Binance is one of the largest cryptocurrency exchanges in the world. Binance.US is the American arm of Binance that launched in 2019 to serve U.S. customers after Binance limited its services in the U.S. due to regulatory issues.
Many cryptocurrency users wonder if Binance.US is a safe and legitimate exchange to use. Here we’ll look at the key facts to understand the risks and benefits of using Binance.US.
Binance.US Overview
Ownership and Team
Binance.US is operated by BAM Trading Services based in San Francisco and owned by Binance. It has a separate management team from the global Binance exchange but has access to its liquidity and matching engine technology.
The CEO of Binance.US is Brian Shroder, who has over 15 years of experience in global finance and previously worked at Anthem and Uber. Other key team members also have backgrounds at major U.S. financial institutions.
Regulatory Compliance
Binance.US is incorporated in the United States and complies with U.S. regulatory standards. It is registered with FinCEN and enforces KYC/AML regulations. User assets are held in custodial bank accounts.
Binance.US operates in most U.S. states and Washington D.C. but currently restricts access from Connecticut, Hawaii, Idaho, Louisiana, New York, Texas, Vermont and Washington state due to changing regulations.
Security
Binance.US utilizes industry-standard security measures like cold storage, 2-factor authentication, and encryption protocols. Only 2% of user funds are kept in hot wallets and insured by FDIC.
The company has not had any major security incidents but had an API incident in May 2021 that exposed some user data.
Trading Experience
Fees
Binance.US has a 0.1% spot trading fee which is lower than most competitors. There are reduced fees of 0.075% or 0.06% with BNB discounts.
Deposit fees are free for bank transfers and debit cards. Withdrawal fees vary by cryptocurrency from $0.50 to $25.
Liquidity and Listings
Binance.US has over 90 cryptocurrencies available to trade, significantly less than global Binance. Liquidity is lower than the global exchange but generally adequate for most major cryptos.
New asset listings undergo regulatory review so new coins are slow to be added compared to other exchanges. Popular coins like ADA, DOT, SOL were listed over 6 months after global Binance.
User Interface
The Binance.US website and mobile apps have a clean user interface. It is easy for beginners to get started but also provides advanced charting and order options for experienced traders.
One downside is that the U.S. version lacks features available on global Binance like margin trading. Customer support options are also more limited.
Reputation
Binance.US has a relatively short operating history, so its reputation is still developing. Here are some of the main pros and cons that have emerged:
Pros
- Backed by major global brand Binance
- Good regulatory standing in United States
- Competitive trading fees
- Smooth onboarding process
Cons
- Delays in adding new cryptocurrencies
- Restricted access in some U.S. states
- Limited coins compared to global exchange
- Less features than global site
While Binance had compliance issues in its early unchecked global growth, Binance.US is making an effort to do things right from both a regulatory and customer service standpoint.
Customer Feedback
Here are some examples of customer reviews from major websites:
| Website | Rating | Sample Review |
|---|---|---|
| Trustpilot | 4.7/5 | “Hassle free sign up process, easy to use platform, great customer service, low fees – what’s not to like?” |
| SiteJabber | 4.5/5 | “The advanced trading features are amazing. My only complaint is having to wait so long for new coin listings.” |
| BBB | A+ | “I’m very pleased with Binance.US so far. My deposits, trades and withdrawals have all been processed quickly.” |
Reviews of Binance.US are generally positive and highlight its ease of use along with low trading fees. The most common complaints are around slow listing of new cryptocurrencies and restrictions for U.S. users compared to the global platform.
Conclusion
In summary, Binance.US is considered a safe and well-regulated option for U.S. cryptocurrency users, although it has fewer features compared to the global Binance site.
Pros of using Binance.US include:
- Strong brand reputation of Binance
- Good legal compliance for U.S. operations
- Competitive trading fees and onboarding process
- Robust security protections for user funds
Potential downsides to consider:
- Less cryptocurrencies available than many competitors
- Restricted access in some U.S. states
- Less features than global Binance platform
- Short operating history
Overall Binance.US appears to be establishing itself as a leading U.S. cryptocurrency exchange that balances regulatory compliance with ease of use. While it has some limitations compared to the global exchange, Binance.US offers a secure and well-designed platform for Beginners and advanced U.S.-based traders.