Everything To Know About Bitfinex: The Complete Guide
It does not matter whether you have just entered the world of cryptocurrency or have been trading for a long time. You may have heard about Bitfinex. Among the best crypto exchanges, Bitfinex offers state-of-art- services for cryptocurrency traders. If you compare the most powerful Bitcoin trading platform, Bitfinex is fifth.
Bitfinex was first launched in December 2012, but the platform has faced many hurdles. Despite that, it tries to offer its users the best cryptocurrency trading experience. Over the years, the platform has gained a loyal following which has been growing. It is an exchange you greatly appreciate in custodial crypto management and offers you the most famous stablecoin, Tether (USDT).
It has also experienced hacks, but even after that, the company has found a way to reconcile with its users and pay for their damages. Because of the hacks, now they have grown the robust security to their users.
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What does Bitfinex do?
Bitfinex is one of the most significant cryptocurrency exchanges that support a large ecosystem of crypto products and trading options. There are several different types of trading that you can do, which include spot trading, margin accounts, paper trading, and many more.
It offers you the order books that come with top-tier liquidity and allows its users to easily exchange Ethereum, Bitcoin, Litecoin, Ripple, EOS, and many other digital currencies with minimal slippage.
Features of Bitfinex
In Bitfinex, users can order the books with top-tier liquidity, which enables the traders to trade quickly, such as ETH, BTC, and many other cryptos available on the platform. If you compare it with the other crypto exchange, it will provide you with lots of value. It even boasts a suite of orders that help the traders take advantage of every situation they are in.
In Bitfinex, margin funding is the feature that offers the users a secure way through which they can even earn the interest on digital assets and fiat that will provide funding to the traders that may want to trade there with more advantages and leverage. Users can also offer you funding from across a wide range of assets and currencies at a rate and the choice duration.
Trading assets is done at various intervals and rates depending on the market condition. The system also chooses the cheapest offers to create a competitive liquidity offering. The liquidate traders covered their assets with collateral and ensured that any lender and exchange did not involve risk.
In Bitfinex, the users are also allowed to trade with about 10x leverages that even receive the finding from the P2P margin funding platform. The user can enter an order that will even help you borrow the amount of funding at the duration and rate of user choice.
Bitfinex will open a position for that, and Bitfinex will get their funding for them at the best rate, which is available at the time of trading.
Professional trading speed
The platform also provides dispersed connection nodes of the network that even offer the fastest trading speed in the globe, which is available.
Improved chart tools
If you are a professional, you can even benefit from the charging tool you can find on Bitfinex. It even facilitates the advanced visual experience, which will help you see the bigger picture and execute things properly. Several trading tools can benefit the team in a better way, and it even boosts the opportunities for better communities.
Bitfinex APIs are specially designed to get access to everything that Bitfinex has to offer you. The software developers will appreciate the power of API to integrate the solution entirely with the suite of Bitfinex products.
Bitfinex Mobile Application
The Bitfinex mobile application adapts the platform’s full functionality and makes things work efficiently. You can download Bitfinex from Google Play Store or the Apple App store. By using the mobile application, you can trade different cryptocurrencies on the platform anywhere and anytime.
You can use the application for tracking the position or actively creating new orders for the app, and this application can be a handy tool for trading. Users can also view the open position and trading history and order everything with just one click. If you want to use the application, you can download the mobile app from the Play store or app store and if you want additional security, create the new API.
Security is a major concern for users. A cryptocurrency exchange needs to call itself the best trading platform. It offers you several security enhancements for the account, and those are as follows:
- 2FA or two-factor authentication
- Confirmation of IP address while withdrawing
- Encrypted emails
- Withdrawal confirmation phase
Users can also request an email you can send to them when the account is logged in, and the account will also be frozen if there is any suspicious activity happening to the account. The platform claims that it will offer 99.5% security to its users in the cold storage that will even have various precautions so that you can protect it against the denials of service attacks.
How to deposit or withdraw the funds on Bitfinex?
Using the Bitfinex account, you will not have to go through the verification process. Yes, you will not have to go through those long processes that may frustrate you for a long time. The users or traders can also use their existing wallets and transfer the crypto to their Bitfinex accounts. It will provide them up to date list of the customers for the cryptocurrencies, which will support the purpose of your deposits.
Bitfinex offers you three different types of wallets so that it can support the other products.
- Exchange Wallet- It offers to deposit and store the cryptocurrencies you may need to use for trading purposes over the platform.
- Margin wallet- The margin wallet is the wallet that is available for trading.
