Binance exchange is a global cryptocurrency trading platform. We will walk you through at some of the basics of how to deposit and trade cryptocurrency. Binance is considered as the largest crypto exchange in the world in terms of the trading volume. On the exchange are traded more than 150 cryptocurrencies. Since early 2018.
The founder, Changpeng Zhao, noticed the sudden rise in coin offerings in 2017 and decided to create his
own digital coin. On June 24, 2017, CZ’s Binance raised 15 million dollars and began its Initial Coin
Offering (ICO) with 200 million Binance tokens. Eleven days later, the Binance exchange opened its doors.
Forty-five days after binance.com went live, the platform had gained over 120,000 users. The average growth rate was 4,000- 5,000 new registrations per day. Although initially headquartered in China, the company soon had to move to Japan following China’s ban on cryptocurrency trading. In mid-2017, Binance announced that it would build its global compliance center in Bermuda. Then they announced the investment of an additional $ 5 million in blockchain startups. Binance also declared that it would assist the Bermuda government in developing a regulatory framework for blockchain and cryptocurrencies.
In September of 2018, Binance partnered with the Malta Stock Exchange to authorize the trading of security
tokens. Binance subsequently acquired a significant stake in Founders Bank, a Maltese financial institution. The organization also opened two more companies – Binance Charity Foundation and Binance Lab. BCF is the first non-profit charity to accept cryptocurrency donations on its blockchain platform. Binance Labs invests in incubators and other projects that empower cryptocurrency entrepreneurs and communities. Continuing their expansion, Binance opened a fiat-crypto exchange on the British island of Jersey in 2019. The company launched Binance Uganda, with goals to help the African continent. For less than two years, Binance achieved more than most companies could ever imagine. Since its launch, Binance has quickly established itself as one of the largest cryptocurrency exchanges in the world.
Nowadays, the platform sees 1.2 billion trades every day on average. Over 1.4 million transactions happen every second on the location.
Binance User Interface
If you have been using Binance Exchange, you will notice that the interface is quite similar in structure as many others. The platform supported all devices – Web, Android, iOS, Mobile Web, Windows, and macOS. It multilingual, offering a seamless user experience.
Those who are visiting Binance for the first time will quickly see that the platform offers two options for cryptocurrency trading – basic and advanced. The difference between the two versions is that the advanced one offers a more-in-depth technical analysis of the value of the digital currency over time. The basic version dashboard provides several charts for the pairs you are trading, orders book, and trade history. The basic view is well designed, and all the necessary information is clearly presented with: prices on the left, the graphs in the center, together with the Buy and Sell buttons. The trade history is shown on the right, so you can easily see what the latest trading prices were. The advanced view also uses a dark theme, with the latest trade prices
displayed to the right with the Buy Sell buttons underneath.
Both the basic and the advanced versions are not complex to be used by novice users, so it’s a matter of personal choice which one you prefer.
If you want to get started with Binance, you need to sign up and open an account. You will also need to finish a completed identity verification (KYC) and make sure your country is not blacklisted. It is also mandatory to activate 2FA. After that, you can deposit your digital assets to start trading. As we said, Binance supports over 150 cryptocurrencies that could be traded on the platform. You can deposit any of them into the exchange from your crypto wallet. Once you have entered your details, you can submit the transaction, and your Binance account will be credited shortly after that. You can also purchase cryptocurrencies using your Mastercard. You just choose which coin you want to buy and the amount of the order. For this service, Binance partnered with Simplex – a fintech company that provides guaranteed payment processing to avoid fraud.
The platform supports 150+ cryptocurrencies and its own token, which is used to pay exchange fees and
give bonuses to traders on the platform. Traders can use Bitcoin, Bitcoin Cash, Tezos, Monero, Ethereum, Ethereum Classic, EOS, Dash, Litecoin, NEO, GAS, Zcash, Dash, Ripple, and more. You can see all the pairs traded here. Binance also supports multiple tokens, as part of ICO listings. Users could use the platform to trade these tokens as well. In addition, the Binance coin is also included in their Decentralized exchange. The coin is one of the major base currencies.
Binance Trading Fees
Today, Binance exchange offers several primary services: Spot (regular), Margin, and Futures trading through its
online digital asset trading platform (crypto-to-crypto). Let’s look at them one by one: Margin trading is an asset trading method that utilized funds provided by a third party. Compared to ordinary trading accounts, margin accounts allow traders to access more significant amounts of capital, allowing them to leverage their profits.
