Virtual currency is a digital or virtual asset created and managed based on cryptography and decentralized technologies (mainly blockchain).

Welcome to the world of virtual currency (also known as cryptocurrency)! For beginners, this field may be both full of opportunities and seem a bit complicated. This tutorial is designed to provide you with a guide to the basics of virtual currency and how to do basic operations on virtual currency exchanges, helping you take the first step safer and more confidently.

1. What is virtual currency?

Simply put, virtual currency is a digital or virtual asset created and managed based on cryptography and decentralized technologies (mainly blockchain). They are not issued or guaranteed by any central authority (such as banks or governments).

• Features:

  • Digitalization: It exists entirely in a digital network.
  • Decentralization (usually): Transaction records are distributed across numerous computers and are not controlled by a single entity.
  • Cryptography Assurance: Use advanced encryption technology to ensure transaction security and ownership verification.
  • Global: In theory, it can be transferred across national borders.
• Representative: The most famous virtual currency is Bitcoin (BTC), which pioneered this field. Ethereum (ETH) is another important platform that supports smart contracts and a large number of decentralized applications. In addition, there are thousands of different virtual coins, often called "altcoins" or "tokens".

Mainstream Bitcoin Exchanges in 2025:

Ouyi official website:

Binance official website:

gate.io official website:

2. What is a virtual currency exchange?

Virtual currency exchange is an online platform specially established for buying, selling and trading virtual currencies. They play the role of a market intermediary, connecting buyers and sellers.

• Core functions:

  • Matching transactions: Provides a market where users can buy or sell virtual coins at the current market price or set price.
  • Asset Custody (usually): Users usually deposit fiat currency (such as US dollars, euros, etc.) or virtual currencies into their accounts opened on the exchange for transactions.
  • Provide market data: Display real-time price, transaction volume, order book and other information.
• Importance: For most novices, exchanges are the main entrance to the virtual currency world. Choosing a reliable, secure exchange is crucial.

3. Beginners: Exchange operation process

1. Choose an exchange: There are many virtual currency exchanges on the market. For beginners, the following factors can be considered:

• Reputation and Security Records: Choose platforms that have been tested by time, have good security records and user reputation. Globally, Binance, OKX and Gate.io are recognized as leading platforms, with a large user base and a relatively comprehensive service.
• Other platforms worth paying attention to:

  • KuCoin: Known for offering an extremely wide range of altcoins options.
  • Bybit: Have a strong influence in the field of derivatives trading.
  • Kraken: Known for its compliance and strong security reputation in the US and European markets.
  • Bitget: It is popular among some users for its order-following trading function.
  • MEXC: Offers a large number of newer, small-cap token options. (Please note: The above list is not investment advice, users need to study and judge by themselves.)
• User interface: Is it simple and easy to understand, suitable for beginners.
• Processing fee: Understand the platform's transaction fees, charge and withdrawal fees, etc.
• Supported currency: Whether it contains the virtual currency you are interested in.
• Customer Service: Whether to provide timely and effective assistance.
• Compliance: Find out whether the platform operates in your area complies with local regulations.

2. Register an account:

• Visit the official channels of the exchange of your choice (strongly recommended to do so through the official mobile app and be sure to download from the official app store to carefully check the developer information).
• According to platform guidelines, you usually need to provide an email address or mobile phone number and set a strong password (including upper and lower case letters, numbers and special symbols, and are unique).
• Read carefully and agree to the User Agreement and Privacy Policy.

3. Complete authentication (KYC - Know Your Customer):

• Most compliant exchanges require users to complete authentication.
• It is usually necessary to upload photos of valid identification documents (such as ID cards, passports) and may require facial recognition verification.
• Depending on the verification level, there may be different transaction limits or permissions.

4. Account security settings (critical!):

• Enable Secondary Verification (2FA): This is a security measure that must be taken. Usually you can choose:

  • Application-based validators (such as Google Authenticator, etc.): This method is highly recommended. You need to install the validator application on your phone and bind it according to the exchange's guidelines. After that, every time you log in or perform sensitive operations, you need to enter the dynamic 6-digit digital code generated by the validator application. Be sure to properly back up the recovery key generated when binding.
  • SMS verification code: Convenient but relatively low security.
  • Email verification code: as an auxiliary verification method.
• Setting anti-phishing code: Some platforms allow setting up a unique code that will be displayed in the emails sent to you by the platform, helping you identify official emails and prevent phishing email fraud.
• Manage login devices: Check and remove untrusted login devices regularly.
• Be highly vigilant about any request that you provide a password or verification code. The official platform will never ask for this information on its own initiative.

