Choosing the right cryptocurrency exchange is key for successful trading. This review looks at Bitfinex, a well-known platform in the industry. Launched in 2012, Bitfinex has become popular with advanced traders. It offers features like margin trading, lending, and staking.
But can you trust Bitfinex? Whether you’re new or experienced, understanding the platform’s features, fees, and challenges is vital. Bitfinex has faced controversies, including a major hack in 2016. Still, it remains a major player in the crypto world.
This Bitfinex review will cover availability, regulatory compliance, and user experience. This will help you decide if Bitfinex meets your trading goals.
Table of Contents
Bitfinex Exchange Review
Founded in 2012, Bitfinex is one of the top cryptocurrency exchanges. It is known for high liquidity and features made for experienced traders. The platform supports many cryptocurrencies, like Bitcoin, Ethereum, and various altcoins. Bitfinex offers a top-notch trading experience. It features tools such as margin trading, derivatives, and lending. It has earned a strong reputation for crypto day trading.
Bitfinex is designed for advanced users. It provides tools like API integration and over-the-counter (OTC) trading. While these features help professionals, beginners may find the interface daunting. The platform also allows staking, giving users a chance to earn passive income while trading.
It’s important to note that Bitfinex is not available to U.S. residents due to regulations. The exchange has faced security issues in the past, including a major hack in 2016. Since then, it has improved security with cold wallet storage and two-factor authentication to protect its users.
| Crypto Exchange Name | Bitfinex |
| Features | Spot, Staking, Derivatives, Bitfinex Pay, Leaderboard, Borrow Money, Bitrefill Shopping |
| SupportedFiat Currencies | USD, EUR, GBP, JPY, TRY, CNH |
| Deposit Methods | Credit/Debit Card, Wire Transfer, Crypto |
| Supported Cryptocurrencies | 167 |
| Number of Trading Pairs | 430 |
| Trading Fees | 0.1% Maker / 0.2% Taker |
| Customer Support | Ticket System, Help Center |
| Security Measures | 2FA, Address Whitelisting, IP Whitelisting, Cold Storage |
| Mobile App | Yes (Android and IOS) |
Pros
- Supports over 167 cryptocurrencies and 430 trading pairs
- Provides advanced features such as margin trading, crypto loans, derivatives, and staking
- High liquidity across many trading pairs, which ensures better price execution and minimal slippage
- Cold storage for most funds, 2FA, and other security features such as IP whitelisting
- The mobile app offers a seamless trading experience
Cons
- Bitfinex was hacked in 2016, resulting in the loss of 120,000 BTC
- The platform’s interface can be overwhelming for new users
- Fewer fiat deposit methods compared to some competitors
What We Like About Bitfinex: Top Features Reviewed
Margin & Derivatives Trading
Margin trading is a key feature of Bitfinex. It lets traders borrow funds to increase their trade sizes. Users with Basic Plus Verification or higher can access up to 10x leverage. This is available through Margin Funding. This system uses a peer-to-peer (P2P) model, meaning users borrow funds from each other instead of Bitfinex.
The exchange offers derivatives trading. You can leverage up to 100x on some futures contracts. Derivatives are financial tools. They help traders predict cryptocurrency price changes. This can be done without owning the assets.
Advanced Order Types
Bitfinex offers various sophisticated order types to support different trading strategies:
- Limit Order: Set a specific price for buying or selling. It executes only when the market hits your chosen price.
- Limit (Order Book): Similar to a limit order but visible on the order book for other traders.
- Market Order: Executes right away at the current market price. It’s great for traders who need speed.
- Stop Order: Triggers a market order when the price reaches a set stop level, helping to limit losses.
- Stop-Limit Order: Combines stop and limit orders, allowing you to set both trigger and execution prices.
- Trailing Stop Order: Adjusts the stop price based on market movements, locking in profits as prices rise.
- Fill or Kill (FOK) Order: Fills the entire order immediately or cancels it if it can’t be completed.
- Immediate or Cancel (IOC) Order: Fills as much of the order as possible right away, canceling any unfilled part.
