Bitfinex Review

bitfinex-review

Bitfinex was founded in 2012, as one of the first platforms created to address the booming interest in crypto trading. The exchange is one of the largest and has gradually added more cryptocurrencies, instruments and creative features over the years, gaining new users.

Bitfinex is owned and operated by iFinex Inc. with headquarters in Hong Kong. In the past, the exchange had its share of problems and controversies with its stable coin (Tether), which led to investigations by the New York Attorney General. 

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Bitfinex Features Review

MarketsCrypto, fiat
Supported countriesWorldwide
KYCNot Mandatory
Leverage100x
DepositsMultiple
Min. Deposit0.001 BTC
Max. Withdrawal LimitDepends on the verification level
Trading fee0.05%
Supportlive chat, email
Mobile appiOS/Android

 

Bitfinex Security Review

User security is a top priority for Bitfinex, as the company has high-security measures already in place and is constantly improving the audit processes and infrastructure of the exchange. Bitfinex uses hot and cold wallets. Only 0.5% of the assets on the exchange are held in hot wallets, providing enough funds for quick withdrawals on the exchange. The rest of the funds are kept in a secure cold wallet, which requires access authorization by several team members in order to replenish the hot wallets or transfer company funds.

 Account security option on Bitfinex: 

  • Two-factor Authentication (2FA)
  • Universal 2nd Factor (U2F)
  • Advanced verification tools for monitoring
  • Withdrawals protection
  • Advanced API key permissions
  • Email Encryption with OpenPGP

Was Bitfinex hacked? 

In May 2015 Bitfinex suffered a breach that led to the loss of 1500 bitcoins.
In August 2016 Bitfinex went through another security leak where 119,756 units of bitcoin were lost. The exchange acted quickly on it, halting all bitcoin deposits and withdrawals and has generalized the loss of funds by 36.067%, taken from all existing user’s segregated wallets. 

All existing customers received BFX tokens equal to the amount of funds taken from their wallets. Later, Bitfinex paid its debts in full, allowing everyone to exchange their BFX tokens for a fixed price of $1 per token.

Despite all of the legal battles and allegations, so far, Bitfinex has always compensated its users for the breaches occurring on the platform. This gives it a heads up compared to other exchanges that completely shut down after a breach.

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Is Bitfinex available to US citizens?

On August 15 of 2018, Bitfinex decided to no longer accept individual and corporate customers from the US due to the strict regulatory framework and risk of getting into trouble with the SEC (U.S. Securities and Exchange Commission).

Bitfinex Deposits and Withdrawals Review

Bitfinex has lots of options for deposits and withdrawals. 

Both fiat and crypto are available when it comes to deposits and withdrawals. At some point in the past, Bitfinex had difficulties acquiring corporate bank accounts that temporarily left the platform without fiat gateways.

bitfinex-deposits

Fiat deposit and withdrawal options: 

  • Euro (EUR)
  • Chinese Yuan (CNH)
  • Japanese Yen (JPY)
  • Pound Sterling (GBP)
  • US Dollar (USD)

In addition to bank transfers, credit and debit cards (VISA, Master Card) can also be used to deposit fiat currencies.

Deposits and withdrawals for over 70+ cryptocurrencies:

  • BTC
  • ETH
  • LTC
  • DASH
  • XRP
  • XMR
  • EOS
  • IOTA
  • NEO
  • ZEC
  • And more
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Trading Instruments

Bitfinex is one of the most diversified exchanges in terms of available cryptocurrencies and trading instruments. You can exchange and trade over 70 cryptocurrencies with 4 fiat currencies – USD, EUR, JPY, and GBP.

Derivatives and margin trading are also available on the platform, however, they’re quite limited compared to exchanges specializing in those features such as Binance or Bybit.

On the derivative side you can trade with up to 100x leverage on two pairs:

  • BTC
  • ETH

Over-the-counter (OTC) trading is also present, allowing traders who wish to buy or sell Bitcoin in large quantities to relieve the public order books and evade price sways.

Bitfinex Order Types

  • Market
  • Limit
  • Stop
  • Stop-Limit
  • Trailing-Stop
  • Fill or Kill
  • Immediate or Cancel
  • Scaled
  • Token Manager

The exchange is providing all of the advanced instruments for spot trading while on the derivatives side, it has only two trading pairs.

