What is Binance?
Binance is a renowned cryptocurrency exchange platform launched in China but recently relocated its headquarters to Malta, a cryptocurrency-friendly island in the European Union. The exchange’s popularity is majorly attributed to its crypto-to-crypto trading services. Despite the fact that the organization is somewhat a new entrant in the market, thanks to their splendid no. of ICO listings, low trading fees, professional attitude, and a friendly Chief Executive Officer, it has succeeded to amass a whole lot of recognition.
Insofar as this review goes, we will try to look into or rather address all there is to know about Binance, including how it operates, the cryptocurrency pairs available for trade on the platform, security facets, customer support, as well as its trading fees and the limits herein involved. Click here to visit official site!
How does Binance work?
Upon your first visit to the platform’s site, you will at a glance come to the realization that as far as digital assets trading is concerned, there are two versions for users namely; basic crypto trading and advanced crypto trading. Neither of the aforementioned versions is deemed an easy-to-use option for absolute beginners. Be that as it may, anybody with a background in cryptocurrencies, as well as a bit of know-how regarding how cryptocurrency exchanges operate is better placed to leverage the exchange’s platform and its various services. The key disparity between the two versions (basic and advanced) is that the advanced version offers a technical analysis of cryptocurrency value that is more in-depth over time.
At the moment, the view of the basic version’s dashboard offers a number of charts and graphs for the crypto pairs you intend to trade, the history of your trade, and order books.
The view is neatly designed and properly laid out. All the info you may need is presented vividly with prices on the view’s left side panel, graphs centered, and the trade boxes (buy and sell boxes) on the right panel so you can quickly have a glance of what the most recent prices with regard to trade were.
The advanced view, on the other hand, has a dark theme and enlarges the trading charts. What’s more, the most recent trade prices are presented on the view’s right-hand-side panel. Underneath this panel are the buy and sell boxes.
Binance Account Sign-up and Sign-in
Signing up for an account is the first step towards utilizing the Binance platform for crypto trading. The process herein involved is rather easy and straight-forward. Significantly, a user doesn’t have to verify their account for the first level which basically has a 2 BTC daily withdrawal limit. The second level, on the other hand, with a withdrawal limit of up to 100 BTC in a day, requires a user to upload a photo of their ID and hold on until they are authenticated. As much as there exist higher limits as well, you will be required to directly get in touch with the exchange’s administrators for such arrangements.
The verification period is bound to vary contingent upon how busy the administrators are. Consequently, be sure to make arrangements ahead of time in the event you wish to make larger amounts of withdrawals. Also, it is absolutely necessary that you complete the signup process and log into your account before you are ready to deposit and (or) trade on the platform.
Binance Funding and Withdrawal
Funding your Binance Account
Upon completing the signup and verification processes, users can proceed to funding their Binance account. Even though users are at liberty to select from a multitude of cryptocurrencies, it is advised that they stick with either Bitcoin (BTC) or Ether (ETH). To deposit funds into your Binance account from the site, navigate to the “Funds” > “Deposits / Withdrawals” link at the top of the web page and select your preferred currency, then click the button labeled “Deposit” beside it which will, in turn, provide you with the address of the wallet. At this point, you can then have your funds transferred to your allocated address and commence trading on the platform. Contingent upon your chosen currency, the time taken for the funds to show up varies as this depends on the blockchain of the currency. Certain cryptocurrencies such as Ethereum take a shorter time to show up as compared to Bitcoin which is bound to take a little longer.
Now that you have successfully funded your Binance account, you are in a position to begin to trade, exchange, and invest in a number of crypto pairs. The platform offers a variety of options, given that it not only supports all major cryptocurrencies but diverse ICO listings and their corresponding tokens as well.
So far, the Binance exchange platform can only be used to generate limits and market orders. To a number of users, this has been deemed disadvantageous since they expected to land at trading options that are more advanced. Upon placing your order, simply hold on for a moment while the order is fulfilled as per the stipulated terms and conditions.
Withdrawing your funds from the Binance exchange platform is just as easy as depositing them is. To do this, click on the withdrawals tab on the main menu bar after which you will be redirected to withdrawal section. Select the coin that has your assets or funds then enter your external wallet address and proceed to make the withdrawal. You will be required by Binance to confirm the transaction. This can be via either email confirmation or 2-factor authentication. In the event you wish not to go through this process every other time you carry out such a transaction, then you are at liberty to elect the specific addresses to the white label.
How to Trade on the Binance Exchange Platform
Having interacted with any particular digital currency exchange before, trading on the Binance platform ought to be passably straight-forward. To begin, be sure to have some funds in your Binance account. Significantly, you are provided with options to trade pairs in USDT, BNB, BTC, and ETH. After funding your Binance account, select “Exchange” > “Basic” or “Advanced” to load the trading web page.