Bitfinex also provides customizable order options to enhance your trading strategy:
- One Cancels Other (OCO): Place two orders at once, with one canceling if the other executes.
- Hidden Order: Keeps your order off the public order book, minimizing market impact.
- Visible on Hit: Displays the order only when it’s about to execute.
- Post-Only Limit Order: Ensures your limit order adds liquidity to the market.
- Reduce-Only Order: Confirms the order will reduce your position without increasing it.
- Time in Force (TIF) Order: Sets how long the order stays active before it cancels automatically.
Customizable Trading Dashboard
Bitfinex has a flexible trading dashboard to enhance the user experience. Traders can move and resize widgets. These include charts, order books, and trade histories. This way, they can create a layout that fits their needs. This customization leads to a focused trading environment.
The platform integrates smoothly with TradingView, giving users access to advanced charting tools. They can easily draw patterns, apply technical indicators, and analyze price trends. For traders on the go, the Bitfinex mobile app mirrors the desktop platform, ensuring a consistent trading experience.
To support long trading sessions, Bitfinex offers dark mode and other visual options. This feature boosts comfort and lowers eye strain. It helps users who watch markets for long times.
Staking and Lending
Bitfinex offers staking and lending options. This lets users earn passive income from their cryptocurrency.
By staking tokens like Ethereum, Solana, and Polkadot, users can earn up to 6.5% annually. A small service fee is taken from the rewards, but most goes directly to user accounts. The process is simple: just hold the eligible tokens in your wallet, and the rewards are sent automatically.
Bitfinex has a peer-to-peer (P2P) lending platform. This lets users lend their cryptocurrencies to other traders and earn interest. Interest rates change with market demand but stay competitive. All lending activities are handled through the Funding Wallet. This ensures a smooth and efficient process.
Bitfinex Borrow
Bitfinex Borrow is a peer-to-peer (P2P) platform for users needing liquidity without selling crypto assets. You can use your cryptocurrency as collateral to secure loans for your financial needs.
You can borrow funds in BTC, Tether, or other supported cryptocurrencies. Interest rates start at just 5.5% annually. The platform allows a maximum Loan-to-Value (LTV) ratio of 70%. This means you can borrow up to 70% of your collateral’s value. If your collateral’s value drops significantly, you may need to add more funds. Otherwise, you risk liquidation.
OTC Trading
Bitfinex allows Over-the-Counter (OTC) trading. This lets users make large trades without affecting market prices.
For peer-to-peer (P2P) trades, the minimum amount is $50. This makes it easy for many users to participate. However, Bitfinex’s official OTC desk serves institutional investors and high-net-worth individuals. The minimum trade size here is $100,000.
OTC trading has key benefits. It offers better privacy, faster execution, and lower fees. It’s a great choice for traders wanting to buy or sell large amounts of cryptocurrency without causing market changes or price drops.
Bitrefill Shopping
Bitfinex has partnered with Bitrefill to simplify spending cryptocurrency. Users can buy gift cards for popular stores like Amazon, Walmart, and Starbucks. They can also pay utility bills directly with their crypto.
The process is easy. Choose the gift card, pay with cryptocurrency, and get an instant code to use. This removes the hassle of converting crypto to cash, making it a practical option for daily expenses.
Bitfinex Leaderboard
The Bitfinex Leaderboard showcases top traders and their performance. It gives users a clear view of market success. Users can see who is doing well and learn from their strategies.
Traders can choose to stay anonymous or share their profiles for recognition. The leaderboard creates a competitive atmosphere, pushing participants to improve. For beginners, it’s a helpful resource to watch and adopt effective trading methods, making it a great educational tool.
Supported Cryptocurrencies and Trading Pairs
Bitfinex has many cryptocurrencies and trading pairs. They offer 167 coins and 430 trading pairs. Users can trade popular assets like Bitcoin (BTC), Ethereum (ETH), and Litecoin (LTC). They can also trade various altcoins and stablecoins. The platform supports both crypto-to-crypto and crypto-to-fiat trading, providing flexibility for traders.
