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About 15 years since Bitcoin became a thing, the concept of cryptocurrency is no longer an element for the ones involved with the industry. It's become well-known to the public and is being used in many countries worldwide.

While cards and cash still dominate the market, cryptocurrencies are more and more diversified, offering users the possibility to spend digital coins with physical cards, not to mention different opportunities to make money while trading different coins.

Many wanted to join the market, but few knew how. Building a bridge between classic money and cryptocurrencies implied using an exchange. And that’s when different portals popped out, with some becoming more popular than others.

Whether it’s because of features, the trading volume or the low fees, Binance has grown to become the largest exchange on the market today.

Providing access to a wide plethora of coins, options for trading, passive income and many other financial tools, Binance is an excellent option for a wide variety of traders, as well as investors from all paths of life. Boosting nearly 200 million users, the exchange won’t disappoint.

Despite its popularity, Binance has also been through a few issues over the past years, some of them affecting American and Australian users. With all these, it's still a top player in today's trading market. Here's everything you need to know before diving in.

History of Binance​

Binance History.PNG

Binance was originally launched in the summer of 2017 after the ICO for BNB. The name relates to binary finance, which is basically a fancy definition of cryptocurrency. Changpeng Zhao and He Yi set up the exchange.

Originally, Binance was based in China. The current regime passed quite a few laws against cryptocurrencies, forcing the exchange to relocate to Japan. Similar issues forced it to relocate to Malta. At the moment, Binance is based in the Cayman Islands.

Binance Coin features a deflationary measure since its official release, the burns of BNB handled by the exchange four times a year. A second similar measure was released in 2021.

By 2018, Binance was the largest exchange on the market, looking for options to grow. It expanded to the American market, but also upgraded the BNB and issued BUSD.

BUSD was released in collaboration with a New York based financial institution, Paxos. There are more than 18 million BUSD in circulation at the moment. In 2022, Paxos disclosed what backed the BUSD, mainly cash or equivalents.

Before that, in 2019, Binance partnered with Simplex to make cryptocurrencies more accessible. Basically, users could purchase different digital coins using nothing but debit or credit cards.

During the same year, Binance experienced the first hack. It forced the exchange to up its security standards. About 7,000 BTC was stolen from Binance. Given the market value of the coin back then, the exchange lost around $40 million.

Using the SAFU (Secure Asset Fund for Users), Binance repaid all the users affected by the hack. The fund is still available today for unexpected situations.

Further big moments in its history include the Binance chain launch, the automatic BNB burning process to up the asset price and the BNB chain launch.

The Binance chain was formally launched in 2019, but its uses were limited, mainly governance and voting. To improve the uses, Binance released the smart chain. The smart chain was practically a blockchain capable of taking smart contracts.

As a result, Ethereum applications had no issues migrating over. What Binance made was an alternative to Ethereum. However, it was also quicker, better, safer and cheaper.

The smart chain was officially out in 2020. BNB gained more versatility and hit an all time high only a month later.

2022 brought in the BNB Chain, a mix of the classic Binance Chain and Binance Smart Chain. It was severely attacked in the fall of 2022. A hacker managed to create more than a million BNB in two transactions.

No users were directly affected, but the industry suffered because of this weakness.

Binance Platform Overview​

As a centralized exchange, Binance is run by one entity, a team of professionals who keep adding to its capabilities. Its amazing history is the living proof that things have only gotten better for users.

User Interface and Experience​

Binance User Interface.PNG

The interface is quite straightforward. Reaching your desired sections doesn’t require any experience. As you’re on the official website, you can buy crypto, NFTs or do something else using the main menu only, with direct links to all these things.

Options to trade are also available through the main menu. However, as you scroll the main page, you may find it a bit confusing with numbers and constantly changing prices. It's perfectly normal; those are common assets and their prices.

Binance has its own mobile app as well. It is available for free on both Android and iOS mobile devices, so you can trade on the go too. The app offers a bit of customization, such as lite and advanced modes. Compared to the desktop version, it’s lighter and doesn’t feel that crowded.

Once you get an account, you’ll gain access to numerous features, such as tutorials for newbies, a wallet, crypto deposits or withdrawals, spot and margin trading, crypto derivatives, trading bots, you name it.

Trading tools are quite varied and often include bots like Dash 2 Trade, Learn2Trade, Coinrule and Bitsgap, only to name a few of the most successful ones with high success rates.