Assuming you selected the basic view, select the USDT, BNB, BTC, or ETH tab on the site’s right-hand side panel – you will be trading in this. Then from the provided list of cryptocurrencies, select the one you most prefer. You can as well search here and even set up a list of your favorite cryptocurrencies by clicking on the star button beside the coin.
The moment your selected cryptocurrency has loaded, take notice of the column on the left-hand-side which displays the prices at which other users or rather traders are willing to sell in the top half in red and the prices at which other traders are willing to purchase in the bottom half in green.
In order to place a purchase order, navigate to the box in the center below the graphs where you will see the buy box – it is on the right and has a green background. Even though there is the option for you to manually key in your purchase price, a more effective way would be to select an amount on the column in the left-hand-side. Either way, you can then key in the amount of the cryptocurrency you are inclined to buying or click the 100%, 75%, 50%, or 25% buttons. This will as result fill the text field with an amount depending on the amount of the buying currency you have in your wallet (BTC in this case).
Upon the placement of your order, it will progressively be displayed below the “Open Orders” segment until it is completely filled. So far, your new crypto asset will be available underneath the “Deposits / Withdrawals” menu. From here you can make withdrawals to your cryptocurrency wallet of preference.
Supported Digital Currencies by Binance
Binance is vastly renowned for its support of a vast range of digital currencies. Crypto traders are in a position to trade multiple cryptocurrencies, with the inclusion of, but unlimited to, among others, Ethereum, Bitcoin Gold, Ethereum Classic, Bitcoin, NEO, Bitcoin Cash, Ripple, EOS, GAS, Dash, Zcash, LiteCoin, just to mention but a few. As earlier mentioned, Binance as well supports a variety of tokens, as part of ICO listings. Crypto traders can as such trade the aforementioned tokens for purposes of profiting.
Binance is at the moment very quick to include new crypto coins and tokens after their ICO which basically implies that traders can purchase them at pocket-friendly prices. This as result gives room for bigger profits down the pike. The exchange at the moment offers trading pairs in USDT, ETH, BTC, and BNB.
Binance ICO and BNB Coin
Worth noting is that the BNB token (Binance Coin) which was offered amid Binance’s Initial Coin Offering can be used in the payment of fees. What’s more, the coin is scheduled to feature in the organization’s future plans to develop a decentralized exchange platform in which case the coin will serve as the primary base currency. The Binance Coin is worth investing in as the organization plans on using their profits to buy back a portion of the coins every quarter and destroy them, thus reducing their supply and further augmenting their value for holders. Here is what the CEO had to say:
“Every quarter, we will use 20% of our profits to buy back BNB and destroy them, until we buy 50% of all the BNB (100MM) back. All buy-back transactions will be announced on the blockchain. We eventually will destroy 100MM BNB, leaving 100MM BNB remaining.”
Binance Fees and Limits
Up till the time of this writing, Binance charges an approximated 0.1 percent on every trade made by a user on their platform. Most noteworthy, Binance offers a 25 percent discount on the trading fees for individuals who opt for paying through the Binance token (BNB), which is unreservedly great news. These are undoubtedly among the lowest possible fees available so far in the marketplace. Withdrawal fees normally have a tendency to vary for each cryptocurrency. For example, whilst Bitcoin withdrawals are charged at 0.0005, ETH withdrawals are charged at 0.005.
As far as transfer limits go, the amount of coins a user can deposit is unlimited. Be that as it may, in cases where a user is not verified (level1 user), there are limitations insofar as their withdrawal amount is concerned. Account verification establishes one as a level 2 user, hence lifting the aforementioned limits and providing a lot more freedom when using the exchange’s platform. This authentication process necessitates a user to provide their full name, government-issued Identification card or passport photo, gender, country of residence, as well as a selfie holding the ID card or passport.
Insofar as order types go, Binance has a comparatively standard offering. On the Binance exchange platform the trading orders are categorized into three types namely:
- Limit order:
This lets you place an order at a particular price that is not in the current market price.
- Market order:
A market order executes an order at the going market rate. It is the order a trader uses when they only want to purchase or sell at the particular moment.
- Stop Limit:
A stop limit is basically a limit order that also lets you place a stop price. The moment the market attains this price your trade will be closed out. Simply put, placing this order can be likened to placing a stop loss.
Is Binance Safe?
Despite being among the most recent crypto exchanges to join the market, Binance has swiftly managed to establish a high level of trustworthiness from not only its users but the cryptocurrency community at large. Nonetheless, the platform does not provide users with sufficient information regarding the manner in which funds are secured, yet we are inclined to believing that security is a major concern insofar as cryptocurrency trading goes. 2-factor verification of user accounts is available, which normally is a nice sight. However, it is common knowledge that the platform offers a multi-tier and multi-tier system architecture.
