You probably want to learn about a reliable crypto trading platform and get involved in cryptocurrency as soon as possible.
However, as cryptocurrency becomes more popular and profitable, more exchanges are springing up to allow users to trade various cryptocurrencies.
As a result, deciding which exchange to use becomes increasingly difficult.
It's critical to understand which exchange is best for you!
Anyone who is involved in cryptocurrency has at some point heard about Binance: a cryptocurrency exchange that is well-known among cryptocurrency enthusiasts.
This Binance review will give you a clear idea of whether Binance exchange is actually worth it or not.
Let’s dive into it!
Binance is one of the leading cryptocurrency exchanges with more than 500 cryptocurrencies to trade.
It was founded by Changpeng Zhao, popularly known as CZ, in 2017.
The exchange was initially located in China;
However, due to the Chinese government's strict cryptocurrency rules and regulations, the exchange was moved to Japan - a crypto lover country!
The Binance exchange now accepts users worldwide and has remarkable reviews from users throughout the globe.
With the trading platform capable of handling a huge number of trades simultaneously without delays, Binance has established itself as a prominent exchange platform in the crypto-verse.
Services Binance Offers
- Binance Exchange
Users can swap their local currency with Bitcoin and other cryptocurrencies easily through Binance.
You can purchase your favorite coins on Binance in various ways:
With the global market cap increasing exponentially and mass adoption of cryptocurrency, Binance has recently partnered with Simplex to open gates to buy crypto using Visa and Mastercard.
However, you can only buy a limited number of coins through credit or debit cards.
These include Bitcoin, Ethereum, Litecoin, Bitcoin cash, BNB, Cardano, Polkadot, Ripple, and a few other major cryptocurrencies.
Also, this payment method might not be the most feasible one as a fee as high as 3.5% can be charged.
A peer-to-peer trading service is another great way to trade your fiat currency into cryptocurrency.
The trading service allows buyers and sellers to connect directly to make deals.
This encourages fiat payments by providing a wide range of payment options based on the needs of the consumers.
Binance has also opened gates to buy crypto using wire transfers from banks or SEPA( Single Euro Payment Area).
This option is particularly appealing to many users because SEPA and wire deposits have no transaction fees.
However, although this payment method is valid for various fiat currencies, including euros, Canadian dollars, and Australian dollars, it is not available for deposits in US dollars.
- Binance Trading
One of the reasons behind Binance’s popularity is its simple and user-friendly interface.
Someone new to the world of cryptocurrency can quickly get the hang of the trading platform.
Users may choose from a variety of trading options on the platform, depending on how much effort they want to put into the trade.
Traders get the option to trade in USDT, BUSD, XRP, and TRX pairs in addition to BTC and ETH.
Binance also offers people to choose between “convert”, “classic,” and “advanced” interfaces depending on their experience.
Binance offers a bunch of trading options that are listed below:
Users are given three different interface options for spot trading, too, depending on their experience level.
The convert interface only allows users to put the input and output simply without worrying about any graphs, transaction fees, or order books.
Advanced charts and volumes are displayed on the advanced view.
Traders are provided with sufficient information about the pairs they are planning to trade for.
However, for new traders, the advanced interface can be extremely overwhelming.
Margin trading is a great way to make more profits without having the required capital to invest.
It is a form of asset trading in which a third party supplies funds for trading.
As opposed to standard trading accounts, Margin accounts enable traders to take positions that are greater than their current account balance.
To simply put, the borrowed money can be used to make trades to give a much better trading result.
However, Margin trading is very risky.
While it can exponentially increase your profits, it can also increase your losses.
Unlike spot trading, the losses can exceed your initial investment.
Precisely why it is not recommended to beginners.
Binance Future and Derivatives
Future trading was launched in 2019 by Binance, enabling users to participate in the price movement of Bitcoin and several other altcoins.
Traders can enter long or short positions using 125x leverage to trade and maximize their profits.
The longing process is basically buying a cryptocurrency using the borrowed some at a specified price.
Once the price of cryptocurrency increases, it is sold, and the borrowed sum is returned to the lender.
This way, profits are made easily by predicting the price will go up.
The shorting position can be summarized in the following way: borrowing a cryptocurrency and immediately selling it.
Once the price goes down, the crypto is rebought at a lower price and returned to the lender.
This way, profits are made by predicting the price will go down.
