Binance Review 2023: Is It Good For Trading?

Binance is one of the best cryptocurrency exchanges in the world and is currently ranked as the number one platform in terms of trading volume. It sports a wide range of products and services for international crypto investors and traders of various levels.

In this review, we will explore how Binance works and assess important aspects for investors to consider including fees, ease of use, supported fiat and cryptocurrencies, and more.

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Our Takeaways

Name	Binance
Core Services	Buy, trade, and sell crypto, crypto earn, staking, NFTs
Available Cryptocurrencies	418 (depends on country)
Fiat Currencies	AUD, EUR, GBP, HKD, RUB, and USD
Deposit Options	Varies between countries (wire transfer, credit/debit card, bank transfer, PayID, Xfers, mobile money)
Deposit Fees	None (subject to deposit method)
Trading Fees	0.1% (maker) and 0.1% (taker)
Withdrawal Fees	None
Mobile App	Yes (iOS and Android)

What Is Binance?

Binance is a well-established and popular cryptocurrency exchange in the United States (US) that offers investors and traders the option to buy, trade, and sell 418 digital assets in over 180 countries. Founded in 2017 by Changpeng Zhao, the exchange has quickly grown into the world’s largest exchange in terms of trading volume, liquidity, and traffic.

The Binance exchange and brand is made up of several Binance companies that are independently operated. For example, Binance Australia is operated by InvestbyBit Pty Ltd (Binance Australia) and is a cryptocurrency exchange that is locally registered with AUSTRAC. In order to expand its operating jurisdictions, Binance has historically acquired exchanges and formed strategic partnerships with reputable platforms.

Binance boasts several services and features that will appeal to a range of crypto users, whilst still maintaining a user-friendly trading experience. Binance’s strengths lie in its high liquidity for trading pairs, low trading fees, a wide range of services, and innovative features.

Binance Pros & Cons

Top Features You Should Know

Deep Liquidity & High Trading Volumes

Binance is well known for the depth of its liquidity in its order books and high trading volumes. In fact, Binance is currently the #1 ranked exchange in the world for trading volume, traffic, and liquidity. The high liquidity means that traders can trade cryptocurrencies at lower spreads compared to smaller exchanges with lower liquidity where spreads will be wider. High liquidity also means that the order book market is more stable and results in less price slippage.

Due to the high liquidity across its trading pairs and the hundreds of supported cryptocurrencies, Binance is our top choice for trading altcoins.

Buy Non-Fungible Tokens

Buying, exchanging, or selling Non-Fungible Tokens (NFTs) is new a service offered by Binance. The Binance NFT Marketplace is the platform where digital artworks and collectibles can be traded using Binance’s blockchain infrastructure and community. The Binance marketplace aims to bring together artists, creators, and crypto enthusiasts to buy, mint, and sell NFTs. You can purchase NFTs using ETH, BNB, and BUSD.

If you’re seeking to buy, exchange, or sell NFTs in Binance Marketplace can do so with the following easy steps:

1. Create a Binance account.
2. Complete the ID verification process.
3. Buy or deposit crypto (ETH, BNB, BUSD) and transfer it to the Spot Wallet.
4. Start trading on Binance Marketplace.

You should note that NFTs are minted on the Binance Smart Chain which uses BNB for gas fees. If new NFTs are to be created then BNB will need to be held in the account wallet.

Earn Crypto With Binance Earn

Binance customers can grow their crypto holdings by earning crypto using Binance Earn. In simple terms, you lend a portion of your held crypto to Binance and receive interest from the borrowed funds. This is a particularly good way to manage crypto funds during times of market volatility or on crypto remaining dormant in your wallet. Interest is gained daily.

Funds allocated to Binance Earn can be transferred to a Flexible or Locked account. A locked account means that the funds are held by Binance for a set period and a slightly higher interest rate is returned. Funds held in a flexible account can be redeemed at any time for another purpose.

Currently, Binance has two types of earnings:

• Guaranteed: Predictable returns on stablecoin investments.
• High Yield: Higher than average gains but possesses higher risks to capital invested.

Binance Earn supports a range of cryptocurrencies including DAI, Tether, BTC, BUSD, TRX, and DOGE, with Annual Percentage Yields (APY%) for Guaranteed Earnings between 0.70% and 4.53%.

