Star rating methodologies

1. Security & Trust (30%)

We examine regulatory compliance, history of hacks, insurance coverage (e.g., FDIC pass-through, private insurance), and security features like 2FA, cold storage, and bug bounties.

• Cold Storage Policy: What percentage of funds are kept offline? (Target: >95%)
• Insurance: Is there a policy for hot wallet breaches?
• Audits: Has the platform undergone independent Proof of Reserves audits?

2. Fees & Costs (25%)

We analyze trading fees (maker/taker), withdrawal fees, deposit fees, and spread. We compare these costs against industry averages to determine value.

• Trading Fees: Competitive maker/taker rates (Target: <0.25%)
• Withdrawal Fees: Are network fees flat or dynamic? Any markup?
• Hidden Costs: Are there inactivity fees or high spread on "free" trades?

3. User Experience (20%)

Our team opens real accounts to test the sign-up process, KYC requirements, mobile app usability, and web interface design. Ease of use is critical for both beginners and pros.

• Mobile App: Ratings on App Store/Play Store vs. our testing.
• Interface: Is it intuitive for beginners? Is there a "Pro" mode?
• KYC Speed: How fast is identity verification? (Target: <24 hours)

4. Features & Tools (15%)

We look for advanced charting tools, order types (limit, stop-loss), staking options, educational resources, and the variety of supported assets (coins/tokens).

• Asset Selection: Number of supported coins/pairs.
• Earning Products: Staking APY, lending, or savings accounts.
• Advanced Trading: API access, margin trading, futures.

5. Customer Support (10%)

We test response times and quality of support via live chat, email, and phone. We also evaluate the availability of self-help resources like FAQs and knowledge bases.

• Availability: Is 24/7 live chat available?
• Response Time: How long to connect to a human agent?
• Quality: Did the agent solve our specific test problem?

Scoring & Weighting

We assign a score of 1-5 for each sub-category, then apply the category weights to calculate the final Star Rating.

• 5 Stars: Exceptional. Market leader in almost every category.
• 4 Stars: Excellent. Great choice for most users, with minor drawbacks.
• 3 Stars: Average. Solid functionality but lacks standout features or has higher fees.
• 1-2 Stars: Poor. Significant issues with security, fees, or usability. Not recommended.

Update Frequency

We review our ratings on a quarterly basis or whenever a significant event occurs (e.g., fee change, security breach). This ensures our data remains current and actionable.