5. Deposit funds:

• Deposit to legal currency: Depending on the methods supported by the exchange, you may be able to recharge legal currency to your exchange account through bank transfers, credit/debit cards (be careful of compliance and bank acceptance), P2P (peer-to-peer) transactions, etc.
• Deposit virtual currency:

  • If you already hold virtual currencies in other platforms or personal asset management tools, you can transfer them to the exchange.
  • Find the "Coin Recharge" or "Deposit" function in the exchange.
  • Select the specific currency you want to deposit (such as BTC).
  • Select the correct "network" or "chain" (such as Bitcoin network). This step is extremely important. Choosing the wrong network will lead to permanent loss of assets!
  • The platform will generate an exclusive "coin recharge address" (a long string of characters) for the currency under the network. For some currencies (such as XRP, EOS, etc.), there may be a "Memo" or "Tag", which must be recorded accurately together.
  • In your sender platform or tool, initiate a "coin withdrawal" or "send" operation, fill in this coin recharge address and the required Memo/Tag accurately, and select the exact same network for transfer.

6. Conduct transactions (buy and sell virtual coins):

• Understanding trading pairs: Trading is usually carried out in the form of a "trading pair", such as BTC/USDT, which means buying and selling BTC with USDT.
• Learn basic order types:

  • Market Order: Transaction immediately at the best price in the current market. The advantage is the speed, and the disadvantage is that the transaction price may not be as expected.
  • Limit Order: You set an expected buy or sell price. The order will only be executed if the market price reaches or is better than the price you set. The advantage is that the transaction price can be controlled, but the disadvantage is that the transaction may not be completed for a long time.
• Order operation: Select a trading pair on the trading interface, select the order type, enter the price (limit order) and quantity, and then click "Buy" or "Sell".

7. Withdraw virtual currency:

• If you want to transfer virtual currency to another exchange, your own personal digital asset storage tool, or pay it to others:

  • Find the "withdrawal" or "withdrawal" function in the exchange.
  • Select the specific currency you want to withdraw.
  • Get the address and network information of the recipient: Make sure you have the accurate reception address and know the correct network corresponding to the address. If the recipient is another platform, obtain it according to the platform's coin recharge guidelines. If it is a personal tool, make sure you are clear about the network it supports.
  • On the exchange's withdrawal page, fill in the receiving address accurately.
  • Select the "network" or "chain" that is exactly the same as the receiving address. Again, choosing the wrong network = asset loss!
  • If necessary, fill in the Memo/Tag accurately.
  • Enter the amount of withdrawal, and note that the platform will deduct a certain withdrawal fee.
  • Complete the security verification required by the exchange (such as entering various verification codes).
• Withdrawal is irreversible and once submitted and confirmed by the blockchain, it is almost impossible to revoke. Be sure to check all information repeatedly.

4. Important tips for beginners and risk awareness

• Investment risks: The price of virtual currency fluctuates greatly, and investment may bring huge returns, or may lead to huge losses or even zero. Never invest more than you can afford to lose.
• Learning and Research (DYOR - Do Your Own Research): Don’t trust other people’s recommendations or hype on social media. Conduct independent and sufficient research before investing in any currency.
• Security first: Protect your account password and secondary verification information. Be wary of all forms of phishing and scams.
• Platform Risk: Keeping assets on an exchange means you trust the security measures of the platform. Although top platforms invest huge resources to ensure security, there are still risks such as being attacked, operational failure or policy restrictions (i.e. counterparty risks).
• Start with small amounts: As a newbie, it is recommended to start with a small amount of money and be familiar with the process and the market.
• Compliance awareness: Understand and comply with laws and regulations on virtual currency transactions and taxation in your region.

V. Conclusion

Entering the world of virtual currency is a process of continuous learning. This tutorial provides you with a basic framework and operational guidance. Remember, safety is always the first priority. By carefully selecting the platform, enhancing account security, constantly learning relevant knowledge and managing risks, you will be able to explore this emerging field more steadily. I wish you all the best in your virtual currency journey!

The above is the detailed content of Virtual currency tutorial Virtual currency exchange beginner tutorial. For more information, please follow other related articles on the PHP Chinese website!