Handling Finances with Binance
Binance has also added many financing options for its users to help them earn passive income. Here are a few of them:
Savings is an excellent option for users with idle funds to earn passive income.
Binance savings helps users earn a return on their idle funds via ‘flexible’ and ‘locked’ accounts.
A locked account yields a higher rate of return with the conditions of funds locked for a specific time.
In contrast, a flexible account pays a variable interest rate with the benefit of withdrawing funds at any given time.
Staking is the act of securing cryptocurrency to receive rewards.
Users are allowed to stake their Defi coins even without knowing about staking itself. Like Binance savings, Staking also has ‘flexible’ and ‘locked’ accounts.
However, there are only specific cryptocurrencies you can stake. But you can reap up to 16% annual interest back from those cryptocurrencies.
Binance Visa Card
Binance Visa card allows users to shop in their favorite places through cryptocurrency.
Many places only accept fiat currency as their payment method, so a Binance Visa card converts your cryptocurrency into fiat currency without any fee.
This is a great way to shop at your convenience without having to carry money in your wallet.
Binance Smart Pool
A mining pool is a collective of cryptocurrency miners who pool their computing resources around a network to increase the chances of finding a block or otherwise successfully mining for cryptocurrency.
Binance Smart Pool allows miners to collaborate and split rewards.
The hash power is transferred to the cryptocurrency that yields the most profit at that moment, helping miners earn the maximum profit.
Binance also provides crypto loans at hourly and daily interest rates.
This helps users to possess stable coins as per their requirements. Loan terms and the collateral amount is needed to get the loan.
For early repayment, no interest penalty is charged.
*cough* Checkmate banks *cough*.
Top Coins Traded on Binance
Image from Keycoinassets
With the most popular crypto trading platform, Binance has nearly 300 coins to trade, including most of the major altcoins:
- Bitcoin (BTC)
- Ethereum (ETH)
- Binance coin (BNB)
- Ripples (XRP)
- Tether (USDT)
- Cardano (ADA)
- Polkadot (DOT)
- Litecoin (LTC)
- Dogecoin (DOGE)
- Chainlink (LINK)
- Vechain (VET)
- Tron (TRX)
- EOS (EOS)
- Helium (HNT)
- And many more!
These altcoins can be purchased by either credit/debit card, P2P trading, or traded for fiat currency.
Other payment options discussed above can be used to get your hands on your favorite altcoins.
Binance fee structure is state-of-the-art in the competitive market and leaves its competitors far behind.
For any trader who does not need immediate fiat liquidity, a flat rate of 0.1 percent is very appealing.
Most new traders choose these trading platforms because of the significantly lower fees.
In addition, Binance's futures trading platform has even lower rates, starting at 0.02 percent for makers and 0.04 percent for takers, respectively.
For 125x leverage, these rates are very attractive.
In comparison, the Binance fee structure undercuts many major exchanges, with a lot of them charging 0.02% or more per trade.
This can be a significant amount when dealing with big orders.
Users can enjoy free deposit fees for any cryptocurrency on Binance.
However, depositing USDT through credit cards or debit cards can amount to the standard 1.10-2.10% fee.
Users pay a flat fee for each withdrawal to cover transaction costs to remove the cryptocurrency from their Binance account.
The blockchain network determines these withdrawal rates, and they can fluctuate because of different factors.
You can check the latest withdrawal fees for each cryptocurrency through the Binance fees page.
The fee structure is continuously revised and updated to offer better prices to the users.
Binance has put in place sophisticated compliance and monitoring mechanisms to ensure the safety and security of its users.
This reputable exchange protects its customers and avoids fraud by identifying and verifying all its users while also fulfilling its AML/CFT obligations.
Account Verification Levels
There are 3 account verification levels, and passing each level increases the daily and monthly deposit a user can make.
Level 1: ID Verification and Basic Information
At this stage, basic information such as email address, full name (as displayed on government-issued ID), date of birth, residential address, and nationality is required.
Also, users need to submit a government-issued ID (Driver’s license, Identity card, or International passport) along with a selfie to verify their identity.
Level 2: Address Verification
If you want to be a level 2 user, you need to prove your address authentication.
Binance requires you to submit a Bank statement and utility bill (electricity, water, waste, or internet) with your address and name clearly visible on the documents.
These documents should also not be less than 3 months old.
