My Bitfinex review, detailing the best and worst things about this exciting trading platform that offers lending, leverage, and shorting! Bitfinex has been through some difficult issues, and so far seem to have come out on top. I personally use them, and am confident coincidence bitcoin chart their platform, honesty, and trustworthiness.
The leverage is limited at 3. 3:1, but that’s still quite a bit for such a volatile marketplace. How it works is pretty simple. On the left are offers.
On the right are bids. When you accept or offer liquidity, you choose the maximum time frame and the quantity, and the system matches your orders. Why is this useful to us? Well, first and most obviously, it lets you go long on leverage. It also lets you do something you CAN’T do most places: SHORT Bitcoin and Litecoin. They run a partial maker-taker system, where the market maker ends up paying between . I believe they’re able to offer these fees because of the unique free market leverage system they utilize.
By moving their risk to the lenders, they lower fees. I’m a big fan of their business model. Exchange, Margin Trade, and Total Return Swaps. The Exchange section is there for you to trade your currencies for alternative ones, permanently. It’s fairly simply to use.
You can exchange Dashcoin, Bitcoin, Litecoin, and USD here. Margin Trade is the heading given to the section that allows leveraged trading. In that section, you have one of two options for taking advantage of the leverage they offer. If you do this, funds will automatically be borrowed for you at the lowest offered interest rate. Alternatively, you can preemptively reserve the funds you need for leverage in the final section: Total Return Swaps. Total Return Swaps is the section pictured above.
It lets you lend or borrow funds as needed, in a fairly simple interface. Bitcoinica, the exchange whose code off of which Bitfinex is based, was imperfect. Their website is different, and it takes a week or so of getting used to. Now that I’m used to it, it’s no problem, but at the beginning it took me a little. Their help documentation isn’t worse than other sites, but it’s about par for the course for Bitcoin exchanges. Would I recommend it to my mother?
Low fees, leverage, easy to use, more freedom. 30 days you use the exchange. Want to head back and check out some more Bitcoin Exchange Reviews? Bjorn, if I have NO knowledge of trading whatsoever, how difficult would it be to figure it out? Bjorn, is the one who has responded to me through support.