Tether stablecoin.
• The difference between the buy and sell price, minus fees, is your profit or loss.

That’s crypto trading in a nutshell. For more details visit our dedicated page explaining the basics in-depth.

Why Do People Trade Cryptocurrencies?

People trade cryptocurrencies because the markets run 24/7, prices move sharply, and access is open to anyone with an internet connection and a verified account. The same volatility that creates opportunities also causes fast, large losses.

• Growth potential – Many cryptocurrencies have risen sharply over the last decade, and traders hope to profit from buying low and selling high.
• Volatility – Large price swings create short-term trading opportunities, and equally large losses.
• 24/7 markets – Crypto markets never close, so you can trade at any time. That also means prices can gap while you sleep; read our guide to the best time to trade crypto.
• Low barriers – Anyone of legal age with an internet connection and an ID can open an account on a regulated exchange.
• Adoption – Crypto is now regulated EU-wide under MiCA, and more banks, brokers and payment apps offer it.

However, the extreme volatility also makes crypto trading risky. Only trade what you can afford to lose.

Which Regulated Crypto Exchanges Can EU Beginners Use?

EU beginners can use exchanges listed in ESMA’s interim MiCA register, such as Kraken, Coinbase, Bitpanda, eToro and Bybit EU. As of 2 October 2026, Binance, Bitget and BingX have no entity in the register.

The table below shows each provider’s MiCA entry from the ESMA register file and the entry-level spot trading fee published on each exchange’s own fee page, as of October 2026. “Not published” means we could not find the figure on an official fee page we could open on 2 October 2026.

Exchange	MiCA/EU status (entity, regulator, register date)	EEA passport	Entry-level spot trading fee	Drawback for beginners	Checked on
Kraken	Payward Europe Solutions Limited, Central Bank of Ireland, 25 Jun 2025	30 states	Kraken Pro: 0.40% maker / 0.80% taker; Instant Buy: 1% plus spread (fee schedule)	The simple Buy button costs 1% plus a spread; the cheaper rates need the Kraken Pro order book	2 October 2026
Coinbase	Coinbase Luxembourg S.A., CSSF, 20 Jun 2025	30 states	Not published	We could not open Coinbase’s fee pages on 2 October 2026; check the fee in the order preview before you confirm	2 October 2026
Bitpanda	Bitpanda GmbH, FMA (Austria), 9 Apr 2025	30 states	Bitpanda Fusion: 0.25% up to €100k 30-day volume; no Bitpanda-charged deposit or withdrawal fees (Fusion page); broker app: not published	Fees in the simple broker app are not shown on a public fee page we could open	2 October 2026
eToro	eToro (Europe) Ltd, CySEC (Cyprus), 16 Jan 2025	30 states	1% to buy and 1% to sell crypto (fees page)	A round trip costs about 2%, the highest here; $5 fee to withdraw from a USD account	2 October 2026
Bybit EU	Bybit EU GmbH, FMA (Austria), 28 May 2025	29 states (Malta excluded)	VIP 0: 0.25% taker / 0.10% maker; single 0.25% rate from 5 Oct 2026, 11:00 UTC (fee structure)	Not available in Malta; Spot Margin (leveraged) trading sits in the same account, which beginners should avoid	2 October 2026

eToroAd: 51% of retail investor accounts lose money when trading CFDs with this provider. Crypto investments are risky and may not suit retail investors; you could lose your entire investment. Understand the risks here.

All of these are centralised exchanges (CEXs), which hold your funds and verify your identity. Decentralised exchanges (DEXs) let you swap directly from your own wallet, but there is no operator to help if you make a mistake, so we suggest beginners start on a regulated CEX.

Other providers in the register include OKX (OKX Europe Limited, MFSA), Crypto.com (Foris DAX MT Limited, MFSA), Revolut (Revolut Digital Assets (Europe) Ltd, CySEC) and KuCoin (KuCoin EU Exchange GmbH, FMA). We did not compare their fees here.

The original version of this guide recommended BingX and Bitget. Neither has an entity in the ESMA register as of 2 October 2026, so we no longer suggest them to EU residents. The same applies to Binance; our Binance review explains its EU status. For non-EU readers, look for your own regulator’s licence. To see how experienced traders choose platforms, read our profiles of the best crypto traders and our Bybit review.

