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Binance
Binance

If we want to know more about Binance first we have to understand the concept of cryptocurrency. Though it is booming, nowadays many of us don’t know what exactly cryptocurrency is. A cryptocurrency is a digital or virtual currency that is secured by cryptography, which makes it nearly impossible to counterfeit or double-spend. Many cryptocurrencies are decentralized networks based on blockchain technology. 

Binance is a cryptocurrency exchange that is the largest exchange in the world in terms of the daily trading volume of cryptocurrencies.[2] It was founded in 2017 and is registered in the Cayman Islands.

Binance was founded by Changpeng Zhao, a developer who had previously created high-frequency trading software. Binance was initially based in China but later moved its headquarters out of China following the Chinese government’s increasing regulation of cryptocurrency.

The company was forced to leave China in September 2017 after the Chinese government banned cryptocurrency trading. It has since had offices in Japan and Taiwan. It’s currently based in Malta.

Binance is designed to appeal to as many users as possible. The exchange is simple enough for newbies to use, and offers enough coins and features to keep expert traders happy, as well. I would recommend Binance to crypto traders of almost every level of experience.

Binance is the largest cryptocurrency trading platform in the world.1 Because it offers a robust selection of trading options and features, it is not particularly user-friendly. Investors may experience a steep learning curve with Binance depending on their experience and knowledge. 

Through its desktop or mobile dashboards, Binance offers a wide array of trading features, including an impressive selection of market charts and hundreds of cryptocurrencies. Users can also access a variety of trading options including futures and options, as well as several order types. However, many options and features are not available in the United States and only 65+ of the cryptocurrencies are accessible to U.S. customers.

In addition to its tools and features, Binance also offers a comprehensive learning platform, an NFT platform, and more. The NFT marketplace doesn’t appear to be available to U.S. customers yet.

Binance has more than 365 cryptocurrencies available for trade on its exchange, but only 65+ are available in the U.S. For international users, it also supports a variety of fiat currencies, including USD, EUR, AUD, GBP, HKD, and INR. Depending on your location, Binance has a wide variety of cryptocurrency pairs depending on your location.

Some of the cryptocurrencies available on Binance U.S. are Binance Coin (BNB), VeChain (VET), Harmony (ONE), VeThor Token (VTHO), Dogecoin (DOGE), and Matic Network (MATIC). Additionally, Binance supports popular cryptocurrencies including:

  • Dash (DASH)
  • Cosmos (ATOM)
  • Compound (COMP)
  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Litecoin (LTC)
  • Cardano (ADA)

How to Open an Account 

Follow the simple instructions below and you’ll be trading in no time at all! 

  1. Get registered: The first thing you need to know about how to use Binance is how to get registered! Go to the Binance homepage and click on Register. You’ll be redirected to the registration page where you’ll need to enter your email address and create a password.
  1. Read and agree to Binance’s Terms of Use, and click Register.
  2. Prove that you’re not a robot. You’ll be asked to complete a puzzle which you should find easy. An email will now be sent to you. Click on Verify Emailto complete your registration. Now, You’re a Binance account holder.
  3. Secure your account: When your login for the first time, you’ll be asked if you want to set up 2FAYou DO want to set up 2FA, it’s very important! If you choose Skip, for now,you’ll regret it later!

After you’ve set up 2FA, you’ll be ready to fund your account. This means moving cryptocurrency into it. You can do this by sending cryptocurrency from a crypto wallet or another exchange – like Coinbase – to your Binance account

How to Fund an Account

For this Binance tutorial, I will use Coinbase as an example of one way that you can fund your Binance account. A similar process will apply to almost any other exchange you are sending the funds from. I will use Ethereum (ETH) as an example of a cryptocurrency you can use to fund your Binance account. 

  1. Go to Coinbase: Login to your Coinbase account and click on Accounts. Next, click on Send where it says ETH Wallet. You’ll be asked to enter a Recipient. This is where the Ethereum will be sent. You’re sending it to Binance, so you need to get an Ethereum address from your Binance account.
  2. Login to your Binance account. On the taskbar, click on Funds then Deposits. Now, enter the cryptocurrency you need an address for. In this example, I’m using Ethereum. Binance will create an Ethereum address for you to send funds to.
    The ETH Deposit Address is where you will be sending your Ethereum funds so copy and paste it into the Recipient box in your Coinbase account. 

