Bitfinex Reviews | Crypto Exchange Guide (2020 Update)

Bitfinex, founded in 2012 by Giancarlo Devasini, Raphael Nicolle, was one of the first trading platforms built for professional traders. In this Bitfinex review, we will look at what the site offers, and if this platform is right for you. In this article we’ll give you one of the more in-depth Bitfinex Reviews you can find.

Before we begin this review of the Bitfinex platform, be advised that Bitfinex is not offering service to citizens and residents of the United States, Bangladesh, Bolivia, Ecuador, and Kyrgyzstan at the time of this writing.

Signing up for Bitfinex is as easy as providing a user name, email address, and password. Once the account is open and the email verified, Bitfinex will ask new users to update their two-factor authentication for added security. Traders and investors should use two-factor authentication as much as possible to secure an account, especially an account used to trade or store funds. Once that is completed, the Bitfinex platform will open, and users can begin exploring the site. The first thing that users will notice is the number of options Bitfinex provides and the wide variety of assets available. 

Because Bitfinex provides a wide variety of resources to users, new traders may feel intimidated by the platform. Bitfinex has provided several resources to help new users find their way around. But because Bitfinex offers so many resources, Bitfinex is a platform that a trader can grow into if they have a desire and willingness to trade. Next, we will look at some of the features that Bitfinex provides to traders and investors.

Bitfinex Reviews: Features Explained

Bitfinex Exchange

Bitfinex Loans

Staking on Bitfinex

Bitfinex Margin Trading

Bitfinex Margin Funding

Bitfinex Derivatives Trading

Bitfinex Advanced Order Types

Paper Trading on Bitfinex

Bitfinex’s Honey Framework

Bitfinex Fees

Bitfinex KYC

Bitfinex Review: Pros & Cons

Pros

Cons

Bitfinex Reviews: Features Explained

Bitfinex Exchange

The bread and butter of crypto trading, Bitfinex’s exchange, offers trading pairs include Bitcoin (BTC), Ethereum (ETH), United States Dollars (USD), Tether (USDT), Euros (EUR), Great British Pounds (GBP), and Japanese Yen (JPY).

Bitfinex Loans

Bitfinex provides various lending services; loans with Bitfinex are backed by either BTC or ETH collateral. The annual interest rate is 19.858% and comes in variable rate (FRR) and fixed rate.

Staking on Bitfinex

Bitfinex users can stake various cryptocurrencies. Currently, the platform supports staking in Tron (TRX), EOS (EOS), Tezos (XTZ), Cosmos (ATOM), Algorand (ALGO), V.Systems, Cardano (ADA), and Polkadot (DOT).

Bitfinex Margin Trading

Bitfinex allows users up to 5x leverage when margin trading. According to the Bitfinex website, “Users can enter an order to borrow the desired amount of funding at the rate and duration of their choice, or they can simply open a position and Bitfinex will take out funding for them at the best available rate at that time.”

Bitfinex Margin Funding

Bitfinex offers the opportunity to fund margin trading by providing funding in various currencies to traders. Bitfinex provides interest payments to the funder in the same currency the funds were provided.

Bitfinex Derivatives Trading

Verified users at the intermediate level higher in eligible jurisdictions can take advantage of derivatives trading. To take part in derivative trading, users must have USDt0 in their available funds; this is done by converting USDT to USDt0.

Bitfinex Advanced Order Types

Bitfinex offers various order types, including Limit, Market, Stop, Stop-Limit, Trailing Stop, Fill or Kill, Immediate or Cancel, and scaled order. In addition to these order types, Bitfinex also offers more advanced order options, including One Cancels Other (OCO), Hidden, Visible on Hit, Post-Only Limit, Reduce-only, and Time in Force (TIF).

Paper Trading on Bitfinex

Paper Trading is a trading simulation Bitfinex provides to learn trading strategies and trade margins and derivatives. It’s a great option for traders looking to get some practice before trading with real money.

Bitfinex’s Honey Framework

Bitfinex’s Honey Framework allows users to customize their Bitfinex experience. With Honey Framework, users can make changes to the market data layout through custom widgets to make Bitfinex fit their needs.

Bitfinex Fees

Trading fees are zero-fee or a small fee depending on the amount of activity a trader has on the platform. On Bitfinex are categorized into Maker fees and Taker fees. Bitfinex gives this example of how Maker/Taker fees work:

“If the current market/ticker price is $2000 for 1 BTC and you market buy bitcoins starting at the market price of $2000, then you will pay the taker fee. In this instance, you have taken liquidity/coins from the order book. If the current market/ticker price is $2000 for 1 BTC and you place a limit buy for bitcoins at $1995, then you will pay the maker fee IF the market/ticker price moves into your limit order at $1995.”

Bitfinex KYC

Bitfinex has two tiers of Know Your Customer (KYC) account verification.

For Individuals: Age, information (telephone number, email address, and home address), two forms of government-issued identification, a bank statement that must show the user’s name (Bitfinex requires the first deposit to the platform be from this account), proof of address (user must provide a recent (3 months or less) utility bill, service company, a licensed corporation or government authority showing the user’s name and address.

For Corporations: Name & Contact Information ( to confirm account holder identity), Location, Identity (who will be conducting transactions on the Bitfinex platform), Financial Information (for bank wires and withdrawals), and any necessary know your customer information (including necessary details of KYC AML).

Bitfinex Review: Pros & Cons

Pros

Bitfinex offers traders an incredible amount of resources for traders to take advantage of. Bitfinex’s wide range of assets on its exchange is enough to keep traders engaged with the site for years to come. Being able to tailor the UI experience to suit the needs of individual investors and traders puts Bitfinex ahead of the competition.

Cons

Bitfinex may be intimidating for new traders. The platform has such a wide range of resources and options on the home screen users may feel lost and decide to look for a simpler exchange.

Bitfinex.com tries and succeeds in living up to its goal of being a platform of choice for professionals traders. The site boasts a wide assortment of assets that can be traded, along with funding, lending, token sales, staking rewards, and derivatives. 

Bitfinex currently does not support US-based customers. Derivatives transactions through Bitfinex are prohibited for users in the US, Canada, Seychelles, Switzerland, or citizen or resident, a government official of a country under sanctions.

For more information on investing and trading with Bitfinex, go to Bitfinex.com. You can also find Bitfinex on Twitter @bitfinex

We hope you found this article on Bitfinex Reviews helpful. Here at Dchained, we strive to educate and make people feel comfortable with cryptocurrency investment. This is only a small bit of all the information we have to offer. If you’re looking to get started with cryptocurrency investing, be sure to check out our Ultimate Beginner’s Crypto Course

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