You may have doubt, Is Binance a legit crypto exchange? You will get all the answers below.
It is hard to give a clear answer to this question since there are many factors that go into deciding the legitimacy of a crypto platform. Therefore, in this Binance review, we will try to give an overview of the factors that determine whether a platform is legit or not. Binance reviews refer to any form of feedback received from users about Binance.
This can be described as pure trust and confidence of the people who use these platforms. In other words, they get what they pay for – transparency, functionality, and functionality at unbeatable prices. These platforms have come up with a number of programs that will help investors make their investments more secure and profitable.
Binance is one of the most famous crypto-exchange platforms out there, so much so that they were recently featured in their own short film.
In this article, we’ll explore why Binance is such a dominant and sought-after platform among crypto traders, how it manages to stand out from the rest of the pack, and what makes Binance such an interesting exchange.
What is Binance?
Binance is an exchange platform for traders who want to trade cryptocurrencies. It was started in 2017 by Changpeng Zhao ‘CZ’ and within a year, it had grown to one of the largest exchanges around. [NOTE: CZ is a co-founder of Binance and serves as CEO. He also co-founded OKCoin Exchange and Huobi.
Binance has managed to grow so quickly because it is a crypto-to-crypto trading platform, which allows investors to buy cryptocurrencies directly from Binance without having to move their funds through an exchange.
This means that users do not need to provide personal information or go through any kind of identity verification. This also allows for significantly higher limits and removes the necessity of using a wire transfer.
[NOTE: In the United States, users must have a specific amount of cash on hand in order to place orders greater than $2,000 per day.
Features Review of Binance
- Zero transactional costs:
Making trades on Binance doesn’t make you liable to pay any fees.
- Multiple exchange options:
If there’s a coin or token that you want to buy, but it isn’t supported by the trading pair on your preferred platform, you can simply transfer your BTC or ETH onto Binance and trade it for the token of your choice.
- High liquidity:
Regardless of whether you’re buying or selling, the cost is always the same at present time because of high liquidity.
- Multiple language support:
Another thing that makes Binance stand out from other exchanges is that they have an auto-trading feature where everything is translated into various languages including English, Chinese, Korean and Japanese.
- Indirect market access:
Another thing that makes Binance stand out from other exchanges is the fact that you can buy an altcoin without having to use BTC or ETH.
- High trading volumes:
The most important thing about Binance is the trading volumes in just the past 2 months. You can see that on the screenshot below (Image taken 161113).
- Price transparency.
With most cryptocurrencies currently trading at a significant premium on Binance’s platform, the ability for the average investor to buy at current market prices is one of its main advantages.
- Large selection of cryptocurrencies.
As one of the world’s largest crypto exchanges, Binance offers by far the largest selection of coins and is continually adding new currencies (including many ICO tokens) to its already impressive list of coins.
In addition, Binance has a daily active traders’ volume of around 12 million and high transaction fees with a circulating supply of 5 billion tokens versus Bitcoin and Ethereum’s 250 million each.
Binance, a platform that is rapidly growing and changing the way we trade cryptocurrencies.
Around the world, there are many people who look up to Binance. If you send them a message, they’ll probably respond within an hour or two.
It’s not just about trading either since Binance offers collateralized loans (collateral holding) and lending services. This comes in handy if you need funds to get started with your project or if you just want to enhance your trading portfolio via arbitrage services because of the high volumes available on Binance.
Pros and cons of using Binance:
With the crypto boom in full swing, lots of investors and traders are jumping into the world of cryptocurrency trading. There is a lot to learn about how this works, but understanding Binance is one way to get your feet wet with what might be the best exchange on the market.
Binance has been at the forefront of attracting new – and established – traders since their company started back in 2015. This makes it a prime spot for those looking for an exchange that’s both easy to use and offers lucrative deals for those who have taken their trading seriously.
Here are the pros of using the platform.
1. Extremely easy to use.
2. Zero transactional costs.
3. Instant deposits and withdrawals.
4. Huge trading volumes, which means more opportunities to profit.
5. Advanced trading algorithms that work in your favor.
6. Strictly regulated and safe for all investors.
7. Coin pairs are very diverse, meaning that there’s always something fresh to trade with.
8. Very low fees.
9. Wide range of payment options so that everyone can choose what works for them.
10. Great customer service, both via phone and chat support.
11. Binance offers very professional marketing tools, so you can see where other users are looking to invest their money or trade on the market (and it’s not just someone’s grandma).
12. Proprietary P2P exchange (no centralized services needed) and smart tools that keep traders coming back for more.
13. Wide range of trading tools suited for every level of trader (even as a beginner).
14. Superb support team.
15. You can store your coins in a wallet if you want.
16. No following yet, which means you get to choose the name of your own coin and vote for its creation through a voting system (and there will be no shortage of choices).
Here are the cons of using Binance:
1. Can be hard for beginners to use.
2. Support takes time to get back to you.
3. Complicated at first, can be easier to use after you master the initial steps.
4. The interface is still very new and feels a bit unfinished (but it’s always being updated and improved).
5. Doesn’t provide fiat currency exchange (but there are no fees and the exchange rate is usually better than what you can find elsewhere).
6. Some coins are said to be disappearing out of the system with no explanation (and there might not be an explanation because the platform is still in development – this will improve over time).
Payment Method Used by Binance
Binance, the world’s fastest-growing cryptocurrency exchange, has an interesting (and controversial) way of taking payments from customers. The company accepts payment in cryptocurrencies. This means that people who want to buy coins on Binance can send bitcoins or Ethereum directly to the exchange.
While this process is a convenient for users and benefits the company financially, it also means that Binance isn’t holding any US dollars or other fiat currencies on hand to use when settling trades with customers; instead of using crypto as a medium of payment, they have to convert it into fiat currency and then transfer that back over.
This leaves a lot of money that could otherwise be used as customer funds sitting idle in an account somewhere while the conversion is taking place. It also makes Binance relatively dependent on having their cryptocurrency of choice converted back into fiat currency on demand.
Binance has come up with a way to use the money sitting idle in an account as customer funds, by giving customers the opportunity to earn interest on the spare currency. The company says its new profit-sharing service, called Binance Coin (BNB) Daily Lending, “is a win-win situation for all clients.
Conclusion on Binance Review
The cryptocurrency market has been growing and evolving at a staggering pace. Bitcoin, the most popular out of the lot, is now worth more than $10,000.
Bitcoin was worth less than $1 at the start of 2017. Binance has risen with Bitcoin to provide around 50% of Bitcoin’s trading volume in recent times.
At the start of the year (2017), Binance was a relatively small cryptocurrency exchange that had a total trading volume of $2.5 million.
Today, Binance is a true giant in this space with an average trading volume of over $1 billion per day in cryptocurrencies alone.
With growing investor confidence, an increasing number of coins being listed on the exchange every week, and close to $1 billion dollars worth of cryptocurrencies traded daily, Binance has become a force to be reckoned with in the cryptocurrency world.
Binance, along with other exchanges such as Bitfinex and OKEx, is showing no signs that they will give up their position of dominance in the industry anytime soon.