Stake Crypto For Rewards

Binance is a leading global staking platform and the best Australian exchange to stake cryptocurrencies. Binance offers locked staking of 76 cryptocurrencies for periods of 30, 60, or 90 days to earn up to 35.25% APY. The minimum amount that can be staked varies for each digital asset. Crypto that can be staked under fixed periods includes BNB, DODO, CHR, SOL, SHIB, and more.

Binance also supports staking Ethereum 2.0 which can be staked on the platform for modest returns of around 4.9% APY. The one-click ETH 2.0 staking has a minimum requirement of 0.1 ETH to begin. Staked ETH will be locked in during the first phase of the Ethereum network upgrade and will not be able to be redeemed. Staked ETH can be redeemed once the first phase of ETH 2.0 is complete.

Decentralized Finance (DeFi) staking is also available. Supported crypto that can be staked includes BNB, USDT, BUSD, USDC, SXP, LINK, ETH, XVS, HARD, DAI, and BTC with earnings of up to 10% APY. Once an asset has been selected for staking, a dialogue will appear where your enter in the amount they wish to stake, provided there sufficient volume in the account wallet.

Spend Crypto With Binance Visa Card

The Binance Visa Card allows customers to convert and spend cryptocurrencies just like a debit card at over 60 million merchants worldwide. You can order a card through your verified Binance account. Upon receipt of the physical card, it will need to be activated before depositing crypto funds. To fund the card, the supported crypto can be transferred from the Spot Wallet to the Funding Wallet. Binance Visa Card features include:

• Fund and use crypto on the Binance Card with zero fees (not including any third-party fees).
• Earn up to 8% cash back on eligible purchases.
• Easy transfers and funding from your account wallet.
• Stored funds are kept safe using the highest security standards available.

The Binance Visa Card is only available to customers residing in Austria, Belgium, Bulgaria, Croatia, Republic of Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Gibraltar, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, and Sweden. As Binance Australia customers are not eligible for this product, Aussies may opt for a local exchange such as Swyftx. For USA-based crypto users, Coinbase, BlockFi, or Crypto.com would present as worthy alternatives.

Margin Trading With Leverage

Binance offers margin trading and futures trading to speculate on the price of digital assets with leverage. Compared to regular trading, margin trading allows you to access greater sums of capital with leveraged positions. A leveraged position means that the result of a trade is amplified so larger profits can be realized. Funds will need to be transferred to a Binance margin wallet or the Futures wallet to use as collateral to begin trading with high leverage.

In terms of margin trading, Binance offers cross and isolated trading where leverage up to 3x and 10x, respectively, can be applied to short and long positions.

Binance Futures is accessible through the main Binance website. The available markets to trade include:

• USDS-M Futures: Perpetual or Quarterly Contracts that are settled in USDT or BUSD.
• Coin-M Futures: Perpetual or Quarterly Contracts settled in Cryptocurrency.
• Leveraged Tokens: Trade with leverage without the need to put up collateral, maintain and margin level, or worry about the risk of liquidation.
• Options: Cash-settled contracts where the options can be exercised before the time expires.

Exchange Crypto With Binance Convert

Binance Convert is a feature that will appeal to beginner investors. It allows the conversion of one digital asset to another without having to consider the order book, charting, or trading fees. You can select the digital asset to buy and sell with a simple window to convert. Binance Convert supports the majority of the listed coins and is a fast way to swap cryptocurrencies. Binance will preview the conversion rate and amount of crypto to be received before completing the transaction.

Binance does not charge any trading fees to convert crypto however a spread will apply for all transactions. The spread is the difference between the buy and sell price of an asset. The minimum conversion amount is generally the equivalent of 10 USDT. Conversions are immediate and a record of the transaction will be available in “Convert History”.

Binance is a regulated exchange that is required to adhere to KYC procedures. If you wish to exchange cryptocurrencies for other assets discretely and anonymously, then you may look to crypto swapping platforms such as Changelly, SimpleSwap, or Exolix. These platforms do not require you to submit personal information and complete KYC processes.

Is Binance Regulated?

Binance is regulated in their jurisdictions by the relevant government authorities and it is required to comply with local laws and regulations. Binance.US is registered with the United States Financial Crimes Enforcement Network (FinCEN) which enforces laws to safeguard the financial system against illicit use, and mitigate money laundering, and other organized crimes. Binance Australia is operated by InvestbyBit Pty Ltd (Binance Australia) and is a cryptocurrency exchange that is registered with AUSTRAC. Binance must comply with local regulations including AML/KYC procedures. 