Besides cryptocurrencies, Bitfinex provides several fiat currency pairs, such as USD, EUR, GBP, and JPY. This makes it easier for users to trade with their local currencies. While its total number of pairs is lower than exchanges like Bitget or Binance, Bitfinex offers high liquidity and reliability, ensuring it remains a solid choice for traders.
Bitfinex Fees: Is it Free to Use?
Spot Trading Fees
(0.1% maker and 0.2% taker)
Spot trading fees on Bitfinex depend on your 30-day trading volume and whether you are a maker or a taker.
- Maker Fees: Makers add liquidity to the market by placing limit orders that are not immediately matched. They benefit from lower fees, starting at 0.1% for beginners and reducing as volume increases.
- Taker Fees: Takers remove liquidity by placing orders that are immediately matched. Their fees start at 0.2% and decrease with higher trading volumes.
High-volume traders enjoy significant discounts, making Bitfinex an attractive platform for professional traders.
| 30-Day Trading Volume | Trading Fee (Maker /Taker) |
|---|---|
| $0 to $500,000 | 0.100% / 0.200% |
| $500,000 to $1 Million | 0.080% / 0.200% |
| $1 Million to $2.5 Million | 0.060% / 0.200% |
| $2.5 Million to $5 Million | 0.040% / 0.200% |
| $5 Million to $7.5 Million | 0.020% / 0.200% |
Futures Trading Fees
Bitfinex offers lower fees for futures trading compared to spot trading. The fee structure for futures is as follows:
- Maker Fees: Start at 0.02% and can go even lower as trading volume increases.
- Taker Fees: Start at 0.065% for all users, with similar volume-based discounts available.
| 30-Day Trading Volume | Trading Fee (Maker /Taker) |
|---|---|
| $0 to $2 Million | 0.0200% / 0.0650% |
| $2 Million to $7.5 Million | 0.0125% / 0.0600% |
| $7.5 Million to $30 Million | 0.0100% / 0.0550% |
| $30 Million to $300 Million | -0.0025% / 0.0450% |
LEO Token Fee Rebates
Bitfinex incentivizes users to hold its native token, UNUS SED LEO (LEO), by offering fee discounts. The more LEO tokens you hold, the greater the rebates you receive on trading fees.
| Level | Level 1 | Level 2 | Level 3 |
|---|---|---|---|
| Level Requirement | > 1 USDt LEO equivalent | > 5000 USDt LEO equivalent | > 10,000 USDt LEO equivalent |
| Crypto-to-Crypto | -15% (Taker fees) | -25% (Taker fees) | -25% + up to 6 bps (Taker fees) |
| Crypto-to-Stablecoin | -15% (Taker fees) | -25% (Taker fees) | -25% + up to 6 bps (Taker fees) |
| Crypto-to-Fiat | Not available | -10% (Taker fees) | -10% + up to 6 bps (Taker fees) |
| Crypto-Derivatives | Not available | Not available | Up to 0.5 bps (Maker fees) / 1.5 bps (Taker fees) |
bps = Basis Points (1 bps = 0.01%)
Withdrawal and Deposit Fees
- Cryptocurrency Withdrawals: The fees vary depending on the type of cryptocurrency. For instance, withdrawing Bitcoin incurs a fixed fee of 0.0004 BTC, while Ethereum withdrawals cost 0.00135 ETH.
- Fiat Withdrawals: Bank wire withdrawals typically have a fee of 0.1% of the withdrawal amount. If the withdrawal is processed as an express transaction, the fee rises to 1%.
- Deposits: Depositing cryptocurrencies is usually free, but some fiat deposits via wire transfer may incur a fee of 0.1%, depending on the payment method.
Withdrawal Limits
- Cryptocurrency Withdrawals: The minimum withdrawal amount is $5 equivalent to any cryptocurrency. This limit ensures that very small amounts, often referred to as “dust,” are not processed. Fully verified users can withdraw large amounts of cryptocurrency without any daily cap.
