A combination of the words ’binary’ and ’finance,’ this platform didn't waste time in helping everyone define it as one of the best things that could ever happen to crypto traders. How did Binance do it? What makes Binance so special? Is it even really that special at all? These are important questions were fully answered. Continue with this article to find out more!
Pros & cons
- No deposit fees
- Low withdrawal fees
- 24/7 support
- Global community for discussions
- Multiple device compatibility
- Simple interface
- Special discounts on BNB transactions
- Slow customer support response times
- Occasional website lags
Binance is a platform for cryptocurrency exchange founded in July 2017. Barely a year later, in 2018, it was named the largest crypto exchange in the world based on its trading volume. Binance’s success isn't surprising, as its founder, Chanpeng Zhao, is known for creating Fusion Systems, a high-frequency trading software. Binance was based in China but currently has its headquarters in Malta. It also has a history of operation from Japan. China’s regulation of cryptocurrency is on a rise, and this was a major factor for the platform’s movement.
The platform is very customer-centered, and it’s obvious in its valuable features. For one, there are more than 45 popular virtual coins available on Binance for trading, including Binance’s very own Binance Coin (BNB). Asides from these popular ones, there are other less famous altcoins Binance lets you trade in, some of which are created by its users. This brings the total number of coins to more than 100. The platform also offers its traders a crypto wallet for their electronic funds. Additionally, there are special programs in their customer support putting traders on the right track investment-wise.
Currencies and payment methods
One of the best things about Binance is the availability of the most popular altcoins for transactions. You can perform deposit and withdrawal in whatever altcoin you choose. Some of the most popular ones include Bitcoin (BTC), Litecoin (LTC), Ethereum (ETH), Tron (TRX), and the Binance Coin (BNB).
Other available altcoins are:
- Ripple (XRP)
- Bitcoin Cash (BCH)
- Chainlink (LINK)
- Binance USD (BUSD)
- Basic Attention Token (BAT)
- Cosmos (ATOM)
- Dash (DASH)
- Nano (NANO)
- Paxos Standard (PAX)
- TrueUSD (TUSD)
- Tether (USDT)
- Stella Lumens (XLM)
If a user wishes, they can perform their transaction in fiat currencies. This could be fiat to crypto, crypto to fiat, or even fiat to fiat. That’s, for example, USD to BTC, BTC to USD, or USD to USD. The available fiat currencies on Binance are about 45, and they include popular ones like:
For fiat transactions, payment methods like Credit/Debit cards, SEPA, and Bank transfers are available on Binance.
Limits & liquidity
Limits on Binance aren't much of a problem because they only apply to withdrawals. Withdrawal limits also vary depending on the user’s level in the account structure.
To verify your account, fill out the Know Your Customer form. The KYC form, although easy to fill, is vital as proof of user identity in addition to certain documents you might have to provide.Additionally, the 3 main types of trade orders functioning on Binance are Limit orders, Market orders, and Stop limit orders. With Limit orders, the trader sets the limit price for transactions while Market order transactions operate at the most favorable market price available. For Stop limit orders to happen, the price has to reach a certain level.
With the competitive nature of the crypto exchange world, Binance’s fees are yet another way the platform is ahead of the competition. While deposits are free, withdrawals are set at a standard rate of 0.1%. Binance is set up in a way that lets certain factors (mostly assets) affect this standard fee. In essence, the higher your assets, the lower your fees.
The discounts on withdrawal fees are set up in a ’VIP level’ structure. Your progress to the next level depends on the increase in your assets, especially the BNB amount you possess and the amount of BTC you trade within the space of 30 days. To reach the highest level of the structure, you need 11,000 BNB and a 30-day trading volume of over 150,000 BTC. At this level, your general trading fees will range from 0.02% to 0.04%. Your part of the range will apply based on whether you're a maker or taker in the transaction.
The other factor affecting fees is how long you’ve spent on Binance. Discounts are applied for the first 4 years you spend on Binance. They apply as follows:
- 1st year - 50% discount
- 2nd year - 25% discount
- 3rd year - 12.5% discount
- 4th year - 6.75% discount
- 5th year and above - no discounts
These discounts only apply to users who pay using BNB tokens. Note that Binance’s fees are updated regularly based on the product.
Most times, transactions on Binance take place in the most popular cryptocurrency, Bitcoin. However, Binance has provided the option of conversion to users who’d rather transact or store their funds in other cryptocurrencies. If you want, you can convert cryptocurrency to fiat currency.
Withdrawal/deposit fees and withdrawal times
Binance doesn't specify fees based on the withdrawal method, rather, the fees are based on the altcoins you're withdrawing. The fees for the most popular altcoins are as follows:
Binance is secure for the user since it only requires your email address to sign up. You don't have to give up any sensitive information just to join the platform.
In terms of funds security, Binance has done a great job so far. There’ve been minimal reports of users losing their funds they left in the crypto wallet, hence you can conclude the platform’s claim of SSL security is genuine. The only thing that can jeopardize a user’s Binance account is carelessness on their part. That’s, when a user gives up their password, knowingly or not, they set themselves up for personal security breach.
To join Binance, you simply need to sign up on their website. The only required items are your email address and a strong password which you’ll choose yourself. Creating an account on Binance is free and after the verification of your account via the KYC policy, you can proceed to depositing and trading.
After login, there should be an icon shaped like a person in the right upper corner. By clicking it, you get a little menu where your BTC balance is shown. Since you just registered, the balance should be 0.0000000 BTC, except in cases where you signed up with a referral.
On that same page, there’ll be a list of the most popular altcoins and the ’deposit’ option next to all of them. Click on the ’deposit’ option beside your preferred coin. Doing this will give you your deposit address. Provided you had a previous crypto wallet that’s funded, or someone else is transferring to you, you can now send cryptocurrency to the given address. After 2 confirmations of the deposit, you may begin trading.
Next to options like Bitcoin Era, Binance might as well be impeccable because it’s more trustworthy and versatile. Binance definitely isn't all-around perfect, but it’s quite great and only surpasses most of its competition by far. An example of a good alternative to Binance is CoinBase which is much like Binance in a lot of ways, including everything that makes users love Binance.
With technically no reviews powerful enough to dent the platform’s reputation, Binance is a top shark in the crypto trading industry. It has spent its early years building goodwill strong enough to keep it at the top for a very long time. Since it’s a highly recommended crypto exchange platform, hopefully, Binance keeps up the good work. Join the many Binance traders today!