It is hard to believe that it is possible to spend ICO on some 15 million dollars and with this money in just one year to create a cryptobridge leading in terms of daily trading. As you already understood, today we will tell about the Binance exchange.
About Us
Binance Crypto Exchange was founded in the summer of 2017 in China by two leading members of the OKcoin exchange, namely the technical director Changpen Zhao and co-founder of the platform Yi He. The CEO of Binance became Zhano Changpen, and he also heads the site to this day.
To launch the exchange, ICO was held during which the sale of Binance Coin tokens was carried out and 15 million dollars were collected. By today's standards, this is a very modest amount, but Changpeng Zhao and his team had enough of this money to create a leading trading platform.
After the ban of cryptocurrency in China, the exchange moved to Japan and is now seriously engaged in the issue of moving to Malta, where even more loyal laws for crypto projects. Today, Binance is the world leader in daily cryptocurrency trading volumes.
Trading
The main activity of Binance is an international cryptocurrency trading platform. To become a trader, it is enough to go through a simple registration via email, there are no restrictions on citizenship or place of residence. By creating a basic account in just a few minutes, the user gets the opportunity to withdraw assets worth up to two bitcoins from the exchange. To increase the daily limit to 100 bitcoins, you will need to pass verification.
The main advantages of the exchange are almost instant order processing and minimum commissions. For trading on Binance are available over 200 the most liquid cryptocurrency and tokens of the existing ones. The exchange does not support fiat currency transactions, although it is working to correct this situation. But now, instead of the usual currencies, you can use the USDT and TrueUSD stablebiles, which are equivalent to the US dollar.
The website of the exchange is translated into 11 languages, including Russian, but the most high-quality translation of the interface is still in English and it is recommended for use. The exchange offers a choice of two trading terminals, simple for beginners and advanced for professionals.
Binance Coin
The basis of the economic model of cryptobirth is Binance Coin. This is an ERC20 standard token released on ethereum blockchain. After the ICO, the exchange offered the loyalty program to the owners of the tokens, as a result of which the owners of the Binance Coin coins receive various discounts on the exchange.
In addition, the exchange maintains the value of its token through the procedure of burning coins. In total, 200 million Binance Coin was released, each quarter the site spends 20% profit on buying coins from users and destroying them. This will continue until the supply of tokens is halved from the original 200 million coins.
Also using Binance Coin solves the problem of cryptocurrency dust, that is, the minimum balance on the account, which is not enough for trading or withdrawal. To prevent these funds from hanging dead weight, the exchange offers to convert them into their tokens with the press of just one button. The offer is very profitable, because Binance Coin is among the top twenty cryptocurrencies by capitalization.
Hacking Binance
Hackers could not ignore the top stock exchange and have already tried to hack Binance twice. The security system of the trading platform is reliably protected, but the fraudsters were able to gain access to the users' trading bots and with their help in March and July 2018 arranged an artificial cheat on the value of the little-known Viacoin and Syscoin coins. For example, during the second attack, the Syscoin price jumped from 26 cents to 624000 thousand dollars.
Both times, Binance was forced to urgently suspend trading and block the input and output of funds from the exchange. After that, illegal operations with cryptocurrencies were canceled and hackers were left with nothing, user accounts were not affected. And in order to protect its customers from new hacker attacks, Binance created a special fund to which 10% of the commissions collected will be transferred.
Plans for the future
Binance will definitely do everything possible to maintain a leading position on the crypto market. The first step is to add trade in fiat currencies. As the head of the Changphen Zhao exchange said, the euro and the British pound can be added during the year, for which the company is actively working with the authorities of Malta and the island of Jersey. In addition, a subsidiary Binance Uganda opens in Uganda, which will support government currencies.
But Binance's main bet is the transformation from a private company to a trading community of crypto investors. For this, it is planned to develop and launch its own blockchain and open a decentralized cryptocurrency exchange on it.