Choosing a trading platform is increasingly becoming difficult as more brokerages come up. One of those brokerage companies in Binance, a company that was started in 2017 in China. It has since moved its headquarters to the Island of Malta, where it continues to provide cryptocurrency blog services to people from all over the world. We looked into the company to show you what it is all about. This review covers all details, including how Binance works and all the features that you may like or dislike.
Overview of the website
The first thing you’ll most likely notice when you reach the home page of the company’s website is the account options. The company has basic and advanced choices for beginners and veterans. The first option has trading information, including trade history and order books. All the features on this platform are appropriately arranged to enhance clarity, and they have covered all the essential details in trading like prices. The advanced interface, on the other hand, has in-depth information with technical jargon that is common in the trading industry. It uses a different theme with a more complex layout, showing that this platform is for those who have had some experience in the industry.
Like most of the other similar platforms, Binance requires the user first to create an account before they can use it. Signing up isn’t difficult, as it doesn’t need you to go through a pervasive verification process. You won’t have to verify your account at all if you apply on level one. That level allows you to withdraw 2BC per day. For those using on level two, you’ll have to provide a picture of your ID. This level will enable you to withdraw 100BTC per day. Other levels are also available, but you’ll have to contact them to get one. Traders who want to withdraw large sums must also communicate with the administration to organize those withdrawals. This will not happen unless an account has been verified. As such, it’s advisable to confirm a successful verification process before depositing or withdrawing.
How it works
Once an account has been confirmed, a user can deposit and start trading. Depositing is easy, as it can be done in different ways. The platform allows the use of several types of digital currencies ranging from bitcoin to ethereum. The trading options offered by this company aren’t many, something that is a significant disadvantage. With the available options, there isn’t a specific timeline that one has to wait before an order is completed. Trading on the platform is a bit easy for those who have the experience, but it can also be confusing for beginners. It involves the selection of a suitable currency to trade in and to enter the amount to be spent. You then place an order then wait to get your coins.
While the trading options are limited, the coins offered are many. They also tend to add new coins that can be bought at a lower price, thus giving traders an excellent opportunity to make more profits.
Fees and limitations
Binance charges trading fees and withdrawal fees that some may consider being a bit high. The trading fees are 0.1% on each trade, while the withdrawal fees are not constant. Those who pay using the company’s token can get a 50% discount, and the withdrawal fees depend on the type of coin in use. There doesn’t seem to be any limit on the number of coins a trader can deposit. The limits are on withdrawals when an account has not been verified. With a successful verification comes the freedom to use the platform more flexible.
Other than the security of the platform, the safety is also measured by the advantages users can enjoy. The fact that most people trust this company even after only being in operation for a short time is usually translated to mean the platform is safe. However, this should not be the case as the company has not provided any proof regarding their safety measures. They have failed to show how they protect the information of the users as well as their funds. It is unclear whether they use a two-tier architecture or if they have already adopted the two-factor authentication, which is one of the best forms of security in the cryptocurrency trading sector.
The lack of security of the platform was brought to light with the attempted hacking attack that happened in 2018. Although the hackers didn’t succeed, they wouldn’t have gotten that far if the company had put in right protective measures. The hackers managed to use a phishing website and installed an API that helped them in collecting user’s login information. After stalking those accounts, they made their move and converted some coins into higher versions then sold them to get more profits. The hackers were discovered before they could withdraw funds, but the damage had already been done on the targeted accounts.
The presence of an automated system managed the administration to catch the attack before the withdrawal of those funds. Still, if the company had invested more in stringent security measures, they wouldn’t have had access to the accounts.
Customer support is crucial in any cryptocurrency trading platform. Traders need to know they can rely on the administration to answer their questions and provide assistance as soon as possible. Binance doesn’t have a sound support system for their traders. They don’t have a phone number or live chat feature that can help in immediate assistance. They only use emails to communicate, and that takes time before a response is issued.
- Binance charges low trading fees when compared to other trading platforms. This significant advantages, especially for those who are just learning how to trade.
- The availability of a wide selection of currencies is also a great benefit. It allows everyone to find their preference easily and increases the chances of profitability through currency exchange.
- Binance could do much better with their customer support system. Installing communication methods that allow real-time response will go a long way in helping traders when they need support.
- The technical issues of the platform and safety concerns are also disadvantages.
Binance has done well for itself, given how long they have been in business. However, if you’re a serious trader or someone looking to venture into cryptocurrency trading on a more professional capacity, then there are better platforms you can try. Binance still has room to improve to be better than some of its competitors, and if they continue to become innovative, they can surpass those competitors.