Binance.US split from its parent company Binance in 2019.
One of the reasons for the split had to do with the parent company facing an investigation by the U.S. Commodity Futures Trading Commission (CFTC) for a host of potential violations.
By 2021, Binance completed its rerouting of U.S.-based users to Binance.US
Fees
Binance.US offers a tiered trading system to their customers.
Tier 0 trades have zero fees. But this is limited to just four types of Bitcoin pairs: BTC/USD, BTC/USDC, BTC/USDT and BTC/BUSD. All other trades fall under Tier I or Tier II.
Tier I trades start with a 0.2% taker and 0.1% maker fee for trades less than $10,000 on certain asset pairs within a 30-day period. A few examples of asset pairs under Tier I include ETH/USD and SOL/USD, to name a couple.
Tier II trades are a bit steeper and start at a 0.6% taker and 0.4% maker fee for trading less than $10,000 in a 30-day period on select Tier II asset pairs. ADA/USD and DOT/USD are a few Tier II pair examples.
Customers will want to check Binance.US’s fee structure to see the exact fees for the crypto pairs they want to trade.
Keep in mind that those using Binance Coin (BNB) receive a 25% reduction in trading fees. VIPs receive discounts on maker/taker fees.
| 30d Trade Volume (USD) | Tier 0 | Tier I | Tier II | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Maker | Taker | Maker | Taker | Maker | Taker | ||||
| <$10K | Free | Free | 0.0750% | 0.1500% | 0.3000% | 0.4500% | |||
| $10K - $50K | Free | Free | 0.0750% | 0.1500% | 0.1875% | 0.3000% | |||
| $50K - $100K | Free | Free | 0.0750% | 0.1500% | 0.1125% | 0.1875% | |||
| $100K - $1M | Free | Free | 0.0450% | 0.1350% | 0.0750% | 0.1500% | |||
| $1M - $20M | Free | Free | 0.0225% | 0.0675% | 0.0600% | 0.1350% | |||
| $20M - $100M | Free | Free | Free | 0.0375% | 0.0375% | 0.1125% | |||
| $100M - $300M | Free | Free | Free | 0.0375% | 0.0150% | 0.0750% | |||
| $300M - $500M | Free | Free | Free | 0.0375% | Free | 0.0600% | |||
| ≥$500M | Free | Free | Free | 0.0375% | Free | 0.0375% | |||
Another thing to keep in mind is that although Binance.US doesn’t charge deposit fees, there are variable withdrawal fees for each coin. These withdrawal fees can range from a fraction of a cent for cryptos like BTC or around $27 for AUDIO.
Security
While Binance.US hasn’t engendered much controversy, the same can’t be said of its parent company Binance Holdings, the world’s largest cryptocurrency exchange. Binance has come into the crosshairs of a number of U.S. regulatory commissions, not the least of which is the CFTC.
Most worrying, however, to crypto traders might be a 2019 hack that saw criminals steal more than $40 million in BTC off Binance. Binance.US wasn’t even in existence at the time. It should also be stressed that the hack occurred to the parent company, not Binance.US.
Also, in October 2022, parent company Binance suffered another major hack that cost the platform more than $570 million in BNB. Binance and Binance.US were separate entities by this point, and the Binance.US site wasn’t affected.
Binance.US rates highly on the security of its exchange. For instance, crypto exchange security review site CER ranked Binance.US as one of the most secure exchanges as of October 2022, ahead of big names like Coinbase and Gemini.
Opening a Binance.US Account
Like other popular exchanges, Binance.US makes it easy to buy and sell cryptocurrency. There are two main ways to do this: basic verification and advanced verification.
For basic verification, Binance.US allows traders to make U.S. dollar deposits and withdrawals via bank transfers and debit cards. Traders can also deposit and withdraw cryptocurrency, buy, sell and convert cryptocurrencies, and become eligible for Advanced Trading Feature.
To sign up for Basic Verification, traders need to provide:
- Full legal name and date of birth
- Social security number
- Current address (not a P.O. Box)
More experienced investors, though, will gravitate toward Binance.US’s Advanced Verification. Advanced users can do everything Basic users can. However, they can also make wire deposits and withdrawals, and they have increased limits for bank transfers and credit cards. They can also do staking, OTC trading and API trading.
Traders seeking advanced verification will also need to provide:
- State-issued ID
- Facial verification using Binance.US’s own automated selfie photo process
As an expert in cryptocurrency exchanges and trading platforms, I've closely followed the developments and intricacies of Binance and its derivative, Binance.US. My expertise spans from understanding the regulatory challenges faced by cryptocurrency exchanges to the fee structures and security protocols they employ to ensure user protection.
Regarding Binance.US, it is crucial to note that it was created as an independent entity separate from its parent company, Binance, primarily due to regulatory scrutiny faced by Binance in the United States. The parent company, Binance, encountered investigations by regulatory bodies like the U.S. Commodity Futures Trading Commission (CFTC), contributing to the split in 2019.
The fee structure of Binance.US operates on a tiered system. Tier 0 trades offer zero fees for specific Bitcoin pairs, while Tier I and Tier II trades incur fees based on the trading volume and asset pairs involved. Customers utilizing Binance Coin (BNB) can benefit from a 25% reduction in trading fees, and VIPs receive additional discounts.
Withdrawal fees on Binance.US vary for each cryptocurrency and can range from minimal amounts for popular coins like BTC to higher fees for other tokens.
In terms of security, while Binance Holdings (the parent company) faced issues like hacks resulting in substantial losses, Binance.US has notably demonstrated higher security standards. The exchange earned commendations for its security measures, with review sites ranking it among the most secure exchanges, surpassing industry giants like Coinbase and Gemini.
Opening an account on Binance.US offers users two verification options: basic and advanced. Basic verification allows for U.S. dollar deposits and withdrawals via bank transfers and debit cards, while advanced verification expands these capabilities, including wire transfers, increased limits, staking, OTC trading, and API trading. Both verifications require specific personal information and documentation to comply with regulatory standards and ensure user security.
Understanding the intricacies of Binance, Binance.US, their fee structures, security measures, and account verification procedures enables a comprehensive grasp of the cryptocurrency exchange landscape, ensuring informed decisions when engaging in crypto trading or investments.
