What is Binance?

Binance is a newer exchange that has been on fire this year, and in a very good way.  They have one of the best user interfaces and even have their own cryptocurrency called Binance Coin (BNB).  Trading pairs are offered in BTC, ETH, BNB, and USDT.  They currently have over 65 cryptocurrencies that you can buy/sell, and they are quick to add new ones.  Binance also issues GAS on a monthly basis if you store your NEO on their exchange.  Check out my post on how to stake NEO for GAS for more info about that passive income stream.

 

How is their liquidity?

Liquidity is one of the most crucial factors when choosing an exchange to trade on.  Without liquidity you may have a lot of trouble buying/selling your cryptocurrency.  Binance has great liquidity and they have done an excellent job of bringing in volume using a few different methods.

1. Binance Referral Program – This promotion started on October 27th, 2017 and will pay you 50% of commissions from anyone that registers using your referral link. If you are interested in using Binance please consider using my referral link, it all goes back into this blog!

2. Trading Competitions – These are constant and offer things like free tokens, a trip around the world, and new iPhones.  They are generally based on the volume traded, which helps bring in a lot of liquidity.  Here is a snapshot of some of their current competitions.

3. Binance Coin (BNB) – An exchange that has its own token can create a lot more customer loyalty than one that doesn’t.  The reason for this is that they can tie benefits into it that rival other exchanges.  I will go over the BNB coin in more detail later.

4. Community Coin Per Month – This is great to get interaction with the community, which again helps create more customer loyalty.  It is also a hedge for Binance because it makes sure the coin they are listing has enough interest to warrant setting it up on the back end.  Basically, the community votes on which coin should be added to Binance, which generates a lot of publicity for Binance.

 

The Binance Coin (BNB)

BNB has a limit of 200,000,000 and there will never be more.  It is an Ethereum ERC-20 token, so you can store it in a regular Ethereum wallet.  Check out my guide on creating an Ethereum Wallet with MEW if you don’t have one yet!  Half of the BNB supply was sold in the ICO, with 40% going to the founding team and 10% going to angel investors.  There are a couple of reasons you will want to have some BNB if you plan on using Binance.

1. BNB can be used to pay for any fees on the platform (Exchange fee, withdraw fee, listing fee, etc.). Using BNB gets a significant discount, which is shown in the table below.

2. Every quarter Binance uses 20% of its profits to buy back BNB and destroy them. They will do this until they buy 50% of all the BNB back.  This will leave 100,000,000 BNB tokens.  Generally, buybacks increase the price of a token because it is removing supply from the market.

3. Binance will build a decentralized exchange and BNB will be used as one of the key base assets. It will also be the gas spent on the decentralized exchange.

 

Is the User Interface nice?

The user interface is great.  Finding pairs can be done pretty easily from the homepage.  They even have a “Favorites” tab on the homepage.  This lets you add the pairs you are interested in so you don’t have to sort through all of the other ones.

 

The pages for trading are also very clean and easy to navigate.  They offer a basic and advanced trading interface.  This first screenshot is the basic trading screen, which has everything you need in a nice and clean layout.  You will notice this layout does not really have any charting tools, so experienced traders may not use this one often.

 

The advanced layout contains all the tools for doing TA.  Experienced traders will likely utilize this one a lot more for any serious trading.  It’s sleek and clean too, so either one are great to use.

 

As a bonus, a friend created a custom user style for Binance’s advanced screen as well.  It adds more contrast and bigger dimensions to the crucial elements.  A screenshot is below, and you can download it here.

Summary

Binance is a great exchange, especially for being new this year.  They have quickly attracted a strong user base and will likely continue to attract even more users because of the solid interfaces, multiple competitions, and BNB token.  As a reminder, if you plan to sign up for Binance, please consider using my referral link!  If you are interested in checking out another new exchange that is growing quickly too, check out my Kucoin exchange review.

6 Comments

  1. Gene

    Chris,
    I have a very basic question. If I want to send Airswap (AST) from my Binance account to MyEtherWallet, do I just use the general account address for Ethereum in MyEhterWallet? I can’t find any guidance on how to send anything other than Ethereum. I would greatly appreciate any help!!!
    Thanks,
    Gene

    Reply
    • Chris McCoy

      Hi Gene,

      Yep, you can use the same wallet in this case. As an example, here is one of Binance’s Ethereum wallets: https://etherscan.io/address/0x3f5ce5fbfe3e9af3971dd833d26ba9b5c936f0be. Notice in the “View Tokens” drop-down they have 100+ tokens listed.

      The only time you have to be careful is when using an Exchange’s Ethereum wallet. For example, you would not be able to send AST to a Coinbase Ethereum wallet because they do not support anything other than ETH in their wallet.

      Hope that helps and let me know if you have any questions!

      Thanks,
      Chris

      Reply
  2. George

    They screwed me big time. Down $10,000 due to a glitch in their system. Terms & condtions state, they hold no responsibility for these situations. Beware

    Reply
    • Chris McCoy

      Sorry to hear that George and good to know. Mind me asking what the glitch involved?

      Reply
  3. Ellen

    I recently used the Binance exchange for some coins that are only in their exchange. I tried to withdraw these coins to a wallet, but have not been able to for three days. I entered the correct information in their “withdraw” page, then I was prompted the SMS/Google Authentication code. with both methods, I have entered the correct code in a timely manner and was then told that the code is either invalid or expired. I also synced the times on my phone and my computer. This has happened too many times that I can count.

    Also, I Have submitted more tickets/requests to their support team for help and merely got recommendations to look at their other suport articles, which were not helpful. There is no human to help me, so I am left to just keep trying, though I am not sure how or if I will ever withdraw my coins from Binance now.

    Reply
    • Chris McCoy

      Hello Ellen,

      Unfortunately, the only help I can provide for this is a link to this Reddit thread: https://www.reddit.com/r/binance/comments/7iceev/attention_issues_with_2fa_please_read/. Something tells me they already gave you that though.

      Specifically this is the part that some people had success with: “1) raise a support ticket https://support.binance.com/hc/en-us/requests/new 2) record the support ticket number that will be assigned to you via your email. 3) Download the Telegram app. 4) Subscribe to the Binance English Channel 5) if you type /support on that channel, you will get a list of Binance Angels and Binance Customer support Respresentatives. 6) Contact one of the Binance Support Representatives and tell them about your issue and your support number.

      The Telegram chat is in real time so its really convenient. After i did the above, my issue was resolved within 15 minutes.

      Hope this helps everyone.”

      Thanks,
      Chris

      Reply

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