Binance is the largest cryptocurrency trading platform in the world by volume, but it’s not available in the United States. If you want access to a similar platform in the United States, you could instead use Binance.US.
Binance.US might not be as big as its parent exchange, but it does offer low fees and access to tools that intermediate-to-advanced cryptocurrency traders could use.
This Binance.US review could help you decide if this is the right cryptocurrency exchange for your needs.
Invest in cryptocurrencies with low trading fees using Binance.US. The exchange offers
- Tools for beginners, professional, and institutional traders
- Access to real-time order books, charting tools, and trade history
- Advanced platform security to help keeping your crypto safe
Binance.US at a glance
|Mobile app||Android, iOS|
|Fee structure||Tiered, up to 0.1% trading fee, offers discounts|
|Available cryptocurrencies||80+ available coins, including:
|Buy/deposit methods||ACH wire transfer, debit card, cryptocurrency transfer|
|Sell/withdrawal methods||ACH wire transfer to a bank account, transfer to external crypto wallets|
|Best for...||Intermediate to advanced traders looking for low fees|
When investing money, the exchange or broker you choose might make a difference. This could be true for stock and cryptocurrency exchanges alike. One of the most popular platforms to trade crypto in the world is Binance, but it’s not available to those living in the United States.
Binance.US is the result of a partnership between Binance, the largest cryptocurrency exchange in the world, and BAM Trading Services, Inc. The two formed a partnership to launch Binance.US as a U.S.-based cryptocurrency exchange.
Binance was founded by Changpeng Zhao as a way to trade cryptocurrencies around the world. However, after running into regulatory issues, Binance had to stop operating in the United States. The partnership led to the launch of Binance.US, which is headquartered in San Francisco. This allowed U.S. customers to access some of the services offered by Binance.
Binance.US is a separate exchange from Binance, though, and doesn’t offer the same crypto products and services. For those hoping to get the exact same experience offered by Binance, Binance.US won’t quite match up.
Binance.US is registered with the Financial Crimes Enforcement Network (FinCEN), a department of the U.S. Treasury.
Being regulated by the FinCEN could add a layer of legitimacy to Binance.US. This could be especially important if you’re concerned about the fact that the parent company, Binance, has been banned in some other countries, including the United Kingdom. However, even though Binance.US is registered with FinCEN and is available in most states, it’s not available in Hawaii, Idaho, New York, Texas, or Vermont.
As of April 2022, Binance.US has a 24-hour trading volume of $306.16 million. Members of Binance.US get access to low fees, including a discount for those who hold and use binance coin (BNB), a cryptocurrency launched by the exchange. Binance.US also offers staking opportunities, which is a form of holding a cryptocurrency for an amount of time to help secure its blockchain in exchange for crypto rewards.
|Low trading fees||Difficult to navigate|
|Availability of educational resources||Limited customer support|
|Discount for Binance coin holders||Not available in some states|
|High security rating||Fewer crypto assets than Binance|
|Availability of staking||2019 Binance.com hack may raise concerns|
Binance.US pros explained
Binance.US has some pros that could be attractive to several types of crypto traders. This includes:
Low trading fees
Binance.US fees are on a tiered model. The more you trade in a 30-day period, the lower your fees will be. Binance.US charges up to 0.10% transaction fees for both makers and takers.
Makers are traders who place an order and wait for it to be matched, adding to the liquidity of the market. Takers, on the other hand, are those who use spot trading by placing an instant-buy order at current market rates. At higher tiers, makers pay a lower fee than takers.
If you want to learn more about cryptocurrencies, blockchains, trading, and other aspects of digital assets, Binance.US offers a wide range of resources. While the platform’s interface might be better for intermediate to advanced users, beginners could learn a lot from the extensive knowledge base.
Discount for Binance coin holders
Because Binance coin is the native cryptocurrency for Binance and Binance.US, those who use it and hold it in their accounts get a discount on fees.
Binance.US uses advanced storage technology and has a 3-star security rating, the highest rating on the CER cryptocurrency exchange ranking platform. Additionally, your fiat U.S. dollar deposits are protected by FDIC insurance.
In addition to allowing the staking of Binance coins, Binance.US also offers the ability to earn more cryptocurrencies by staking other coins. If you’re willing to hold these coins in the exchange, you receive a form of reward payment in the form of the coins you hold. This could be a way to increase your holdings over time.
Binance.US cons explained
While there could be several pros to Binance.US, it also has its drawbacks:
Difficult to navigate
Binance.US could be difficult to navigate, especially for beginners learning how to trade. There might be a learning curve involved, and the interface may not always be intuitive. When you learn how to buy cryptocurrency, it might help to start with a platform that’s easy to use. Binance.US may not always be easy for new traders to grasp.
