Bitfinex

Bitfinex Review

Bitfinex Highlights

Are you looking for a feature-packed cryptocurrency trading platform that provides excellent liquidity and advanced trading tools? Look no further than Bitfinex. Bitfinex is a well-established cryptocurrency exchange with a range of features and tools used to facilitate trading across numerous digital assets. With high liquidity, margin trading, and a range of order types, Bitfinex caters to experienced traders and investors looking for a robust and versatile trading platform.

In this Bitfinex review, we’ll take a closer look at the exchange’s features, fees, security measures, and more. So, if you’re considering using Bitfinex for your cryptocurrency trading needs, keep reading to find out everything you need to know.

What Is Bitfinex?

Bitfinex is a crypto exchange launched in 2012. It was created with the goal of providing an exceptional trading experience to everyone, from individual traders to institutional investors. The exchange is committed to offering the highest standards of security, fast transaction processing, and a safe, low-latency environment for traders to buy, hold, and sell their coins.

With almost 200 different tokens and 400 spot trading pairs available for trade, Bitfinex has become known as the Home of Digital Assets Trading. Additionally, there are over 60 perpetual futures contracts to choose from, making it an attractive option for professionals and institutions alike.

Another thing we learned about Bitfinex is that it believes in the true principles of Bitcoin, which include equality, justice, and freedom. The exchange strives to create a technology that enables people to transact and interact freely and privately without unnecessary intermediaries or centralized networks.

How to Open an Account at Bitfinex?

Opening an account on Bitfinex is a straightforward process that only requires a few minutes of your time. Here are the steps to follow:

Step 1: Visit the official Bitfinex website at https://www.bitfinex.com/ and click the Sign Up button located in the top right corner or at the center of the page.

Step 2: On the Bitfinex sign-up page, provide a username, email address, and password that you want to link to your account. Select your country of residence from the dropdown menu and add a referral code if you have one. Click Sign up.

Step 3: To enhance the security of your account, you must enable Google Two-Factor Authentication. Once you click Continue, you’ll be directed to the page where you can set up the 2FA.

Step 4: Confirm your email address by checking your inbox, and use the same internet browser to validate your email address to create your account.

Step 5: Congratulations, your account has been created! You’ll see a notification on your sign-up page that says “Account Created.” Click Login to start using your new account.

We would also recommend that you check the terms of service before starting the registration process just to ensure you’re eligible for an account with this exchange. And if you encounter any issues during the sign-up process or have any other questions, don’t hesitate to reach out to Bitfinex support.

Is Bitfinex Safe?

When it comes to trading digital assets, security is of utmost importance. Bitfinex understands this and has implemented a number of measures to ensure the safety and protection of users’ funds and information. From obtaining security certifications to implementing advanced verification tools and secure cryptocurrency storage, Bitfinex is committed to providing a secure trading experience. In this section, we’ll take a closer look at Bitfinex security features and examine whether it’s a safe platform to use.

• Two-factor authentication (2FA): Bitfinex provides an extra layer of security to user accounts with the option of configuring 2FA using Google Authenticator or U2F Security Key. This protects sensitive operations such as logging in, generating API keys, and withdrawing.
• Advanced API key permissions: Users can create API keys with advanced read/write permissions on a per-feature basis, unleashing the full power of the platform through REST and WebSockets APIs.
• OpenPGP Email encryption: Bitfinex offers encrypted email communication (PGP) to add an extra layer of privacy and security for users.
• Universal 2nd factor (U2F): Users can use a physical Security Key to take advantage of the ultra-secure FIDO Universal 2nd Factor (U2F) open authentication standard.
• Withdrawals protection: Each Bitfinex withdrawal is protected as the exchange monitors withdrawals by IP address and other user behavior patterns, triggering manual admin inspection on withdrawals that appear unusual. Users can define an address whitelist to ensure no withdrawals can go anywhere else.
• Advanced verification tools: Login data is saved and evaluated for suspicious activity. An intelligent system detects IP address changes to prevent session hijacking. Email notifications report logins and provide a link that allows users to freeze an account immediately if they suspect any malicious activity. In addition, users can also restrict account access based on an IP address.

What Are Bitfinex Features?

Bitfinex has a variety of features and tools, making it a popular choice among traders. The exchange has top-tier liquidity in its order books, allowing customers to straightforwardly trade Bitcoin, Ethereum, EOS, Litecoin, Ripple, NEO, and many other digital assets with minimum slippage. Bitfinex also offers a variety of order types to help traders profit in just about any scenario.

Margin trading is one of Bitfinex’s most popular services, allowing customers to trade with up to 10x leverage by acquiring funds via the peer-to-peer margin funding platform. Users may place an order to borrow the necessary amount of money at the desired rate and duration, or they can just establish a position, and Bitfinex will take out financing for them at the best available rate at the time.

