Binance, which is the world’s largest cryptocurrency exchange by trading volume, was founded in China in 2017. Binance currently has more than 28.6 million users around the world and facilitated more than $7.7 Trillion of crypto exchange volume in 2021. Binance offers the ability to buy, sell, and trade cryptocurrency through an app where you can access hundreds of cryptocurrencies.
For European Union residents, SEPA (Single Euro Payments Area) has recently been implemented by Binance, which makes deposits easy and fee-free. Fees are capped at 0.1 percent, which makes them very competitive in the market (there are even ways to reduce those low fees). Binance has access to more than 380 cryptocurrencies. As of 2019 Binance stopped accepting U.S. users due to U.S. government investigations for tax fraud and money laundering and announced it would partner with Binance.US. For American residents, Binance.US offers more than 170 cryptocurrencies from which traders can choose. Binance continues to experience financial investigations in the U.S., U.K., Japan, The E.U., Germany, Thailand, South Korea, Malaysia and China.
Despite the ongoing financial investigations, Binance provides many desirable qualities for individual investors. The following information outlines many of the strengths and benefits available when using Binance as a cyrptocurrency trading platform. Despite the accusations of insider trading and market manipulation, money-laundering and tax evasion, and possible violation of European Union securities laws, Binance continues to provide low rates and easy access for a world of current and potential cyrpto-traders. The largest impact of these various investigations may result in a growing call to regulate the crypto marketplace. However, for now many individual crypto investors will most likely find the benefits of using Binance as a trading platform far outweigh the potential impacts of the current or future investigations. It is likely that Binance will adapt to any and all regulatory challenges to its market dominant position and will remain the largest cyrptocurrency exchange in the world for the forseeable future.
Binance Financial Investigations:
Binance’s CEO Changpeng Zhao has repeatedly praised the company’s anti-money laundering program. But at the same time, Binance was withholding information about its finances and corporate structure from regulators, at least eight of whom have warned consumers about the risks of using the exchange. Binance also maintained weak checks on customers, despite concerns raised by senior company figures, and acted against its own compliance department’s recommendations.
Binance is hiring more people and building more systems in order to better comply with local laws, according to Zhao. By the end of the year, the company will double its international compliance team by adding prominent, well-respected individuals and advisors. As for the exchange, Zhao said it will continue to strengthen its anti-money laundering controls and partnerships.
How Binance Performs as a cryptocurrency exchange:
Through the Binance cryptocurrency exchange, you can purchase and sell hundreds of digital currencies. Users are allowed to use credit/debit cards or bank account transfers, to purchase cryptocurrencies. Although Binance only started in 2017, it has become the largest digital currency exchange in the world. A total of 100 million active users used the site in May 2021, which involved $2.4 trillion in trading. Besides its main exchange and brokerage service, Binance also offers other essential functions. These additional services include:
• Earning interest on your digital currency assets through the cryptocurrency savings account included in the package.
• Binance offers bitcoin loans in addition to digital asset debit cards.
• In addition to offering the Trust Wallet app, Binance is also the company behind the Trust Wallet iOS and Android app.
Assets and Markets Supported by Binance:
Hundreds of cryptocurrency exchanges function on Binance, as mentioned earlier. Tokens with large and small capitalizations are included. In addition to Bitcoin derivatives, Binance offers futures contracts and options on the Bitcoin cryptocurrency. As of July 30, 2021, Binance announced it would stop offering futures and derivatives in Europe.
Buy cryptocurrency instantly:
Binance makes buying cryptocurrency an easy process for new and experienced users. Visa or MasterCard are both accepted for use as a credit or debit card. Before you can use the Instant Buy option, you need to submit your passport or driver’s license, as well as photo ID proof via webcam or mobile device. Typically, this process takes less than five minutes from start to finish.
