With the cryptocurrency exchange market drawing close to a saturation point, it’s very important that you should only use platforms that are completely trustworthy and ideally suited for your needs.
Binance is a new cryptocurrency exchange platform that doesn’t have the kind of track record that its competitors such as Coinbase and Bittrex have. Based in Tokyo, it was launched only in 2017. However, it has still amassed a tremendous degree of popularity. In fact, it has become the largest cryptocurrency exchange in the world in just 6 months! That’s because of its low trading fees, efficiency of cryptocurrency exchange, and the fact that they have an impressive list of Initial Coin Offerings.
These ICOs are high-risk and high-reward investment forms generally preferred by veteran traders of cryptocurrency. As such, while Binance can be used by beginners, it’s ideally meant for serious traders. Even the user-interface bears this out because it’s quite difficult and complex to navigate.
In this article, I’ll give you a thorough overview of Binance so you can decide whether you want to use it.
If you’d like to straightaway compare Binance to the alternatives, you can jump over to Part 3 of this article.
PART 1: Is Binance Safe?
Even though Binance is a new cryptocurrency exchange platform, it has already amassed a vast degree of trust from its users and the crypto community in general.
However, what’s surprising is that it has managed to win people’s trust without much transparency in their proceedings. They haven’t released much information about the steps they take to secure the funds.
As far as the user accounts are concerned, they use 2-factor authentication for heightened security.
PART 2: Binance Trading Information
Binance offers a wide range of cryptocurrencies, perhaps the widest range amongst all the different platforms. You can trade in Bitcoin, Bitcoin Cash, Ethereum, EOS, LiteCoin, GAS, Dash, Zcash, Ripple, Ethereal Classic, Bitcoin Gold, and various others.
Binance is extremely quick on adding new cryptocurrencies as they come up, as a part of their ICO listings. As such, you can invest in cryptocurrencies when they’re cheap and get greater profits down the line.
Binance supports all countries across the globe. As such, whether you can use Binance depends on whether your country permits the use of cryptocurrency platforms.
Binance has an extremely low trading fees of 0.1%. Furthermore, if you pay with your own tokens, you also get a discount of 50%, making this the cheapest service in the market.
Binance only places restrictions on how much you can withdraw per day. This is further determined by the verification levels. Tier 1 comprises individuals who have not submitted any verification details, and they can only withdraw 2 BTC a day.
However, if you verify for Tier 2, with two-factor authentication or Google authenticator and other relevant government documents, then you can withdraw up to 100 BTC a day.
PART 3: Binance Compared (and other Alternatives)
Binance is set apart from all the other competitors in the market based on the fact that they have the lowest transaction fee possible, and that they permit the use of a wide range of cryptocurrencies.
However, the only drawback of this service is that it’s strictly meant for crypto-to-crypto exchange. As such, it’s not ideal for beginners. If you’re looking to buy cryptocurrencies with fiat currency, then check out Coinmama or Coinbase.
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PART 4: How to Create an Account on Binance?
Creating an account with Binance is very easy. For the basic withdrawal limit of 2 BTC you don’t even have to go through any verification. However, if you want an advanced account, you’ll need to go through the verification process.
Simply follow these given steps on how to create an account:
- Go to the Binance website.
- Click on ‘Register’.
- You’ll need to enter your email address and a password. Following that, you’ll need to click on the verification link in your email.
With that, your account is created!
Following that, you can proceed to fund your account by choosing the “Deposits/Withdrawals” option from the “Funds” tab. Find a cryptocurrency that you want to deposit to the account. You can use the QR code or the alphanumeric code to deposit to a particular address.
The deposit may take a few minutes to process.
PART 5: How does Binance work?
Binance isn’t very user-friendly for beginners. However, if you’ve used other platforms already and are familiar with the world of cryptocurrencies, then it should be pretty simple and straightforward.
You can start by depositing the funds for trading pairs in BTC, ETH, BNB or USDT. Once that is done, go to Exchange > Basic/ Advanced.
On the right hand panel, you’ll find a list of your currencies. You can then select from the currencies that you might want to trade in.
Once you select your desired currencies, you’ll find the prices listed on the left.
Now you can simply go ahead and place the buy or sell order.
If you want a more detailed step-by-step guide, you can watch the following YouTube video:
PART 6: Binance Customer Support & User Reviews
The Finance Customer Support isn’t very strong. They have an FAQ section in their site. However, it’s quite basic and perfunctory. It doesn’t answer most of the questions that you may have.
Furthermore, the site is originally a Chinese site and has been translated to English. As such, it’s riddled with grammatical errors that make the message confusing.
If you want to reach out to the support, you have to submit an online ticket and wait for a response via email.
PART 7: Conclusion — Is Binance a Good Choice?
Binance is a great option for seasoned traders who want to exchange a number of different currencies for extremely low trading fees. Furthermore, if you’re experienced, then you’ll also find the interface to be quite sophisticated.
However, it’s not the ideal choice for beginners as there’s no fiat currency deposit trading option, and the design isn’t ideal for beginners. As mentioned above, if you’re a beginner, you should look at alternatives such as Coinmama or Coinbase.
If you have any other questions about Binance, feel free to ask down in the comments section.
Well known for their high-risk high-reward ICO ventures, Binance is an ideal choice for experienced traders who like taking big risks.
- Presence of ICOs.
- Low transaction fee.
- Wide range of altcoins.
- Lack of transparency.
- Only crypto-to-crypto trading.