Bitfinex is the world’s largest Bitcoin exchange regarding volume and boasts 5.77 million Bitcoins traded between April and October of this year.
The platform is based in Taiwan and is owned by a company known as iFinex Inc.
Since 2014, they have held their position as market leaders for both exchange trading, and currency storage of the crypto variety.
While Bitfinex has experienced a few hacks over the years, they have never shirked away from their responsibilities, and customers have never suffered as a consequence.
This has helped them to cement their reputation as one of the most significant and most respected crypto exchanges online.
Bitfinex pride themselves on offering advanced trading, extremely high levels of liquidity, and one of the largest selections of altcoins and cryptocurrencies on the market meaning it is just perfect for traders that are serious about their trading activities.
The platform is excellent to go with margin trading and order types that mean you can get trading without any limitation whatsoever.
Bitfinex Review: Overview
- Name: Bitfinex
- Website: www.bitfinex.com
- Minimum Spend: 0.01 BTC, ZEC 0.1
- Type: Trading exchange and cryptocurrency wallet
- Cryptocurrency: Bitcoin, Iota, Ethereum, Bitcoin Cash, EOS, Litecoin, Ethereum Classic, Dash, Monero, EO, Santiment, OmiseGO, Ripple, Zcash, BTG, ETP, Streamr, YOYOW, QASH, Qtum, Eidoo, Aventus.
- Fiat Currency: You cannot deposit with fiat currency, and you can only trade by depositing using cryptocurrency or altcoins.
- Rating: 4/5
Bitfinex Review: Supported Countries
Bitfinex is available to customers from most countries worldwide, although some countries that have particularly strict state restricted internet may wish to use a VPN service to retain their anonymity.
For everyone else, it is as comfortable as logging on and signing up.
Since April 2017, US-based traders or users are not allowed to use the Bitfinex platform.
Bitfinex Review: Cryptocurrency Offered
This is where Bitfinex really comes into its own as it offers one of the largest and most comprehensive selections of cryptocurrencies to trade online.
It offers all of the top names such as:
- Bitcoin Cash
- Bitcoin Gold
Bitfinex Review: Accepted Payment Methods
When it comes to making payments, these can only be facilitated using cryptocurrency deposit.
While USD had previously been allowed, at present this is disabled due to American banks placing a ban on such transactions.
It appears that at the time of writing, corresponding US banks are blocking all wires that are in USD.
Payments in and deposits can only be made in one of the accepted cryptocurrencies.
Payouts can be made in your cryptocurrency of choice, and the fee depends on the currency chosen and the payout method.
It is worth noting that withdrawals can take up to 12 hours to process- something you can seed up if you set up 2-factor authentication on your account as well as various other security verification measures.
If the correct security verifications are in place, withdrawals can take as little as a few minutes to go through.
Bitfinex Review: Account Verification
Bitfinex has different verification requirements before proceeding, depending if you choose Individual or Corporate Account.
Individual account – an account in the name of an individual
- Age: at least 18 years old.
- Information: telephone number, email address, residential address.
- Identification: two forms of valid government issued identification with a picture; i.e., passport, national ID card, driving license, residency card, employment permit card, etc. If you do not have two forms of ID, you can provide only one and contact email@example.com to arrange a Skype or Google Hangout call.
- Bank Statement: highlighting your name as the account holder (your first deposit to Bitfinex must come from this account).
- Proof of Address: a statement not older than three months from a utility, service company, licensed corporation or government authority indicating your name and residential address.
Corporate account – an account in the name of a corporation/partnership
- Corporate Documents: The list is quite lengthy and you would have to download it.
- Director Information: each director, significant shareholder and controlling officer(s) are required to provide identification. Please review the online form for complete details.
- Individual Forms: After completing the corporate verification form, an individual form for each director, significant shareholder(s) and controlling officer(s) will be required to be completed.
Bitfinex Review: Privacy and Security
If you Google Bitfinex, it is impossible not to see stories about a high-profile hack that occurred in 2016.
