Poloniex VS Binance: Crypto Exchange Comparison

Binance and Poloniex are two of the world’s leading centralized exchange account platforms for crypto trading and cryptocurrency exchange. Users are able to use the platforms when looking to buy, sell, increase trading volume or compare, for example, bitcoin price. Ultimately clients wishing to carry out cryptocurrency trading are all searching for the most reliable trading platform to use to help boost their bank account.

This can be a hard decision when as a user, you should not only consider the safety of a trading platform but also the customer service and trading fees. We will now compare the two companies in the Binance to Poloniex comparison, to find a solution that will best suit both a new client wishing to start trading crypto and an experienced cryptocurrency enthusiast.

Poloniex

The company is based in Delaware, United States and was launched in 2014 by Tristan D’Agosta for trading crypto. Cryptocurrencies available to crypto traders on this platform are Bitcoin Cash, Ethereum, Litecoin and many more.

Poloniex users who hold an exchange account are offered public, Rest API methods, 24-hour volume, read access to view the market data, chart data, and currency information to view bitcoin price. Access to private write is available through the rest API. The document gives you an explanation of the transaction functions and the market data.

There is an opportunity here for Poloniex users to buy and sell their crypto token, trade assets and lend their crypto assets to earn interest directly into their account. When using some platforms, you would be required to supply a form of ID. However, you don’t have to do that to use Poloniex, unless you are an experienced trader and want to trade large amounts and you wish to invest more than $2000 a day. In this case, you will need to verify your identity.

To understand how the fee structure works for the trading platform, Poloniex users must first understand the two parties involved in each trade, which they call the ‘the maker and the taker’. The maker’s order exists on the orderbook before the trade has been made, and the taker places an order that takes/matches the maker’s order. Charging fee’s in this way rewards the higher volume traders with a withdrawal fee on discount.

Poloniex says it does not charge fees for depositing crypto into your account. When you withdraw crypto from your bitcoin wallet, there is a fixed withdrawal fee to your bank account, but be aware fees can change regularly as a result of network congestion.

Poloniex has had a couple of security breaches. To solve the problems they experienced and cover losses due to this Poloniex decided to borrow from clients funds. This has lead the company into further problems as they were then faced with their second problem of reimbursing clients. The site does however, have some security protection in place that any user should consider after learning about the past security breach. To protect its user should this occur again, Poloniex has put in place a two-factor authentication which sends a self-freeze email to the user in that has been affected by a breach.

Users should carefully consider both pros and cons of their chosen platform in order to ensure they are getting the most from it. As mentioned earlier safety online is always of high importance. Traders should also consider just how easy these platforms are to access as well.

Pros of Poloniex

. Poloniex has a low trading fee and no withdrawal fees

. Has a mobile app

. You can conduct low fee margin trades

. You can lend out your crypto token for interest.

Cons of Poloniex

. Does not support fiat currency/ the fiat trading pair. Meaning a new user would have to convert money before accessing the trading platform.

. You can not access Poloniex in Cuba, Iran, North Korea, Sudan and Syria

Binance

Binance has been recently developed, it was founded in 2017, in Shanghai, by Changpeng Zhao. As of January 2018, Binance was the largest cryptocurrency exchange in the world in terms of the trading volume. Binance is also reliable in regards to reporting accurate-trade volume, as some cryptocurrency trading platforms are said to be reporting non-accurate trading crypto volume.

There is the opportunity here for traders to carry out Binance coin trading, Bitcoin Cash, and use a variety of trading pairs if users want to trade it against any other crypto token. An example of Binance coin on the platform are Tron, Ethereum, Ripple, Tether, Dash, Monero and Litecoin these coins are all available on the trading platform. Each coin has its own unique wallet address. You can view the coin’s wallet address which can be seen when going to deposit crypto.

Traders can view the list of the buy order and sell order on the platform and get a sense of the market depth. The client can see bids offering to buy their coin and see the highest and lowest bids to buy and sell order.

As a user, you can create a Binance API key to allow access from any IP address. This will allow you to pull data from Binance using your Binance API. You can view your current wallet and transaction data, make trades, deposit and withdraw your funds.

This is quick and simple to do. The user can click the API key API Management and carry out the verification process. Binance has also recently launched crypto derivatives via Binance Futures. Where traders can gain access to futures contracts.

Binance has once been hacked before. Although, crypto traders did get back their lost bitcoin’s. The cryptocurrency exchange platform does have two-factor authentication and stores both online and offline, to put the users mind at ease. This has made it more challenging for hackers to hack email and phone. The Binance user can also list chosen IP addresses that can withdraw funds from their wallet.