The use of a debit/credit card allows you to instantly purchase many types of tokens. Bitcoin, Binance Coin (BNB), and Ethereum are large-cap digital currencies, whereas Basic Attention Token and LCX are smaller ones. With a debit/credit card, you can buy several Defi coins, including Maker and yearn.finance. If a coin does not have a listing, you would not be able to purchase the coin on any exchange and Binance may be the best opportunity to find a specific coin. Once you have funded your Binance account, you can manually buy the digital tokens you desire.
Inflation-to-crypto exchange rates:
The Instant Buy feature on Binance allows you to buy any digital currency, regardless of whether it is supported by your favorite currency or not. It has many markets for fiat-to-crypto conversions. In other words, you are buying a digital item that is valued in real money rather than in virtual currency.
Due to several Binance markets being priced in many local currencies, you do not have to worry about changing exchange rates. Whether you’re looking for Dogecoin, Ethereum, Bitcoin, or Litecoin, there’s something for everyone. You can also trade cryptocurrencies against currencies like the Australian dollar and Turkish lira on Binance.
Tools and Features of Binance:
Analysis of Charts & Technical Data:
If you’re an experienced cryptocurrency trader, access to Binance’s advanced charts and indicators will certainly satisfy your trading requirements. If you access the “Advanced” trading platform, you will find many chart analysis tools to help in making the most informed trading decisions. You can align the Advanced Trading Platform with your specific preferences by adjusting the trading interface.
You can view graphing data with Trading View integration. Your pricing timeframe can be adjusted between 1 minute and a month. The platform also provides high-level order books, enabling you to monitor the markets from a bird’s eye perspective. Several charting tools and technical indicators are available on Binance, including the MACD (Moving Average Convergence Divergence) and RSI (Relative Strength Index). The MACD measures the relationship between two EMAs (Exponential Moving Average), while the RSI measures price change in relation to recent price highs and lows. These two indicators are often used together to provide analysts a more complete technical picture of a market.
There is a wide variety of order placement options available on Binance. In addition to standard buy/sell and market/limit orders, you can also place stop-loss and take-profit orders, and one cancels the other. Binance can seem intimidating if you are new to cryptocurrency trading, however, traders with experience will find it ideal. Those who are just starting out may want to look elsewhere until you feel comfortable trading on the crypto marketplace. A good place to start would be Kraken if you want a more user-friendly cryptocurrency platform.
Crypto Savings Accounts:
In the past, cryptocurrency investments were only possible through capital gains. You can only make money when you sell your digital tokens at a higher price than what you paid. The result is that Binance has started offering interest-bearing savings accounts.
By depositing funds into a Binance savings account, you can earn interest on your bitcoin assets. The rate depends on the cryptocurrency and the exchange. A flexible or locked account is up to you. A flexible account allows you to withdraw money whenever you want but will offer a lower interest rate.
VISA card for Binance:
Binance’s Visa debit card can be used in real life to spend your digital tokens. For example, the card can be used to withdraw cash at an ATM, purchase goods and services online, and make purchases at physical stores. Among the many benefits of the Binance Visa card is there are no fees. Plus, you’ll retain your capital gains since your bitcoin holdings will only be sold when the transaction takes place. With the Binance debit card, you also earn cashback rewards.
Binance’s mobile application:
The company is the face of two smartphone apps developed by Binance. On top of the Binance website, there is the Binance app, which is available for Android and iOS smartphones. As the name implies, this is Binance’s main website, but in a mobile-friendly format.
Additionally, the app offers the same functions as the website – such as trading cryptocurrencies, viewing your portfolio, transferring funds, and performing technical analysis. With Binance, you can perform two-factor verification; use your fingerprint, and whitelist devices. Trust Wallet was also created by Binance.
You can use the Trust Wallet on your phone to keep your bitcoins and other digital assets. Your wallet can be linked to decentralized exchanges like Pancake Swap if you wish to deposit funds through a debit/credit card. The Trust Wallet, on the other hand, is only compatible with Android devices and is no longer available for iOS devices.
Design and User Experience (UX):
It is very difficult to present exchanges as uncluttered and basic due to their nature. In order to give users so many tools and information, Binance has one of the cleanest and easiest to use user interfaces. In addition to a dark mode, which spares our eyes from the blindingly bright backgrounds of some rivals, the top menu bar offers a plethora of options, all organized into sensible sections.
