Binance Canada Review (May 2022): Why We Don’t Like It

April 27, 2022
Reviews
Binance-Canada-Review

Binance is the world’s largest crypto exchange by trading volume. It was founded in 2017 and has many interesting features, such as advanced charting tools and access to its Binance Earn and Binance Visa Card. However, because Binance has been banned in Ontario for failing to comply with OSC requirements, I can’t suggest using it as a Canadian.

With that in mind, I instead recommend that you try out CoinSmart. If you’re looking for a Canadian crypto exchange with low fees that operates legally across the entire country, I highly recommend CoinSmart.

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What Is Binance?

Binance is an international cryptocurrency exchange, and is currently the world’s largest crypto exchange by volume of daily trading activity. It’s currently headquartered in the Cayman Islands and began operations in 2017.

Changpeng Zhao, a software developer who previously developed high-frequency trading software, is the founder of Binance. The platform began operations in Hong Kong at the time, but it has relocated its headquarters to the Cayman Islands due to increasing intervention in cryptocurrencies coming from the Chinese government.

Binance Features

1. Advanced Trading Platform

Binance’s trading platform is very thorough, offering a range of features for experienced traders. This will benefit you even more if you’re looking to invest in a wide range of cryptocurrencies, including tokens that are not that well-known.

You also have access to advanced charting tools, and you can place stop-loss and take-profit orders to limit your losses or secure profits.

2. Binance Visa Card

The Binance Visa Card lets you spend your cryptocurrency funds right away and without difficulty. When you use this card, your crypto is changed to fiat currency at the point of sale, allowing you to checkout without any difficulties.

After you’ve received the card, all you have to do is move your cryptocurrency from your spot wallet to your funding wallet. After that, you’ll be able to use your card at nearly any shop around the world.

3. Binance Earn

Another interesting feature that Binance offers is Binance Earn. This function allows you to stake some crypto coins and earn staking rewards at an APY rate of 0.8% to 123% depending on how long you stake it for.

Users can stake 6 different cryptocurrencies on Binance so far, including Bitcoin (BTC), Ethereum (ETH), Tether (USDT), Binance Coin (BNB), Axie Shards (AXS), and Binance USD (BUSD). You can also earn double payouts in instant trading and pooling tokens on Binance Liquid Swap.

Cryptocurrencies on Binance

Binance supports over 300 cryptocurrencies and over 50 fiat currencies. This is easily one of the largest arrays of supported crypto coins across Canadian and international crypto exchanges alike. Here are some of the top cryptocurrencies they currently support:

Bitcoin (BTC) Tether (USDT)
Ethereum (ETH) TrueUSD (TUSD)
Bitcoin Cash (BCH) Stellar (XLM)
Ripple (XRP) TRON (TRX)
Binance Coin (BNB) Paxos Standard (PAX)
Litecoin (LTC) Dash (DASH)
Basic Attention Token (BAT) Cosmos (ATOM)

Binance Fees

When you deposit cryptocurrency tokens from an external wallet to your Binance wallet, you will not be charged any crypto deposit fees. Depositing fiat money into your Binance account can incur fees that range from 0% to 3.5%, depending on the deposit method employed and the currency being moved.

When you withdraw cryptocurrency from your Binance account to your crypto wallet, you will be charged a flat transaction fee. The amount you pay varies depending on the cryptocurrency token you’re transferring, but the fee rate can range from 0% to 2.5%. Some currencies have fixed amounts as well.

Binance charges a maker-taker fee structure with different tiers in place. Binance Coin (BNB) holdings and your trading volume will influence how much you pay in fees.

The Maker fee is between 0.02% to 0.1%, while Taker fees can range from 0.04% to 0.1%. If you use the network’s native currency, Binance Coin, to pay for gas expenses, the fees will be lower.

Binance also offers a cheaper futures trading platform, with makers paying 0.02% and takers paying 0.04%. There’s also a 10% off discount on trading fees paid with the BNB token.

However, if you want to buy or sell coins instantly, you’ll have to pay higher fees. For instant buy/sell trade, you’ll incur a flat trading fee of 0.5%; you’ll also incur a 4.5% trading fee if you use your debit/credit card to purchase cryptocurrency directly.