Once you have an account, a crypto card can be a simple way to spend gains; we compare them in best crypto cards.

Spot vs Derivatives and CFDs: Which Should a Beginner Use?

Beginners should start with spot trading, where you own the coins and cannot lose more than you invest. Derivatives and CFDs add leverage, so small price moves can wipe out your stake; most retail CFD accounts lose money.

On the spot market you buy the actual crypto-asset and can withdraw it to your own wallet. Our spot trading guide covers this in depth.

Derivatives (futures, perpetual swaps, options) and CFDs (contracts for difference) let you bet on price moves without owning the coin, usually with leverage, and let you go short. When ESMA restricted CFDs for retail clients in March 2018, national regulators’ analyses showed that 74-89% of retail CFD accounts typically lose money, with average losses of €1,600 to €29,000 per client. The same measures capped retail leverage on cryptocurrency CFDs at 2:1.

The arithmetic shows why leverage is dangerous: at 50x leverage, a 2% move against you equals 100% of your margin, so the position is wiped out (liquidated) by a price change that happens routinely in crypto.

Feature	Spot trading	Futures / perpetuals	CFDs
Do you own the coin?	Yes	No	No
Leverage	None	Yes, varies by platform	Yes; 2:1 for crypto under ESMA’s 2018 retail measures
Maximum loss	The amount invested	Your margin, liquidated quickly	Your margin (retail negative balance protection applies in the EU)
Can you short?	No	Yes	Yes
Suitable for beginners?	Yes, with small amounts	No	No

If you later want to explore these products, start with our guides to crypto futures, leverage trading and short selling.

Which Crypto Order Types Should Beginners Know?

Beginners need four order types: market orders fill instantly at the current price, limit orders fill only at your price or better, stop-loss orders sell automatically if the price falls to a set level, and take-profit orders sell at a target.

• Market order – Buys or sells immediately at the best available price. Fast, but you pay the taker fee and may get a worse price in a thin market (slippage).
• Limit order – Sets the price you are willing to pay or accept. It may not fill, but you control the price, and an order that rests on the book usually pays the lower maker fee.
• Stop-loss order – Triggers a sale when the price drops to your stop level, capping the loss on a trade. In a fast fall it can fill below your stop.
• Take-profit order – Sells automatically when the price reaches your target, so you lock in gains without watching the screen.

Our older advice was to use market orders so you “don’t miss out”. We now suggest limit orders for most beginner trades: chasing a fast-moving price is exactly how beginners overpay. To place your first order:

1. Choose the trading pair, for example BTC/EUR for Bitcoin against euros.
2. Choose buy or sell. On the spot market, beginners should only buy what they can afford and sell what they own.
3. Select a limit order and enter a price at or slightly below the current price, plus the amount in euros or coins.
4. Check the fee and total in the order preview, then confirm.
5. Once it fills, place a stop-loss at the level you decided in advance.

All order types, including OCO and trailing stops, are explained in our guide to crypto order types.

How Do Crypto Trading Fees Work?

Crypto trading fees are a percentage of each trade, usually lower for limit (maker) orders than market (taker) orders, plus spreads, deposit or withdrawal charges and blockchain network fees. On a €500 trade, entry-tier fees ranged from €1.25 to €5 as of October 2026.

• Trading fee (maker/taker): a maker adds an order to the order book (a resting limit order); a taker fills an existing one (a market order). On Kraken Pro, the entry tier is 0.40% maker and 0.80% taker, so a €500 market buy costs €4 and a €500 maker limit buy €2.
• Flat fee: some brokers charge one rate. eToro charges 1% to buy and 1% to sell crypto, so a €500 position costs €5 to open and about €5 to close.
• Spread: “instant buy” buttons often build a spread into the price on top of any fee. Kraken’s Instant Buy charges a 1% fee and includes a spread.
• Deposit and withdrawal fees: card deposits often cost more than SEPA transfers; crypto withdrawals carry a network fee. Bitpanda says Fusion has no Bitpanda-charged deposit or withdrawal fees.
• Volume tiers: fees fall as your 30-day volume rises. Bybit EU charges 0.25% at VIP 0 (€1.25 on €500), while Bitpanda Fusion charges 0.25% up to €100,000 of monthly volume.

