Binance is the largest cryptocurrency exchange and it didn’t happen by accident. They understood what traders want and need and built precisely that before anyone else did. Binance’s ascent to becoming the largest exchange happened very quickly. Binance offers a versatile desktop, בינאַנסע נעבן פּראָטאָקאָל web and mobile trading platform, available in two formats, classic and advanced, where users can buy and sell hundreds of assets and speculate on various derivative markets too. The desktop platform is available for Windows, macOS and Linux operating systems.
Another characteristic that led so many users to Binance was a competitive fee structure. The platform is one of the most competitive on the market. Another factor leading to the company’s notoriety is the large and fast-growing range of markets listed and the products offered.
Highlighting the interest in the company’s services, acc ording to popular cryptocurrency industry tracking website CoinMarketCap , Binance is by far the largest crypto exchange. For comparison, at midnight on Sunday the 8th of August 2021, Binance’s 24-hour trading volume was US$24,991.5 million, while the second-largest exchange, Coinbase, had its 24-hour volume registered at US$3,857.7 million.
Binance is a top ten visited website in the investing category, according to SimilarWeb . The main website, binance.com, received over 130 million visits in June 2021.
One of the reasons Binance can be so competitive and versatile is that the company is not regulated in most countries aside from Singapore and the US . Compliance is one of the highest costs financial services companies face, and Binance largely avoids those burdens. However, the lack of regulation has led to growing investigations, restrictions, translating into reduced revenue and growing legal costs instead.
Products and Services.
Binance offers a wide range of products and services. Besides cryptocurrency exchange and trading services, the company offers numerous decentralised finance products , and NFT. In this Binance review, we’ll focus on the trading aspect of what the company offers. Binance offers 378 coins and hosts 1,363 markets altogether. Many coins are quoted against a few coins. For example, πληρωμή τραπεζικού λογαριασμού BTC is traded against ETH, BNB, USDT, TUSD, USDC, DAI, binance нас преглед reddit PAX and others, meaning there are several Bitcoin markets.
There are multiple ways to trade on Binance, and we’ll walk you through some of them.
Convert cryptocurrencies on Binance.
The simplest way is using the simple-to-use conversion tool that automatically processes your order using the best available price from the marketplace while abounding having to deal with any charts, indicators, fancy order types or anything else. All you do is enter how much you want to buy or sell, and the price is automatically calculated.
Commissions and fees.
When buying or selling cryptocurrencies using the Convert tool, the fees are already factored into the price. The price for using this service isn’t transparent. Based on a brief glance, it doesn’t look like the fees are that high. The spread was in the region of 0.1%, which is comparable to the spot exchange fees.
Spot trading cryptocurrencies on Binance.
The Binance cryptocurrency exchange platform comes in two formats: classic and advanced. There isn’t a huge difference between the two platform versions, except the layout is slightly different. Both platforms are equipped with an order book for each market, new order forms, a stream of last trades, volume indicator, depth chart, a wide range of chart settings, indicators, order management functions and trading history. Your trading account can also be accessed from the mobile application.
Commissions and fees:
Binance uses a maker-taker model, where traders who make the market, i.e. put limit orders in the order book, pay less than takers, who take liquidity from the market by using market orders. Spot trading fees start from 0.1% for makers and takers. Binance offers discounts based on your VIP level; there are 9 in total. VIP status is based on either trading volume or how much BNB balance you have in your account. An additional discount is available if your fees are paid using BNB.
Margin trading on Binance.
Binance offers margin trading on the markets listed on the exchange. Margin trading shouldn’t be confused with futures trading; Binance offers both products, which are quite different. Both products involve leverage, which increases your exposure and, ultimately, your risk. Cryptocurrency markets are known for their high volatility, meaning any crypto investment or speculation carries high degrees of risk, and leverage only amplifies the risk.
Using margin trading lets you borrow coins against collateral which can be useful in three ways. Firstly, you can increase your exposure. Secondly, you can borrow assets you don’t own by borrowing others against your collateral to speculate on markets without owning either of the assets. Thirdly, you can also short-sell by borrowing an asset you don’t own. Keep in mind that if your predictions are wrong and you begin losing, your collateral will be liquidated to prevent losing the money you borrowed. Only your funds are risked when margin trading.
Margin trading on Binance works differently from classic brokers in regulated markets. Leverage, which is essentially a loan, isn’t supplied by Binance; it’s supplied by the community. Other Binance users can loan funds for margin traders and earn part of the interest.
Margin trading commissions and aplikasi binance mana anu kuring unduh fees: When using margin trading, you’ll pay two fees. The first is spot pagsusuri ng trading sa binance margin
fees (described above), and the other is interest for borrowing against your margin. The interest you pay depends on the coin you borrow and your VIP level.
For example, borrowing BTC incurs a 0.05% daily interest rate, łańcuch binance whereas borrowing BNB incurs a 0.300000% daily interest rate.
Derivatives trading on Binance.
Binance offers various derivative products for speculating on cryptocurrency markets. Derivatives are highly complex products and speculative in nature. This section is merely an introduction, and if you’re interested in these products, we strongly recommend you study the characteristics of these products at the Binance Academy website.
Binance futures Binance offers two types of futures products called USDⓈ-M Futures and COIN-M Futures. The main difference is that the former is quoted and settled in either BUSD or USDT stablecoins, pegged to the US dollar. The latter is quoted in USD but settled in either BTC or ETH.
The contracts are settled quarterly, or they are perpetual. The maximum leverage available is 1:125, meaning the initial margin to open the contract is only 0.80% of the contract notional value. Just because the initial margin is very low, you still need a maintenance margin to cover drawdown; otherwise, your position is liquidated. The leverage offered depends on the contract and the exposure. I.e. the more contracts you open, the less leverage you’re given. Additionally, Binance limits leverage to 1:20 for users with accounts younger than 60 days.
Futures commissions and fees: Commissions for USDⓈ-M Futures begin at 0.02%/0.04% (maker/taker) and for COIN-M Futures begin at 0.01%0.05% (maker/taker). Both products offer discounts depending on VIP status.
You should be aware of other fees, such as interest rates for leverage and using the cross-collateral feature.
Binance also offers European style vanilla options contracts to speculate on the price of Bitcoin using options contracts.