Supported Cryptocurrencies​

Some digital coins come and go; others tend to stick for longer. BTC and ETH are by far the hottest cryptocurrencies on Binance, but the list also includes:
  • BNB
  • USDT
  • SOL
  • XRP
  • DOGE
  • ADA
  • MATIC
  • TRON
Often seen as the pinnacle of crypto exchanges, Binance looks like the perfect launch for every new cryptocurrency out there. Getting listed isn’t as easy though, mainly because the exchange aims to provide quality, rather than quantity.

To get listed, new projects require detailed applications from the leadership, regular updates, BNB integration, authenticity verifications, NDA compliance and a deep overall analysis of the ethical conduct. Simply put, each project must go through a comprehensive process upfront.

Adequate liquidity and an engaged community are also among the main criteria for new coins.

How to Open an Account on Binance​

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Opening an account on Binance is a simple operation that shouldn’t take more than a few minutes.

Go to the official website, and you'll find a button to sign up in the top right corner. You can register with an email address or a phone number. The next step implies creating a solid password.

In order to comply with different laws from all over the world, Binance will require you to add some personal information. Introduce your full name like in your ID, as well as your address and date of birth.

How to Verify an Account on Binance​

Verify Binance account.PNG


The registration is straightforward and takes a few minutes. Once it’s done, you’ll have to confirm your new account.

What takes slightly longer is the actual verification. You must verify your identity by submitting pictures or scanned copies of a few documents. A government issued ID is the most common requirement, but proof of address is often required too.

The verification is done according to KYC and AML laws and regulations.

Once the account has been verified, you'll gain access to further settings and features, such as two-factor authentication through a separate app or text message.

More settings can be accessed as you make your first deposit since you'll need to choose the preferred payment option. Get your deposit in, and your account will be ready to trade.

Apart from the government-issued ID, you'll also have to take a selfie. Verification requirements depend on your location and local laws. In some cases, proof of address and other documents may be required.

Fees and Commissions​

The fee structure on Binance is straightforward, but it may take a while to get used to it. Fees and commissions vary based on why you use the exchange.

Deposits0
WithdrawalsDepending on the coin and user level
Trades0.1%, usually less for VIP users
BNB payments for fees25% discount on fees
Margin interest ratesDepending on the coin and amount
Market makers0.1%
Market takers0.1%

Some fees may vary from one user to another, such as loan fees or margin interest rates. The bigger the transaction, the higher the fee, as they’re directly proportional. Besides, each operation has particularities that could affect the fees.

Security Standards on Binance​

Binance has had a few hacking incidents in the past. These days, the exchange takes security extremely seriously, offering users access to more solutions than ever.

Two Factor Authentication​

The two factor authentication is a good addition to a strong password. To log in, you'll have to enter an additional code that's generated over a different app or by text message. This way, hackers will find it nearly impossible to login, even if they actually have your password.

Secure Asset Fund for Users​

The SAFU is practically a reserve fund. Its primary purpose is to cover potential losses caused by hacking attacks or other similar incidents. It’s a backup solution to ensure the user’s money won’t be touched.

Cold Storage​

Cold storage is not to be overlooked either, ensuring a big chunk of users’ funds are stored in an offline manner. This kind of storage prevents potential hacking operations. Only a small amount is actually kept in hot wallets for everyday operations.

Trading Features​

Binance Trading account.PNG

Binance is mainly appreciated for its trading capabilities, offering users a wide variety of tools and options to meet their needs.

Spot Trading​

Spot trading on Binance starts with an account. Log on, go to the respective menu and you’ll be welcomed by a user friendly interface. The left side offers an insight into sell orders (red) and buy orders (green). Trading pairs are available on the right side of the screen.

You can create your own buying and selling orders, too.

Futures Trading​

To trade futures on Binance, you'll need a Binance Futures account. If you already have a Binance account, just go to the futures submenu in derivatives, and you can start your futures account straight away.

The interface is split into more areas, with the main menu at the top, a price chart and a trading activity panel on the left. The right side has the order entry field and the margin overview, so you basically have everything you need at a glance.

Margin Trading Options​

Margin trading is a version of trading that allows you to borrow money from the exchange to invest in cryptocurrency. You can open decent positions without too much capital. If the market moves the right way, your profits will be greater than normal. But losses can be just as bad.

There are two types of trading on Binance. Cross margin lets you use your current balance as collateral. An isolated margin gives you the option to decide what assets you want to use as collateral whenever you trade.

Staking and Yield Farming​

Staking and Yeild Farming.PNG

Staking on Binance allows supporting the blockchain network by validating transactions. Each transaction requires more validations. To do so, users commit their crypto assets to the network. It’s a form of investment that allows earning interest until the block reward is released.