Bitfinex also provides margin funding, which is a safe way to earn interest on fiat and digital assets by funding traders who wish to trade with leverage. Users can provide funding in a variety of currencies and assets at the pace and length of their choosing. Furthermore, consumers may enable the auto-renew option to renew deals automatically after they expire.

For users wishing to mitigate the risks associated with the volatility of digital tokens, Bitfinex exchange also provides Derivative Products on the Derivatives Site. Perpetual contracts are already available, and further Derivative Products are under development.

Bitfinex’s Scaled Orders tool is an algorithmic order type designed to enable traders to focus more on strategy instead of manually entering orders. The tool enables customers to create multiple limit orders across a user-determined price range while still giving traders control over the diversity and distribution of the orders.

Bitfinex’s Paper trading feature allows traders to test trading strategies in a simulated market environment without the need to deposit real funds. The exchange also offers Bitfinex Honey, which allows users to create custom order types and event-driven automated trading strategies without any coding knowledge or developer know-how.

For professional traders and institutional customers, Bitfinex has developed a suite of advanced features to meet the highest standards. These features include professional connectivity through Market Synergy, advanced chart features, corporate accounts, and APIs.

Finally, Bitfinex offers an Enhanced Reporting Framework that allows traders and developers to create comprehensive reports that make it easier to measure trading performances. The Bitfinex Terminal allows users to develop algorithmic trading strategies, view historical price action, and enhance market research.

Bitfinex Wallet

By default, Bitfinex offers three main wallets for its users: Exchange Wallet, Margin Wallet, and Funding Wallet. The Exchange Wallet is used for exchanging funds between supported currencies, the Margin Wallet is for trading leveraged positions, and the Funding Wallet is used to provide margin financing to other traders. It’s important to ensure you have funds in the correct wallet before placing an order or an offer.

Additionally, Bitfinex provides two more wallets—Derivatives Wallet and Capital Raise Wallet. The Derivatives Wallet allows you to transfer tokens for derivatives trading, while the Capital Raise Wallet lets you trade tokenized securities on Bitfinex Securities. However, note that using these wallets may have specific requirements or limitations depending on your verification level and jurisdiction.

You can move funds between wallets quickly and easily using Bitfinex’s Quick Transfer feature or the Balances box on the Trading page. If you have any questions or require assistance, don’t hesitate to contact Bitfinex support.

Bitfinex Mobile App

Bitfinex offers a mobile app that comes with the full functionality of the Bitfinex platform, allowing for seamless trading while on the go. The app is available for download on both the Apple App Store and Google Play Store.

The Bitfinex app gives users full control of their portfolio while on the move, with the ability to view positions, open orders, and trading history with just a simple tap. Users can also navigate the digital asset markets from anywhere and trade an array of digital currencies, benefitting from simple and complex order types, margin trading, and additional features to preserve their market edge. The app also has the Fast Pay feature, which allows for instant sending or receiving of Tether or BTC Lightning payments.

For a simplified trading experience, the Bitfinex mobile app also offers a Lite Mode. This feature provides an easy-to-use interface for trading, staking, and lending crypto with just a few taps.

Staying connected to the market is also easy with the Bitfinex mobile app, as it features Bitfinex Pulse, a social platform and news feed aggregator that keeps users up-to-date on market news and updates.

What Are Bitfinex Fees?

If you’re considering using Bitfinex as your cryptocurrency exchange platform, it’s important to be aware of the fees you’ll be charged. Bitfinex offers a fee calculator on its website that makes it easy to determine what you’ll be paying for different types of transactions.

Trading Fees

The fees are based on a 30-day volume in USD equivalent and UNUS SED LEO holding. Here’s a breakdown of the fees you can expect to pay on Bitfinex:

Crypto to Crypto (e.g. BTC/ETH):
Maker fees: 0.100%
Taker fees: 0.200%
Taker discount LEO holders: 0bps
Net Taker Fees: 0.2000%
Crypto to Stablecoin (e.g. BTC/USDt):
Maker fees: 0.100%
Taker fees: 0.200%
Taker discount LEO holders: 0bps
Net Taker Fees: 0.2000%
Crypto to Fiat (e.g. BTC/USD):
Maker fees: 0.100%
Taker fees: 0.200%
Taker discount LEO holders: 0bps
Net Taker Fees: 0.2000%
Derivatives (e.g. BTC-PERP):
Maker fees: 0.0200%
Taker fees: 0.0650%
Maker discount LEO holders: 0bps
Taker discount LEO holders: 0bps
Net Maker Fees: 0.0200%
Net Taker Fees: 0.0650%

As you can see, Bitfinex trading fees are relatively competitive compared to other cryptocurrency exchanges. Now, let’s see how fees work when depositing and withdrawing funds from this crypto exchange.