- Fiat Withdrawals: For users with Full Verification, the minimum fiat withdrawal is 10,000 USD/EUR/GBP or 1,000,000 JPY to a bank account. For Euro transfers processed via the third-party provider OpenPayd, the minimum withdrawal is €25.
Bitfinex Ease of Use
Our Bitfinex review found that it is a simple-to-use crypto trading platform for both new and experienced traders. The platform has a clean layout, making it easy to find everything. You can quickly locate tools like charts, order books, and trade history.
The trading dashboard is customizable. You can move and resize widgets to match your style. This helps you focus on the tools you need most.
Bitfinex offers helpful guides and FAQs for beginners. These explain the features step by step. The platform also supports multiple languages, so it’s easier for people worldwide to use.
The mobile app works just like the desktop version. It lets you trade, check prices, and manage your account from anywhere. The app is smooth and works well on both Android and iOS.
Bitfinex Security: Is it Safe?
Bitfinex puts user security first, using many safeguards to protect funds and data. In 2016, the platform faced a severe hack. About 120,000 Bitcoin, worth $623 million, were stolen. This hack is one of the largest in cryptocurrency history. Since then, Bitfinex has made major upgrades to its security to prevent future incidents.
Today, the platform uses strong measures to protect assets. Most user funds are in cold wallets. These are offline storage solutions safe from online threats. Only a small amount is kept in hot wallets for daily transactions.
To boost account security, Bitfinex offers Two-Factor Authentication (2FA). This requires a code from the user’s phone to log in or withdraw funds. Bitfinex also has IP whitelisting, which allows withdrawals only from approved devices or networks.
Furthermore, Bitfinex uses encryption protocols and performs regular security audits. They monitor for unusual activity and alert users to suspicious behavior. To add more safety, the platform needs confirmation for withdrawals, ensuring all outgoing transactions are approved by users.
Bitfinex Mobile App Review
The Bitfinex App brings full platform functionality to your smartphone or tablet. You can trade seamlessly, even on the go. It works on both iOS and Android devices, letting you access your account easily anytime.
With the app, you can manage trades, monitor market prices, deposit and withdraw funds, and stake cryptocurrencies—all from your hand.
For beginners, Lite Mode simplifies trading with a clean interface. It focuses on key features like trading, staking, and wallet management. Experienced traders can switch to Pro Mode for advanced tools and features tailored to them.
The app also has security features to protect your account. It includes two-factor authentication (2FA), biometric login, and a PIN setup, giving you peace of mind while trading.
Customer Support Team
Bitfinex has a support team ready to help users with questions and issues. Users can send requests using a ticketing system on their website. This gives personal attention to each issue. For common problems, there is a comprehensive Help Center with guides on account setup, trading, withdrawals, and more. Bitfinex supports users in multiple languages, catering to a global audience.
For urgent issues, users can contact the support team directly through the app or website. Bitfinex doesn’t have live chat or phone support. However, its detailed guides and fast ticket responses provide users with timely and effective help.
Bitfinex Alternative Exchanges Review
Bitget, Binance, Bybit, Coinbase, and KuCoin are some of the best alternatives to Bitfinex crypto exchange.
Bitget (Best For Crypto Copy Trading)
- Top Features: Spot, Futures with 125x leverage, Trading bots, and Copy trading
- Supported Coins: 850+ including low-cap altcoins
- Trading Fees: 0.1% maker/taker
- Deposit methods: Bank transfer, debit/credit card, P2P marketplace
KuCoin (Best For New Altcoin Trading)
- Top Features: Spot, Futures, Margin, Trading bots, and P2P Trading
- Supported Coins: 700+ including new altcoins
- Trading Fees: 0.1% maker/taker
- Deposit methods: Visa, Mastercard, SEPA, UPI, Faster Payment System (FPS), and 70+ more
How to Use the Bitfinex Trading Platform?
Step 1: Open Bitfinex Account
To begin, you need to create a Bitfinex account. Visit the official website and click on the “Sign Up” button. You will be asked to provide an email address, set a strong password, and agree to the platform’s terms and conditions. After submitting your details, you’ll receive a confirmation email. Once verified, you can log in and access your account dashboard.