Fees matter more than beginners think: someone who trades €500 ten times a month on a 2% round trip pays €100 a month before any profit. Compare costs in our guide to crypto trading fees.

How Should You Store Your Crypto Securely?

Store small trading balances on a MiCA-authorised exchange protected by app-based 2FA, and move long-term holdings to a wallet you control. Hardware wallets keep keys offline; software wallets are convenient but more exposed to malware.

• Hardware wallets (Ledger, Trezor) – Keep your private keys offline on a physical device. The most secure option for larger amounts.
• Software wallets (Exodus, Atomic, Trust Wallet) – Store keys on your computer or phone. Convenient but more exposed to hacking. Compare options in our guide to the best crypto software wallets.
• Paper wallets – Keys printed and stored offline. Hard to use correctly and easy to lose; most beginners are better served by a hardware wallet.
• Exchange wallets – The exchange holds the keys for you. Under MiCA, authorised providers must safeguard client assets, but you still depend on the exchange. Keep only your trading balance there.

Self-custody software wallets such as Exodus or Atomic are not crypto-asset service providers, so they do not appear in the MiCA register and MiCA custody rules do not cover them: the security of your seed phrase is entirely your responsibility. Use an authenticator app or security key for 2FA rather than SMS, and never share your private key or seed phrase.

How Much Should You Risk per Trade?

A common rule of thumb is to risk 1-2% of your trading account on any single trade, set by the distance to your stop-loss. With a €2,000 account and a 1% rule, a trade should lose no more than €20 if stopped out.

The 1-2% rule is a convention many traders use, not a law or a guarantee. It keeps any single loss small enough that a run of losing trades does not wipe you out. How to apply it:

1. Decide your risk per trade: 1% of a €2,000 account is €20.
2. Decide where your stop-loss goes before you enter, for example 5% below your entry price.
3. Calculate the position size: risk ÷ stop distance = €20 ÷ 5% = €400. That is the most you buy.
4. Place the stop-loss as soon as the order fills, and do not move it further away.
5. Set a weekly or monthly loss limit (for example 5% of the account) after which you stop trading and review your journal.

This example is arithmetic, not a recommendation. Never borrow money to trade, and keep your trading capital separate from rent, bills and emergency savings. Other habits that help: diversify instead of putting everything into one coin, take partial profits at targets you set in advance, and avoid FOMO buying after a big spike. More detail in our crypto risk management guide.

What Should You Learn After Your First Trades?

After your first trades, learn technical analysis, basic fundamental analysis and one simple strategy such as dollar-cost averaging or swing trading, and test it on small amounts before adding more. Bots and advanced strategies come last.

• Technical analysis – Using price charts and indicators to identify trends.
• Fundamental analysis – Researching the project, its blockchain metrics, developer activity, token supply and news events.
• Trading strategies – Techniques like dollar-cost averaging, swing trading and position trading. Finding a method that fits your risk tolerance and available time is key.

Once you master the basics, you can explore more advanced crypto trading strategies and techniques. Here are some tips for taking your skills to the next level:

Which Crypto Trading Styles Suit Beginners?

The main trading styles differ by how long you hold a position. Beginners usually do best with the slower ones, because they need fewer decisions and pay fewer fees.

• Buy and hold / DCA – Buying regularly and holding for years. The lowest-effort approach and the cheapest in fees.
• Position trading – Holding for weeks or months based on longer-term trends.
• Swing trading – Holding for days to weeks to catch price swings; a sensible first active style.
• Day trading – Opening and closing positions within the same day. Fees and stress add up quickly.
• Scalping – Very short trades for small moves. It depends on low fees and fast execution and is not a beginner style.

Trading is not the same as investing: an investor buys and holds, a trader tries to profit from shorter-term price moves and has to beat fees to do so. Read our guide to position trading for a lower-frequency approach.

Use Technical Analysis

Technical analysis involves analysing price charts, volumes and market sentiment to identify trading opportunities. Our crypto technical analysis guide covers the main tools:

• Moving averages – Track average prices to spot trends
• Support and resistance levels – Price zones that have acted as floors and ceilings
• Candlestick charts – Visual price patterns that can signal reversals
• Volume – Higher volume confirms the strength of a move

Combined with an understanding of news and events, technical analysis helps traders put price movements in context. It does not predict the future.

