Bitfinex Review

By
Updated: June 18, 2015

Bitfinex had the highest volume for USD/BTC. It is well known for margin trading and a P2P swap market.

Ease of use
The site is easy to use but a bit complex for someone using bitfinex for the first time. There are three wallets and you can move funds from each one to another off the blockchain. If you want to trade on the spot market then you need funds in the “exchange” wallet. If you would like to trade on margin you need funds in the “trading” wallet and for offering swaps you need funds in the “lending” wallet. There are several order types (limit,market, stop, kill or fill) which is great for the trader and can be confusing for a newbie. If you are going to be trading learn about order types.

Trust
Bitfinex is based in Hong Kong and has people that work for them in Europe and the USA. The hot wallet was hacked but all users were refunded any lost funds. There were also several glitches in the trading engine as they continue to try to upgrade. Overall they have done a good job of refunding any users that lost funds. After the hack they issued tokens to pay people back for lost funds. It is unclear what the future will bring for these tokens.

Anonymous
To deposit and withdraw bitcoin, litecoin, or darkcoin you just need an email address. To send money via wire then you need to do a standard KYC.

Security
They have been hacked but have 2FA and no mutlisig with bitgo.

Day Trading
The site is made for traders, as of late the volume is down and that makes it hard for traders to get in and out of margin positions without slippage.

Ease of use: A
Security: C
Trust: C
Anonymous: Can be
Day Trading: B
Altcoins: ETH, LTC, ETC and BFX tokens

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