However, this method of trading can also increase losses and involve very high risks. So, it should only be used by highly skilled traders. In traditional financial markets, the borrowed funds are usually provided by an investment broker. However, in cryptocurrency trading, funds are often offered by other traders, who earn interest based on market demand for margin funds. That is called Margin Funding. In the crypto world, trading futures is brand new. In Futures trading, a trader agrees to shop for a commodity at a specific price at a certain point in the future. In most cases, the execution of futures contracts is guaranteed by a clearinghouse. Which makes it possible for the parties to trade with reduced counterparty risks. Binance Futures allows you to trade multiple contracts and manually adjust the leverage for each of them.
For each of these services, the company has different types of fees that may be updated from time to time. Charging fees on each trade is 0.1% on average. You can find all the fees they charge at https://www.binance.com/en/fee/schedule.
Of course, traders may want to withdraw their digital assets if all requirements are met. Note that once
the withdrawal amount is determined, a transaction fee will be displayed, and the final withdrawal
amount will be calculated automatically. Withdrawals typically vary for each digital currency, and you
can check them on the web page mentioned above.
Like other exchanges, Binance is a big target for hackers who want to steal cryptocurrencies for millions
of dollars with just one hack. In May of 2019, Binance was the victim of such a massive hack. The thieves
stole over $40 million (worth more than 7,000 Bitcoins). This theft affected around 2 percent of Binance’s total Bitcoin holdings.
According to Binance, the hackers have been able to commit the security breach by stealing two-factor
codes, API keys, and other information. After the hackers withdrew the money, various alarms in the
Binance system was triggered. So, the company was able to track the theft to a single hot wallet.
In fact, all withdrawals were stopped shortly after. Deposits were also suspended. Fortunately, Binance
has a Securities Asset Consumer Fund (SAFU) for such cases and was able to cover the losses.
Also, Binance has announced something new and attractive to the crypto world: a hacker bounty
program. The company offered a $250,000 reward to the first person to give them information that led
to the legitimate arrest of the hackers. Furthermore, the company has committed $10 million for
future hacker bounties.
Now the platform has multi-tier and multi-cluster system architecture. And Binance advises all clients to
be wary of anyone who tries to impersonate a Binance customer service officer and asks them to
withdraw funds. They also offer a reward of 25 BTC for anyone who can provide enough information to
get investigators to identify the hacker.
But remember that security is never absolute and finished. You are solely responsible for safekeeping
your Binance account and password. Take your time to update your knowledge from time to time, and
regularly check for potential weaknesses.
How to Deposit Cryptocurrency on Binance?
Depositing cryptocurrency to the Binance exchange is pretty straight forward. You just need to have your account open and follow the steps below.
1. Go to a wallet on the top right and click a spot wallet.
2. Go to the left side on the screen and click the deposit.
3. Choose the cryptocurrency you like to deposit and press „show QR code“ so you can scan it with your other device to transfer funds. The other option is to copy the receiving address and paste it to the wallet you like to transfer the funds from.
4. If you don’t have a cryptocurrency yet don’t worry. There is an option that you could buy directly cryptocurrency from Binance exchange using your debit/credit card. Go to buy crypto on the menu click credit/debit card and follow the instructions.
How to Trade or Exchange Cryptocurrency on Binance?
Binance is one of the leading exchanges in the space so you could trade most of the top coins. We will show how to start your journey and exchange from one coin to another. The exchange is giving you a few trading interfaces (Basic, Classic, and Advanced). We will show you the basic and classic options and how to switch from one coin to another.
1. You could start by going to spot on the menu and choose the option you like.
2. The first opinion is basic trading. It is very easy to use but is only giving you an option to trade only 15 coins.
3. How to exchange from one cryptocurrency to another in a classic interface (gives you more options than the basic). Go to the left side and enter the coin you wish to trade in the search box. In this example, we are trading Bitcoin for Nano.
4. Scroll below and you will see the buy Nano. Chose the amount of BTC you want to exchange, press buy Nano and the trade is done.
This is the very basics you need to know if you want to trade on Binance exchange. We are suggesting you take your time and explore the futures the platform gives you. The classic option is perfect to start with before moving to an advanced one.
In an industry that has had so many failures as exchanges being hacked. Binance has emerged from nowhere at first glance to become the number one exchange in
terms of trading volume in just two years. Entering the crypto world at the right time with the use of
aggressive expansion policy and smart business practices are the factors behind the exchange
success. That is why we had the pleasure of recommending it to you