Binance exchange review 2020| A step by step guide on how to use Binance | Fee, features & security. MindYourCrypto

Binance exchange

The number of cryptocurrency exchanges has grown rapidly after the bull season of December 2017. According to various cryptocurrency exchange rating platforms, there are more than 300 cryptocurrency exchanges that are offering a variety of services. Each cryptocurrency platform offers a specific set of services that are suitable for a particular type of user only and not for everyone. Thus, it’s certainly a daunting task for a beginner or even for an advanced user to choose the right platform. In this comprehensive Binance exchange review, I will try to cover the most important aspects of this digital exchange in a practically feasible manner.

For the sake of user convenience, we have started an exchange review series that will cover top cryptocurrency exchanges in the world and Binance is another great addition to our top exchange review list.

Binance is a next-level digital exchange with unlimited features and offerings but for a new user, it may look somewhat complex at first sight. However, following our Binance review and step by step user guide, it’ll be a piece of cake for you to start with Binance exchange.

Other Bitcoin and cryptocurrency exchanges that are worth your efforts and are a close competitor of Binance in terms of features and security are Bittrex, Kraken, Bitfinex, and Coinbase.

Content details

1. Introduction

2. Is Binance exchange safe?

3. How to use Binance exchange?

1). How to Sign-up on Binance

2). How to Log-in to your Binance account

4. Binance deposits and withdrawals

1). How to deposit funds to your Binance account?

2). How to withdraw funds from Binance?

5. How to make your first trade on Binance?

6. Fee, features and services that Binance offers?

7. Which cryptocurrency pairs are supported by Binance?

8. Which countries are supported on Binance?

9. It’s Pro’s and Con’s?

10. Final Thoughts

In this review, we will provide you with an all-rounded detailed review of Binance exchange alongside its services, pros, and cons. You will also get a step-by-step user guide along with relevant images to understand each process easily.

1. Introducing Binance exchange

Binance is the world’s largest crypto asset exchange with more than 3.4 lakh daily active users. It was founded in July 2017 by Changpang Zhao. Initially, it was launched in China, but certain government regulations had forced it to move it’s headquarters to Malta in 2018. Even though Binance was launched in 2017, it has gained the trust of millions of users and become one of the most popular cryptocurrency exchanges. The credit goes to Changpang Zhao popularly known as CZ, as he already has worked for the Hong Kong stock exchange and used that experience for building one of the fastest high-frequency trading systems.

The fastest order execution, more than 400 crypto pairs, institutional-grade research reports, makes Binance a favorable choice among professional traders. OTC (over the counter) services for trades over 20 Btc, were introduced in 2019. Before launching the exchange, the Binance team raised money through an initial coin offering (ICO). This is similar to crowdfunding where startups get the required funds from investors or shareholders. However, in the case of ICO people invest crypto assets instead of real money. Binance ICO raised the equivalent of  $15 million and in return investors got the native Binance token called BNB coin which has already yielded fat returns.

2. Is Binance exchange safe?

Binance is one of the newest crypto exchanges available in the market, even though it has managed to become a trusted platform among the entire crypto community. It’s one of the exchanges that has taken user security seriously. It protects the accounts of its users using high tech measures such as AI, blockchain forensics, and 2-factor authentication (2FA). In addition to that, it allows users to set unique anti-phishing code to the exchange associated account that helps users to differentiate between fake and genuine emails. Binance processes withdrawal requests only after getting confirmation via email and 2FA from the user’s side. It also allows users to whitelist withdrawal address, that enables withdrawal of funds only to the specified wallets.

Hack Update

Despite the advanced safety measures Binance got hacked on the 8th of May 2019 and lost almost 7000BTC. However, this hack has done a lot more positive to build trust around Binance. During the event of hack Binance’s response was exceptional and completely transparent. Its CEO CZ made clear announcements regarding hack via the exchange’s all social media accounts and reassured all users that, “Binance will use the SAFU fund(secure asset fund for users) to cover this incident in full. No user funds will be affected.” This act of transparency and responsibility brings more confidence among its users.

