Bitfinex Evaluation: Extensive Choice, Unfriendly UI and Some Scandals

Exchanges are the beating coronary heart of cryptocurrency buying and selling, and have already got a each day buying and selling quantity of billions of {dollars}. For retail crypto merchants, these exchanges are the commonest (and sometimes the one) market by which they will commerce cash in a handy and protected method. Following our guidebook for choosing the proper alternate, we are going to begin reviewing the most important crypto exchanges, ranging from Bitfinex.

Bitfinex, which was based in 2012, is operated by iFinex Inc., which is positioned in Hong Kong.  The alternate has greater than 60 buying and selling pairs, and is the world’s largest alternate by buying and selling quantity.

Bitfinex is an alternate with a variety of buying and selling capabilities and buying and selling pairs, however its considerably sophisticated consumer interface might make it tough to make use of for these new to crypto buying and selling. Bitfinex’s historical past of large-scale hacks definitely raises concern in regards to the alternate’s safety, however the alternate’s response to every of those incidences has managed to maintain its repute afloat (or not less than, considerably afloat).


  • ‘Chain Break up Tokens’, that are cash that enable customers to commerce speculatively on the longer term success of cash forked from the Bitcoin blockchain.
  • Personal customers making trades price over $100,000 could make use of Bitfinex’s OTC buying and selling service, which matches main offers.
  • Margin buying and selling with a most of a 3.3x leverage. Customers who enable their BTC to be lended for margin buying and selling earn curiosity on their tokens. Nevertheless, leaving tokens on the alternate might make them weak to hacking; margin lending requires customers to go away their tokens on the alternate all through the length of the mortgage.
  • Quite a lot of order varieties, together with restrict orders, market orders, one cancels different (OCO), cease orders, trailing cease orders, put up solely orders, hidden orders, fill or kill orders, iceber orders, and Time Weighted Common Value (TWAP) orders.

Buying and selling Quantity

Bitfinex has dominated the BTC market by way of buying and selling quantity during the last six months, as proven on this graph from

Privateness and Safety

It’s potential to enroll in an account on Bitfinex utilizing nothing however an e mail tackle–such an account can be utilized solely for crypto buying and selling. Nevertheless, identification verification is required for customers who want to deposit or withdraw fiat forex on the alternate. Id verification can also be required to expedite the withdrawal course of. There isn’t any shopping for restrict on Bitfinex.

To make accounts safer, customers can allow two-factor authentication by way of Google authenticator, Twilio, or a U2F Safety Key.

Bitfinex doesn’t supply very a lot details about how safety on the alternate works for “safety and proprietary causes.” Nevertheless, Bitfinex does say that the overwhelming majority of the cryptocurrency on the platform is saved offline in chilly wallets.

Uncover credible companions and premium shoppers at China’s main finance occasion!

In accordance with Bitfinex’s Privateness Coverage, the positioning tracks IP addresses to collect information for inside use. Moreover: “Bitfinex reserves the suitable to dam entry for any consumer accessing the Website by way of a proxy service intending to hide originating identification.”

Buyer Help

Bitfinex’s assist middle ( permits customers to “open a ticket” to request assist from the workers, though some customers have reported by way of Reddit that a number of weeks handed earlier than they obtained solutions to assist tickets they submitted.

Customers also can submit questions on deposits and withdrawals, and obtain steering on recovering entry to blocked accounts.


  • Taker Charge of most 0.2% (customers buying and selling greater than $30 million a month have their charges lowered to 0.1%); Maker Charge of 0.1%.
  • Withdrawal charges range by cryptocurrency:
  • Margin suppliers are charged 15% of the charges that they obtain; if the charges are offered by way of a hidden supply, the cost will increase to 18%.

Cost Strategies

  • Bitfinex helps financial institution wire transfers with a minimal $20 price.


  • The Bitfinex interface is reasonably sophisticated and takes time to know.  In case you are new to buying and selling cryptocurrency, make certain that you recognize precisely what you’re doing–errors might be expensive and are sometimes irreversible.
  • For extra skilled merchants, Bitfinex is a lovely possibility for just a few causes. Along with having excessive liquidity in BTC and ETH, Bitfinex’s assist of margin funding and a number of kinds of orders make it an alternate with a various set of capabilities.

Hacks and scandals

Bitfinex’s success has not gone with out its justifiable share of hacks and scandals.

The primary passed off in Might 2015, when 1500 BTC tokens had been stolen.

In April 2016, north of 120,000 BTC tokens (price roughly $72 million on the time) had been stolen from the alternate. Nevertheless, Bitfinex socialized the losses, spreading them evenly throughout all of its customers. Finally, Bitfinex compensated customers for his or her losses.

Bitfinex suffered extra hassle in April of 2017 when the alternate’s financial institution, Wells Fargo, put a maintain on the alternate’s accounts. Though every part went again to regular after the maintain was launched a number of weeks later, prospects complained of distorted pricing in the course of the freeze. The ordeal resulted within the determination to take away the assist of fiat currencies from Bitfinex, though fiat returned to the alternate in late November.

Most just lately, $31 million in Tether {dollars} had been stolen from Bitfinex in November of 2017.  The shut connection between Bitfinex and the Tether firm has raised various eyebrows–the 2 firms are primarily run by the identical two males, Phil Potter and Giancarlo Devasini.


I’m formally in search of donations to defend myself in opposition to Bitfinex’s frivolous lawsuit, reasonably than displaying their numbers they search to silence me.

I admire all of the assist you all have given me.


— Bitfinex’ed? #DontGetTethered (@Bitfinexed) December 4, 2017

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