Bitfinex is a cryptocurrency exchange. It also offers margin trading. As we saw the leverage rate it is normal for more experienced Forex traders to consider it low, however, this is because of the unpredictable dynamic in the field of cryptocurrency trading. In terms of volume, we can say that as of now Bitfinex is one of the largest exchanges for Bitcoin on the market. The company that owns Bitfinex is called iFinex Inc. and its address is in Hong Kong.
- Trading Instruments (cryptocurrencies)
At Bitfinex you will be able to trade with most of the main and most popular cryptocurrencies. At the time of writing this article, the exchange offers a wide range of available digital currencies such as Bitcoin, Ethereum, EOS, Litecoin, Iota, Zcash, Dash, Ripple, Monero, Santiment, etc.
- Minimum Initial Deposit
The team behind Bitfinex did not specify the amount of the minimum initial deposit which is required to sign up for the platform. This is not a good sign as most of the online traders are used to work with brokers that disclose this kind of information in advance. Furthermore, some of the other available competitors in the field use the initial deposit amount as a way to attract the attention of new clients.
Bitfinex allows margin trading as well as cryptocurrency short-selling. The maximum leverage is 1 top 3,3. A few Forex brokers that offer Bitcoin trading have even higher leverage.
You have to remember that the market movements in the field of cryptocurrencies are very rapid, sudden, and sometimes unexpected. This is why a particular digital currency may lose or gain a significant part of its value in less than a day. The things are different when it comes to the traditional currencies which rarely register sever change in their value.
When compared to the competition, we can say that Bitfinex is quite fair when it comes to fees. Here you need to know that usually fees on crypto-exchanges are charged, based on what type of order you place.
The platform that is implemented on the official website of Bitfinex is browser-based which means that you don’t need to download it. Of course, in case you are willing to place trades via your mobile devices, you can use the app. Bitfinex Forex exchange uses MetaTrader4 (MT4), which once was the best choice possible, but it is considered just decent. Charting is provided by TradingView which features some additional technical tools such as various indicators, trend-lines, etc.
Methods of payment
We are disappointed with the fact that you cannot fund your account at Bitfinex by using options such as Credit Card, Skrill, and Paypall. In our opinion, this will decrease the number of new clients for the exchange platform who are still new to the crypto trading field.
Of course, you can fund your profile by using various cryptocurrencies and Bank Transfers, although the latter are currently disabled because of unknown reasons.
Is BitFinex a Scam or Not?
It is obvious that BitFinex is a quite popular online exchange broker, therefore we cannot say that it is a scam. Still, some of its features are not properly handled and the interface is not appropriate for all kinds of online investors. In addition, the number of available services, payment options, and customer support quality are mediocre which means that there are more reliable solutions on the market.
Based on all this, we can say that in our opinion, you should be careful when dealing with this particular Forex exchange broker.
CONS of Forex Exchanges
- Slow trading process – the trading process provided by this kind of trading solutions is slower than with automated platforms.
- Low Variety of Investment Options – the list of supported currencies and cryptocurrencies is insufficient in most of the cases.
We cannot recommend this exchange platform to everyone as it is definitely not suitable for those of you who still don’t have a cryptocurrency wallet. Also, the interface is not user-friendly so inexperienced investors will not be able to properly handle the operational process of the platform. This is why we would advise our readers to consider other options before signing in for Bitfinex.