Binance crypto currency exchange review 2019: trading bitcoin, ripple, litecoin, etherium. Is Binance safe, legitimate firm or scam?


Introduction

For those interested in trying their hand in the emerging cryptocurrency market, Binance is a quickly growing crypto exchange that enables users to access hundreds of altcoin buy/sell pairs in one convenient location. The ability to dabble in so many various altcoins is quite attractive to potential users and is part of what has brought Binance to the forefront of cryptocurrency exchange popularity. Ultimately, this has also allowed Binance to gain a competitive advantage over more mainstream exchanges such as Coinbase and Gemini.


First Glance

Binance Crypto Trading Review

Upon first glance of the Binance homepage, there seems to be something odd taking place. Instead of the neat, professional look some users may be expecting, Binance instead seems to litter the page with a type of billboard-marketing push. The above screenshot is from their actual homepage, not some link hidden on an out-of-the way sub-page. For many new potential users, this unprofessional look can be a huge turnoff. After proceeding to create an account, however, all the traditional steps of creating an account ensue…

1) Signup with an e-mail address
2) Create a username and password
3) Set up two-factor authentication

After these steps, Binance does a thorough job making the user feel safe, secure, and at home. Binance also offers referral programs that may seem lucrative to some but sleazy to others. Unfortunately, some of the business model traits inherent to Binance may actually repel potential users.


Fee Structure

Depositing into Binance must be done through already existing coins via wallet transfers. There is no option (currently) to transfer direct from a bank account or credit card. There is still debate, however, as to whether Binance will ever add this capability on their platform. While this may cause some to gripe, others prefer this option as it maintains user anonymity.

Many users seek Binance not only for the availability of altcoins, but also for the low transaction fees. For standard Binance transactions, a 0.1% transaction fee is applied (this is fantastic!). They also offer a 0.05% transaction fee for users who own BNB (Binance’s very own altcoin) in their portfolio. Cue the sleazy sales tactics alarm again. Basically, Binance seems to be baiting new users into purchasing their coin in hopes for greater adoption in the crypto market.

Withdrawing isn’t free, but it isn’t anything excessive. Binance maintains an exhaustive list that includes a minimum withdrawal amount (in number of coins) as well as a specific fee for each coin withdrawn. This list is easy to understand and can be found directly on their website.


Trading

Binance Trading Review

Binance markets a simple, user friendly platform for users, but in all honesty, the actual exchange page can be quite overwhelming. Compare this to a more consolidated exchange such as Coinbase or Gemini, and it’s easy for the above page to deter users from ever taking action. Just stop, breathe, and soak this page in because this is where the “money” is made. It is absolutely necessary to fully understand this page. If confusion remains, there are additional resources on YouTube, Google, etc. that will walk a new user through the buy/sell process step by step (these are extremely helpful!). Once an understanding of this page is developed, the fun begins.

Binance allows for many coin pairs as can be seen in the top right corner of the above screenshot. This page easily allows the user to switch back and forth from Bitcoin (BTC), Ethereum (ETH) and Binance (BNB) coins. It also displays blockchain transactions on the left-hand sides and for the more advanced, technical traders, a very in-depth trading chart in the center of the page. There are also quick facts just above the chart to include the 24 hr highs and lows, 24hr volumes, and the last recorded price. To some users, however, this page simply has too much information.

In the bottom center of the above screenshot, Binance lists three standard trading options for users. Depending on which trade type is selected, there are slightly different options available to the user, all of which are intuitive even for beginners. Regardless, it’s a great bonus for users who want a little more control than being forced to always execute a market order in a volatile market.


Competitors

eToro Crypto Trading Review
Gemini Review


The User Account

Once a new user account has been successfully created and confirmed, users will have access to a relatively simple interface. The view from a user perspective is easy to navigate and understand. After several transactions have been successfully executed via Binance, the coins will show up under the “Deposits & Withdrawals” tab (as seen below).

Binance Review

The owner of the above account used Gemini to transfer ETH into Binance. At that point, the user then purchased the above coins with the transferred ETH. Showing the estimate value in BTC and US Dollars (top right corner) is also a feature that users still appreciate greatly. It can be difficult to manually convert the value of each altcoin to bitcoin and then to the dollar for reference, so this feature is quite valuable. Under the estimated value amounts, another tier is included that shows users their 24hr withdrawal limit (for unverified users). While a 2 BTC 24hr withdrawal limit will suffice for most users, Binance allows users to upgrade to a higher 100 BTC withdrawal limit. In order to upgrade, Binance requires users to submit various documents which are then used to verify a user’s identity.

Another issue with Binance is that certain coins will sometime be unavailable for withdrawal due to high trading volumes or freezes. Coins that are locked show a yellow exclamation point to the right of the ‘BTC Value’ column. Unfortunately, until the yellow symbol disappears, it is essentially impossible to withdrawal…no matter the value. This has been one of the main criticisms of crypto exchanges but is part of the inherit risk in a 100% internet-based market. The above user once witnessed 5/9 of coins in the portfolio that were frozen. That surely cannot be a reassuring feeling.


Bottom Line: Is Binance Safe or a Scam?

Binance is a great option for crypto investors looking to gain exposure to the expanded altcoin market. Despite the sometimes sleazy self-promotion efforts and complicated trading page, Binance proves to provide one of the better overall platforms for crypto fans to invest and remain mostly anonymous.


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