Bitfinex Review (UPDATED 2018): Is Bitfinex Safe? | VKOOL

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AVG Rating: 7.6/10

What exactly is Bitfinex?

With Bitfinex users can trade many of the major cryptocurrencies including Bitcoin, Ethereum, and many other giant forms of crypto. They are the largest exchange group for Bitcoin and they provide tools for users to stay updated on market changes.

There are also visual graphs where people can analyze how the market is doing to help determine predictions. The interface is customizable with different themes and presentation styles.

On the front page of their website they also provide real updated fluctuations to many kinds of crypto. We will help cover everything offered on the table of contents below.

The Fundamentals of Bitfinex

On the top right hand side their website there is a ‘Sign Up’ icon where you can begin to start an account.  To begin trading there has to be a minimum of $10,000 USD, which can be accepted in cryptocurrency as well.  If you’d like to be granted more access such as fiat currency deposits, there is an additional security check which can take upwards of 8 weeks.

Once you accept these terms you’ll have to deposit money into the account where you’ll get a page like this:

After you deposit money then you can begin the trading process. Simply go towards the ‘Trading’ tab where you can learn about what your options are:

You can make a selection or even look at graphic data stop see what the market is like. There is also the offer of margin trading and other kinds of options which appears like this:

This offers a close inspection and more customization for traders of all kinds.

Important Details of Bitfinex

The company was officially started in 2012 and they are based out of Hong Kong, a popular destination for many cryptocurrency companies. They currently offer many of the most notable coins as well as some of the lesser known alt coins. On their official website they offer a lot of details about how they operate, and what they’re all about.

Their analytics are more for dedicated traders who already know about the process, though their FAQ’s have a lot of data to help people understand better.

How is Bitfinex kept safe?

They ensure cold storage with around 99.5% of user funds all stored offline. They have multi-step processing which makes it hard for any kind of hacker to access sensitive information.

There is protection against DDoS attacks with encrypted connections using HTTPS TLS 1.3,

For users then sure there is 2FA activated in the form of Clef, Google Authenticator and Twilio.  IP whitelisting is also offered which ensures that only certain IP addresses can access accounts. This ensures that there is only a single address at all times which can use a Bitfinex account. They do recommend knowing more about the technical sides of networks as it may lock out certain users who forget how to access the account.

You can read a lot more about all the safety protocols offered by looking their FAQ section.  There’s also a description of what practices should be followed to ensure safety protocols are followed.

Who can use Bitfinex?

The company no longer accepts any accounts by US based citizens, and there has to be a minimum of $10,000 USD for new equity. Bitfinex is a lot more specialized than other trading sites, so it would require the knowledge of someone already comfortable with trading. You’ll be able to do margin trading which is more intricate than other kinds of trading.  This is why it’s often suggested as a trading source for more experienced users.

Fees for Trading

There are fees due to the need to pay for platform operations. This depends largely on the amount the consumer is looking to trade. For example, if there is a $500,000 or more amount traded, then there is a tacked on 0.080$ maker or 0.200% taker fee.

Deposits are allowed for free unless it’s through a bank wire, which would incur a 0.1% additional fee. There is also a varied fee dependent on the withdrawal amount. All these fees and more are discussed in full by the company’s official website.

Fees are all calculated by the volume of trades within the last 30 days and the status of the maker/taker.

Cryptocurrency Options

Numerous kinds of coins are offered with the major kinds provided such as Ethereum, Litecoin, Bitcoin and Bitcoin Cash. They also provide insights into all the kinds of coins offered, where consumers can learn more about how it functions and what’s unique about it.

Limitations for Transferring

No limits are placed the amount which can be withdrawn or deposited. For any kinds of withdrawals it may talk a half day period around 12 hours. They cater more to professionals who already have some sort of knowledge of trading, which makes it more specialized than other form of crypto exchanges.

To begin trading you’d also need 1 of 3 different kinds of wallets. The currencies can also be transferred there, and there is an order form where all transactions can occur. A lot more of the specifics are mentioned in their FAQ section, which would be required reading especially if you’re new to trading.

The fees are typically small or non-existent depending on what the goal is. For trades done below the current asking market price there is an attached maker fee. All these fees are published on their FAQ section.

