Cryptocurrency trading is undoubtedly one of the fastest-growing industries in the world. Today, there are plenty of peer-to-peer platforms that allow individuals to buy and sell bitcoins and other cryptocurrencies easily and safely. Nevertheless, finding a reputable company is often frustrating, given the prevalence of scams and fraudulent sites that try to con people from their hard-earned cash. In light of this, it is important for you to conduct thorough background checks on any platform you intend on using to trade on, before making any form of investment.
In this review, we are going to explore binance.com, which is one of the latest entrants in the cryptocurrency market. This rundown will cover some of the most important features of this platform, including how to register on the website, how to trade on it as well as the pros and cons of using this cryptocurrency broker. Hopefully, by the end of this review, you will be able to decide whether this platform is the best for you.
So, what is Binance.com?
Binance.com is a cryptocurrency exchange platform that was formed in China in 2017, although it currently has its headquarters in Malta. The founder of Binance is Changpeng Zhao, a business executive who worked for the Tokyo Stock Exchange and Bloomberg before building one of the fastest high-frequency trading systems known as Fusion System.
Although Binance is a relatively new cryptocurrency trading company, it has become a very popular trading platform for experienced cryptocurrency traders all over the world. With over 313,000 daily active users, Binance is undoubtedly the largest bitcoin exchange platform in the world after Coinbase. Its popularity with professional cryptocurrency traders can be attributed to its fast order execution time. The website is capable of handling up to 1,400,000 transactions per second, which is a very remarkable feat, considering the high number of daily users.
How does Binance.com work?
Binance has both basic and advanced trade setups, which allow novices as well as experts to use the platform seamlessly. With over 400 coins offered, Binance is the go-to place for traders looking for a variety of coins such as Ethereum and Ripple – which may not be available in most cryptocurrency trading platforms. The company also has its own coin (Binance coin) which allows traders to enjoy low trading fees.
Recently, Binance introduced a decentralized system known as Binance Decentralized Exchange (DEX), in order to deal with security threats, which are undeniably common to centralized trading platforms. Interestingly, Binance DEX does not keep customer funds or information. Instead, the funds are held by traders in their own individual wallets.
Products and Services offered on Binance
Crypto currency Exchange
Binance is essentially a cryptocurrency broker platform. However, one thing that makes this company stand out from other cryptocurrency exchange sites is the large number of Altcoins that are traded. There are well over 400 cryptocurrencies traded on Binance, including, Bitcoin, EOS, Ethereum, Beercoin, and Cryptocarbon. Through the newly launched Binance DEX, registered users can sell and buy all supported cryptocurrencies and withdraw their funds to their external (personal) wallets.
Once you register on the website, you can choose between basic or advanced modes to conduct your purchase and sale transactions. However, the advanced mode is preferred by many as it offers an extensive trading interface, similar to other professional cryptocurrency broker platforms.
In July 2019, Binance launched a feature that allows users to trade margins. The leverage margin for trading is currently 1:3 for Bitcoin and Altcoins.
In addition to margin trading, the platform also introduced futures trading on their network, which has further boosted its reputation and standing among professional cryptocurrency traders. The current leverage for Bitcoin futures trading is 1:20.
Another highly attractive financial product of this platform is the crypto currency lending system, which allows users to give loans on cryptocurrencies to other users. The lenders typically earn interest on their loans, just as they would if lending actual money.
Getting Started on Binance
To begin trading cryptocurrencies on Binance, you will first need to create an account on the website. Fortunately, the process of signing up is very simple and straightforward. To set up an account, you only need to click on the confirmation email. This will allow you to activate a basic level 1 account, which has a daily withdrawal limit of 2BTC. This account does not require any further verification, meaning that you can start using it immediately.
However, in order to set up a level 2 account (which allows transactions of up to 100BTC per day), you are required to verify your identity. In essence, you will be required to submit a photo ID and then wait for your account to be verified. The amount of time it takes for your account to be verified varies depending on how busy the website’s support staff are. You are therefore advised to plan ahead if you intend to withdraw significant amounts. Likewise, you need to ensure that verification is complete before you deposit and trade large sums on the platform.
Deposits and Withdrawals on Binance
Binance, just like most crypto-to-crypto platforms, does not allow Fiat currencies. Therefore, in order to deposit in your account, you will first need to buy your coin of choice from a website that accepts Fiat currency, then deposit the coins in your account. Once you deposit your coins, you can begin trading on the platform immediately.
Charges are levied on all withdrawals conducted on Binance. However, the exact amount that is charged depends on the currency that you are withdrawing.
Trading Fees on Binance
Binance is preferred by many cryptocurrency traders due to its low trading fees. Currently, the platform levies a fee of 0.1% on all trades made. In addition to this, there is a 50% discount on trading fee, which is offered to users that pay via Binance coin. This makes trading on the platform highly attractive especially for individuals who are just starting out.
Is Binance Safe?
As is the case with all other cryptocurrency trading platforms, the safety and security of users of Binance is of utmost importance. This does not come as a surprise, given the hacking scare that the company experienced in March 2018. Fortunately, no users lost their coins as the hack was quickly uncovered and the hackers lost all the coins they had accumulated. This scenario, however, prompted the company to beef up its security in order to protect the funds of its users.
The platform has since instituted advanced security protocols to secure its user’s accounts and funds. This system sends alerts in case of a breach, thereby acting as a deterrent for hacking. The platform also allows users to protect their funds with Google Authenticator 2FA.
Binance Customer Support
An effective customer support system is no doubt very important to a cryptocurrency network. Rapid response to customer problems allows a cryptocurrency platform to build trust in its users, which ultimately improves the reputation of a platform. Although, the customer support at Binance is far from perfect, the customer support team is highly responsive to queries from the site’s users. They always provide help and guidance to traders in a timely and satisfactory manner.
You can submit a support ticket by filling an online form which can be found on the website. All responses from the support team are usually sent via email. In addition to the customer support team, Binance has several frequently asked questions (FAQ) sheets that provide users with information on how to navigate the platform and acclimate themselves to the workings of the platform.
So, what are the merits of working on this platform?
- The platform has a very user-friendly interface
- It has a good reputation
- Open an account is easy and quick
- Conducting transactions is easy
- Plenty of different currencies offered for trade
- Good customer support
- Low trading fees
A Final Word- Is Binance Legit?
With plenty of cryptocurrency exchanges operating all over the world, it can be incredibly difficult to select one that works best for you. Binance is without a doubt one of the companies that aspire to meet the needs of all cryptocurrency traders, regardless of their experience. The highly intuitive user interface provides a comfortable and enjoyable user experience. This platform also supports over 400 currencies, which makes it a very reliable marketplace for traders of lesser-known cryptocurrencies. The trading fees on Binance are also highly reasonable compared to many competitor companies. Thanks to its swift and useful customer support team, users of this website can have all their queries resolved in a timely and thoroughly satisfying manner. The fact that this company has amassed such a huge following in a very short time is a testament to Its reliability and success. I would highly recommend it to both beginners as well as professional cryptocurrency traders.