Go to the top menu and find the earning menu. You’ll find the option there, as well as more choices for each stacking type. Locked stacking on Binance brings in better rewards, but your funds will be locked for a particular period of time.

Yield farming is similar, meaning you’ll have to lock your assets for profits. It’s an effective way to generate extra cryptocurrency from what you currently have.

Copy Trading​

Binance Copy Trading.PNG

Binance offers access to more types of trading, so users’ experience is irrelevant. For instance, one can follow certain bots that do their own trades based on presets. Some of them have a relatively high success rate, ranging around 80%. Some others are more suitable for asset diversification.

Copy trading follows the same principles and allows Binance users to follow successful traders and copy their trades, simple as that. Go to the “copy trading” menu and you’ll find different traders, their stats and some basic details about them, as well as the option to copy what they do.

P2P Trading​

Binance P2P Trading.PNG

Peer to peer trading allows Binance users to buy and sell cryptocurrencies directly. In other words, there’s no need to rely on an intermediary for the operation, as Binance offers a safe and convenient way to do it.

Assuming you've already registered, navigate to the P2P trading menu, and you'll find a list of all the cryptocurrencies you can buy or sell. Pick a pair, place an order and complete the transaction.

In theory, the process would be risky without an intermediary, but doing it over Binance will guarantee a quick and secure environment.

What’s BNB Coin?​

Most commonly referred to as BNB, Binance Coin is the proprietary digital coin of the exchange. It plays an important role in pretty much any action or operation throughout the exchange. For example, it powers the chain as its native token.

When it comes to paying fees on the exchange, they're paid in BNB. New tokens are also released in the same manner, not to mention the possibility of transferring assets, sending orders or cancelling orders. All these things require BNB.

BNB is responsible for the Binance Smart Chain as well.

BNB isn't all about paying fees throughout Binance. Holding BNB has other benefits as well, such as discounts on certain fees, lower commissions, and even the possibility of qualifying for the VIP program.

Simply put, while BNB doesn’t have a massive role in other exchanges, it helps reduce costs and enjoy certain benefits in Binance.

Binance's Latest Regulatory Compliance​


At the beginning of 2024, the new CEO of Binance, Richard Teng, stressed the necessity of regulatory compliance for the overall success of the company. His statements came just months after the former CEO was found guilty of violating anti money laundering laws in the USA.

The former CEO was forced to pay $4.3 billion to settle charges.

Regulators from the USA appointed two different compliance monitors to ensure Binance meets the agreement requirements. Binance retained independent monitors as part of the requirements.

Given the management change and regulatory compliance, Binance managed to clean its reputation. As a direct consequence, it has made a comeback to India in 2024, one of its main markets. The exchange has registered with the FIU of India, so it can now resume operations.

Previously, operations were halted at the end of 2023 because of non-compliance problems.

How to Deposit Payments​

How to Deposit Payments in Binance.PNG

Binance accepts both cryptocurrencies and fiat currencies for deposits. You can use bank accounts or external wallets.

To deposit cryptocurrency, you'll have to log in to your account and find the assets section on the main page. As a submenu, go to deposit and then select the recharge feature. You'll be asked for the currency you want to add. Once you make a decision, the website will generate a unique deposit address.

Make the transfer, but not before double or even triple checking the address. Send your money to the wrong address and you risk losing it all. You can keep an eye on the status, but the transfer will depend on the coin and the conditions of the network.

Normally, a crypto deposit will take a few minutes, yet there are stances when it takes a few hours.

Similarly, you can do it through a private wallet.

If you’re after buying crypto with fiat currency, you’ll need to go to wallet, find fiat currency and go for the recharge option. You can make a deposit by cards, bank transfers and fiat balances.

How to Withdraw Money​

How to withraw money in binance.PNG

Withdrawing money is practically about turning crypto into fiat currency, only so you can use it in real life. To withdraw money, go to the Fiat and Spot page after you log on. That's where you'll find your fiat balance. Pick the currency you'd like to withdraw and go for the bank transfer option.

You’ll have to enter the bank details and amount. Binance will give you a time frame once the request is complete.

To withdraw money on a card, you'll have to pick the card withdrawal option rather than bank transfer. You'll be asked for some card details, including the CVV.

