Binance.US is known for offering commission-free spot trading in Bitcoin and Ethereum, making it a popular choice among crypto traders. The exchange has a simplified pricing structure and low fees compared to other platforms, along with a wide selection of tradable coins. While some customers may overlook the lack of phone support, it’s important to consider the parent company’s legal issues with U.S. regulators before investing.
For those seeking a wider range of tradable cryptocurrencies, Coinbase may be a better option. On the other hand, if you’re interested in trading key crypto coins alongside traditional securities, platforms like Robinhood and Webull offer a limited selection of coins.
Best for
- Crypto-only traders
- Active traders
- Crypto-to-crypto trading
Binance at a glance
| Category | Binance |
|---|---|
| Minimum balance: | None, but $10 trade minimum |
| Securities tradable: | 154 cryptocurrencies |
| Cost per trade: |
|
| Customer service: | Live chat, support tickets and self-help |
| Mobile app: | The Binance mobile app is available on the Apple App Store and Google Play Store |
Pros: Where Binance stands out
Commissions and fees
Binance offers commission-free trading for Bitcoin and Ethereum, with low fees for other coins. The exchange uses a volume-based pricing model and provides discounts for using its proprietary cryptocurrency. While the pricing structure may be complex, it can result in cost savings for active traders.
Binance has recently simplified its fee structure, with clear pricing tiers for different cryptocurrencies. Using Binance Coin for transactions can lead to additional discounts. Overall, the fees are competitive, but may be higher compared to traditional brokerage services.
Traders should be aware of the “small spread” fee for buying, selling, or converting coins, which can be avoided by using Advanced Trading on the platform.
Cryptocurrency selection
With 154 cryptocurrencies available, Binance offers a diverse selection of coins for traders. While it may not have the largest selection, it surpasses many financial apps in terms of crypto offerings. Popular coins like Bitcoin, Ethereum, and Binance Coin are available, along with a variety of altcoins.
Compared to other platforms like Robinhood and Interactive Brokers, Binance provides a wider range of crypto assets for trading.
Crypto-to-crypto trading
Binance allows direct trading between cryptocurrencies, making transactions more efficient and cost-effective. This feature eliminates the need to convert coins to stablecoins or fiat currencies before trading, reducing trading fees for users.
While not all cryptocurrency pairs support cross-trading, popular coins like Bitcoin can be directly swapped with many others on the platform.
Staking rewards
Similar to Coinbase, Binance offers staking rewards for holding certain cryptocurrencies on the platform. Staking allows users to earn rewards by validating transactions in the network, though it comes with risks. Binance charges a commission for facilitating staking activities, which can impact the overall rewards earned by users.
Customers can earn staking rewards on a variety of cryptocurrencies, with distributions typically occurring weekly.
Cons: Where Binance could improve
Dubious reputation and practices
Binance has faced legal challenges and regulatory scrutiny, including allegations of illegal operations and misuse of customer funds. The company’s founder, Changpeng Zhao, pleaded guilty to violations of the Bank Secrecy Act and other charges, resulting in significant fines and penalties. Clients should consider the implications of working with a platform that has a tarnished reputation and legal issues.
Fees for debit cards
The high fee for purchasing crypto with a debit card, at 4.5 percent, can be a disadvantage for users. Platforms like Coinbase offer lower fees for similar transactions, making it more cost-effective to transfer funds and wait for clearance instead.
Not available in some states
Binance.US is currently restricted in certain states, limiting access for users in Hawaii, New York, Texas, and Vermont. While the platform aims to expand its operations nationwide, the onboarding process has been paused in several states, including Florida, Georgia, and Connecticut.
Customer support
Binance’s customer support options are limited to support tickets and live chat, with no phone support available. While live chat is an improvement, some users may prefer the convenience of phone assistance for complex issues. Enhancing customer support services could improve the overall user experience on the platform.