Binance a Chinese exchange en belongs to the bigger exchanges in terms of trading volume. Especially
since the rise of IOTA is Binance, being one of few exchanges at this moment that supports this coin,
very popular. On Binance it’s very easy to buy and sell coins. What is the purpose of this? Earning
money by buying cheap and selling expensive!
How you can also start with Binance and what to look out for will be handled here.
Opening an account on Binance
To trade in Binance it’s necessary to make an account. Follow these steps:
- Go to the homepage of Binance, there you can press register in the top right.
- Solve the puzzle (so Binance knows you’re not a computer).
- You will receive an email from Binance. Press “Verify email”.
- Solve yet another puzzle, and you’re logged in to Binance! Your account is now ready to start trading!
2-factor authentication (2FA)
If you log in for the first time, you’ll immediately receive a pop-up stating that they recommend you
turn on 2FA. 2FA stands for 2-factor authentication and it means that besides your password you need a
second key to log in or perform transactions. Despite 2FA not being required to trade, it is highly
advised that you do use it! You HAVE to have 2FA enabled in order to withdraw the coins from your
For people who do not live in China it’s possible to use Google Authenticator. It’s a very simple app that you download on your smartphone which displays random numbers.
Follow the steps provided to you. Important: Print out the 2FA backup key and store it well! You will need it if your phone gets stolen or lost.
With a standard “Level 1” account, you can withdraw 2 BTC per 24 hours. Should you want to trade with a lot of money and be sure that you will have the complete amount withdrawn fast you should consider applying for Level 2 authorization. For this you are required to have 2FA enabled, but you will also need to turn in several documents and info that can be verified. It might take a while.
Depositing Bitcoin or Ethereum
Before you can start trading you must make sure that there are Binance coins on your account. You start
with bitcoins, ethers or tethers. Other coins that are available will have to be paid with those 3. The
list of tradable coins is long and changes regularly. A bite-sized portion of the supply: IOTA, Bitcoin,
Ethereum, Litecoin, Decentraland, Ethereum Classic, Monero, EOS, OmiseGO, NEO, Dash, Zcash, Ripple,
Storj, Tron and Cardano.
Should you wish to sell the above coins you will once again be payed out in bitcoins, ethers or USDT (tethers).
Do you not own any bitcoin and wish to start trading? You have two options:
Buy bitcoins at Litebit or BTCdirect, then transfer them over to the bitcoin wallet on Binance.
Transfer other currency that you own over to Binance and trade them for bitcoins or ether.
Transfering coins to the Binance-wallet is simple. Go to “funds”, on the top of the screen and then go
to “Deposits & Withdrawals”. If you wish to transfer bitcoins, click “bitcoin” in “deposits”. A bitcoin
address will appear where you need to transfer your bitcoins on.
After you do this it can take some time (10 minutes to an hour) before they will be visible in your account.
Earning money with trading on Binance
Now that you have bitcoins and ethers in you wallet the fun can really start; trading and earning a lot of money. The whole point is to buy cheap and sell expensive. Therefor you must place orders. You do it like this:
- Click on ‘Exchange’ top left on your screen and choose ‘basic’
- Choose if you want to buy or sell BTC, ETH, BNB or USDT. If you just deposited bitcoins in your wallet you choose for BTC.
- In case you want to sell/buy IOTA you will select following
- After you clicked on ‘IOTA-BTC’ you will see the following screen
- If you want to buy IOTA you will have to put in the price that you want to pay per IOTA above ‘Buy IOTA’. Left in green and purple you see the orderbook. Here you can see the current price people want to buy IOTA for.
- If you want to execute your order immediately click on ‘Market’ and fill in how many IOTA’s you want to buy. Your order will be executed with the best current marketprice.
- If you want to buy at a lower price you can place a ‘Limit’ order. Fill in the price you are willing to pay for IOTA and the amount you want to buy. Your order will be placed in the orderbook. If the price changes its possible that your order will be executed later.
- Have you made your choice? Click on ‘Buy IOTA’ to place your order. This will appear in the orderbook. Left you will see the open orders, right you will see the executed orders.
- After your order is executed a wallet will be automatically made in Binance for the coin your trading in. In this case it will be a IOTA wallet.
- Go to ‘Funds’ and ‘Deposits Withdrawals’ top right on your screen. In the row you will also see IOTA:
When you click on ‘Withdrawal’ it is possible to send IOTA’s to your own wallet out of Binance. When your dealing with big amounts of money we strongly recommend this. If Binance gets hacked and disappear for some reason you will have your coins safely stored in you wallet.
On the image you will see ‘suspend’. This is a temporary warning because the IOTA network was overloaded. Normally it is not a problem to take away your coins. Of course it is still possible to trade your IOTA’s to BTC or ETH and this to transfer to your own wallet. Watch out: 2FA is required to take away your coins from Binance!
Binance also has their own crypto coin, the BNB. You can get some big discounts on the trading fees that Binance use. This can be very interesting! Read more about Binance Coin here.
Pros of Binance
- Binance is a very fast growing exchange. This has multiple reasons:
- A lot of users and trading volume which makes selling and buying faster.
- Low fees
- A lot of coins to trade in, especially IOTA
- Simple interface, works quick.
Cons of Binance
- No on-call support
- For beginners a lot less clear that other exchanges.