The basics of crypto trading
|Founders||Changpeng Zhao, Yi He, Changpeng Zhao, Yi He,|
Why it’s worth working with the biggest cryptoexchange in the world? What are the pros and cons of Binance? Stay tuned!
Are you a cryptoinvestor or has been working on this market for a long time? It’s not always an easy deal to choose an exchange. In this review, we’ll provide you with basic facts about the largest crypto exchange in the world, Binance. We’ll pay special attention to the way it works and also those cryptopairs which you can operate with, trading fees and limits, aspects of security and clients’ support.
Binance is a popular cryptocurrency exchange which was founded in China in 2017. Nevertheless, its headquarters has moved to the island of Malta recently. For a year of its existence, it has gained a substantial popularity thanks to a great number of requests for an initial coin offering and also a professional approach to a client service. Moreover, low operational fees have always been attractive, too.
Nearly 1,5 million orders per second – terrifying digits, which at the same time demonstrate not only the working speed of the exchange but also a great potential of the market. In order to sustain swift trading, support of all systems and formats, including Web, Android and HTML5, is provided. Binance offers its clients a helpdesk service in a number of languages: English, Chinese, Japanese, Korean.
The Binance exchange is definitely a leading platform for cryptocurrency trading with low fees and tariffs. We are pleased to recommend this platform and add it to the list of the best cryptocurrency exchange services.
Did you know that Binance has its own coin – the Binance Coin, which was issued during the ICO of this exchange? It can be easily utilized as a means of payment of fees, and in the nearest future it will also become one of the main currencies of the newly created decentralized exchange.
Purchase of the Binance Coin can be a good future investment as the exchange is planning to use its profits to buy back a portion of these coins each quarter and to eliminate them. What does it mean? The only thing – due to such operations a decrease of supply with subsequent growth of the coin’s price and its value for its owners should be expected.
Let’s talk about security which is so significant in modern cyberspace. Binance, undoubtedly, is one of the most high-tech cryptoexchanges in the world. It has reached a high level of trust from hundreds of thousands Internet users and representatives of the cryptocommunity. Despite that, the platform doesn’t provide its clients with full information about the degrees of protection which are applied to their funds. It’s known that users are offered a system of two-factor authentication and multilevel architecture.
In March 2018 the exchange was attacked by hackers. Fortunately, the source of harm was soon found and disarmed by automated security systems. Still, it was the first hint for those who kept large amounts on the platform. Luckily, nobody lost their funds back then, and the only people who appeared to get hurt were the hackers themselves. All stolen funds have been given to charity sometime later.
We recommend you to make sure each time you enter the Binance exchange that you apply a correct URL-address. A pre-made bookmark of the site can help. We also recommend not to follow unrelated links which have been received via e-mail or messengers.
So why the company has made a decision to move to Malta? In March 2018 the major Japanese newspaper Nikkei reported that Binance was trading in Japan without following its own official rules. It caused a wave of uncertainty on markets which sustained until the exchange’s representatives officially announced that they were going to transfer the headquarters and all their facilities to the European island.
At the same time, Binance made an announcement that negotiations with Maltese banks in order to provide fiat transactions are being conducted. What for, you may ask? To offer their clients transactions not only in cryptocurrencies but also in real (fiat) money. Subsequently, after such global innovations, the exchange’s reputation in the industry continued to grow.
Soon the world will have the first decentralized stock exchange. Binance is engaging the Neufund company in order to implement this ambitious project. The goal of such cooperation is to create an adjustable and yet decentralized international platform for trading of securities alongside with cryptoassets. Well, it once again confirms the level of reputation of the platform as the world’s leader.
The minimal design, nothing redundant – these are the things which stand out as the official website is opened for the first time. Novice users will have to spend some time getting used to the interface, but, nevertheless, anyone, who has had an experience in working with digital cryptocurrencies and has some knowledge about how to trade and the overall exchange system functionality, should be able to use the platform and its various services for his purposes.
As many as 14 languages are provided on the site including Russian, English, Spanish, Chinese. So before starting work, it’s better to choose a mother tongue to increase the comfort of using of the platform.
