Binance VS Poloniex: Which one is better?
The rise of cryptocurrencies to prominence in the global marketplace has given rise to exchange platforms in many countries. While these exchanges facilitate the trade in altcoins, Bitcoins, and other digital currencies, they have particular strengths and weaknesses.
Exchanges support millions of dollars in transactions daily, and two of the major players are Poloniex and Binance respectively. Cryptocurrency trading is a worldwide phenomenon, and it augurs well for investors to know the best exchange they can use.
PART 1: Binance VS Poloniex Key Features: What’s the difference?
Binance and Poloniex support users from different countries around the world. The global coverage of these exchanges makes them popular among cryptocurrency enthusiasts. Let us look closely at some of their defining selling points and weaknesses.
|Reviews||Poloniex Review||Binance Review|
|Traded Coins||Bitcoin, Ethereum, Dash, DAO, Ethereum Classic, Dogecoin, Augur, Factom, Litecoin, Zcash, Monero, Ripple, and many others||Bitcoin, Ether, Ethereum Classic, ,Litecoin,Zcash, Ripple, BNB, Monero, EOS, AST, BNT, BQX, ENG, DASH, and many others|
|Trading Fees||0.0% to 0.25%||0.05% to 0.1%|
PART 2: Binance VS Poloniex Trading: Which one is better?
A cryptocurrency trader is keen on profit-making, and this makes it important to save cost as much as possible.
Transaction cost arises on both Binance and Poloniex when you are trading your cryptocurrencies.
You will, therefore, incur some cost when exchanging one cryptocurrency for another in the course of your daily or routine transactions.
This is what the coin exchange tab looks like on Poloniex:
Funding Your Account
You cannot deposit cash in either Poloniex or Binance. The non-support of fiat currencies by Poloniex can be viewed as a measure to avert regulatory problems. Since the company is domiciled in the United States of America, fiat currencies acceptance will impose more hurdles on its operations. Binance, on the other hand, operates out of Japan, and does not accept bank deposits either.
To fund your account, you need to send BTC or ETH to your wallet on both exchanges. BTC is the dominant cryptocurrency, and it can be exchanged for hundreds of other altcoins easily.
Here is a short video to guide you on how to use Binance Exchange:
On Binance, you can turn off or turn on the feature of paying for transaction cost with Binance tokens (BNB). If you pay with BNB, you are given an immediate 50% OFF incentive in respect of your payment for charges.
On Binance, you will, therefore, be paying 0.05% instead of a service charge of 0.1%. This is a massive discount for high volume transactions compared to 0.025% charged by Poloniex.
Every trader knows that timing is crucial, and on this score, slow transaction processing on Poloniex could rob you of immediate gains.
On Binance, transactions are completed at a faster pace so that you can make fast decisions and reap the gains. The slow responsiveness of the Poloniex website is a drawback when a trader is set to ride the market for quick gains.
In terms of the supported altcoins when looking at Binance VS Poloniex, you have a range of options. The commonly traded altcoins are supported on both platforms although margin trading is only possible with Poloniex.
116 pairs to the Bitcoin are available on Binance as against 169 pairs for Poloniex. Individuals who have diverse holdings of cryptocurrencies might find Poloniex more attractive for ease of trading and liquidity. A possible explanation for the range of BTC pairs on Poloniex is the support of margin trading on the platform.
Which one is better?
Binance is the best choice taking into consideration the transaction time and lower withdrawal charges.
PART 3: Poloniex VS Binance Trust: Which one is more reliable?
In examining the most reliable option in Poloniex VS Binance, it is advisable to look at this from account opening to upgrade of withdrawal limits.
Opening an account on Poloniex can be concluded within 5 minutes from entering user information to confirmation link authentication. This procedure is same for Binance with the registration tab on the right top corner of the homepage.
When you log into the Binance portal as a new user, the auto-prompt requires you to activate the security safeguard. Using the 2FA (factor authentication) helps to prevent unauthorized access. You might need the Google Authenticator or SMS code, depending on where you are logging -in from.
The purpose of verification on exchanges is a security feature and it also is necessary in territories were financial transactions are regulated. Verification helps in trade monitoring and control of deposit and withdrawal limits.
As a security feature, unauthorized trades are forestalled with the built-in prompts. And to protect the exchange from losses, the user is also prevented from overshooting the specified trading capacity.
Verifying an account on both Poloniex and Binance is similar to what obtains on several exchanges. You need your full names as well as email ID and your place of residence.
This short video illustrates how you can register on the Poloniex exchange, and start off your cryptocurrency trading career.
On Poloniex, completing this layer of verification sets your withdrawal limit at 2,000 USD. You are also enabled for margin trading on this score. For Binance, your account activation, 2FA and email confirmation lead you to the first level of 2 BTC withdrawal within 24 hours.
Moving to level 2 on Binance with a withdrawal limit of 100 BTC is possible with 2FA prompt required for all transactions. Poloniex requires your ID scan and an image showing your ID held up clearly. This takes a few days to verify, but on completion, you can withdraw up to 25,000 USD.
The third level on Binance is for withdrawals above 100 BTC and for Poloniex, it is for requests above 25,000USD. At this threshold, no explicit requirements are stated for both exchanges, but, it can be initiated with customer support ticket completion.
Who wins on reliability?
Binance and Poloniex command an appreciable following in the cryptocurrency community judging by the volume of transactions on both platforms.
Reliability is a function of trust, and both exchanges are trusted by users.
PART 4: Binance VS Poloniex: Conclusion
Both Poloniex and Binance have reported cases of missing transactions or untraced deposits or withdrawals. There is a tie on trust for both exchanges as the cases of distrust are isolated and not widespread.
Poloniex Vs Binance is an interesting subject to discuss in several cryptocurrency communities. The two exchanges are reputed for supporting several altcoins, and they have a reputation for non-support of cash or bank deposits.
On account of transaction processing times and lower trading charges, Binance is voted as the best exchange for cryptocurrency trading.