Founded by Changpeng Zhao in 2017, Binance is a cryptocurrency exchange that provides a platform for trading various cryptocurrencies. Binance is the world leading blockchain and cryptocurrency infrastructure provider, with a financial product suite that includes the largest digital asset exchange by volume.
Trusted by millions, Binance is dedicated to increasing the freedom of money for it users. Binance features an unmatched portfolio of crypto products and offering which include, trading and finance; education; social good; investment and incubation.
Binance was founded by Changpeng Zhao, a developer who hi o had previously created high-frequency trading software. Zhao had previously founded Fusion Systems in 2005 in Shanghai, the company built high-frequency trading system for brokers. In 2013, he joined Blockchain.info as the third member of the cryptocurrency wallet's team. He also worked at OKcoin as CTO for less than a year, a platform for spot trading between fiat and digital assets.
Binance was founded in 2017 in China but moved its servers and headquarters out of China and into Japan in advance of the Chinese government ban on cryptocurrency trading in September 2017. By March 2018, the company had established offices in Taiwan.
As of January 2018, it was the largest crypto exchange with a market capitalisation of $1.3 billion.
In an industry that's had so many failures, including exchanges getting hacked and companies growing fast only to have massive layoffs, a successful crypto company exchange is sort of a unicorn.
Binance operates according to federal regulations and is available in over 180 countries. The main thing that separates and differentiates it from other exchanges is simple and not far-fetched, really. It values its users and puts users ahead of everything else, no matter what happens.
Shortly after Binance launched, the Chinese government decided to shut down all exchanges. They changed regulation policies and demanded that all Initial Coin Offering (ICO) exchanges return funds to investors. Zhao went a step beyond what the government demanded by refunding all Binance users their original assets at the original investment rate. This commitment to protecting users’ investments helped Binance gain an extremely loyal following from members of the crypto community, regardless of whether they were directly impacted by the change in Chinese regulations.
Next, he was able to put together a team that was able to successfully supply the infrastructure Binance needed to serve the market demand. This allowed Binance to add new crypto markets efficiently and led to their ability to scale to three million users in the first six months of launch.
Like other exchanges, Binance is a big target for hackers who want to make off with millions of dollars’ worth of cryptocurrency from just one hack. In March 2018, hackers attempted a large-scale attack that took just under two minutes. Binance, fortunately, had systems in place to prevent hackers from being successful. Their risk management system disabled the attempted withdrawals and froze the VIA coins that the hackers had deposited. No money was ever taken out.
Following the March 2018 attempted hack, Binance announced something new and appealing to the crypto community: a hacker bounty program. The company offered a $250,000 reward to the first person who gave them information that led to the legal arrest of the hackers. Furthermore, the company has set aside $10 million USD for future hacker bounties. In some ways, this hacking attempt is what pushed Binance to the top of the crypto exchange food chain. But it wasn’t enough to prevent future attacks from happening.
In May 2019, Binance was hacked again, and this time the hackers succeeded in stealing $40 million worth of cryptocurrency. The CEO was fairly transparent in a blog post he wrote that detailed the circumstances surrounding the attack, stating that, even though alarms were triggered as soon as the hackers made their withdrawal and further withdrawals were immediately disabled, “The transaction is structured in a way that passed our existing security checks.”
Binance dealt with the hack by swallowing the costs instead of offloading the expense to their users. The company has a Secure Asset Fund for Users for just such an occasion. In an unprecedented move, the exchange remained open, and investors were able to continue trading, if they wished.
Finally, the commitment to customer service by putting users first is something that the crypto market was missing and, clearly, desperately wanting and Binance came just right to fill all the void in the crypto market.
Do you have a Binance account? If no, get one here already and thread on the path to your financial freedom. After registering, do your KYC and enjoy all Binance features. Proceed to make your first trade here.