Binance.US vs. Crypto.com | NextAdvisor with TIME

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Crypto.com and Binance.US are two popular crypto exchanges, but we think Crypto.com is the best choice for most investors.

While Binance.US offers lower fees, you’ll find a rewards debit card, more coin options, transparent security processes, and more opportunities to grow your crypto holdings at Crypto.com. Additionally, Crypto.com has a larger trading volume and is available in all states except New York, while Binance.US has more geo-restrictions.

Binance.US is a separate sister company to Binance, the world’s largest cryptocurrency exchange. Binance faced regulatory issues, and is banned in the UK and Italy. He was investigated by the US government for money laundering, tax evasion and insider trading in September 2021, according to report by Bloomberg. Binance.US is under investigation by the Securities and Exchange Commission regarding his connection to the CEO of Binance and two companies that buy and sell on the site. The US operation licenses Binance’s software, brands, and wallet technology, and is otherwise a separate entity, according to an email from a Binance.US spokesperson. We reached out to Binance.US about this several times and only received a general email response after we posted our Binance.US review in July 2021.

Here’s why Crypto.com is a better bet for getting the most out of your cryptocurrency investments.

Before you start

No matter where you buy it, cryptocurrency is a highly volatile speculative investment. Only invest in crypto what you are willing to lose and make sure you have other financial priorities in place first: save money in an emergency fund, contribute to savings- retirement and pay off any high-interest debt balance.

Side by side comparison

Binance.FR Crypto.com
Good for Active trading with low transaction fees Beginner to Intermediate Cryptocurrency Investors Looking for Additional Crypto Products
Coins 80+ cryptocurrencies 250+ cryptocurrencies
Costs Tiered maker/taker model. 0.1% one-time fee; can get a 25% discount on your fees if you hold BNB Up to 0.40%, with discounts when using CRO
Wallet storage Hold the coins in a Binance.US account or transfer them to your own wallet On exchange, in Crypto.com wallet, or transfer to your own wallet
Security functions Claims to keep assets in cold storage, two-factor authentication Crypto assets held offline with Ledger vault, FDIC insurance for USD balances, multi-factor authentication, whitelisting and industry best practices.
Additional Features • Staking
• Tax portal
• Debit card with rewards
• NFT Investment
• Crypto.comPay
• Yield farming
• Staking
Minimum transactions $10 Equal to the smallest amount of each coin that can be traded

Pros and Cons: Binance.US vs. Crypto.com

Binance.FR Crypto.com
Advantages • Low fees
• Discount on trading fees
• Tax declaration portal
• Identity verification process
• More than 250 cryptocurrencies
• Suite of financial products
• Competitive fees and discounts
• Debit card with rewards
The inconvenients • Not available in six states
• Limited customer service
• History of regulatory issues
• Safety information is not readily available
• Understanding fees and accessing discounts can be confusing
• Must use CRO to get the most out of rewards and staking
• Minimum deposit or withdrawal for wire transfer is 500 USDC

Wallet offers

Binance.US and Crypto.com both offer the ability to store coins on the exchange using a dynamic wallet. But Crypto.com gives you more options: you can store your coins in a decentralized wallet, which is ideal if you want to reinforce the feeling of belonging. Moreover, the decentralized wallet allows you to choose from different networks and transfer speeds, depending on the fees. Crypto.com also offers a centralized service custody wallet for your coins, giving you the added security of Know Your Customer (KYC) verification.

Binance.US suggests using Trust Wallet (owned by the largest Binance) for your coins. But we think an “in-house” wallet that you can connect directly to your exchange account would be better for most investors, especially beginners.

If you want more control over your cryptocurrencies and more wallet options, Crypto.com is the best choice.

Security

Crypto.com touts its security measures, which are in line with blockchain technology best practices. In addition to this, Crypto.com protects US dollar balances with FDIC insurance, since these assets are held at the Metropolitan Commercial Bank. All cryptocurrencies are kept offline with Ledger Vault.

However, even with this security system, Crypto.com has been subject to $35 million hack in January 2022. The company claims that no users lost funds in the hack and that the exchange has improved its security features to prevent future hacks. New recipient addresses trigger user alerts and Crypto.com has joined the Global Account Protection Program in an effort to mitigate issues in the future.

