Exchange Battle Royale: Will Binance’s Margin Trading Service Outshine BitMex and Bitfinex?
Development of new features in an established crypto organization is seen as a sign of increased adoption and improvement in product to user integration.
Zhao Changpeng led Binance, one of the largest crypto exchange Platforms, is one of such platforms who have consistently made news in terms of new features and services.
One of these huge developments (the biggest so far in 2019), is the announcement of the launch of margin trading, by Binance, putting them in competition with margin trading topshots like Bitfinex and Bitmex, both of which have in the past been faced with a lot of criticism.
FACTORS OF BINANCE MARGIN TRADING SUCCESS
User confidence in Binance was a key factor in the successful launch of the margin trading, the poor reviews of Bitfinex and Bitmex, also improved their chances.
A popular crypto trader, Jacob Canfield in a recent post aired his view on margin trading :
“Future Prediction: Margin trading on @binance will allow them to capture a majority share of the margin trading market from Bitmex and Bitfinex and make $BNB a top 3 token in the near future. Congrats to @cz_binance for the new platform upgrade and listening to the community.”
BINANCE COIN VALUE INCREASE
On the 24th of May, Binance unveiled the new interface for their margin trading service, stating that users can now transact in light and dark modes.
This news also caused the Binance coin (BNB) to rise significantly in value, passing its ATH again. Within the last 7 days BNB has risen by 34.65% reaching a market cap of over $4.7 billion.
WHY NOT BITFINEX OR BITMEX
In addition Jacob Canfield, outlines some reasons why users would prefer the Binance margin trading instead of either Bitfinex or Bitmex, saying:
Have you tried to trade on either of them?
Bitmex has serious lag issues with order submission errors during volatility with no talks of upgrades.
Instead, they're focusing on indexes and interest bearing accounts.
With bitfinex, the platform is okay, but… tether.”
Though this are all speculative, many crypto enthusiasts agree that Binance is going in the right direction.