“Tip”

Always store your Bitcoin and other crypto-assets in a secure cold wallet or some other hardware wallet. Never use an exchange wallet for storing your funds as permanent storage. Be alert and stay safe.

3. How to use Binance Exchange?

Binance is a centralized cryptocurrency exchange where you can trade Bitcoin, Ethereum, BCH, and most of the other altcoins. If you want to trade hot altcoins with good liquidity, then Binance is a great platform to start off. As a novice user, you can easily notice that Binance offers three types of trading layouts i.e – basic, classic, and advanced for beginners and expert traders respectively. You can reach out to each one by just clicking on the “Spot” tab on the home screen.

The basic interface is the simplest way to trade cryptocurrencies. Except, the basic interface, both the layouts classic and advanced) have charting tools, graphs, order books, and trade history for the selected crypto pair. The only difference is that the advanced version offers more detailed and sophisticated technical analysis tools for high-frequency trading.

Below you can see how basic, classic and advanced layouts looks like:

Basic interface

Source: Binance.com

The basic interface is the simplest and most handy option for beginners to trade cryptocurrencies. It allows you to select the cryptocurrency pair that you want to trade with your initial asset and make hassle free conversion.

Classic Interface

Source: Binance.com

The classic interface has all the functions laid down in well defined and easy to use manner. You can find order-book on the left side, bar chart at top(center), buy and sell tabs at the bottom (center), favorite added coins on the right top, and trade history on the right bottom.

Advanced version

Source: Binance.com

The advanced version has both light and dark themes and this is a dark one. You can choose accordingly.

The charting box is comparatively wider and placed on the left side, the order book is next to the chart, buy-sell tabs on the extreme right, open orders, trade history, and order history tabs are laid down just below charts.

Choice is yours, but the classic layout is more handy and clean.

In order to use exchange you need to signup or register

1). How to Sign-up on Binance

Source : Binance.com

a). Visit the Binance.com and fill in your email and a strong password on register screen.

b). You can also enter referral link if you have one and click on register.

c). You will get a confirmation email, click the verification link and your account is activated.

{If you are a US resident, you won’t be able to create an account on Binance.com. You have to visit Binance US for the same.}

2). How to Login on Binance

Source : Binance.com

a). Visit Binance.com and click login on top right of homepage.

b). Enter your email and password, then click login. Always double-check the URL, you are visiting. You are now logged-in.

c). Make sure that you have enabled 2FA, as it is strongly advised by Binance itself. You can enable it by following instructions on the 2FA setup page.

d). For added security, you can also enable anti-phishing code from your Binance account. Once enabled, it will always appear in your all Binance emails, as it always sends you a confirmation email for withdrawal requests. Now you are double sure that you are clicking on a genuine email and not a fake one.

Remember that as a level 1 user you can deposit and withdraw up to 2BTC per day. For higher deposit and withdrawal limits, you need to verify your account with a government-approved photo ID (passport, Driving Licence, etc). After getting your account approved you can withdraw up to 100 BTC per day.

4. Binance deposits and withdrawals

1). How to deposit funds to your Binance account?

Now it’s time to fund your account. Click the “Buy Crypto” tab if you want to buy cryptocurrency

source : binance.com

with fiat money otherwise, click on the “Wallets” tab and select the desired wallet type (i.e. Spot, Margin, etc.) for funding a wallet with Bitcoin and other cryptocurrencies. Basically, there are two ways to fund your account.

a). Buying crypto with Fiats

As discussed earlier in this review, Binance offers a number of ways to buy crypto with fiat. Click on the “Buy Crypto” tab and now you can select to buy Bitcoin and cryptocurrencies via Debit/Credit cards (Visa/Mastercard),

source : binance.com

Binance P2P Exchange,

source : binance.com

or via third party payment gateways such as Mercuryo, Banxa, Koinal, and Simplex.

source : binance.com

You can directly deposit your native fiat currency using these fiat gateways if it’s supported. Some of the fiat currency deposits that Binance support are EUR, RUB, GBP, HKD, ZAR, TRY, NGN, UAH, and KZT. It has also added 11 additional fiat currencies to buy Bitcoin and other major crypto assets, through its debit and credit card partner Simplex. However, buying crypto using Simplex would cost you slightly more as it charges a fee of around 2.5% to 3.5%. Yet Simplex is an easy option to buy crypto directly from the Binance dashboard if your native fiat currency is supported by Simplex.