While the Binance.US site mentions a dedication to security, we don’t see much transparency on how accounts are secured. Binance.US is registered with the Financial Crimes Enforcement Network (FinCEN) in the United States, with the help of its American partner, BAM Trading Services. While the largest Binance has already covered consumption lossesthere is no warranty with the US company.

We have reached out to Binance.US and Crypto.com for comment on these issues and for more information, and will update this comparison if either company responds.

Crypto.com is more open about its efforts to protect customer assets, making it the best choice if you’re looking for peace of mind.

Cryptocurrencies available

Binance.US offers more than 80 cryptocurrencieswhile Crypto.com offers over 250 cryptocurrencies.

Both Binance.FR and Crypto.com offer native cryptocurrencies, as they both have their own blockchains. Additionally, both companies offer discounts if you use their coins. However, using BNB coin to get a transaction fee rebate is easier than figuring out how to get a fee rebate with CRO.

If you are looking to access a wider variety of available cryptocurrencies, Crypto.com is the obvious choice.

Costs

Both Binance.US and Crypto.com use a manufacturer/taker model for costs. That means:

  • A manufacturer places an order that is not fulfilled immediately. The order is placed “on the book” until it can be matched with another order.
  • A taker places a market order which is immediately matched with an order already on the books.

With Binance.US and Crypto.com, taker fees are generally higher than maker fees at each level. Both exchanges offer lower fees as your trading volume is high each month.

But although Crypto.com offers competitive transaction fees, they are not as low as the fees charged by Binance.US, which caps at 0.10%. Moreover, by holding BNB in ​​your account, you get a discount. Crypto.com offers a rebate for using CRO to pay the fee, but the fee goes up to 0.40%. To withdraw from the exchange to your bank account, you will see a minimum requirement of 500 USDC ($500). If that’s not too high for you, we think Crypto.com is worth the higher fees thanks to everything it offers.

But if you’re looking for a cryptocurrency exchange with the lowest possible fees, this is one area where Binance.US can serve you better than Crypto.com.

Staking, credit cards, other options

Binance.US offers fewer products and services than Crypto.com, but you can access staking, which allows you to earn extra coins by keeping them in your account. When you hold the coins, you receive crypto interest payments.

If you are a bit advanced and want a more detailed view, you can also get advanced information mapping tools on Binance.US. You can also access an OTC trading portal for direct trading and order matching with other exchange users. And you can use a tax portal on Binance.US which can make preparing your taxes a little easier. (You might also consider crypto portfolio tracking to stay on top of your business and make tax preparation easier.)

Crypto.com offers a range of cryptocurrency-related products and services that can help you integrate crypto into your daily life, as well as access other digital assets:

  • Debit card: After wagering CRO for at least six months, you can apply for Visa Rewards Crypto.com debit card which allows you to earn rewards with your purchases. Your rewards are paid in CRO and added to your Crypto.com wallet. The amount you earn and the fees involved depend on your card level.
  • To win: This is how Crypto.com allows you to stake coins and earn interest. You must allocate coins to win, however, if you want them earn interest.
  • NFT: Access the different NFTincluding pickups and drops, with Crypto.com.
  • Pay: Use the Crypto.com network to receive payments for your business, buy goods and services, or send crypto to friends with Crypto.com Pay. You don’t have to worry about gas charges and you can get bonus CRO.
  • Yield farming: Lock your coins to earn even more provide liquidity exchange and other projects.

Crypto.com has the edge here in terms of products and services you can use to increase your income in the crypto space.

Pro tip

Consider your preferences and goals when deciding on a cryptocurrency exchange.

How to choose between Binance.US and Crypto.com

While Binance.US will save you money on fees, Crypto.com is a better bet for most investors and especially beginners.

Crypto.com gives you access to more products and services, including a rewards debit card, NFTs, and a wider selection of coins. You also have the opportunity to earn much higher rewards through debit purchases, staking, and yield farming, though you’ll have to make do with the fact that most of your rewards and perks are paid out in CRO.


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