Bitfinex.com Trading Platform - A Review
Are you aware of the current BTC to USD exchange rate? If you are, then you probably are active in the crypto exchange scene. The crypto exchange market has grown over the past couple of years with vanguard tokens reaching record-breaking highs! Today, we will look into Bitfinex.com; a website that is consistently included as one of the top exchanges today even after more than one security breach. The question is: Why are people still trading on this platform? Let’s take a look at their website and find out for ourselves!
Background of bitfinex.com crypto trading
Bitfinex.com, founded in 2012 and based in Hong Kong, is owned and operated by iFinex Inc. The website provides a digital exchange platform and they have been providing services across the world for the past six years. Just recently (in 2017) they stopped all services to people living in the United States. This might have been a decision because of legality concerns but all we know is that they are still active all throughout the rest of the world.
As mentioned earlier, the website has experienced security breaches in the past with the first one occurring in 2015. The hacker nabbed 1500 BTC during the breach leaving the company and its registered users in shock. The second hack happened a year later and this time 120,000 BTC were stolen! Bitfinex offered 5% of the total hacked assets for anyone who could provide information regarding the recovery of the stolen BTC and provided BFX (Bitfinex) tokens to account users that had been affected by the breach.
With their scary security breach problems in the past, will Bitfinex ever be safe again for traders? This cannot be answered today, but only time can tell. We’re pretty sure that they're doing their best to learn from their past mistakes and as far as we know, they have lowered down their crypto assets to 0.5% stored in hot wallets and placed 99.5% in cold storage.
Account Creation with Bitfinex.com
Learn more about the different ICO Token Classes here!
When creating an account with Bitfinex.com you need to acknowledge their notices. It’s not something that you will have a hard time going through since they have arranged it to be easy to understand; all you need to do is click the “I understand” boxes and you will be able to proceed with the account creation. Once you have acknowledged everything just click “Proceed” and you will be redirected to the page wherein you need to provide a username, password, valid email address, time zone, and you’re all good to go!
Account verification is required to deposit or withdraw Fiat currencies from the website. Accounts need to be verified in order to comply with AML and CTF laws and regulations followed by the website. The verification process involves providing personal information, which can be sensitive in terms of security. If you are not comfortable with the process, you might want to read more about it or avoid Fiat transactions all together. Besides activating the ability to withdraw and deposit fiat currencies, the verification process can also be done if the user requests to have no daily crypto limits alongside other reasons which are listed below.
- No daily limits on crypto deposit/withdrawal
- Access to margin trading
- Access to P2P lending market
- Access to Fiat deposit/withdrawal
- Access to Tether
- Access to APIs
- Access to earn NEC tokens
Due to the high verification demand, the processing time may take 6-8 weeks after all forms have been submitted.
To complete the online registration form you need to be at least 18 years of age, provide a telephone number, valid email address, residential address, and two forms of government-issued IDs. If, for some reason, you are only able to provide one ID, you will need to schedule a Skype or Google Hangout call. All of the detailed information can be found on the website once you have created an account with Bitfinex.com.
Trading cryptocurrencies with Bitfinex.com
Our article on the basic principles of the cryptocurrency exchange might interest you!
Now that we’ve created an account on the website, it’s time to look into their trading platform. Unlike other exchange platforms today, Bitfinex does not provide a “test account” for you to try out. This is why most of the reviews out there say that this website is not for beginners but for traders that actually know what they are doing.
Shown in the screenshot above is their trading platform. On the upper left-hand side of the platform, we’ve got the selected trading pair BTC/USD along with the current price of the exchange and high and low numbers. Below the selected pair, we have the available crypto you can choose from! The available crypto can be paired with USD, BTC, and ETH plus additional ones depending on the token that you are trading. If you’re trading BTC, you can choose to go against USD, EUR, JPY or GBP.