Getting started with Simplex :

(for illustration purpose I have chosen Simplex here, you can choose accordingly)

– After logging in to your Binance account, click “Buy Crypto” on top of front page

– It will take you to the next step, select from the available payment partners i.e. Simplex

– Choose the fiat currency, enter the amount you want to spend, choose the crypto you want to buy, and click the “Next” button.

– After that, you will be taken to Simplex.com where you can furnish the requested details and complete the transaction.

b). Funding your Binance account using Bitcoin and other cryptocurrencies

However, your native fiat currency may not be supported by these fiat gateways as they only support a limited number of fiat currencies. In that situation, you need to deposit with a cryptocurrency. You can start with Bitcoin (BTC) or Ethereum(ETH) as these are easily available on most of the exchanges and there are several crypto exchanges that allow you to buy these cryptocurrencies with fiat money. To fund your account with Bitcoin or Ethereum follow the given steps:

– Login to your Binance account and click “Wallets” on the top of the page, select “Spot Wallet” (or others) from the drop-down box.

source : binance.com

– Select the cryptocurrency that you want to deposit.

– It will give you a unique deposit address for the selected coin.

– Now copy-paste the given deposit address in your wallet and transfer the selected coin to your Binance account.

– To check the status of your deposits, go to “Funds”,  click on “Transaction History” in the drop-down box.

– Once you got deposit confirmation from Binance, you can check the updated balance in funds.

2). How to withdraw funds from Binance?

Withdrawal process is quite simple.

a). First, you have to sell all of crypto pairs in BTC or USDT.

b). You can convert your BTC or USDT to selected fiat currencies through Binance’s fiat partners.

c). Your account need to be fully verified before using these fiat gateways.

If your native fiat isn’t supported on the fiat gateways, then you have to withdraw BTC or other crypto supported by the destination wallet. To withdraw BTC or another crypto:

a). Go to withdrawals and select the crypto you want to withdraw.

b). Copy your wallets address and paste it in Binance withdrawal address box. Then click on “Submit”.

c). Enter the 2FA code.

d). You will get a confirmation email, click on the given link and your transaction is complete.

e). Funds from your Binance account to destination wallet will be added in 10 to 30 minutes.

5. How to make your first trade on Binance exchange?

Now you have sufficient funds in your Binance account and you can use them to trade for any of the 150+ cryptocurrencies and 400+ crypto pairs. Now, I will show you how to make your first trade on Binance.

a). After logging in to your Binance account, go to the “Exchange” tab on the homepage and select “Basic” from the drop-down box.

b). Below is an illustration of the Classic trading interface.

source : binance.com

c). Starting from left, you can see order-book and price chart in middle.

d). Favorite list is on the top right, where you can save crypto pairs that you wish to trade. At the bottom right, you can check trade history.

e). The buy and sell section is laid down just below the charts on the trading screen.

f). Now it’s time to trade. Let’s assume that initially you have deposited 1 BTC and you want to buy some Ethereum (ETH). You can select the ETH/BTC pair from the favorite list.

g). Now, the market information of the selected crypto pair starts to display on chart and order book.

h). Then go to the buy-sell section. The Green tab is to buy and the Red tab is to sell. Enter the amount of ETH (1, 2….) in the box provided or just click on the percentage (25℅, 50%,75%, 100%) of BTC for which you want to buy ETH.

i). You can place a Market order or Limit order. Market orders fill instantly, while Limit order fills only at a predefined price.

j). After filling all the details correctly, click on the Green buy tab, and your order is placed. As your order gets executed, the amount of ETH bought will start showing on the sell-side. And that’s all.