During this breach, $72 million worth of cryptocurrency was stolen, but Bitfinex compensated the affected customers immediately with tokens that were equivalent to the number of Bitcoin they lost.
Afterwards, they bought back these tokens from the users at the price of Bitcoin, over time.
Within a year, the tokens had been repurchased, and all affected clients were adequately compensated for the loss.
This process also helped enforce their deep liquidity and levels of customer satisfaction.
Nowadays, Bitfinex employs some of the tightest security measures possible to protect client funds. At any time, 99.5% of client’s funds are safely stored in cold storage and well away from the reaches of hackers.
The Bitfinex platform also offers 2-factor authentication for both withdrawals and logins, and it provides encryption by email to keep an eye on withdrawals by IP.
Also, if a new IP requests a withdrawal, the IP is locked for 24 hours as an extra precaution.
These features combined with various other high-tech data encryption techniques and methods make sure that client data, information, privacy and assets are kept safe and secure at all times.
While nothing is entirely hack-proof, Bitfinex do their very best to make sure that they are as close to it as possible.
Bitfinex Review: Cryptocurrency Wallet
Bitfinex offers different wallets to store your funds. Usually, only the margin trading wallet would be used for margin trades.
So margin calls and losses would only affect the fund within this wallet. However, you can change the settings so the other wallets would also get involved in your margin trades.
Different types of cryptocurrency wallets:
- Exchange wallet – for exchanging funds between the supported currencies
- Margin wallet – for trading leveraged long and short positions
- Funding wallet – for providing financing/margin funding, other traders
Bitfinex Review: Fees
Like other cryptocurrency trading platforms, Bitfinex operates on a tiered fee structure, and the fees vary from 0% to 0.2% dependant on the size of your transaction, and the amount you have traded over the last 30 days.
The good thing about Bitfinex is that there is no minimum withdrawal or deposit amount for cryptocurrencies BUT for Bank Transfer or Wire Transfer there is a 0.1% fee for both withdrawal and deposit
They also vary depending on whether they are maker fees or taker fees.
Maker fees are the fees that are charged when you put a buy limit order under the ticker price or a sell limit order above the ticker price. Orders that are placed and that hit a hidden order will always be charged a maker fee with no exceptions.
Taker fees are fees that are charged when you place an order that is executed against a listing in the order book. In the case of hidden orders, they are always charged the taker fee.
When you deposit currency into Bitfinex, there is no fee incurred except for bank wires which are charged the greater of 0.1% of the total, or $20.
Withdrawals are subject to a fee, but it depends on the currency being withdrawn or the type of transfer which is being actioned.
Bank wire: 0.100% of the withdrawal amount, with a minimum fee of $20.00
Express bank wire (within 24 hours on business days): 1.000% of the withdrawal amount, with a minimum fee of $20.00
For a detailed breakdown of the fees, check Bitfinex website.
Bitfinex Review: Customer Service
Another thing that sets Bitfinex apart from many of its competitors is its comprehensive customer support system.
They offer a 24/7 email support service, an extensive and comprehensive FAQ section, and a forum where you can ask questions and interact with others in the community in real time.
Should you have a more pressing issue, you can just submit a support ticket to the always on-call support team who will be more than happy to help.
Bitfinex Review: Interface
Bitfinex is incredibly user-friendly. Even though it is great for experienced traders, it is not too complicated to navigate for beginners or novices.
The design is slick and easy to navigate, and from a user experience point of view, it most certainly ticks all of the boxes.
When it comes to features that it has to offer, there is plenty to keep you occupied:
In USD or your cryptocurrency of choice, to traders that employ leverage. This enables the trader to earn interest on any funds that are left on the Bitfinex platform.
You can use various online tools to plot interest rates of a particular time frame and then calculate the possible returns.
Over the Counter Service
This OTC service gives customers the opportunity to facilitate broad and anonymous trades in an “under the radar” manner.
Bitfinex also offers an API with features that are great for automated trading.