Countries Where You Can or Can’t Use Binance​

Which Countries Banned Binance.PNG

Binance is currently available in over 100 countries:
  • Africa: Nigeria, South Africa
  • America: Argentina, Brazil, Chile, Colombia, Mexico, Peru
  • Asia and Pacific: Afghanistan, Australia, Cambodia, India, Indonesia, Japan, Kazakhstan, Mongolia, Myanmar, New Zealand, Pakistan, Philippines, Taiwan, Vietnam, Egypt, Israel, Saudi Arabia, United Arab Emirates
  • Europe: Bulgaria, Czech Republic, France, Greece, Hungary, Italy, Latvia, Poland, Portugal, Romania, Russia, Slovakia, Slovenia, Spain, Switzerland, Turkey, Ukraine
In other countries, Binance was either disallowed or had no business interests. Countries like the USA and the UK are among the big players missing from the platform.

Binance Customer Support​

Binance Customer Support.PNG

Customer service is important for any exchange out there. Unexpected issues, small errors or financial problems often can’t wait, so it’s imperative to have more ways to access the team and seek support.

Binance has a detailed self help section with answers to the most common questions. Email support is also available, but the 24/7 live chat is the quickest way to get your problems solved, especially in an emergency.

Email replies take a working day on average. While there are waiting lists for the live chat too, that’s normally faster.

Binance Vs. Other Platforms​

Based on the volume, Binance is the leading exchange out there. However, it's not the only one. There are quite a few alternatives out there, and some of them are able to provide better service. At the end of the day, it depends on what you expect from such a service.

Binance Vs. Bitfinex​

Binance Vs. Bitfinex.PNG

Bitfinex is one of Binance's top competitors. It's most commonly known for margin trading. Prior to Binance taking this type of trading, Bitfinex had a serious advantage. Now that Binance offers both cross and isolated-margin trading, Bitfinex has lost some of its popularity. Its fees are slightly higher too.

Uses

Binance is useful for trading, buying and selling crypto, but also to hold a plethora of different coins. Bitfinex is a bit more limited in its operations, being mainly recognized for digital asset trading.

Users and Cryptocurrencies

Binance has an impressive client base of over 128 million users, while Bitfinex barely has three million users. The cryptocurrency variety is higher in Binance as well, with hundreds of coins.

Bitfinex does offer access to the most popular ones, though.

Features

Both Binance and Bitfinex allow the use of analytical tools and social trading features. Unlike Binance, Bitfinex doesn't allow copy trading, which is quite useful for newbies. Security standards are slightly higher for Binance, too.

Despite being older (about five years), Bitfinex doesn’t have too many unique features. It’s popular for its leader board, as well as the payment cards. Binance has a more comprehensive user center though, so all the information you require is displayed in one place.

kraken" data-toc="1" >Binance Vs. Kraken​

Binance Vs. Kraken.PNG


Kraken is another solid alternative. Around for quite a while and offering access to various features, Kraken has lost the battle with the big players because it failed to implement too many cryptocurrencies. Other than that, trading features and security measures won’t disappoint.

Currencies and Fees

Binance offers access to over 350 currencies. Kraken, on the other hand, is slightly behind, with just over 240 currencies. Lists are constantly improving, though. The good news is both exchanges offer access to popular coins.

In terms of fees, there’s a solid structure in place for each exchange. Binance, for example, charges 0% to 0.1% for trading. On the other hand, Kraken fees vary between 0% and 0.26%. At the end of the day, it depends on the pairs as well.

Security and Wallet

Binance can brag with cold storage for the peace of mind of its clients. Two-factor authentication, address whitelisting and device management will also add to its high-security standards.

Kraken has two-factor requirements for some operations, too. Cold storage is also offered, as well as API key permission, surveillance and SSL encryption.

Binance relies on the Trust Wallet, one of the most respected names on the market. Kraken doesn’t have such a thing.

Pros and Cons Comparison

Binance has very low fees for trading and numerous coins and pairs to choose from. Kraken has a quick verification process and can be accessed by users in 48 US states. About 95% of its assets are held in cold storage.

In terms of negatives, Binance is more overwhelming for beginners, at least when it comes to its interface. With all these, Kraken isn’t as easy either and may still require a learning curve. Besides, Kraken doesn’t have a standalone wallet.

Binance Vs. Coinbase​

Binance Vs Coinbase.PNG

Despite having an impressive competition, one exchange in particular can fully compete against Binance. Similar to Binance, Coinbase has a straightforward and easy to use interface. It’s suitable to both newbies and advanced users, not to mention offering many more payment options than Binance.

Main Features

Coinbase has an intuitive platform, despite feeling like it offers too much data in one place only. Basic transactions are relatively simple, while withdrawals can be requested in wallets. The platform has a standalone wallet too.

By comparison, Coinbase has similar fees, so it won’t break the bank. Charting options are very detailed, even confusing for new users. It offers access to hundreds of currencies, as well as the popular Trust Wallet.