6. Fee, features and services that Binance offers?

Binance offers a feature-rich experience to its users. Below are some of the features and services offered by Binance :

a). Binance DEX

Binance launched its own blockchain in April 2019 dubbed as Binance Chain. Just a week after that Binance launched its decentralized trading platform (Binance DEX). DEX supports most of the cryptocurrencies available on CEX. It offers peer to peer trading with a higher level of security. Several fiat currencies are also supported to buy BTC or other crypto coins.

b). Binance Launchpad

Binance introduced Launchpad service for aspiring crypto projects. It’s a win-win for both investors as well as new projects. Investors can invest in vetted projects, whereas the crypto startups

c). Margin Trading

Binance also offers Margin trading and Futures trading on its platform. It allows you to make leveraged trades. The margin trading supports major cryptocurrencies such as BTC, ETH, XRP, TRX, BNB, DASH, BCH, etc. For futures trading, you have to open separate accounts and you can use up to 75x leverage in futures trading. New pairs are updated on a regular basis.

d). Binance Coin (BNB) and Trading Fees

Binance has it’s utility token called BNB or Binance Coin. Initially it was launched in 2017, during Binance ICO. Since then, BNB has gained much in valuation due to large number of use cases around Binance ecosystem. Binance also offers trading fee discount to it’s users holding BNB. All the users holding BNB can select to pay trading fee in BNB to get discounts on trading fee. User will get minimum 25% to 50% discount on fee, which further increases with higher levels.

e). Binance App

Users can trade cryptocurrency on the go by using mobile application. Binance mobile trading application is available for both IOS and Android platforms.

f). Binance Pool

Binance Pool is another addition by Binance, in its comprehensive suite of crypto services. It’s an advanced crypto mining platform that helps miners to increase income, closing the gap between mining and trading, and provides a one-stop mining ecosphere.

g). Wazirx acquisition

Binance has also acquired one of the top Indian exchange WazirX. Binance-WazirX wallet integration has enabled all WazirX users to transfer funds between Binance and WazirX wallets without any fee and use both the platforms simultaneously.

Binance fee structure

Binance Spot trading fee structure is as follows ;

Source : Binance.com

Binance’s Margin trading fee structure is as follows ;

Source : Binance.com

7. Which cryptocurrency pairs are supported by Binance?

Binance is the largest crypto to crypto trading exchange in the world. It offers more than 150 cryptocurrencies and more than 400 crypto pairs to trade. For a detailed list, you can “Visit Here”.

8. Which countries are supported on Binance?

‌Binance is a global exchange and it accepts users from almost all countries including Uk, EU, Canada, Japan, India, Germany, France, and so on. Binance.com has restricted users from the US, China, Iran, Lebanon, Cuba, Libya, Congo, and Afganistan.

However, in September 2019, Binance US was launched in association with BAM trading services. It’s fully compliant with US regulations and offers services to all US citizens except the state of NewYork.

9. It’s Pro’s and Con’s?

Let’s first discuss pros :

a). High volume and liquidity provides smooth trading experience.

b). It offers large number of altcoins to trade.

c). Mobile app to make trades on the go.

d). High level of security using AI, 2FA and other safety measures.

e). Takes responsibility for user funds seriously. Introduced SAFU funds to compensate users in the event of a hack.

Cons are :

a). The downside is that the exchange has limited fiat conversion options.

b). There is a mixed opinion regarding customer support. Some users reported a delayed response. However, you can contact Binance by email or live chat to get your problems resolved.

Final Thoughts

Binance is the exchange that offers top features and services for both novices as well as advanced traders. It delivers an unmatched trading experience to its users. It’s a top platform to trade a large number of altcoins with considerable volume and liquidity. You can also check-out Margin, Futures, and contracts trading setups. It offers markets the cheapest trading fee rates. Personally, I have been using Binance since its launch without facing any major issues.

Whether you’re going to use Binance or not, it’s up to your personal needs and judgment, but I think it’s worth giving a try. In my opinion, it’s one of the best platforms to trade a large number of cryptocurrencies with ease and trust.

Other Bitcoin and cryptocurrency exchanges that are worth your efforts and are a close competitor of Binance in terms of features and security are Bittrex, Kraken, Bitfinex, and Coinbase.

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