Ethfinex Cryptocurrency Exchange Review
Ethfinex opened for trading for Bitfinex users on December 29, 2017, and for all other users on January 15, 2018. Ethfinex is in the Virgin Islands. As its name suggests, all trades are done in Ethereum. It is also one of the top 15 markets, measured by trading volume, in the world.
They offer round the clock customer support, a rare feature among cryptocurrency markets. Ethfinex offers high-end security. Unlike many markets, they only keep a portion of the coins in hot wallets (.5%). The rest are kept off-site in cold storage, preventing damage in case a hacker attempts or succeeds in stealing coins.
Ethfinex offers its own token called Nectar, which is given out for free to makers based on their trading volumes.
They offer margin trading, and additional trading features like limit, market, stop, fill or kill, trailing stop, iceberg, and OCO. Ethfinex is largely decentralized and does not store user information or coins on a centralized system. Users can also complete transactions by using remote portals, thereby not having to deposit funds with Ethfinex directly.
Currently, Ethfinex supports 39 different currencies, including Bitcoin and Ethereum. Users can deposit USD via bank deposits and transfers. Ethfinex is geared towards professional traders. All new account holders must maintain at least $10,000.00 minimum equity. Until you reach the minimum equity limit, you can’t trade. A lengthy verification process is required for any traders who wish to use Fiat currency.
Opening an Account
You can register for an account online, which requires a username, email address, password, and time zone. Bitfinex users can link their accounts with Ethfinex. Once your account is open, you can make deposits by logging in and clicking “Deposit.”
Ethfinex structures its fees based on market volume trading the previous 30 days. Maker and taker fees also exist. Maker fees occur when you add liquidity to the order book and you buy below the ticker price or sell above the ticker price. Marker fees range between .00% and .01%. Taker fees are charged when you subtract from the liquidity order book by buying below the ticker price or sell above the ticker price. Take fees range between .01% and .02%. Taker fees decrease when your trading volume is $50,000.00 or more.
Deposits fees are applied when a deposit is under $1,000.00. Otherwise, there are no deposit fees assessed. Withdrawal fees vary depending on what coin is traded. Additionally, there are fees for margin funding
Ethfinex offers two-step verification, monitors potential suspicious activity, offers withdrawal protection, encrypts emails, and utilizes advanced API permissions. Ethfinex uses smart-contracts through Ethereum’s blockchain. Trades using this method require a minimum trade value of $200.00.
Users can trade on a 3.3% margin that is funded by a peer-to-peer funding network. You can either shop for your own funding, and choose the term and interest, or allow Ethereum to find the best funding options for you. Ethfinex allows users to profit by offering users the ability to offer their USD or Ethereum deposits to those wishing to obtain funding.