You can easily find what you’re looking for, and if you’re just starting out with trading, you’ll probably stick to the Trade, Wallet, and Account sections, all of which are easily accessible. On the website, there is a responsive layout with minimal wasted space, and the app follows this same polished design. The world’s number one exchange makes finding and tracking information smooth and easy.
How to begin:
Getting registered for Binance is fairly straightforward. Simply click on ‘Register Now’ on binance.com. You will receive a verification code by entering your e-mail or mobile number, then choosing a password. You may need to check your spam folder if you have trouble receiving the confirmation email. Afterward, Binance will need to verify your identity to ensure that you are the owner of that account.
Despite the fact that it is a fairly standard procedure, this step always seems strange to newcomers to the crypto industry, but all respectable exchanges require these verifications. By collecting KYC (Know Your Customer) information from someone, the exchanges are making certain you are who you claim to be. A photo and an official identification card or document is required for verification. Selecting ‘Identification’ is done by clicking on the circular account icon.
By clicking the yellow “Verify” button, you’ll be required to input your name, address, and birthdate. After that, you will be asked to verify your ID with your preferred method, before providing a clear profile photo. Trading can then begin. For those who want a higher daily transaction limit, you can also provide additional documents to verify your address. Unless you plan on completing tens of thousands of crypto transactions per day, it isn’t a concern.
What is Binance and how does it work?
Binance offers a simple interface for buying, selling, and trading digital currencies such as Bitcoin and Ethereum. The following will give you an overview of the essential steps you need to get started.
Sign up for a new account:
Go to Binance’s homepage and register an account. When using cryptocurrency only for depositing and withdrawing funds, you’ll only need an email address.
Assigning a second factor of authentication (2FA):
To protect your account, Binance will prompt you to set up two-factor authentication (2FA). You will need to install an application such as Google Authenticator on your phone. In the future, you will be required to enter a unique code each time you log in or perform important account operations like withdrawals.
Deposit coins:
We’ll assume that you’re looking to deposit funds with a cryptocurrency, even though some countries can now use credit cards and bank accounts. To make a fiat currency deposit, log into your account and go to the “Funds” section (if available).
Anyhow, on the Binance deposit page, you will need to scroll through and select the coin that you wish to deposit. If you have earned money on another site (such as Coinbase), you can transfer funds from your private wallet by using the wallet address given to you. It is also possible to send funds to this address from another site.
Trade:
Your bitcoin deposit will be approved within ten to twenty minutes, after which you may begin trading. Choose between the “Basic” or “Advanced” trading platform by hovering your mouse over “Exchange.” If you are just getting started in the business, you should select “Basic”. Right now, you are able to trade over 540 different pairs of currencies. When purchasing coins that are not directly correlated to the cryptocurrency you deposited, you will need to make a second trade.
To acquire a smaller cap ERC-20 token unrelated to Bitcoin Cash, it may be necessary to trade your Bitcoin Cash first. You will now have your newly purchased currency in your Binance account once your transaction is complete. The money can either remain in your Binance account or be withdrawn to a different wallet. The Binance platform offers an API you can use to connect your account to a variety of Crypto Trading bots and have them execute trades for you, automating your strategy and potentially generating profit. One Crypto Trading Bot we recommend is BitsGap.
Does Binance Support Cryptocurrencies?
According to our earlier statement, Coinbase is one of the platforms that support the widest range of cryptocurrencies. Binance offers greater access to smaller tokens with smaller market capitalizations than Bitcoin and Ethereum, and their focus is on Bitcoin Cash, Litecoin, and EOS. Since there are currently 164 cryptocurrencies available for purchase and sale on Binance instead of the entire list of trading pairs, they were included.
Is there a fee for trading on Binance?