Deposit and Withdrawal Fees

For deposits, Bitfinex charges no fees for cryptocurrencies, stablecoins, or securities. However, users should exercise caution when depositing tokens and ensure that all necessary information is provided. In case of token recovery due to missing or incorrect information, Bitfinex will charge a $150 fee.

Bank wire deposits are charged at 0.100% with a minimum of $60 for USD/Euro. For Bank wire transfers using OpenPayd, there’s a €/£0.5 transaction fee for transfers of €/£10,000 or less and 0.100% of the transfer amount for transfers over €/£10,000. Express bank wire transfers within 24 hours on business days will incur a 1.000% (min $/€60) fee. Internal transfers are free for digital assets only.

When it comes to Bitfinex withdrawal fees, they vary based on the currency. Some currencies, such as Algorand, have no withdrawal fees, while others, such as Monero, have a minimum withdrawal fee of 0.0001 XMR. Bank wire withdrawals are charged at 0.100% with a minimum of $60 for USD/Euro.

Bank wire transfers using OpenPayd are charged a €/£0.5 transaction fee for transfers of €/£10,000 or less and 0.100% of the transfer amount for transfers of over €/£10,000. Internal transfers are free for digital assets only.

Bitfinex Customer Support - Which Options Does It Have?

When it comes to customer support, Bitfinex provides two options—the live chat feature and a comprehensive Bitfinex Help Center.

The Bitfinex Help Center offers a wealth of information on a range of topics, from getting started to trading and lending, API documentation, account access, verification, deposits/withdrawals, and more. Customers can also find information on trading fees, order types, and options, as well as Bitfinex Honey and lending.

And if you need immediate assistance, you can start a chat with one of Bitfinex’s support representatives by clicking on the icon at the bottom right corner of the page. We had a chance to chat with one of the exchange’s support team members and found them to be knowledgeable and helpful in addressing our queries. They answered our inquiries in just a few seconds and provided clear and helpful responses.

Bitfinex Reviews - What Do Customers Say About Bitfinex?

Bitfinex has a 3-star rating on Trustpilot, with mixed reviews from customers.

Some customers have commended Bitfinex for its wide range of trading options and advanced features, such as margin trading and derivatives. They have also noted the platform’s security measures, including two-factor authentication and cold wallet storage.

However, other customers have reported difficulties with withdrawals, with some claiming that their funds have been frozen or delayed for extended periods of time. Some customers have also expressed frustration with the platform’s customer service, citing slow response times and unhelpful representatives.

All things considered, Bitfinex reviews are mixed. While some users appreciate the advanced trading features and security measures, others have reported issues with customer support and withdrawal delays. However, it’s important to note that Bitfinex has taken steps to address these concerns and continues to work towards improving the user experience.

Is Bitfinex Worth It?

When it comes to cryptocurrency exchanges, there are a lot of options out there. One thing is certain—Bitfinex is one of the more established players in the game. While the platform has had its share of controversies and legal issues over the years, it still boasts a robust set of features and trading tools that make it a favorite among many traders.

Ultimately, whether Bitfinex is worth it depends on your personal preferences and trading needs. If you’re looking for a platform with a wide range of trading pairs and advanced tools and don’t mind paying slightly higher fees, Bitfinex might be a good choice. However, if you prioritize low fees and top-notch customer support, you may want to consider other options.

FAQ

Is Bitfinex legit?
Bitfinex is a legitimate cryptocurrency exchange that has been in operation since 2012. The company is registered in the British Virgin Islands and is subject to regulations in that jurisdiction. Bitfinex has also implemented a number of security features, including two-factor authentication, to ensure the safety of its users’ funds. While the exchange has experienced some controversies in the past, it has continued to operate and has a large user base.

Where are Bitfinex servers located?
The servers of Bitfinex are located in Switzerland, in Market Synergy DC.

Why can’t Americans use Bitfinex?
Traders can’t use Bitfinex in the USA due to regulatory restrictions. Bitfinex has implemented strict KYC/AML policies and operates under a regulatory framework to ensure compliance with global regulations. However, Bitfinex is not registered with the US SEC, and as a result, it is not authorized to offer services to US residents. This means that US citizens, residents, and entities are prohibited from accessing Bitfinex’s trading platform or services.

Is Bitfinex good for beginners?
As we’ve concluded in this Bitfinex review, Bitfinex may not be the best option for beginners due to its advanced trading features. However, if you’re willing to invest time in learning and navigating the platform, it can be a rewarding experience. If you’re a beginner, you might want to start with a simpler platform and gradually work your way up to Bitfinex once you’ve gained some experience.