Most noteworthy, Binance was a victim of a hacking attempt in March 2018. The hackers attempted to pull off an intrepid stunt which was fortunately captured by the automated systems in place at the exchange. The hackers had been racking up users’ logins for months through a phishing website and covertly installing API access on the vulnerable Binance accounts. They then pounded, converting the victims’ altcoins in their entirety to BTC and buying Viacoin which as a result pumped the coin to a big price. They then sold their Viacoin supply at the peak, prior to attempting to make withdrawals of the BTC to their individual wallets. Fortunately, none of the users succumbed to fund losses since the hack was captured. Instead, it’s the hackers who lost and their funds will be donated to charity.
Given that the hack was caused by users posting their account credentials and two-factor authentication credentials into a phony website, you ought to always ensure you’re on the right Binance website URL prior to signing in to your account. You are as such advised to bookmark the site and only use the bookmark to access it. It is as well recommended that users should never click links from emails, twitter, telegram, and other social media sites. This occurrence has to a great extent instilled confidence around the exchange. This level of confidence is majorly attributed to the fact that not only did the exchange’s automated systems capture the pursued hack before any loss of users’ funds, but also that the organization has since offered a bounty worth $250,000 to whoever can help nab hackers. All through the event, Binance acted exceptionally and have been venerated for their rapid action in mitigating this.
Binance Customer Support
A successful exchange platform calls for an appreciable customer support team, with the capability to answer all user queries and requests in a timely manner. Much as Binance’s support could use a bit of work, the support team is significantly responsive and bears the capacity to offer professional help to traders in need. The platform issues support tickets through an online form featured on the exchange’s site. Consequently, responses are conducted through email. At the moment, there is neither an active chat support nor a toll no. through which users can contact the support team.
Besides their reputable customer support, Binance provides its users with a number of FAQs and articles meant to help them stay abreast with the exchange platform and how it operates.
It is worth noting that Binance’s customer support has been known to be slow insofar as responding to customer requests goes. This is a common phenomenon with a vast majority of large exchanges and is basically attributed to the large number of users as well as the size of the support staff. The platforms have grown at an alarming rate this past year and the organizations have basically not been able to keep abreast with the demand. Binance, in particular, grew rapidly, going from its establishment to being the biggest cryptocurrency exchange globally over such short a period. Crypto exchanges’ support teams should be keenly vetted and trained about security requirements as well as the technicalities engrossed – in contrast to other traditional organizations where training the staff can be a lot quicker.
Launching a Decentralized Exchange
Binance’s most recent news and what appears to be good news for holders of the BNB token regards the fact that the organization looks forward to launching their own DEX (Decentralized Exchange):
“After extensively researching decentralized exchange frameworks and analyzing existing implementations, we believe significant improvements can be made in providing Binance users with a level of trading experience to which they are already accustomed. Centralized and Decentralized exchanges will co-exist in the near future, complementing each other, while also having interdependence.”
Currently an ERC-20 token, the BNB digital asset is scheduled to migrate as the network’s native token and will be used for the payment of the new exchange’s trading fees.
Binance Jersey Launch – Now Supports Fiat to Crypto Exchanges
As of January 16, 2019, Binance has announced the instigation of a new fiat to cryptocurrency exchange referred to as “Binance Jersey”. The trading platform is live and active and allows users to carry out their trades using such fiat currencies as the euro and the sterling pound. The exchange’s primary target is the European market.
Up till the time of this post’s composition, the platform only offers the following 4 trading pairs with more to follow in the near future:
Binance Referral Program
Are you enthusiastic about the Binance trading experience? Well, if this is the case then it’s good news for you as the exchange provides its users with the opportunity to pocket referral commissions. This could as well be an apt choice for traders who have a passably solid online following.
Binance rewards its users a percentage of the users’ trading revenue. This reward is variable and at the moment rests at 20 percent. Nonetheless, in the event you are holding over 500 BNB in your Binance account, then the exchange increases the percentage to 50%.
If you wish to participate in the Binance referral campaign then you will be required to get a referral link. You can get this link on your dashboard from Binance’s invite link. If you click on the link, you will be redirected to your affiliate link. It is this link that you send to your friends and online followers. You are at liberty to as well use the auto-generated QR code.
At the moment, Binance’s matching engine has the capacity to process orders at the rate of just about 1.4 million per second. This, as a result, labels it one of the quickest cryptocurrency exchange platforms available on the market. What’s more, it works on all sorts of devices, including HTML5, Web, WeChat, and Android. Most noteworthy, the exchange offers multi-language support in Japanese, Korean, English, and Chinese.
Based on all that has so far been mentioned, Binance is, without doubt, the most established crypto exchange and not only offers appreciable fees, but an amazing cryptocurrency support as well. Given that it reportedly has access to a whole lot of resources and partners, it is most probable that Binance will continue to evolve and provide its users with great cryptocurrency exchange services.
As always, take precautionary measures, for instance, using a unique password for account registrations, enable two-factor authentication on your account, and always remember to withdraw your crypto assets to your own private wallet as holding your assets on the exchange platform makes them vulnerable to scams.