Binance Launches Instant Internal Transfer Feature for Free on its Exchange
Binance crypto exchange users will now be able to move their digital currencies from one account to another at zero cost within a few clicks. This means no commissions will be charged on transactions within the exchange’s accounts since block confirmations won’t be necessary. However, this internal transfer feature will only apply to accounts under a similar branch of Binance.
— Binance (@binance) December 2, 2019
The new Binance feature can be integrated with an API; users will have the option to enable or disable this product. Ideally, crypto withdrawal from one Binance account to another will be activated via the ‘withdraw’ tab. The concept resembles existing bank services that offer convenience when it comes to transactions within their ecosystems. Binance hopes it can achieve this level of client service as cryptocurrencies gain more popularity.
As mentioned earlier, the new transfer feature is only compatible with the ‘same’ branch accounts. Moving crypto coins within different Binance branches will still be under regular withdrawals; these are subject to a fee. However, on the brighter side, there is less pressure to liquidate ETH or BTC given the option to transfer the funds internally without losing in fees or rates.
The internal transfer feature may have some shortcomings given the volatile nature of security systems in crypto exchanges. One of the Binance users tweeted that this product will make it easier for hackers to transfer funds to different accounts besides incurring no costs. This might not be entirely a possibility given the strict nature of Binance’s controls within its exchange. they have a great reputation in cooperation and implementing security solutions within the blockchain and crypto industry and promoting this as well.