Has Binance Been Hacked?

Binance is one of the most secure and trustworthy crypto exchanges in the world. Despite this, the platform has been subject to a few security breaches which demonstrate that even the best can be compromised.

In August 2019, several high net accounts stored in Binance’s hot wallet were compromised in a single transaction. Binance reported that hackers used a variety of techniques including phishing, viruses, and others to steal over 7,000 Bitcoin, worth around $40 million at the time, as well as 2FA codes and API tokens. Following the attack, Binance conducted a thorough review of its security systems and data and reimbursed all lost funds using its emergency insurance fund.

In August 2021, Reuter’s reported that the London High Court ordered Binance to identify hackers and freeze their account after a single account was compromised and $2.6 million was lost.

Security Measures

Binance is a secure and trustworthy exchange that features multiple layers of ‘bank-like security measures and management protocols to ensure that customer information, funds, and assets are safeguarded against loss, theft, or damage. Examples of the security technologies used to provide a safe and secure trading environment include cold wallet storage and Two-Factor Authentication (2FA).

Supported Fiat & Cryptocurrencies

Binance allows you to buy, trade, and sell digital assets by supporting fiat currencies including AUD, EUR, GBP, HKD, RUB, and USD. Fiat currencies can be deposited into the account wallet using a variety of methods that differ for each country. Once the fiat funds have been deposited, global users can buy over 500 digital assets, and residents in the US have access to over 60 assets through Binance.US. Australians can buy and sell 418 cryptocurrencies.

Binance regularly updates customers with the addition of new crypto assets to its trading platform via the Binance Blog.

Binance Fees

Deposit Fees

Transfers of cryptocurrencies from an external wallet or other platforms into the Binance wallet will not incur any fees. Deposits of fiat currencies including AUD, EUR, GBP, HKD, RUB, and USD generally not do not incur a fee however this depends on the deposit method. The full list of deposit fees for each method can be seen on the Binance website.

Spot Trading Fees

Binance maker/taker fees follow a tier-based system which is based on trading volume. New accounts will initially be set a VIP 0 where the fees are 0.1% for maker and 0.1% for taker orders. These trading fees are very competitive in the crypto market when compared to other global exchanges such as ByBit (-0.025% maker and 0.075% taker), Kraken (0.16% maker and 0.26% taker), and Gemini.

Investors and traders alike can upgrade their account type to the maximum level of VIP 9. Spot trading fees are entitled to a reduction if the 30-day trading volume fits the criteria below, Binance Coins (BNB) are held on the account, or receiving kickbacks through the referral system.

Binance spot trading maker and taker fees.

For example, a VIP 1 level can be achieved if more than 50 BTC is traded within 30 days. This will attract a 10% discount on maker trading fees. If BNB is held on the Binance wallet, then a 25% discount applies to spot trading fees, therefore reducing to 0.075% (maker) and 0.075% (taker).

Withdrawal Fees

Binance charges zero fees to withdraw digital assets from the Binance wallet to an external wallet or another crypto platform. However, a small network fee will apply and is determined by the load of the network at the time of the transaction. The full list of withdrawal fees and minimum withdrawal limits can be seen on the Binance website.

Accepted Countries

Binance is a global cryptocurrency exchange that is made up of several Binance companies around the world. Binance has expanded its operational jurisdictions by strategically acquiring or partnering with exchanges. In 2019, WazirX was acquired by Binance so that it could foray into the Indian crypto market. In the same year, Binance strategically partnered with FTX to further develop the blockchain ecosystem. 

In 2019, Binance was banned from its operations in the US based on regulatory grounds. In response, Binance.US was formed as a separate exchange to provide the Binance brand and services to US citizens. Other Binance exchanges include Binance Australia, Binance Singapore, Binance UK, and Binance Uganda. Each support their local fiat currencies and all are independently operated and fully compliant with the country’s local regulations and laws.

Getting Started With Binance

Account Creation & ID Verification

Setting up an account with Binance will require an email address or phone number, and a strong password. However, to access more platform features and increase trading limits, verification of the account will need to be completed. There are two types of verification, Verified, and Verified Plus. Verified will require basic personal details, a government-issued form of identification, and facial recognition using a smart device.