Transactions

Both exchanges excel when it comes to available transactions, but Binance brings in more versatility. Practically, Binance allows more types of orders, peer to peer trading, margin trading, not to mention one cancels the other order. And the list is longer.

Coinbase keeps it simple and straightforward with buy, sell, exchange, receive and send. No fancy names, just simple, which some newbies may appreciate.

Fees

Fees are some of the things that could make the difference when not sure what exchange to pick.

Binance has relatively low fees, so it is a good choice for those who are trying to reduce their losses through fees and commissions.

Coinbase doesn't have massive fees either, but they're not disclosed. You'll know what you'll pay in fees as you're about to make a transaction, but you'll have to keep comparing whenever you do it.

FAQs​

Still unsure about Binance? Here are some frequently asked questions and answers.

Why does Binance burn BNB?​

Binance burns some of the BNB supply on a quarterly basis. The exchange is trying to add scarcity in this manner, not to mention boosting the price for the BNB.

Is BNB useful on other platforms, too?​

BNB is accepted on other exchanges too. Its primary uses and benefits are associated with Binance, but you can also trade it in other exchanges.

Binance is legal and used in more than 100 countries. But based on local laws and regulations, it’s not usable in some countries. Make sure you check your location over the official website before signing up.

What are the requirements for a minimum deposit on Binance?​

Binance doesn’t have an overall minimum deposit requirement. Minimum requirements depend on the currency you use.

Final Words​

Bottom line, it's easy to understand what makes Binance such a solid player in the crypto market. It features affordable fees, has solid security measures and boosts a wide variety of currencies. In other words, it's a fully featured exchange, able to cater for both beginner and professional needs.

Although it’s not the only exchange out there and each portal has their own strengths, Binance holds very well against most of its competition. Throw in the user friendly interface and the 24/7 customer support and it sounds like the perfect option.
 

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This Binance guide is incredibly thorough and provides a clear overview for anyone considering signing up. It covers all essential aspects, from the sign-up process to the platform’s features, making it easy to understand.

The step-by-step instructions are particularly helpful for beginners.

The inclusion of security tips ensures that users can protect their investments effectively.

Overall, it's an excellent resource that simplifies the complexities of Binance and cryptocurrency trading.
 
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I have tried several times to create a Binance account, both personal and business. Each time I encounter a lot of questions and document requirements they have due to KYC. I am from Sweden and have a Swedish passport, so I don't quite understand what their problem is.

Have any of you experienced the same issues with Binance?

Other platforms such as Coinbase and Kraken have been easy to set up accounts with, and they accepted my passport and utility bill immediately without extensive explanations. I also have accounts with Wise, Revolut, Airwallex, and others, both personal and business.
 
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I have tried several times to create a Binance account, both personal and business. Each time I encounter a lot of questions and document requirements they have due to KYC. I am from Sweden and have a Swedish passport, so I don't quite understand what their problem is.

Have any of you experienced the same issues with Binance?

Other platforms such as Coinbase and Kraken have been easy to set up accounts with, and they accepted my passport and utility bill immediately without extensive explanations. I also have accounts with Wise, Revolut, Airwallex, and others, both personal and business.
Binance is now OWNED by the US government.
Source: How Binance Will Open All Its Activity to the U.S. Government - Dec 18, 2023 - The record $4.3 billion settlement reached between Binance and the U.S. government over charges of money laundering and sanctions violations calls for the world's largest crypto exchange to maintain an independent compliance monitor for the next five years. So, IOW, the US "cucked" Binance and is getting ALL the info on Chinese users and other users worldwide.
 
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Isn't it very rare for a country to take over a private company?
Well, what I meant by "OWNED" was not complete ownership in the sense of owning all the stocks. Sorry about that. My lingo and line of thought are derived from "prosecutorial & judicial" terms of art when I was an IT guy at &^%... I'll get into this area of my life another time. hi%#

What I am referring to is when the DOJ forces an institution (or person) to sign Deferred Prosecution Agreements (DPA) or Non-Prosecution Agreements (NPA). Just Googling these will give readers an idea of what they are, but essentially, the defendant agrees to have third parties, "compliance officers and auditors, etc.," (read friends of the DOJ guys) appointed by the DOJ at the defendant's office and at the defendant's expense. Basically, employees of the defendant but who answer ONLY to the DOJ. :oops:

So, literally, the defendant will work hand in hand with and next to the DOJ for years, if not longer. They are at the DOJ's mercy. stupi#21
Any slip up or non-compliance and the defendant(s) will get locked up! cry&¤

That's what I meant. Next time, I'll be more detailed. Just an oversight of mine.
 

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