You can use the Bitfinex referral code ApvPFbNg0 to get a sign-up bonus and trading fee rebate.
Step 2: Complete KYC
After signing up, Bitfinex requires you to complete the Know Your Customer (KYC) process for security and regulatory compliance. To do this, navigate to the verification section of your account.
You will need to submit identification documents, such as a passport or driver’s license, and provide proof of address, like a utility bill. This step ensures that your account is fully verified and ready for higher withdrawal limits and enhanced security.
Step 3: Deposit Funds (Fiat or Crypto)
Once your account is set up, you can deposit funds into your Bitfinex account. You can choose to deposit either fiat currency (USD, EUR, etc.) or cryptocurrencies (like Bitcoin, Ethereum, or others).
For fiat deposits, you can use bank transfers or third-party services. Crypto deposits can be made directly from your wallet to your Bitfinex deposit address. Simply go to the “Deposit” section, select your preferred method, and follow the instructions to complete the transaction.
Step 4: Buy Crypto using Debit/Credit Card
If you want to buy cryptocurrency directly, Bitfinex allows you to use your debit or credit card. To do this, go to the “Buy Crypto” section on the platform, choose the cryptocurrency you wish to purchase, and enter your payment details.
Bitfinex supports cards from major providers like Visa and MasterCard. Once your payment is processed, the cryptocurrency will be credited to your account, and you can start trading immediately.
Conclusion
This Bitfinex review shows the platform’s key features. It has many cryptocurrencies to choose from, great trading tools, and solid security.
Bitfinex offers a strong selection of assets and great liquidity. This makes it a trusted option for traders. Its complex interface and special tools suit intermediate and experienced users best. To keep your assets safe, the platform uses two-factor authentication and cold wallet storage.
Bitfinex faced a major security breach in 2016. Since then, it has made significant upgrades to enhance asset protection. Overall, Bitfinex is a trustworthy platform for serious traders looking for diverse trading pairs, advanced tools, and a secure experience.
FAQs on Bitfinex Review
Is Bitfinex available in the U.S.?
No, Bitfinex does not allow U.S. users. If you are a U.S. citizen, resident, or have a U.S. passport, you cannot open an account or trade on the platform. Bitfinex’s Terms of Service clearly state that U.S. persons cannot use its services, including accessing its website.
Who is Bitfinex for?
Bitfinex serves experienced cryptocurrency traders who want advanced features. These include margin trading, derivatives, and many crypto pairs. It also works well for businesses and wealthy individuals. They benefit from over-the-counter (OTC) trading and high liquidity. However, beginners may find the platform’s complex interface and specialized tools challenging.
Is Bitfinex regulated or licensed?
Bitfinex follows different regulations based on the region. In El Salvador, its securities platform meets local laws from the National Digital Asset Commission. However, the exchange does not have regulatory licenses in many other countries, including the United States.
Is Bitfinex legit or a scam?
Yes, Bitfinex is a legitimate cryptocurrency exchange, but it has faced controversy. In 2016, the platform suffered a major hacking incident. Since then, it has improved its security. It now uses cold storage and strong account protection measures. Bitfinex is well-regarded in the crypto community and trusted by many experienced traders.
Is Bitfinex good for beginners?
Bitfinex might not be great for beginners. Its many advanced features, like margin trading, lending, and API access, can confuse newcomers. Instead, user-friendly platforms like Bitget, Bybit, or Binance may be better options.
How do I withdraw money from Bitfinex?
Withdrawing funds from Bitfinex is easy. First, log in to your account. Then, go to the “Withdraw” section. Select your currency and enter your wallet address or bank details. Remember, fiat withdrawals can take a few business days to process and may have fees. Make sure your account is fully verified for a successful withdrawal.
Is Bitfinex a trustworthy cryptocurrency exchange?
Bitfinex is trusted by advanced traders due to its high liquidity, strong security, and various trading options. However, its hack history and complex tools may make it less attractive or secure for beginners.
