How can Binance affect the price of Bitcoin? In this important article, you will get to know the Binance exchange in full and the history of this exchange and how it affects the price of Bitcoin, so take a few minutes to read this article. The Binance exchange is the world’s first and largest centralized exchange in the field of cryptocurrency. The decentralization of this exchange is that Binance is a physical exchange that has official offices in different countries.
History of Binance exchange
Binance cryptocurrency exchange was founded in 2017 by Changpeng Zhao and Yi He, former employees of the okcoin platform. According to the knowledge they had already acquired in the field of cryptocurrency in okcoin, it provided an infrastructure for them to build the Binance exchange, whose main base was established in China. The name of the Binance exchange is derived from the two words binary and finance meaning financial. These two words summarize the name of this exchange.
To finance their new project, they used an initial coin offering, in which they paid investors 100 million Binance coins to launch Binance. In the first six months, the brilliance of the Binance coin was able to invite three million users to the Binance exchange and place this exchange in the list of the top three exchanges in the world. This early development of this exchange quickly faced the opposition of the Chinese government to the cryptocurrency industry and it did not take long for Binance to leave China. In this regard, the Chinese authorities issued an order that cryptocurrency exchanges that conduct initial coin offerings. They should return the funds taken from investors as soon as possible.
Seeing that the Binance exchange is eager to protect the investors’ assets, the withdrawal of this exchange from China marked a global development for it. The cryptocurrency service offices of this exchange were expanded in different countries of the world, including Malta, Japan, Taiwan, etc. This exchange, which currently supports more than 200 currencies, is at the forefront of the cryptocurrency industry globally.
In addition to the fact that the Binance exchange has obvious advantages for users, this exchange still has disadvantages that can be mentioned in this article. The lack of a contact phone or online support has often brought out the voice of dissatisfaction of users. One of the disadvantages of this exchange is that the exchange is not responsive to calls. And Live is live. Active users in this exchange can only communicate with Binance through email. Another problem that Binance is still dealing with is the lack of support for fiat money. Active users in this exchange cannot directly buy cryptocurrency with money and credit cards, but must use intermediaries such as coinmama. Binance exchange has recently announced that it will soon resolve this issue so that users can trade cryptocurrency with credit cards.
The advantages of this exchange are much more than its disadvantages. Among the advantages of Binance, it is possible to perform transactions with low fees, user-friendliness of the exchange, support for more than 200 cryptocurrencies, and high security. In this article, we discussed some of the disadvantages and advantages of this important exchange. For more information about its disadvantages and advantages, just search on the Internet.
How can Binance affect the price of Bitcoin?
If we look at the statistics of the biggest bitcoin holders, you will see Binance in the list of the biggest bitcoin holders. Binance owns 298,961 bitcoins, after Hubei, which has 323,665 bitcoins, is in the third rank of Bitcoin cryptocurrency holders. Definitely, a whale with this amount of bitcoin assets can have an effect on the price of bitcoin. On the other hand, the Binance exchange has currently acquired the largest and strongest trading company in the world and can affect the price of Bitcoin and other digital currencies by closing and opening or changing the working rules of this exchange. The movement of the price of Bitcoin and other digital currencies is effective with the interpretation that this exchange has developed a coin called BNB. In addition to the global exchange Binance has sought to expand its platform by different countries of the world, there are sanctions and Compliance with American laws somehow forces this exchange to refrain from providing services to some countries. The existence of such political issues undoubtedly affects Binance on the price of Bitcoin. Or Binance’s severe conflicts with the US Securities and Exchange Commission in recent months, the creation of this model of tension that involves Binance can unintentionally be a reason for Binance to rise. Or design the fall of Bitcoin. Binance has played an important role and power in the cryptocurrency industry so far, but it has had a special effect on the price of cryptocurrencies according to the news obtained from the Binance exchange. Thank you for your participation in this interesting article