The trading interface bases its charts on the Trading View charting site which makes it responsive, easy to understand, but without compromising on detail and quality.
It is also highly customisable which is great for beginners and experts alike.
Bitfinex Review: Mobile Application
You will be glad to know that you can take the worlds biggest cryptocurrency exchange in the world with you, wherever you go in the form of its handy mobile application.
Available on both Android and iOS, it offers a slick and well-designed interface that will please even the fussiest mobile user.
The app is secure, easy to use, and offers all of the features that the desktop version provides – meaning that you do not lose any functionality or convenience through using it on your mobile.
The perfect solution for traders on the go who are not always near to a computer, it means that you will never miss out on a trading opportunity ever again.
Bitfinex Review: Who Is It For?
This platform is just great for those just starting out in the world of cryptocurrency, as well as those with a little more experience under their belts.
There is a great help section available for anyone who is unsure or who encounters any problems, and the forum is a very valuable source of information and tips for all of those that use or are thinking of using the platform.
Bitfinex Review: How To Buy Cryptocurrency Step-by-Step
So, you think you are ready to get going on Bitfinex, and you want to buy your first currencies but aren’t sure how? Then read on to find out!
#1 Create an Account
First up you need to create an account, and all that is required for this step is your email address. Then you should navigate to the “Support” tab at the top of the interface and select the “Tours and Guides” option and make use of the hugely helpful interactive guides.
#2 Make a Deposit
Once you have got to grips with that, then it is time to put your money where your mouth is. At this stage, you need to make sure that your funds are in your exchange wallet.
#3 Choose a Currency to Trade
Then you need to go to the Trading page and choose the particular pair of currencies that you want to trade.
#4 Pick the Order Type
Then moving to the Order Form, select the Exchange tab. You then need to pick the type of order you want, the size, and the price should you opt for Limit on the order type.
Should you choose a Market order type, then your order will be placed at the current market price.
#5 Finalise the Order
Press the Exchange Buy button, and you will see your order will appear on the Orders tab.
#6 Transfer Funds to a Cryptocurrency Wallet
Once your order has been completed, your funds will then be credited to your exchange cryptocurrency wallet, and the order will move into the Order History tab.
You might want to transfer funds to your cryptocurrency wallet from an exchange.
#7 Continue Trading
Remember that you cannot use fiat currencies to trade on Bitfinex, you can only trade crypto/altcoins for another crypto/altcoin.
It really is as simple as that!
Bitfinex Review: Final Rating
In conclusion, if you are looking to dabble in the world of cryptocurrency and altcoins, then Bitfinex is probably your best option.
It is the biggest and most popular exchange in the world for a reason, and once you sign up, you will soon see why.
From its comprehensive support network including the forum and FAQs to its easy to use, highly customisable interface it is the perfect place to either get to grips with trading or perfect your technique.
For beginners, it offers a tremendous interactive how-to guide that is easy to follow and very informative, for the more experienced, you can be up and running with a few clicks.
Despite its odd hiccup with security, the response of the Bitfinex team and the steps they have taken since to protect the privacy and security of their clients have put even the most cynical crypto traders’ minds at rest.
The amount of crypto and altcoins it supports is very vast when compared with other exchanges on the market.
From IOTA to Zcash and more, you will find even some of the more obscure currencies available which are excellent for those that want a one-stop shop for their trading needs without signing up to multiple exchanges.
The only real drawbacks with Bitfinex are that you cannot buy with a fiat currency and that traders in the US are excluded.
Other than that, in our Bitfinex review, we are awarding it a resounding 7.7 – a great exchange!
Sign up to Bitfinex and enjoy one of the most extensive choices of altcoins!
Security & Privacy6.0/10
- Large Choice of Cryptocurrencies
- Easy Verification
- No Deposit/Withdrawal Fees
- Advanced Trading Features
- No Fiat Currency Supported
- History of Hackers' Attacks
- USD Payments Blocked
- Interface Confusing for Beginners