Bitfinex User Interface Review

Bitfinex has a professional UI design, providing the necessary environment for trading cryptocurrencies. The interface for spot trading keeps a strict layout with trading pairs, order tab and available balances on the left side, while the chart, positions, orders, and order history occupy the rest of the space.

bitfinex-trading-UI

The UI on Bitfinex is not as customizable as you may like it to be. It’s limited to a single layout type, which can be a negative point for the most demanding traders, otherwise, the interface design as it is, is very effective. The things you can change are the positioning of the ticker, order tabs from left to right and the color of the interface.

bitfinex-white-ui

The layout for derivatives trading has a very small difference in the order form – a scale for adjusting leverage and different text on the buy and sell buttons to avoid confusion and accidental creation of a derivatives order by distracted users.

bitfinex-deriviatives-ui

Although, the limited customization, what is present here is more than enough to satisfy a large group of traders.

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Bitfinex Exchange Fees

Bitfinex’s trading fees are volume-based, depending on how much you have traded in USD equivalent over the past 30 days. The fees for both the spot and derivative parts of the exchange are relatively low and competitive. 

NOTE: You can further reduce the fees by holding the LEO token.

USD traded in the last 30 daysMaker FeesTaker FeesLEO Holders Taker Fee Discount
$0.00 or more traded0.100%0.200%up to -(25.000% + 6bps)
$500,000.00 or more traded0.080%0.200%up to -(25.000% + 6bps)
$1,000,000.00 or more traded0.060%0.200%up to -(25.000% + 6bps)
$2,500,000.00 or more traded0.040%0.200%up to -(25.000% + 6bps)
$5,000,000.00 or more traded0.020%0.200%up to -(25.000% + 6bps)
$7,500,000.00 or more traded0.000%0.200%up to -(25.000% + 6bps)
$10,000,000.00 or more traded0.000%0.180%up to -(25.000% + 6bps)
$15,000,000.00 or more traded0.000%0.160%up to -(25.000% + 6bps)
$20,000,000.00 or more traded0.000%0.140%up to -(25.000% + 6bps)
$25,000,000.00 or more traded0.000%0.120%up to -(25.000% + 6bps)
$30,000,000.00 or more traded0.000%0.100%up to -(25.000% + 6bps)
$300,000,000.00 or more traded0.000%0.090%up to -(25.000% + 6bps)
$1,000,000,000.00 or more traded0.000%0.085%up to -(25.000% + 6bps)
$3,000,000,000.00 or more traded0.000%0.075%up to -(25.000% + 6bps)
$10,000,000,000.00 or more traded0.000%0.060%up to -(25.000% + 6bps)
$30,000,000,000.00 or more traded0.000%0.055%up to -(25.000% + 6bps)

 

Derivatives Fees

USD traded in the last 30 daysMaker RebateTaker FeesLEO Holders Taker Fee Discount
$0.00 or more traded-0.0200%0.0750%up to -2bps
$1,000,000.00 or more traded-0.0225%0.0725%up to -2bps
$10,000,000.00 or more traded-0.0250%0.0700%up to -2bps
$30,000,000.00 or more traded-0.0250%0.0675%up to -2bps
$100,000,000.00 or more traded-0.0275%0.0650%up to -2bps
$300,000,000.00 or more traded-0.0300%0.0625%up to -2bps
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Bitfinex Exchange Volume

The daily volume of Bitfinex is around $90 million, with Bitcoin and Ethereum accounting for most of it. Altcoins such as Litecoin, Bitcoin SV, EOS and Ethereum Classics have a daily volume of $2 to $5 million. Many of the altcoin pairs have a very low volume on the exchange, due to market conditions or projects that lack user interest or use-cases. 

Affiliate Program

Bitfinex’s referral program is one of the best in the industry with 3 levels and the possibility to multiply the percentages if the referred trader meets certain requirements. You can also receive a 5% rebate reward if you integrate the Bitfinex API into personal products or commercial libraries. 

Levels

  • Level 1: 18%
  • Level 2: 6%
  • Level 3: 2%

Multipliers

  • Up to 1.44x if a trader becomes verified affiliate
  • Up to 1.5x if the referred user holds the LEO token
  • Up to 1.44x members share and like official posts

Bitfinex Review Conclusion

Bitfinex is a good option if you are looking for a balanced cryptocurrency platform with attractive side features. It is not recommended for newbies as there are no user-friendly features like automatically renewable purchases or simplistic user-interface. Bitfinex has found a very stable ground when it comes to spot trading as a highly tailored exchange for people who are already familiar with this type of activity. 

Pros / Cons
  • High security
  • Multiple deposit and withdrawal options
  • Innovative instruments
  • Lack of advanced UI customization
  • Only 2 options for derivative trading

Bitfinex is a cryptocurrency exchange operating since 2012 with headquarters in Hong Kong, offering a lot of crypto and fiat trading pairs.