Level 3: Source of Wealth Declaration Review Form
You need to fill the source of wealth declaration form if you want to upgrade to a level 3 user.
This form asks about the origin of the money you are going to invest.
Level 3 users are allowed the highest daily and monthly deposits on Binance.
However, if you still need to increase your limit, you need to contact Binance customer support.
Binance has two limits to keep in mind.
The first one is the buying and selling limit.
Binance does not allow any trade below $10.
So, you can not buy or sell any crypto worth less than $10 through Binance.
The withdrawal limits have levels to them too.
Level 1 verified accounts can only withdraw a sum equivalent to 2 Bitcoins per daily.
While a level 2 verified account can withdraw an amount worth 100 bitcoins every 24 hours.
The verification process requires you to fill a Know Your Customer (KYC) form and requires you to show government-issued photo IDs to confirm your identity.
Security is one of the most critical factors for any exchange, and Binance takes security very seriously.
Binance is trusted by millions of users worldwide due to the security protocols they offer.
Is Binance Safe?
Binance offers Two-Factor Authentication (2FA), Cryptocurrency Security Standard(CCSS), Device Management, and address management to ensure that your account is safe and secure from hackers.
Two-Factor Authentication sends a unique code to your mobile device every time you attempt to log in to your account.
This ensures that your account can only be accessed when the code on your device is available.
On the other hand, Cryptocurrency Security Standard also makes sure that industry security standards are being implemented.
Device management helps the users to identify the devices authorized to access your Binance account.
You can easily remove any account which isn’t recognizable.
Address management also limits the addresses you can withdraw your money from.
Each time a new address is added, a confirmation email is sent.
How To Make an Account on Binance?
Since you are confident enough about Binance and its security protocols, let’s help you to make an account on Binance.
Step 1: Open the application and click on the “Register Now” on the left side.
Step 2: Insert the email address and password you will use for your Binance account.
You can also register with your mobile number.
Step 3: After clicking on “Create Account” you will see a sliding jigsaw puzzle verification. Drag the slider to complete the puzzle for verification.
Step 4: Once you have completed the puzzle, you will receive a confirmation email at your email address.
You will receive a code via email or message to verify your registration.
You need to verify within 10 minutes to complete the registration process.
Once you insert the verification code, you finalize creating an account, and you can start with trading crypto.
Binance Supported Countries
Binance has offices in around 40 different countries, and the exchange is available worldwide.
There are approximately 180 countries where people can use Binance to trade cryptocurrencies.
However, there are few countries where the exchange isn’t accessible.
These countries are on the economic sanction list or aren’t approved by the U.S. commerce department.
U.S citizens are also not allowed to use the Binance primary exchange.
They can access the exchange through Binance.us.
Due to increasing regulatory pressure by the US government, Binance was forced to restrict access to the Binance.com platform for US traders.
A new separate exchange was launched to only serve the US citizens with the name Binance US.
Binance US is similar to the main Binance platform in a lot of ways.
The standard fee of 0.1% is applicable on both platforms, and a fee reduction is offered when using the Binance native token BNB.
Binance US has a daily limit for buying cryptocurrencies.
Users can’t buy crypto worth more than $20,000 and a max of $50,000 monthly.
However, there is no buying limit when buying crypto to crypto.
Binance US also imposed trading limits for its users.
For example, a BTC/USDT order can’t cross the 3200 BTC mark.
Also, a limit of 1 million dollars can be withdrawn or deposited via wire transfer.
Binance US only supports a limited number of coins, mostly the major cryptocurrencies.
These include BTC, ETH, LTC, ADA, BNB, LINK, EOS, XLM, TRX, and few others.
This limits the users to trade crypto they might find interesting or profitable.
In terms of features, Binance US has no option for margin trading.
This limits users from trading on leverage for setups they are confident about.
Moreover, Binance US doesn’t have phone support, which is another factor to keep in mind.
Binance.com Binance US
500+ altcoins Limited altcoins
Margin Trading No margin trading
0.1% trading fee 0.1% trading fee
Available worldwide Only for the US traders
No phone support No phone support
Comparison of Binance with Other Exchanges
Binance VS Coinbase Pro
Coinbase Pro is another leading crypto exchange in terms of adoption and features it offers.
The exchanges differ in terms of fee structure.
Firstly, Binance charges around 0.1% fee while the fee for Coinbase Pro can range from 0.1-0.25% for the exchange.