Binance fee structure does have slight limitations regarding the withdrawal limit when using Binance. It does depend on what account you hold when using it. There will be a withdrawal limit If you have the Level 1 verified accounts, the fee structure works so that you will be able to withdraw 2 Bitcoins within 24 hours. As well as this withdrawal limit Binance does require you pay a flat withdrawal fee. Most often, the withdrawal fee is one-half of the minimum amount you can withdraw bitcoin cash from your bitcoin wallet to your bank account.

Users can take part in Binance Margin trading. This is a way to trade Binance coin by borrowing funds. It allows clients to gain access to larger sums than might be currently available to them. Binance is said to have good customer services. However, there is no phone support.

Pros of Binance

. Binance has launched Binance.us. This new platform is compliant with US laws. If users have any crypto left to withdraw they can still do so. However, making trades on the main platform is disabled for the US trader.

. Binance donates to various charities. Some of the campaigns they are currently running include, Crypto Against Covid, Australian Bushfire Donations and Binance Lunch For Children, which provided healthy food for children in Africa.

. Has very low Trading fee’s

. Binance has a mobile app that rates 4.5 out of 5

Cons of Binance

. Security could be a concern as it has been hacked once before. Meaning users need to prove their eligibility by passing a Know Your Customer verification test before Binance will accept their fiat request using Advcash.

. Traders need to see more invested into fiat exchange to crypto exchange options and it does not support trading with fiat currency. Meaning a new user would have to convert before accessing the platform.

Crypto Trading Bot’s

Due to the crypto trading markets ability to change rapidly, a cryptocurrency enthusiast may find it difficult to catch up with the market change. To solve this problem experienced traders have been using a crypto trading bot. These crypto trading bots have proven a huge success and are trading 24 hours a day. Trading bots are software programs that use the trading bots machine to observe the market and monitor token trades. Both companies allow the use of a crypto trading bot.

Poloniex Vs Binance

After comparing the Binance, to Poloniex comparison. As a user you may feel more comfortable depositing, trading and gaining interest in your digital currency, using Binance. It is clear that the security breach Poloniex has previous faced has had a large impact on the company. Binance is the upcoming platform to use, it has even overtaken Coinbase Pro in many ways.

Binance features the all-new Binance Futures Battle function which allows traders to compete with each other to earn points. This targets the gaming community by including elements of gaming and cryptocurrency trading. Cryptocurrency enthusiast’s go head to head in a battle to see who is the most profitable.

Similarly, Poloniex also has partnered with the gaming platform WINk. Users can access WINk games with their Poloniex account through the built-in WINk wallet.

Binance has a new feature which is a mix of social network and trading, crypto traders are shown in the form of a leader board and it allows them to view and follow the positions of the best-experienced traders in the world. Giving them badges gold, silver, bronze, blue and green, depending on how they rank.

Poloniex also has the leader board feature. Along with this, they give all MATIC traders trading 80,000 a total prize of 2,100,000 MATIC.

Binance offers some protection for crypto traders trading volume with its price protection feature. This can be enabled within the client account, the protective tool ensures that users enjoy a fair trading experience and it prevents any exploiting of the market.

Binance has also partnered with Advcash. Making it much easier to use directly to bank/ credit card. Users can now deposit currencies into digital wallets via bank card or credit card. This is a step in the right direction in regards to the fiat exchange so users can use fiat currency issues Poloniex still has.

Talks about Poloniex’s customer service have been circulating to be very poor. visually Poloniex has an old fashioned interface and a heavy verification process. Whereas, at Binance, you don’t need to provide all of the additional personal information to verify your account.

FAQ Binance Vs Poloniex

Why is Binance banned in the US?

In 2019, Binance gave US users 90 days to prove that Binance’s terms and condtions had not been broken, if didn’t provide evidence, then that was why Binance barred them.

Can I withdraw from Binance without verification?

Yes, if you do not complete verification for your account, your withdrawal limit is just set to less.

Does Poloniex have issues for US users?

Yes, it recently was announced that Poloniex was shutting down and no longer providing services to US users.

How do I deposit money into Poloniex?

Users will need to go to the Wallet icon, tap Deposit and select the currency, then copy their deposit address and finally, go to the withdrawal and enter you’re the copied deposit address.

Conclusion – Poloniex vs Binance

If you are one of the experienced traders looking for a centralized exchange platform to increase your current bitcoin wallet or even to just starting out. Both crypto exchange platforms will:

. Have low trading fees

. Competitive Bitcoin price

. Give you a large choice of coin

. Have a mobile app

. Two-factor authentication

However, Binance is the clear winner here. The up and coming platform has

additional features such as

. A great selection of token

. Has a Secure Asset Fund for Users

. Highly rated customer service

. Mobile app for Android and iOS

. Supports fiat exchange currencies

.Binance API key

The crypto trading platform in the Poloniex comparison is ultimately more client-friendly and up and coming. From the website itself to the new features, Binance appears to be the best-suited place for users to trade volume.

Michael Hughes