The existence of a wide range of cryptocurrencies, crypto exchanges, and platforms creates outstanding opportunities for crypto investors, but also presents additional difficulties. If you want to test various platforms and exchanges, invest your money in different crypto assets, how should you manage all your operations, and track what happens to your funds? A cryptocurrency portfolio tracker is the answer. Let’s discover how it works and find out what the best portfolio trackers are.
Crypto Portfolio Trackers: Meaning
A portfolio tracker is a platform (for instance, a website or an app) that links an investor’s wallets and exchanges in one place to control the change in value of the coins held. Some of the trackers provide tax reports. Portfolio trackers are needed for frequent and professional investors. If you only trade from time to time, there is no need for a tracker.
How Do Trackers Work?
There are several ways crypto portfolio tracker can work. The idea behind all of them is to allow the client to control all their trades in one place. This helps an investor analyze transactions with real-time profit and loss reports; it’s also possible to see the value of held coins or track realized and unrealized gains. Instead of creating a spreadsheet on a computer and entering every trade there, you can use a crypto portfolio tracker that helps automate the trading process.
The trades done on supported crypto exchanges are automatically added and analyzed by the platform. However, if the exchange isn’t supported by the trackers, a user must add their transfers manually.
Some portfolio trackers can be used as trading platforms. In this case, a tracking exchange provides a client with an individual wallet key to import and hold cryptos as well as buy and sell them.
Choosing a Cryptocurrency Portfolio Tracker
It’s clear what a cryptocurrency portfolio tracker is. Now, it’s time to choose the one that will match your expectations. Of course, there is no perfect tracker that can fulfill all your needs. Still, there are those that can be more relevant for you.
There are user-friendly portfolio trackers, but they don’t allow a client to add all the cryptocurrencies they hold; others are less convenient but are used for a wide range of crypto assets.
When choosing a crypto portfolio tracker, you should consider the following criteria.
Safe and Secure: Can Portfolio Trackers Be Safe?
Crypto trading is associated with high risks; cryptocurrency regulation is not yet complete. Thus, the safety and security of investor’s funds are a priority. When you pick a crypto portfolio tracker, pay attention to security features used to protect your funds. For instance, the tracker should apply two-factor authentication and multi-layer encryption. Read the terms and conditions of the tracker. If the tracker doesn’t guarantee fund safety, avoid it.
Moreover, a user can control the degree of the tracker's access to their funds. If you don’t want to allow the tracker to have complete control over your money, you can limit access. For instance, you can apply a view-only mode. As a result, the portfolio tracker will see your crypto holdings but won’t be able to perform any operations with them.
The idea of a crypto portfolio tracker is to simplify your life. Thus, it should be an easy-to-use tool that you can apply to your trading career without specific instruction. When opening a tracker, you should first see all your assets and the change in the value of your portfolio.
Thus, before connecting all your wallets and exchanges to a single tracker, check its interface. If it’s easy, choose that tracker.
How Many Wallets and Exchanges Can You Add?
Any good crypto portfolio tracker should provide a wide range of wallets and exchanges that you can track. Your perfect portfolio tracker should allow you to connect all the exchanges and wallets you use. Otherwise, the purpose of the tracker is not fulfilled. If the tracker combines all your assets, you can use it.
It’s also essential to find a tracker that differs from others. If the platform offers better features, it’s a sign the team worked hard on the project to provide better services.
Here are several features you can consider.
A crypto portfolio tracker should be personalized. This means that your tracker should focus on the crypto assets you hold. For example, the platform’s homescreen should show only the cryptos you have. Also, the platform should provide all the news and notifications regarding the assets you hold.
The process should be fully or almost fully automated. Thus, the crypto portfolio tracker should be able to integrate a wide range of exchanges and wallets. Although you may have to add some trades yourself, the major part of exchanges, wallets, and assets should be implemented automatically.
Top Portfolio Trackers
We have gathered the 5 best crypto portfolio trackers you can use.
CoinTracker is a platform that allows tracking investment performance and taxes. It has a user-friendly interface, straightforward for investors with different experiences. Also significant is that the platform provides fast support to its clients.
CoinTracker submits annual tax calculations. It’s also possible to download tax reports. The platform integrates all leading cryptocurrency exchanges. A free plan offers a wide range of services. If you need additional features, you can pay a fee.
CoinTracking is another service that helps analyze profit and loss reports to build a more substantial portfolio, monitor the value of coins held, and consider gains. This platform also provides tax reports. CoinTracking includes various crypto assets and exchanges which makes it one of the top crypto portfolio trackers.
CryptoTaxCalculator is not a crypto portfolio tracker but a service for calculating your crypto taxes. The platform includes all the exchanges used by most crypto investors. It supports over 20 tax jurisdictions and covers DeFi & DEX trading.
This crypto portfolio tracker deserves to be considered among the best trackers. The application was even acquired by crypto exchange FTX. Its advantage is that it is available as a mobile app. Although professional investors mostly trade using computers, it’s vital to be flexible and always informed about the funds. The platform attracts users with its great interface.
The tracker allows users to follow over 10,000 crypto assets and connection to numerous exchanges. Blockfolio’s Signal tool offers news and other useful data. The platform allows price alerts to be set up.
Delta is another application that can simplify your life. It enables users to track even non-crypto assets. Using the app, you not only track the price of cryptos but also get insight into the whole financial situation. The platform is quite simple, so even a newbie can use it. The app supports even more exchanges than Blockfolio.
A crypto portfolio tracker is a great tool aimed at simplifying an investor’s life. A tracker is a one-stop shop that combines all your trades on different exchanges and all your transactions in your wallets. Using a tracker, you can easily monitor your funds, analyze your trades, and even get tax reports.
Still, there are pitfalls. Most crypto portfolio trackers use your private API keys to connect with crypto exchanges. It creates plenty of problems, for instance, when the tracker can’t get data due to connection issues, errors in processing requests and access rights on the side of exchanges.
These problems don’t occur if you use the Single Broker platform. It integrates the processes inside using own API infrastructure and direct connection to exchanges. All portfolio metrics and data are stored on the side of the Single Broker, which guarantees the user access to trading analytics tools. So, the risk of incorrect or delayed data is eradicated.
Single Broker provides crypto tracker tools, too. With the analytics feature, users can get information on the current balance by currencies and sites of placements. It’s also possible to accumulate all trades for the selected period and for assets and exchanges you use. Balance history is a great tool to follow balance changes.
The platform allows you to display only the cryptocurrencies you need. The aggregated balance depicts the user’s balances from all available accounts and trading platforms. The distribution of funds is visualized.