The Order Form can be found on the left-hand side panel just right below the market selection. Order types can be placed depending on what you need to achieve. Bitfinex.com provides Limit, Market, Stop, Stop-Limit, Trailing Stop, Fill or Kill, Scaled Order, and Token Manager Orders. If you are new to trading then you need to go through their very informative knowledge base under Order Types. In addition, the lower part of the left-hand side panel contains the order summary with your available trading balance and liquidation.
Bitfinex provides chart data that ranges from 3 years, 1 year, 7 days, 3 days, 1 day, 6 hours, 1 hour, 3 minutes and up to a minute. The chart indicators can also be added to Accumulation/Distribution, Average True Range, Volume, Stochastic and more! All you need to do is click the “arrow-like logo” right before the expand button located on the upper part of the chart. On the lower part of the platform are the Positions, Orders, Order History, and the Order Book wherein the latest trades can be found.
Funding with coins
One of the most important things you need to know about transacting with exchange websites is their ability to accept what you have and, of course, receive through the channels that they support. Getting your money in and out is as important as knowing if the website can actually provide you the services you need. Here at Bitfinex.com users will be able to deposit/withdraw through the available channels provided below.
- Bank Wire – EUR, JPY, GBP, USD
- Tether – USD, EUR
- Cryptocurrencies – 0x, AidCoin, Augur, Aventus, Basic Attention Token, Bitcoin, Bitcoin Cash, Bitcoin Gold, BnkToTheFuture, Cofound.it, Dai Stablecoin, Dash, Decentraland, EOS, ETP, Eidoo, Ethereum, Ehereum Classic, Ethfinex Nectar Token, FunFair, Golem, IOSToken, IOTA, Litecoin, Loopring, Medicalchain, Monero, NEO, Odem, OmiseGO, QASH, Qtum, RCN, Raiden, Request Network, Ripple, Santiment, SingularDTV, SingularityNET, SpankChain, Status, Streamr, TRON, Tome New Bank, WAX, YOYOW, Zcash, aelf, and iExec.
The website charges maker and taker fees depending on how much is being traded. The higher the trade value is, the lower the charges are. Deposits can be free of fees as long as the equivalent value of the deposited crypto is over $1000. If your deposit is not more than a thousand US dollars, the depositor will be charged a “small deposit fee” depending on the crypto being deposited. When it comes to depositing errors, the website will still have a chance to recover the funds for a $150 fee. The complete list of fees can be found here.
Features are provided to make customers’ lives easier. The website does not only work as an exchange platform but it also doubles as a crypto wallet as well. Trading features include margin trading and margin funding. Their platform comes with a customizable interface that lets their users switch from dark and light themes as well as add a few graphs for added data. Bitfinex.com respects the new mobile technology that has been sweeping the world by storm. With this being said, they provide a mobile App for all their customers that want to access their accounts whenever they want and wherever they are!
Customer Service is one of the most important things that traders should look into before diving into new websites; especially the ones that handle your money/funds. Bitfinex.com does not have any phone number to contact and no physical address listed (unlike some exchange websites) they only have E-mail support which you can access through their support center.
The website provides Two-Factor Authentication (2FA) and Universal 2nd Factor (U2F) as part of their security measures. They also have PGP emails that add an extra layer of security. Aside from these common security measures, they also try to monitor malicious account behavior patterns that trigger a manual inspection of the account. With the previous hacking incidents, it isn’t easy to keep a straight face and tell the people that their accounts are safe. It wouldn’t also be easy for people to just trust them right away because of the underlying fact. Security is definitely one of the points that the website should address.
Pros and Cons
- Reasonable fees
- Awesome trading interface
- High volume exchange
- Many pairs to choose from
- Not a beginner-friendly platform
- Issues of hacking in the past
Disregarding the past hacking incidents, Bitfinex.com is a really decent trading platform that an experienced trader can appreciate. This is probably the reason behind their popularity even with the previous hacking that happened. They provide a robust trading market coupled with reasonable fees and awesome features. Bitfinex also has a ton of deposit/withdrawal options you can choose from which is fantastic! Again, their only issue is that they had a really rough past but can they make it up to their regular customers? Only time can answer this question. What do you think of the website?
For more crypto trading opportunities, read our article here!