While Binance makes money on maker/taker fees, every transaction will still cost you 0.1 percent. There will be a fee for each sale or purchase of a coin. The fee drops to 0.09 percent if you trade 500 Bitcoins (or cryptocurrency equivalents) in a 30-day period.
In order to qualify for the lowest cost of 0.04 percent, however, you need to trade at least 150,000 BTC per month. As for market makers, they receive a starting fee of 0.1 percent as well. With a monthly volume of 150,000 BTC or more, you pay only 0.02%. Binance has one of the lowest trading costs in the cryptocurrency market. Even further minimization can be achieved by using the Binance Coin (BNB).
Does Binance have any trading restrictions?
Users from all over the world have previously been admitted to Binance, a worldwide cryptocurrency exchange. Currently, regulations are a little hazy since consumers are trading cryptos for cryptos. In particular, because all those new users only need to provide an email address in order to register.
Since the platform stopped accepting US passport holders, however, it is no longer accepting users from the United States. There is one primary reason for Binance’s move. They want a specialized exchange that complied with all regulatory standards in the US. In 2019 Binance partnered with Binance.US to offer exchange services to users within the United States.
Making Deposits, Withdrawals, and Payments:
Withdrawals and deposits in fiat are now available on Binance’s cryptocurrency-only exchange. As of this writing, we accept credit cards and bank transfers as methods of payment. You should check first if the place you intend to visit is supported before you travel.
Payment Fees:
In terms of payment fees, you will be charged based on your payment method and your location.
The only fee you will pay on your side of the transaction is the blockchain fee, for example, if you are depositing funds in digital currency. The fee increases quite significantly if you deposit funds with your debit/credit card.
Debit cards and credit cards are charged 1.8% in the UK. Fees in other regions are often higher than 3-4%. Because of this, you will need to check the fees according to where you live.
Binance offers free bank transfers if you choose this method. Be sure to check this for yourself, as it might not be the case in all countries.
Bitcoin withdrawal fees shouldn’t exceed the fee associated with the blockchain. The withdrawal method you choose will vary based on your location.
Security at Binance:
Binance takes a variety of security measures to ensure that your funds are protected from external threats. Binance safeguards user funds by securing their platform with strict protocols and industry-leading technical measures. From real-time monitoring and a 360-degree risk management system to advanced data privacy tools and end user security education, Binance continually searches for innovative ways to protect their users.
The first thing that we recommend – and as we mention throughout the account setup guide – is to set up two-factor authentication (2FA).
That allows only your mobile device to allow access to your Binance account. You will also need to confirm your login with your registered email account if you attempt to login with an IP address you have not previously used. Additionally, you may receive email notifications about account operations like withdrawals.
Regulations:
Malta passed the Virtual Financial Assets Act (VFA Act), which regulates the industry. Besides the Securities and Exchange Commission, Binance is licensed by no other regulatory authority. However, that doesn’t mean that the platform is not adhering to its anti-money laundering responsibilities.
Binance, on the other hand, requires consumers who wish to deposit and withdraw fiat money to go through a KYC process. When you withdraw over 2 bitcoins in 24 hours, a verification process will be necessary.
Customer service team:
Binance was flooded with new account applications in late 2017 when the crypto-craze was in full swing. Due to the overwhelming number of new registrations, registrations were temporarily suspended. Since then, Binance has substantially expanded its customer support team.
Through the Binance account page, you can send a ticket request for any questions or concerns you may have. It is not possible to reach Binance’s support staff via telephone. Social media, however, is a significant part of the platform. For example, Telegram and Twitter might be worth a try, if you have not received a response.
Conclusion:
The reason Binance is one of the largest cryptocurrency exchanges in the world is due to the low fees, strong product offerings, strong security and ease of use. Binance is a great place to start when it comes to low trading costs, hundreds of crypto-to-crypto trading pairs, and strong security. I find it astounding how quickly the platform has progressed since it was launched in 2017. Although it has only existed for a few years, Binance is already responsible for amazing trading volumes, having surpassed &7.7 trillion in 2021. Making use of fiat money to deposit and withdraw is also a smart move.