Limited customer support
While you could access a knowledge base to help you answer questions, if you need more advanced help, you need to submit an email request. There is a digital assistant via chat on the website, but its responses may be limited and it mostly functions as an advanced search.
Not available in some US states
Even though Binance.US is meant as a cryptocurrency exchange for U.S. residents, it isn’t available in all states. If you live in the following states, you can’t use Binance.US:
- New York
Fewer crypto trading pairs than Binance
While Binance boasts hundreds of cryptocurrencies, Binance.US only offers access to roughly 80+ cryptocurrencies. While there is a healthy number of assets available, it’s still a relatively small number compared with some other exchanges.
Even though there are fewer assets, it’s still possible to buy bitcoin, the most popular cryptocurrency by market value. You could also access other major cryptocurrencies like litecoin and ether, the coin powering the ethereum blockchain. These cryptocurrencies are usually found in pairs against the U.S. dollar, such as USD/ETH, as well as against other cryptocurrencies, such as BTC/ETH.
2019 Binance hack
Parent crypto exchange Binance was the subject of a hack in 2019, in which the attackers were able to steal 7,000 bitcoins in a single transaction. On top of that, the API codes and the two-factor authentication codes on the platform were compromised.
Binance claims that it used its insured funds to make affected clients whole. For some, though, the fact that the parent exchange was hacked, as well as concerns about regulatory issues and bans in other countries, might be a deal breaker.
Investor satisfaction with Binance.US
Binance.US has a rating of 1.3 out of 5 stars on Trustpilot. Those who like the platform cite its low fees and useful features for advanced traders. However, many people report that their accounts have been locked or that they have had problems with their wallets.
More poor reviews may seem to come from new traders, while experienced traders might have a liking for the platform. It’s always a good idea to take reviews on both sides of the spectrum with a grain of salt since reviews may not always reflect the average user experience.
Binance.US tax statement portal
One important tool that Binance.US provides is its tax portal. The exchange prepares copies of tax documents and offers information on how to figure out what you might owe in U.S. taxes from your trades.
You could get a copy of your crypto wallet transactions to help you determine the cost basis and other tax items. If you have earned staking rewards in excess of $600, Binance.US will issue you a 1099-MISC tax form, which will also be reported to the IRS. This could simplify your tax filing process.
Opening an account on Binance.US
You could open an account on Binance.US rather quickly and easily. All you need is an email and a password. Once you confirm your email, you have set up your basic account.
However, you’ll need to verify your account so you could fully participate and trade on Binance.US. In order to verify your account, you may need to provide:
- Your name
- Your address
- Proof of your address, such as a utility bill or bank statement
- Your phone number
- An image of your government ID
Verification might take several days, so it’s important to plan for that when opening an account with Binance.US.
Other cryptocurrency exchanges to consider
If Binance.US doesn’t feel like the right choice for you, you could consider some of the best cryptocurrency exchanges. Two of your choices are:
Coinbase could be a user-friendly alternative to Binance.US, and offers access to a wider range of crypto assets than Binance.US. It has educational sources and it allows you to earn rewards through staking. Coinbase might make it easy to buy, sell, and trade crypto assets and might be a good choice for beginners. However, you may pay higher fees when using Coinbase versus Binance.US.
Learn more in this Coinbase review.
eToro could be another user-friendly option when buying cryptocurrencies and might be good for beginners. Users can access a crypto wallet and trade dozens of cryptocurrencies. Additionally, eToro has a social trading aspect that allows you to copy the trades of other successful cryptocurrency enthusiasts.
Find out more by reading our eToro review.
FAQs about Binance.US
What is the difference between Binance and Binance.US?
The difference is that Binance.US is allowed to operate in the U.S. while Binance is banned within the country.
The Binance exchange is one of the largest cryptocurrency exchanges in the world and offers a number of products and services, including derivatives trading. However, Binance isn’t legal in the United States, so a separate exchange, Binance.US, was created for U.S. residents.
It’s important to note that Binance.US has fewer cryptocurrencies available and fewer available services than Binance.
Is Binance legal in the US?
No, Binance is not available in the U.S. Instead, U.S. users need to sign up for Binance.US, which is a separate exchange.
Does Binance.US report to the IRS?
Binance.US reports staking rewards to the IRS when they exceed $600 in a year. You could also access information to help you determine your cost basis so you can report your capital gains on your tax return.
Binance.US offers cryptocurrency trading with low fees. Additionally, it could allow you to earn more through staking. However, Binance.US has fewer cryptocurrencies than some other major crypto exchanges and isn’t available in every state.
Some advanced traders might find Binance.US a better option than more simple exchanges such as Coinbase. In that case, it might make sense to transfer from Coinbase to Binance.
When deciding whether to use Binance.US, carefully consider your portfolio goals and needs. Research other cryptocurrency exchanges and choose one that could help you achieve your cryptocurrency trading objectives.