Binance Exchange Review | Should You Use It?
Binance is one of the most popular, if not the most popular, crypto-to-crypto exchange platforms right now. Since its launch in 2017, its quickly gained reputability in the blockchain community thanks to its variety of coin offerings and insanely low trading fees. But is it right for you?
In this Binance review, we’ll be going over:
- Key Information
- How It Works
- Trading Fees
- Available Cryptocurrencies
- Transfer Limits
- Company Trust
- Fund Security
- Customer Support
Binance Key Information
|Site Type||Cryptocurrency Exchange|
|Available Cryptocurrencies||Bitcoin, Ethereum, Litecoin, + >100 more coins|
How It Works
There are two options for trading platforms on Binance: Basic and Advanced. As the names imply, the Basic view has all you need to perform simple trades while the Advanced view is for more advanced traders. There aren’t many differences between the two views with the exception of being able to do more detailed technical analysis in the Advanced view.
Basic View Walkthrough
As a novice trader, you may even find the Basic view to be fairly complex. It’s clear that Binance was not created for the casual investor.
The main dashboard has several charts and graphs including the order books, a candlestick chart, as well as the trade history of the trading pair you’re viewing. There’s also a depth chart of the orders that you can view in a separate tab from the candlestick chart.
To begin trading, you first need to fund your account. To do so, click on the Deposits link under the Funds tab.
On the Deposits page, choose which cryptocurrency you’d like to fund your account. Binance provides you with a public wallet address to send your funds. We recommend that you fund your account using either Bitcoin or Ethereum because those are the two coins with the most trading pairs. Doing so gives you greater flexibility when trading.
Once your account has some funds, you can start investing. Navigate back to the exchange dashboard by clicking Basic under the Exchange tab in the upper left-hand corner.
On Binance, can make limit, market, and stop-limit orders. Previously, the platform only supported limit and market orders. So, you can expect that the team will add more advanced order types over time.
Other than a slightly different layout, the Binance exchange Advanced view is identical to the Basic view with a few more TA bells and whistles. It includes Fibonacci lines, moving averages, and everything in between. If your trading strategy involves a substantial amount of TA, the Advanced view will be your home base.
In addition to the exchange, Binance has implemented numerous other features and tools in the past year. There’s the Binance Academy containing educational content on blockchain, Binance Info providing you with market stats and ICO reviews, Binance Labs, an incubator for startups, and Launchpad for token launches.
For the casual investor (<100 BTC 30-day volume), Binance charges a flat 0.1% fee on each trade, lower than the industry average. If you pay using their own token (BNB), you currently receive a 25% discount on the trading fee – bringing it down to 0.075%.
If you’re a high-volume trader (>= 100 BTC 30-day volume) that holds at least 50 BNB, you receive even greater discounts. Your fees follow a trading fee schedule that’s determined by your trading volume, maker/taker status, and whether you pay your fee in BNB. The fees range from 0.015% to 0.100%.
Withdrawal fees vary by cryptocurrency but do tend to be on the high side.
- Bitcoin Cash
- Ethereum Classic
- IOTA (Binance is one of the only exchanges where you can buy IOTA)
- Over 100 more coins
Binance is strictly a cryptocurrency exchange, so you’re not able to fund your account with fiat currency.
You can only deposit cryptocurrency funds, but there’s no limit on the amount that you can deposit. There are also no fees on any of your deposits.
The amount that you can withdraw each day is determined by your verification tier. Without submitting any verification details, you’re placed at Level 1 and can withdraw up to 2 BTC worth of cryptocurrency a day.
To be classified as Level 2, you need to enable either two-factor authentication or Google Authenticator. Following that, you need to provide information for KYC purposes including:
- First name
- Last name
- Photo ID
With Level 2 verification, your daily withdrawal limit increases to 100 BTC. If you’re looking to withdrawal more than this amount in one day, you need to contact the customer support team.
Binance has grown into one of the most trusted exchanges in the industry. The company raised around $15 million in an ICO in July 2017 and immediately acquired 20,000 registered users as part of the raise. Since then, the platform has grown to house over nine million users and is expecting to bring in close to a billion dollars of profit in 2018.
Changpeng Zhao, CEO of Binance, has an impressive resume with years of experience in cryptocurrency. He was the Head of Development at Blockchain, Co-founder and CTO of OKCoin, and the Founder and CEO of BijieTech before working on Binance.
Although the exact details of how Binance keeps funds secure is missing from the website, the company has proven time and again that your coins are in good hands.
In early 2018, the platform came under a phishing and API attack in which thieves began exchanging users’ coins for Viacoin (VIA) without their consent. As the price of Viacoin rose due to the increased demand, the attackers sold their VIA supply to make a substantial profit. As soon as the Binance team realized the malicious behavior, they disabled withdrawals and froze the affected funds. After some investigating they were able to identify the malicious parties, obtain the stolen coins, and revert the funds back to the appropriate people.
The Binance security and support team do an excellent job of keeping users up-to-date with any happenings via their official Twitter account.
Scammers are impersonating official Binance accounts and tweeting to ask for deposits to specific addresses in return for gifts.
You will lose your tokens if you do this!
Binance will never ask you to send coins directly to any address for any reason.
— Binance (@binance) February 12, 2018
Binance has improved their customer support area significantly in the last year. It includes a list of FAQs covering everything from depositing coins to preventing phishing attacks as well as a space for important announcements.
Both the exchange and the support site are available in numerous languages including English, Spanish, Italian, and Chinese
If you can’t find what you’re looking for online, you can submit a support ticket through an online form and get a response via email.
With low trading fees, a variety of available cryptocurrencies, and an enjoyable trading experience, it’s no wonder Binance has solidified itself as a dominant force in the crypto exchange industry. The platform has quickly become a favorite among novice and advanced traders alike. As long as Binance continues to do the things it has done to earn its stellar reputation, there’s no reason why you shouldn’t at least give it a try.
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ABOUT THE AUTHOR
ABOUT THE AUTHOR
Based in Austin, TX, Steven is the Executive Editor at CoinCentral. He’s interviewed industry heavyweights such as Wanchain President Dustin Byington, TechCrunch Editor-in-Chief Josh Constine, IOST CEO Jimmy Zhong, Celsius Network CEO Alex Mashinsky, and ICON co-founder Min Kim among others. Outside of his role at CoinCentral, Steven is a co-founder and CEO of Coin Clear, a mobile app that automates cryptocurrency investments. You can follow him on Twitter @TheRealBucci to read his “clever insights on the crypto industry.” His words, not ours.