Consumer Support

A full FAQ section is provided for consumers to learn more before they sign up and begin trading. They also offer an email:

Email: [email protected]

They offer a deep understanding for all facets of trading and cryptocurrency so consumers can stay informed. We recommend their official website to get the many specifics behind Bitfinex.

Bitfinex vs Bittrex

Bittrex is a US based company that offers the trade of over 190 different forms of cryptocurrencies. This makes it a major leader that deals even with lesser known crypto. The demand for Bittrex is so high that currently they are not accepting any new applications.

They offer live updates of the changing price for different crypto, and they have an easy to understand interface. The security is also top notch with a team do professionals that emphasize consumer safety.  Their simple sign up process require s basic information like contact details and a mobile number.

Bitfinex vs Binance

Binance operates out of China and they are a relatively new crypto exchange company. Their official website isn’t as developed as other companies, but they do have an updated list of changes to crypto value. There is also a Binance coin or BNB which is limited to 200 MM. They use an Ethereum blockchain and it can be used for any fees associated with the company. An official app is also offered as a freebie.

Bitfinex vs Coinbase

Coinbase offers the ability to connect a credit or debit card as well as a bank account for the exchange of crypto to your fiat currency of choice. They offer the sale of Ethereum, Litecoin, and Bitcoin at this time. Their security ensures that most of the digital data is stored offline to prevent hacking.

A mobile app is also offered on both iPhone and Android which is free to download.  Many people also use Coinbase, with over 10 million users currently.

Bitfinex vs Kraken

Kraken operates out of San Francisco and much like Bitfinex, offers 24/7 assistance via email, though they are unique by offering a live chat as well. They are especially popular in the European Union where most of its trading comes from. The trading fees are small to non-existent depend on what is being traded.

The wait time for responses can take some time as Kraken has a high volume of tickets, but they do respond to questions and inquiries. They also use cold storage to ensure the security of user’s information.

Bitfinex vs GDAX

With GDAX there is access to an international market as well as 24/7 support from their customer support team. The security is also highly rated, and their trading volume is about moderate, not as large as Bitfinex currently but it is active. GDAX is opened by Coinbase and as such, has an integrative system with a sleek design and 0% maker fees.

The real-time updates and easy to use interface also makes it a sleep way to look up market changes. They also have storage of 98% of sensitive data all offline, to prevent the risk of hacking.

Bitfinex FAQ

  1. What is the Bitfinex price?
    The difference exchange rating prices varies and fluctuates on a daily basis, there is no consistent price but there are updated data charts on the Bitfinex website.
  2. Where can I get a Bitfinex invitation code?
    The company shut down any new registration and it does not appear that any existing members can send any official invite code. The official website does not offer much information on when or if there will be new registration offered.  Judging from a few user experiences, it does not appear the company has or will invite new users.
  3. Does Bitfinex have a Wiki page?
    They do have an informative page which talks about their history and some goals that the company reached in their short history.
  4. What are the total Bitfinex fees?
    This requires a more elaborate response which depends on the amount that is traded. The taker fees are generally the same at around 0.200%, though the maker fees depend on many factors.
  5. Is there a Bitfinex Reddit page?
    An official page is offered with nearly 5,000 subscribers that are often active.
  6. What’s a common Bitfinex review say about it?
    Experiences ranged but they are the most popular of Bitcoin exchange providers.
  7. What is the official Bitfinex location?
    They are based out of Hong Kong but no official address is given.
  8. Was there a Bitfinex hack?
    There was a loss of 120,000 units of Bitcoin which was remedied with BFX tokens.  This occurred likely due to a lack of checking user identity for transactions.
  9. Does Bitfinex serve US customers?
    No, since November 2017 the company had to withdraw services of any kind to US based customers. They required people to remove money from their accounts, otherwise they would be sold.
  10. What can you tell me about Bitfinex and IOTA?
    The company started accepting IOTA trading which allows for no fees on transactions as well as no limit of the amount of acceptable transactions.

Bitfinex Summary

With many types of options, Bitfinex is more catered towards knowledgeable professionals who want to specialize. The company has a lot of information presented which would be required reading for newcomers. Many coins are offered and the low fees make it an enticing place to trade crypto, though they do not offer US customers the opportunity to join.

Peter Lehmann

Peter is a blockchain investor and cryptocurrency writer at Vkool.com. Since 2014 Peter has advised blockchain startups and ICOs on content marketing, strategy and business development.

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