How to Trade on Binance

There are two Binance trading settings: Basic and Advanced. Beginners should start by trading in Basic

The Basic trade setting has a simple layout that’s easy to understand. Only important information for making trades is displayed. You must remember that Binance is a professional trading platform, so even the Basic trade setting might seem too complicated for some newbies to use. 

The Advanced trade setting gives expert traders access to all the price charts and market data that they need to make complex trades. As this is a beginner’s Binance tutorial, I’ll only be showing you how to buy on Binance in Basic

How to use Binance for Basic Trades 

  1. Login to your Binance account. Nice and easy!
  2. Click on Exchange on the taskbar and select Basic.
  3. As you can see, Basic isn’t very basic!

4. Choose a trading pair. Binance lists hundreds of trading pairs. These are pairs of coins that Binance offers an exchange rate for. For example, Bitcoin can be traded with 143 different coins, so we say that Bitcoin has 143 trading pairs on Binance. In this example, our account is funded with Ethereum, so we are only able to trade with Ethereum. To find out which cryptocurrencies are offered for trading with Ethereum, select ETH in the top right corner. You’ll now be able to see that Ethereum has 140 different trading pairs on Binance. Select the coin that you want to exchange Ethereum for. 

5. Choose which type of trade you want to make. Binance offers three kinds of trades:

  • Limit orders allow users to set the maximum price they are willing to pay for coins or the minimum price they are willing to sell them for. Traders then have to wait until a buyer or seller accepts their price.
  • Market orders allow users to trade coins at their current market price. This kind of trade is the fastest and most simple.
  • Stop-limit orders allow traders to buy or sell a coin once it has reached a certain price. This kind of order is often used by pro-traders.

Now let’s learn about how to buy on Binance with market orders. They are quick, simple, and perfect for beginners.

6. Choose the amount you want to trade. Click on the Market if you are happy with the current market price and enter the amount of Ripple (or your chosen coin) you want to buy. You can enter this as an amount or as a percentage of the Ethereum in your account.

Trading Fees

Binance trading fees are some of the lowest on the market. Binance doesn’t charge users for making deposits. This is because the exchange is cryptocurrency-only. It avoids the high fees that exchanges that offer fiat trading have to charge.
Binance charges different withdrawal fees for different cryptocurrencies but they are all quite low. For example, if you withdraw Ethereum you’ll be charged 0.01 ETH and if you withdraw Ripple you’ll be charged 0.25 XRP.
Binance trading fees are capped at 0.1% of each purchase or sale users make. This fee is reduced by 50% if traders use Binance Coin to pay them. So, that’s a final fee of just 0.05%!
You only need to check the trading fees of its competitors to understand why Binance is one of the most popular exchanges on the marketBittrex and Bitstamp are well-known for having low fees and they both charge 0.25% for each trade. That’s five times more than Binance!

Users can also get fee discounts for the following:

  • Using Binance (BNB) coins in trades 
  • Referral bonuses
  • Reaching very important person (VIP) status by trading a certain amount of assets

Binance users may also be subject to other fees. For a quick look at the different fees associated with various withdrawal and payment types, you can refer to the chart below.

Payment Type

Fees

Wallet 

N/A

Debit cards

4.5%

ACH transfer

Free

Wire transfer 

$15 for U.S. customers

Crypto conversion

N/A

Trades

0.00% to 0.1%

Buy/Sell Crypto

0.50%

 

Security

Binance’s security features include two-factor authentication (2FA) via the Google Authenticator app or short message service (SMS), address whitelisting, device management, and the ability to restrict device access. The Binance.us platform also provides FDIC insurance on all U.S. dollar balances. 

The cryptocurrency exchange market is very crowdedThe exchanges that succeed will be the ones that offer features that every trader can use and enjoy. Binance has a trading volume of over $1.4 billion for a good reason – it works!