Coinbase has no fee for the maker traders either.
Secondly, Binance also doesn’t offer fiat trading, which is available on Coinbase Pro.
Coinbase Pro offers a wide range of fiat pairs for the user to trade.
However, Binance offers a fairly large pool to trade from than Coinbase Pro in terms of the number of cryptocurrencies.
Both the exchanges offer two-factor authentication to protect users from hacker attacks.
While Binance lost 7,074 bitcoin in the past, Coinbase Pro has never been attacked till now.
That's why Coinbase Pro is a much safer exchange if you want to hold your coins for a long period of time.
You can also read about our top Coinbase alternative exchanges to get the bigger picture of several platforms.
Binance VS Kraken
Kraken is another top-rated cryptocurrency exchange available for crypto traders.
The exchange allows users to exchange fiat currency such as USD, CAD, and EUR for cryptocurrency, or users can trade one crypto for another one.
Compared to Binance, Kraken has fewer cryptocurrencies the user can trade.
There are around 50+ cryptocurrencies available on Kraken, which is significantly less compared to Binance.
Both Binance and Kraken also differ in the fee structure.
While Binance charges a 0.10% fee for the maker and taker traders, Kraken charges 0.26% and 0.16% for trader and maker trader.
Kraken also does not support the credit card deposit method, which is another aspect to look into before deciding on a viable crypto exchange to trade on.
In terms of security, Kraken is a clear winner.
Kraken pays special attention to server security, information security and has a team dedicated to testing system vulnerabilities.
Two-factor authentication, a multi-tiered verification system, and email confirmation for withdrawal are some of the protocols Kraken has to ensure the exchange is safe from any sort of attack.
Kraken is extremely transparent and one of the world's most trustworthy exchanges.
It is very convenient for new users in the crypto world to start trading on Kraken because it is beginner-friendly.
Being regulated in the US and having a US banking license, Kraken is a great choice for US citizens, unlike Binance.
Binance VS Bittrex
Bittrex is one of the oldest cryptocurrency exchanges, founded in 2014.
With over 240 million dollar turnover per day, Bittrex remains one of the top crypto exchanges to look into.
Compared to Binance, Bittrex takes a flat fee of 0.25% for trading crypto, which is significantly higher than Binance.
In regards to security, both exchanges offer the same security level.
Both Binance and Bittrex ensure that users' accounts are safe and secure with a two-factor authentication process and email confirmation.
Bittrex interface is slightly more user-friendly than Binance.
Therefore, It can be a great exchange for beginners to read charts and learn in the process.
Bittrex does not offer a mobile application for trading, making it less convenient to access through a smartphone.
Binance mobile app has several features available for users, making it more convenient and user-friendly.
Frequently Asked Questions
Is Binance Trustworthy?
Binance has over a million users worldwide, with the Binance team dedicated to increasing the freedom for its users to trade.
There are many security features to make the application safe and secure, and you can trust the exchange with your crypto.
Can I buy Bitcoin on Binance?
Binance allows its users to buy and sell Bitcoin at the current market price using credit cards or other payment methods.
It also allows users to buy other altcoins using bitcoin.
Can I withdraw Fiat from Binance?
The instant card withdrawal feature allows users to withdraw money into their credit or debit cards that VISA supports.
You can also use the P2P feature to withdraw fiat currency to the bank account while trading with other Binance users.
How safe is Binance wallet?
Binance puts user protection as the top priority.
Trust wallets are designed in such a way to keep your investments safe.
They do not ask or collect information or personal data.
Hence the Binance wallet is safe to store your crypto on.
Final Thoughts: Is Binance Worth It?
Considering all the features Binance offers and its growing popularity, it is safe to say Binance is an excellent trading platform.
Binance offers several features that help traders buy and sell crypto conveniently.
With hundreds of coins to choose from and more being added regularly, the exchange offers several cryptocurrencies for the users.
While there might be some security concerns and the limited fiat support can be a big turnoff, the pros of Binance clearly outweigh the cons.
That's why Binance is a highly recommended trading platform for beginners as well as experts.
If you feel like Binance is your exact fit go ahead and create your account today.
However, always keep in mind that keeping a crypto on an exchange is never 100% safe and you should use a hardware wallet for holding your coins.
Have any questions regarding the Binance exchange? Feel free to comment in the comments section!