Automated Trading Bots

Crypto trading bots are software programs that buy and sell automatically using rules you set. Third-party bot platforms such as 3Commas, Cryptohopper and HaasOnline connect to exchanges through API keys.

Bots can apply a strategy consistently and take emotion out of decisions, but they need monitoring, cost money and amplify a bad strategy as fast as a good one. If you use one, give the API key trading rights only, never withdrawal rights. We suggest beginners trade manually first.

Portfolio Diversification

It’s unwise to put all your capital into one cryptocurrency. Diversifying your crypto portfolio across several assets reduces the damage if one coin underperforms. Some ways to diversify:

• Hold a core of the largest cryptocurrencies, such as Bitcoin and Ether.
• Limit small-cap coins to a small share of the portfolio.
• Keep part of your trading capital in euros or a regulated stablecoin to buy dips.

Rebalancing your portfolio over time maintains your target asset allocation.

Use Dollar-Cost Averaging

Dollar-cost averaging (DCA) means investing a fixed amount at regular intervals instead of one lump sum. It reduces the risk of buying everything at a peak.

For example, investing €100 every month for a year is dollar-cost averaging. Many exchanges offer recurring buys, but check the fee: on Kraken, recurring buys are charged at the 1% instant-buy rate.

Take Profit Strategies

With crypto’s volatility, it’s wise to plan how you will take profits before prices spike. Some methods:

• Setting profit targets in advance, for example selling a fixed share of a position each time it rises by a set percentage.
• Using indicators like the Relative Strength Index (RSI) to spot overbought conditions.
• Scaling out gradually: selling portions on the way up to reduce exposure.

This lets you lock in returns while keeping funds free to buy back on dips.

How Is Crypto Trading Taxed in the EU?

Crypto trading profits are taxed under national law in each EU country, and rates differ. Since 1 January 2026, the DAC8 directive requires crypto providers to collect data on EU users’ transactions for reporting to tax authorities.

According to the European Commission’s DAC8 page, reporting crypto-asset service providers collect data on reportable transactions of all EU-resident users from 1 January 2026, and the first reports are due between 1 January and 30 September 2027. In practice, your tax authority will see your 2026 trades. What to do:

• Export your trade history from every exchange at least once a year.
• Record the date, pair, amount, price and fee for every trade, including crypto-to-crypto swaps, which are taxable events in many countries.
• Check your national tax authority’s guidance or ask a tax adviser; this guide is not tax advice.

How Do You Avoid Crypto Trading Scams?

Avoid crypto scams by trading only on platforms you have found in ESMA’s MiCA register, ignoring anyone who contacts you with trading tips or “guaranteed” returns, and never sending crypto to a platform or person you met online.

Fraud is a bigger risk for beginners than price swings. The FBI’s 2025 Internet Crime Report counted $11.4 billion in reported losses involving cryptocurrency, with cryptocurrency investment fraud alone at $7.2 billion, the highest source of losses to Americans. The typical pattern: contact via text message, social media or a dating app, a move to a private chat, a fake trading platform showing fake profits, then extra “fees” when you try to withdraw. Red flags:

• Guaranteed or very high returns, or a “mentor” who offers to trade for you.
• Pressure to act fast or keep the investment secret.
• A platform or app you cannot find in the ESMA register, or one named in its list of non-compliant entities.
• Requests for your seed phrase, remote access to your device or a “verification” deposit.
• Fake support accounts on social media and lookalike websites. Type the exchange’s address yourself.

More examples, including famous cases such as BitConnect, are in our guide to crypto scams.

Key Crypto Trading Terms for Beginners

Five terms cover most of what beginners see on an exchange screen.

Spot trading

Buying and selling the actual crypto-asset for immediate delivery, with no leverage.

Maker and taker fee

The fee for adding an order to the order book (maker) or filling an existing order (taker); maker fees are usually lower.

Limit order

An order that executes only at a price you set or better.

Stop-loss

An order that sells automatically when the price falls to a set level, capping the loss on a trade.