The main distinction between modes (or packs) is that the advanced one offers deeper technical analysis of digital currencies’ prices over time:
On the contrary, the toolbar in the basic mode of the service contains only a few graphs and diagrams for cryptopairs which you’re planning to trade, and also such functions as the order of informational materials and trade history:
As usual, it’s necessary to create an account in order to use the service. This process is rather plain and straightforward. Firstly, press the “Register” button in the upper right corner:
After that, it’s only necessary to confirm the e-mail address by following the link from the letter.
Then the system will at once forward the user to a personal account where comprehensive information is provided concerning the following:
The platform provides 2 levels of verification of clients:
For more substantial amounts of currency, you’ll have to contact Binance directly in order to arrange to conduct of such exchange transactions.
Congratulations, now you can exchange one currency for another! To replenish your account, you should follow the “Funds” link and then “Deposits / Withdrawals” at the top of the official website, where you can find currency you would like to recharge your balance with.
After that, you’ll be provided with a wallet address where you should send the specified sum in order to start trading on the platform. It will take some time to display the balance and the transaction on your screen depending on the currency you’re using.
Binance supports all major digital currencies and also many ICO lists and tokens. At the moment the Binance exchange is working only with limit and market buy orders. Some experts consider it to be a flaw as many people use other trading options which can be more profitable.
Trading is extremely easy on Binance. It’s especially noticeable if you’ve used any other identical platform earlier. Supported trading pairs are BTC, ETH, BNB and USDT.
Binance is often highlighted among counterparts for a wide choice of coins available for exchange. These are Bitcoin Classic with Ethereum and Ethereum Classic and also Dash, EOS, LiteCoin, Ripple and numerous other currencies. As we’ve mentioned before, the Binance exchange also supports a large number of tokens.
Sporting sense hasn’t been revealed yet. Exclusively for the most gambling clients and players on the market Binance has prepared the series of special trading contests with incredible prizes. These are not only cool gadgets but also fancy cars. Participants are given a particular sum in cryptocurrency, and the winner is the one who’ll be able to make the maximum profit from trading this coin for a certain time period. Follow the official website and don’t miss the start of the next competition!
An average fee for every deal collected by Binance now is 0,1 % of the transaction sum. Want a discount on the trading fee? A piece of cake! Pay with the Binance token. Yes, it’s definitely one of the lowest fees available on the market at the moment.
The deposit sum isn’t restricted. But there are limits and particular terms of withdrawal of funds without verifying performed by a user. As a result of its completion, you’ll become a level 2 participant with increased limits and extended freedom with updated effectiveness of working on the platform for your own purposes. To become a level 2 user, be ready to provide your full personal data – starting with traditional full name to a selfie with an ID.
The Binance exchange is rightly considered the largest in the world. It has its advantages and disadvantages which a novice should study beforehand. The positive sides are:
The main disadvantage is a lack of possibility of working with fiat currencies. The only alternative is to use USDT, a digital version of the USD.
Results of the recent research run by Coinfirm demonstrates the movement/ conversions of the stolen BTC from Binance into different wallets. The hack of 7,000 BTC units occurred on May 7, 2019, at 5pm UTC, with the hackers having been moving Bitcoin from one wallet to another. A lot of users became victims of the crime and lost their money overnight.
Although the theft happened almost 2 months ago, it is now that Coinfirm spotting some activity of the hackers moving their gains off from exchanges. Experts suggest that hackers potentially convert the stolen BTC into other cryptocurrencies with the aim to withdraw the funds. The first operation occurred with the delay, with other transactions following it shortly. So it’s clear that the thief has begun liquidating the bitcoin on various exchanges.
The first forced liquidation of a margin trading position with leverage was recorded on the Binance digital asset exchange platform. This announcement came directly from the CEO of the marketplace, Changpeng Zhao on Twitter. This night BTC has updated its own annual maximum on Binance, as well as on other exchanges. In this particular case, the price peak was registered at around $11,392, which was the reason for the liquidation of the position that had survived the rise the day before.
Just a quick reminder, that earlier in June, Binance confirmed its readiness to participate in margin trading and even offered its users to test it. The company has shown a few examples of how the margin trading will look like in its Twitter post. A thousand people were able to participate in the testing process. Each BNB token holder was able to apply. Participants were selected on the basis of the number of coins that these users have, as well as their desire to share their observations in the process. Overall, Binance keeps its leading positions on the exchange market and is doing everything possible to increase the demand for its services.