Deposit Methods & Limits

Binance offers customers a range of deposit methods to fund their account wallets. However, the supported methods differ depending on the exchange. All Binance exchanges support the transfer of cryptocurrencies from an external wallet or another platform into the Binance wallet.

BINANCE EXCHANGE	SUPPORTED FIAT CURRENCY	FIAT DEPOSIT METHODS
Binance.US	USD	Wire transfer, debit card, bank transfer (ACH)
Binance Australia	AUD	PayID
Binance Singapore	SGP	Xfers
Binance.UK	GBP, EUR	Wire transfer, credit card
Binance Uganda	UGX	Mobile money, bank transfer

The Binance Trading Experience

Intermediate and advanced traders will enjoy the Binance Spot Trader interface. It is clean and organized in a fashion that allows you to easily navigate between trading pairs. It includes the standard features that most advanced interfaces offer including a price chart, order box, trading pairs list, trade history, and active/pending positions.

The charting is powered by TradingView, the premium charting tool in the crypto space, and it provides you with a wide range of time frames and tools to draw trend lines and add indicators and chart patterns.

Customer Support & Reviews

The Binance Help Centre features a comprehensive self-service Frequently Asked Questions (FAQ) portal that provides detailed and informative guides on topics including buying crypto, margin trading, crypto derivatives, and account issues. In terms of volume and quality, this feature is on par with FAQ sections provided by other global exchanges such as Kraken. 

If an issue is unable to be resolved using the FAQ, contacting the support team for direct assistance can be achieved using live chat. The chatbot supports 45 different languages. Feedback on social media platforms such as Twitter indicates positive customer feedback and comments.

Is There A Mobile App?

The Binance platform is available for use on iOS and Android mobile devices and gives access to many of the features in the desktop version. The software receives regular updates to improve functionality with the most recent update adding a video call function for customer services. Out of 446,000 customer reviews, the app has a score of 4.4/5.0 on Google Play with the vast majority of reviews categorized as excellent.

Binance Alternatives

US investors who are not located in one of the 43 supported states may opt to consider other global exchanges such as Kraken, Coinbase, or Gemini. Gemini is supported in all 50 US states. Bybit is a leading cryptocurrency derivatives exchange with an emphasis on leveraged margin trading. The platform has attracted over 3 million users and offers an advanced trading interface full of high-level features. These exchanges also have access to high liquidity and possess many features similar to Binance.

Frequently Asked Questions

Can US Investors Use Binance?

Investors and traders residing in the US are unable to use Binance due to regulatory policy. Users in the US are allowed to buy crypto with Binance.US however cannot perform active trading. Users seeking a cryptocurrency exchange that is regulated in the US should consider Gemini, Coinbase, or Kraken.

Can You Stake Crypto In Binance?

Binance allows users to stake 76 cryptocurrencies including Ethereum 2.0, Solana, Chromia, and Shiba Inu. APY of up to 35.25% can be earned over fixed periods of 30, 60, or 90 days. DeFi staking is also available for BTC, DAI, USDT, LINK, and more with earnings of up to 10% APY.

Is There An Affiliate Program?

Binance has one of the highest return affiliate programs with up to 50% of referred members’ trading fees. Commissions can be received when a deferred user completes a qualified trade across Binance Spot, Future, Margin Trading, and Binance Pool. A unique feature of Binance is the ability to change the percentage of the trading commission with new referrals by offering a trading fee discount.

Does Binance Australia Offer Crypto Tax Support?

Binance Australia does not currently offer the ability to generate tax income reports. If this is a desirable feature then you may wish to consider a local fiat-to-crypto exchange that has formed partnerships with taxation accountants. Examples of Australian exchanges include Swyftx and Digital Surge where cryptocurrency tax reports can be used to inform tax reporting for the financial year.

Our Verdict

Binance is the world’s largest cryptocurrency exchange and with good reason. The core of the Binance brand revolves around the sheer trading volume and liquidity, as well as the vast number of digital assets and selection of trading pairs. This makes it a highly attractive option for investors and traders of varying levels of experience and knowledge can trade cryptocurrencies. On top of this, Binance continues to provide innovative products and features to maintain its status as one of the market leaders in the crypto space.