Cryptocurrency trading can be a complex and exciting journey, but choosing the right platform to buy and sell it is an important first step. Binance is one of the most popular crypto trading platforms out there, but is it the right one for you to trade crypto?
In this Binance review, we’ll break down everything you need to know, from its wide variety of coins to its fees and trading features.
Key Takeaways:
- Binance offers a diverse range of trading services, including spot, margin, and futures trading, alongside advanced features like Binance NFT, Binance Earn, and Binance Launchpad.
- It has competitive trading fees with 0.1% maker/taker and offers a 25% discount for BNB holders.
- The Binance exchange prioritizes regulatory compliance and operates in various jurisdictions worldwide, but not available in the United States (Binance.US available).
Binance Review At a GlanceFounded2017FounderChangpeng ZhaoTrading FeaturesSpot trading, derivatives trading (futures and options), copy trading, P2P tradingSupported Coins389+ coins and 1200+ trading pairsNative TokenBNB (Binance Coin)Fiat SupportYes (USD, EUR, GBP, and more)Spot Market Fees0.1% Maker/takerFutures Trading Fees0.02% maker and 0.05% takerSecurity Features2FA, Cold Storage, SAFU Fund, Address Whitelisting, Anti-Phishing CodeMobile AppAvailable for iOS and AndroidEarnStaking, Dual Investment, Crypto Loans, MiningDecentralized ExchangeYesLaunchpadYes, for new token launchesCustomer Support24/7 via chat and emailWhat is Binance?
Binance is a global cryptocurrency exchange, known for its extensive range of services and high trading volumes. It was founded by Changpeng Zhao (CZ) in 2017. As of now, it has a user base of over 200 million traders from more than 100 countries. The platform handles an average daily trading volume of around $20 billion (source: CoinMarketCap).
Binance, though initially founded in China, established its headquarters in Japan shortly thereafter. This relocation was due to regulatory restrictions on cryptocurrency businesses within China. It subsequently expanded its operations to Taiwan and then Malta, seeking jurisdictions with more favorable regulatory environments for cryptocurrency exchanges.
Binance’s product suite is diverse, including:
- Binance Exchange: The largest crypto exchange by trade volume, offering spot, margin, and futures trading.
- Binance Square: A platform for community discussions, similar to Twitter (X).
- Binance NFT: The official NFT marketplace, where you can trade, stake, and loan non-fungible tokens.
- Binance Charity: Uses blockchain technology to enhance transparency and efficiency in charitable donations.
- Binance Academy: It offers educational resources on blockchain and cryptocurrency in over 10 languages, making knowledge accessible to a global audience.
- Binance Research: It provides in-depth analysis and insights into the digital asset market, catering to institutional investors and retail users alike.
The platform supports trading in over 389 cryptocurrencies, including popular assets like Bitcoin (BTC), Ethereum (ETH), and Binance Coin (BNB). It is also known for its user-centric approach, with a strong emphasis on security and regulatory compliance.
Pros of Binance
- Highest trading volume and liquidity in the crypto market
- Competitive trading fees and a 25% discount for BNB holders
- Advanced trading features like leverage trading and copy trading
- User-friendly “Simple” mode for beginners to buy crypto
- Earn passive income on idle assets with Binance staking
Cons of Binance
- Limited fiat-off-ramp methods in certain countries
- US residents are not supported (Separate Binance.US platform)
Binance Fees and DiscountsSpot Fees
Spot trading fees on Binance apply to transactions involving buying or selling cryptocurrencies at current market prices. These fees are tiered based on the user’s VIP level, which is determined by their 30-day trading volume and Binance Coin (BNB) balance.
The base fee for spot trading starts at 0.10% for both makers (those who provide liquidity) and takers (those who take liquidity). Using BNB to pay for fees provides a discount, typically around 25%. Higher VIP levels enjoy progressively lower fees.
Here’s a breakdown of the spot trading fees by VIP level:
VIP Level30-Day Trade Volume (USD)BNB BalanceMaker FeeTaker Fee0–< 25 BNB0.10%0.10%1≥ 1M≥ 25 BNB0.09%0.10%2≥ 5M≥ 100 BNB0.08%0.10%3≥ 20M≥ 250 BNB0.042%0.06%4≥ 100M≥ 500 BNB0.042%0.054%5≥ 150M≥ 1000 BNB0.036%0.048%6≥ 400M≥ 1700 BNB0.030%0.042%7≥ 800M≥ 3000 BNB0.024%0.036%8≥ 2000M≥ 4500 BNB0.018%0.03%9≥ 4000M≥ 5500 BNB0.012%0.024%Futures Fees
The fees for futures trading are generally lower than spot trading fees and are also tiered based on the user’s VIP level. The base fee for futures trading starts at 0.02% for makers and 0.05% for takers. Similar to spot trading, higher VIP levels enjoy lower fees.
Options Trading Fees
The fees for options trading are typically a flat rate per contract. Currently, Binance charges a flat fee of 0.02% of the notional value of the contract,