MiCA

The EU Markets in Crypto-Assets Regulation (Regulation (EU) 2023/1114), which requires crypto-asset service providers to be authorised; its transitional period ended on 1 July 2026.

Is Crypto Trading for Beginners Worth It in 2026?

Crypto trading for beginners in 2026 is safer than before because EU exchanges now need MiCA authorisation, but it is still high risk. It is worth trying only with money you can afford to lose, on spot, with fixed risk rules.

Is crypto trading profitable? It can be, but there is no reliable average figure for spot traders, and the regulator data that does exist is sobering: for leveraged CFDs, 74-89% of retail accounts lose money. Profit depends on beating fees, sizing positions sensibly and avoiding large losses.

The key is taking it step by step and building your knowledge over time. Practise on a demo account or with small amounts, write down your rules, keep a journal and review it monthly. There’s no substitute for hands-on experience, but there is also no shortcut: most of the gains in your first year come from avoiding big mistakes, not from finding the perfect trade.

Frequently Asked Questions

What should a beginner’s guide to crypto trading cover?

A beginner’s guide to crypto trading should cover choosing a regulated exchange, identity checks, funding, placing market and limit orders, the difference between spot and derivatives, how fees work, risk management with stop-losses and position sizing, secure storage with 2FA and self-custody, taxes and how to spot scams. In the EU it should also explain how to check an exchange in ESMA’s MiCA register.

How do I start trading cryptocurrency?

To start trading cryptocurrency, open an account on an exchange authorised in your country (in the EU, one listed in ESMA’s MiCA register), complete identity verification, deposit a small amount by bank transfer, and buy Bitcoin or Ether on the spot market with a limit order. Then turn on app-based 2FA, set a stop-loss and record the trade in a journal.

How do you start crypto trading as a beginner?

Start crypto trading as a beginner with a demo account or a small amount you can afford to lose, on the spot market only. Trade only large, liquid coins such as Bitcoin and Ether, risk no more than 1-2% of your account per trade as a rule of thumb, use limit orders and stop-losses, and avoid leverage until you have months of journal data.

Is crypto trading for beginners still worth it in 2026?

Crypto trading in 2026 can be worth it for beginners who treat it as a skill to learn with small amounts. EU rules are stricter since MiCA’s transitional period ended on 1 July 2026, so authorised exchanges must safeguard client assets. Prices remain volatile, fees eat into small accounts, and most retail traders using leveraged CFDs lose money.

How much money do I need to start trading crypto?

There is no fixed amount: many exchanges let you buy fractions of a coin, so you can start with a small sum. What matters is that the amount is money you can afford to lose and that fees do not eat it. At eToro’s 1% buy plus 1% sell fee, a €100 position costs about €2 round trip before any price move.

Which crypto exchange is safest for beginners in the EU?

For EU beginners, the safest choice is an exchange listed in ESMA’s MiCA register, such as Kraken, Coinbase, Bitpanda, eToro or Bybit EU, because authorised providers must follow MiCA’s client-asset and complaint rules. As of 2 October 2026, Binance, Bitget and BingX are not in the register. Always check the legal entity yourself before you deposit.

Can you lose more money than you invest in crypto trading?

On the spot market you cannot lose more than you invest, because you own the coins outright. With leveraged futures or CFDs, losses grow with the leverage and positions can be liquidated quickly. EU retail CFD clients have negative balance protection, but ESMA’s 2018 analysis found 74-89% of retail CFD accounts lose money.

Do I have to pay tax on crypto trading profits?

In most EU countries, profits from selling or swapping crypto are taxable, but rules and rates are set nationally. Under the DAC8 directive, crypto providers collect data on EU users’ transactions from 1 January 2026 and report it to tax authorities from 2027. Keep a record of every trade and check your national tax authority’s guidance.

How we researched this: On 2 October 2026 we checked each exchange’s MiCA status against ESMA’s interim MiCA register file and read the spot fee schedules on Kraken’s, eToro’s, Bybit EU’s and Bitpanda’s own websites. Regulatory, tax and fraud figures come from ESMA, the European Commission and the FBI’s Internet Crime Complaint Center, all linked above. This guide is educational and not financial or tax advice.

Crypto-assets are highly volatile and you can lose all the money you invest. Past performance is not a guide to future results. This page is not financial advice.