- Funding Wallet- The funding wallet also provides you to facilitate the lending to the margin traders.
From there, the users can give their addresses to deposit the cryptocurrency accordingly. The total time for depositing in the Bitfinex wallet depends on the cryptocurrency network and how fast it confirms the transactions.
The user can also use the Fiat deposits, which can be made in the territories supported after the user has completed the procedure for verification for their account. That will help you perform the fiat deposit, and customers can transfer the funds through the bank accounts to the account of Bitfinex. It does support the deposits in EUR, GBP, and JPY. Fiat deposits will take different amounts of time, depending on the region.
How to make a deposit?
No additional information is required to make it easy for you to deposit the cryptocurrency. You can make the deposit only if you have created the account there, and to make the deposit follow the steps below-
- At first, you need to make your way to deposit the page and then select the cryptocurrency in which you are interested. The user must also create the wallet address where you want the funds.
- For finalizing, the user needs to put that address in the address you are receiving on the platform you use to send the funds.
The cryptocurrency withdrawals are processed as soon as the network confirmation has been completed. Bitfinex also suggests that the customer will have additional security measures for the account. The account verification will be conducted through the phone or even through email. The verification is there because it will allow the exchange to ensure that the customer requested the withdrawal before it is even processed.
If the customers do not set the security measures, then the exchange make takes a little bit longer to process the request for the withdrawal. Every cryptocurrency that you will get will have a minimum withdrawal limit. If any user wants to withdraw the amount that falls under the threshold, they can contact the Bitfinex team and look into that request.
The standard time to get the request entertained is within seven days, and every customer is allowed for one type of that request every week. The time it will take to withdraw the fiat currency will depend on your region. If you are transferring the regular USD, then that will be sent in just 5-10 business days.
But if you do the expressed transfer of USD, that will be possible in just 24 hours. But fiat withdrawal will take a longer time on the Bitfinex platform.
How to withdraw?
- First, you must go to the withdrawal page and select the cryptocurrency you want to withdraw.
- There will be an external address for the amount you want to send and the wallet to what you want to send.
- After putting the address a completing it on the platform, you can use it to send the funds.
- You need an address to the terms available there for the withdrawal process. To agree with the terms, you need to request the withdrawal and put a comprehensive guide to make the withdrawal which will help you along the way.
How to trade on Bitfinex?
Bitfinex is the application or system that does work through the segmented accounts. When you deposit the fun, then that will land on your funding account. But if you want to trade, you need to transfer those funds to the Margin or exchange trading account. To start with trading, you need to follow the steps mentioned below:
- At first, the user needs to create an account on Bitfinex; if they already have an account, they can log in.
- You need to transfer the funds, but you must ensure enough of them before that. The Tickers box is available on the Home page or the main trading page. You can search for the trading pairs to find the one currency you wish to trade with.
- On the same page, you need to look for the Order Form Widget; it is the option where you need to enter the trading details in which you want to trade. However, it is an exchange trade, so you must be sure that you are selecting the available exchange in the top left corner of the order form.
- If you choose the limit order, you can select the order type you need to enter. You can even choose various options from the drop-down menu and learn more about them. However, if you choose the market order, it will be executed at the current price, which is in the market, and you will not have to fill the price.
- After that, your order will be available in the order widget and show information about the trade before executing it. You can even cancel and edit the trade as you wish.
- Once the trade is executed, your funds will be credited to the exchange wallet. And then, from there, it will move to the order history widget.
- You can also view your order in order or under ledgers on the report page.
Is it safe to use Bitfinex?
If you will take a look over the Bitfinex platform, then there is no simple answer to that. The platform offers users security standards such as cold wallets to store the customer’s fun offline and 2-factor authorizations, adding a security layer through your phone or email verification.
But still, there have been two incidences of hacking on the exchange, and the last one was considered the most prominent hacking incident in crypto trading history.
After that, they have become more aware of all these things but investing or trading in one exchange depends on the person, which is why it is essential to understand whether the one you are choosing is right. If the user does not feel safe downloading and using Bitfinex, then it is better not to use it.
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The Final Words
Bitfinex is a safe platform but not risk-free. Overall, it is a profitable and frugal company that spends just a little and makes profits for its shareholders. The platform is available in different languages such as Chinese, Russian, and English. It is open in more than 52 countries that do support several different currencies such as Ethereum, Bitcoin, XRP, and many more.
The services you can experience on this exchange are the cryptocurrency exchange, margin trading OTC desks, and margin lending. To invest in this crypto, you must be sure about it and learn its features.