If you are into cryptocurrencies you are already familiar with the huge amount of cryptocurrencies there are. Currently, according to Coinmarketcap, there are 1334 cryptocurrencies actively trading in total.
Although a long-term investor doesn’t need to worry about this many cryptocurrencies, it may be useful to a regular trader. I myself love having these many options in hand. Since this gives me the freedom to diversify my trading portfolio even further.
But to be extremely honest with you I don’t believe these many cryptocurrencies will survive in the long run. Only a handful of useful cryptocurrencies like Bitcoin, Ethereum, Ripple, IOTA etc will survive in my opinion.
For buying and selling cryptocurrencies you need a trusted exchange. A trader also needs a good exchange with low fees to make profits. So in this article, I am going to talk about an extremely reputed cryptocurrency exchange called Binance.
- 1 BINANCE AS A CRYPTOCURRENCY EXCHANGE
- 2 BINANCE AS A CRYPTOCURRENCY
- 3 FINAL WORDS
BINANCE AS A CRYPTOCURRENCY EXCHANGE
Binance or Binary Finance a multi-coin cryptocurrency exchange and trading platform. This trading platform was originally based in China but the servers and data centers were located in Korea.
After the recent crackdown on cryptocurrency exchanges by the Chinese government Binance completely stopped their operations in China.
They have even switched their IPs to the British Virgin Islands. So, Binance is a multinational cryptocurrency exchange, that is why it cannot be governed by a single country’s law.
But they aim to improve a lot of issues with most other cryptocurrency exchanges. Binance doesn’t support any fiat currencies. It only supports cryptocurrencies and allows trading between a lot of cryptocurrency pairs.
ISSUES WITH MOST OTHER EXCHANGES
If you are familiar with cryptocurrency exchanges, then you may be able to relate to the following issues.
- Most of the time the technical framework is poorly made.
- Usually small to mid-size cryptocurrency exchanges have small userbases, which means poor market liquidity.
- Often language barrier is a problem.
- International exchanges often have poorly translated websites.
- The trading platform or software can be vulnerable to threats.
- Extremely poor customer service or even, lack of a dedicated customer service team.
- Outrageous fees.
HOW IS BINANCE TACKLING THESE ISSUES?
The main goal of Binance was to solve all these issues with most cryptocurrency exchanges. The CEO Changpeng Zhao created Binance to make the trading experience as user-friendly as possible.
- Well translated multi-lingual platform – Binance is a multilingual platform that supports Chinese, English, Korean, Japanese, Spanish etc. All of the webpages and even the tiniest of details have been translated perfectly. I, as an English user, face no issues and make no compromise while using Binance.
- Extremely fast and responsive – The whole Binance platform is extremely fast. In the past, I have used a lot of exchanges but most of them take too much to just load the market page. But everything on Binance loads within seconds. Binance‘s underlying framework is also capable of handling about 1.4 million orders per second. This makes Binance one of the fastest cryptocurrency exchanges.
- Device Coverage – Another thing I like about Binance is the device coverage. You can use Binance on your PC as well as on your mobile devices. On mobile and handheld devices you can either use the web-based HTML5 trading software or the specially designed applications. The Binance application is available for both Android and iOS.
- Extremely Low Fees – Binance‘s extremely low fees make it one of the best platforms for trading cryptocurrencies. Generally, the trading fee is 0.1% but you can trade with a fee of as low as 0.05% on Binance.
- Support For ICO Projects And Gas – Binance is undoubtedly more active than other cryptocurrency exchanges. Most of the times Binance is the first exchange to add a new coin to their platform. They also add promising ICO projects to their platform from time to time. Apart from this, Binance holds a lot of competitions and gives away cryptocurrencies. Currently, Binance is the only exchange platform which gives Gas tokens to its NEO investors. So if you have invested in Neo already and want to make some free Gas then ditch your current exchange and switch to Binance.
HOW TO USE BINANCE?
Let’s learn how to use Binance –
- First of all, go to the registration page of Binance: Binance.com
- Fill in all the required details and then click on Register.
- After that, you will receive an email to the provided email address. Click on the link in the email to verify your registration.
- Once verified you will be able to log on the Binance platform.
- Once you are logged in, you will see the Funds item in the top menu. Hovering your mouse over it will reveal a drop-down menu. Choose Deposits and Withdrawals from the drop-down.
- After you get to the Deposit page, you will be able to deposit the cryptocurrency of your choice to Binance. Please note that Binance only deals in cryptocurrencies, so it doesn’t support any fiat currencies whatsoever.
- Now that you have funded your Binance account, you are all set to trade. Binance has two UI for the exchange platform – a basic one and an advanced one. I usually go with the basic, because it’s less stressing on the eyes.
- Once you get redirected to the trading page of your choice, you will be able to start trading!
WHAT CRYPTOCURRENCIES CAN YOU TRADE ON BINANCE?
I can’t really list down all the cryptocurrencies you can trade on Binance, because the list is huge. To be specific there are about 180 tradeable cryptocurrencies on Binance.
DOES BINANCE SUPPORT ANY FIAT CURRENCIES?
No, as I mentioned above Binance does not support any fiat currencies. So you are only allowed to trade with cryptocurrencies. There are four markets in total – BTC, USDT, ETH and BNB market.
BNB is the Binance Token – let’s talk about it in detail.
BINANCE AS A CRYPTOCURRENCY
The Binance cryptocurrency exchange also has a cryptocurrency to make the trading platform as user-friendly as possible. This cryptocurrency is known as BNB or Binance Token. It is an ERC-20 token that is currently only supported on Binance and EtherDelta.
Out of the remaining 100 million, 80 million was distributed among the development team and 20 million was given to the angel investors.
You can still buy BNB on the Binance platform. 1 BNB is currently priced at $2.84 and BNB has a market cap of $281 million.
WHAT ARE THE BENEFITS OF USING BNB?
And to promote the use of this token Binance is actually halving the fees when you pay your trading, listing, withdrawal fee etc with it.
So instead of the usual low trading fee of 0.1%, you will only pay 0.05%. The halving is only applicable for the first year though.
During the 2nd year this discount will be halved, so you will receive 25% discount. The discount rate will get halved each year until the 5th year. From 5th year onwards you will receive no discount.
In my opinion, Binance is one of the best cryptocurrencies right now. The platform itself is very responsive, easy to use and moreover the fees are low.
The Binance Token have also contributed to this popularity of Binance. If you look at the exchange charts, Binance is usually ranking within the top 5 in terms of raw volume of trade. For an exchange that was launched in 2017, this is quite impressive.