Our Recommendation: CoinSmart

Even though the platform has prestige as the largest crypto trading platform in the world, there is one big setback that doesn’t allow me to recommend Binance for Canadians, and it’s the fact that it has been banned from Ontario.

This may suggest that it could pull out of the country at any moment, and that would leave Canadian Binance users with nowhere to turn. Because of this, I recommend that you consider using CoinSmart instead; here are a few additional reasons why:

Introducing CoinSmart: Canada’s #1 Crypto Platform

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I recently broke down 10+ of Canada’s most popular crypto platforms, and CoinSmart came out on top. It scored so well because it excels on what I believe are the three most important factors when choosing a crypto platform: fees, security, and customer support.

Here’s how CoinSmart performs in each of those areas, and why I believe it’s the best crypto trading platform in Canada. And to get your $50 signup bonus with CoinSmart, use this signup link and the special promo code YOREOYSTER.

#1 Lowest Fees In The Industry

CoinSmart’s trading fees are just 0.20%, the lowest of any crypto platform in Canada. And those savings add up quickly: if you trade $100,000 worth of Bitcoin in a given year (buying and selling $25,000 worth twice), you’ll save $800 in trading fees compared to a platform that charges 1% ($200 vs. $1,000).

Perhaps more important than trading fees, though, are spreads: the difference between the Buy price and the Sell price. CoinSmart has razor-thin spreads, which makes day trading possible and keeps more money in your pocket.

#2 Bank-Level Security

CoinSmart maintains a 95% cold storage policy, which means at least 95% of its users’ crypto is always held offline. This is a security measure that only the most advanced trading platforms employ, and CoinSmart is leading the charge.

CoinSmart is also the only publicly traded crypto platform in Canada, which means it’s subject to far more financial scrutiny than any other platform. It’s regulated by FINTRAC (the Financial Transactions and Report Analysis Centre of Canada) and the OSC (Ontario Securities Commission), and its financials are audited by external professionals at least once per year.

#3 Excellent Customer Support

CoinSmart offers 24/7 customer support via phone, live chat, and email, and their customer service reps are actually helpful rather than just following a script. I’ve never had to wait more than about 60 seconds on hold, and they’re very responsive via live chat and email, too. 

The only time I ran into an issue with CoinSmart, I called them and had it sorted out within 5 minutes. Keep in mind that telephone and live chat support is only available for registered users, so if you have a question for CoinSmart, the best way to get it answered is to open an account

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Offer ends May 19.

In Summary

Binance is currently the world’s largest crypto exchange by volume of daily trading activity. It’s currently headquartered in the Cayman Islands and began operations in 2017. However, because the platform has been banned in Ontario for failing to comply with OSC regulations, I can’t truly recommend using this platform as a Canadian.

With that in mind, I instead recommend that you give CoinSmart a try. If you’re searching for a crypto exchange that has the lowest fees in Canada, is authorized in all of the country’s territory and follows all of the country’s regulations, I can’t recommend CoinSmart enough.

Binance FAQs

How To Withdraw From Binance In Canada

To withdraw crypto funds from your Binance account, you only have to follow these steps:

  1. Log in to your Binance account.
  2. Choose the “Withdraw” option.
  3. Click on the “Crypto” option.
  4. Select the right network.
  5. Choose the cryptocurrency you wish to withdraw.
  6. Click on the “Receive” option.
  7. Enter the address of your personal crypto wallet.
  8. Choose the “Send Code” option.
  9. Enter your 2-factor authentication code.

Is Binance Safe?

Yes, Binance is a safe and secure cryptocurrency exchange. It has a variety of security measures to keep your crypto assets secure, including:

  • Cold storage for digital assets
  • 2-factor authentication support
  • Additional security settings such as whitelisting devices, anti-phishing codes, and withdrawal address management
  • Security tips for its users to increase their account safety

Is Binance Legal In Canada?

Yes and no — although Binance is not completely banned in Canada, it has been banned in Ontario for failing to adhere to OSC regulations. If you’re searching for a crypto exchange that is authorized in all of Canada and follows all of the country’s regulations, I recommend that you use Bitbuy.

Binance Referral Code

Unfortunately, there are no Binance referral codes available at this time.

Does Binance Report To The CRA?

No. Considering Binance is not based in Canada, it doesn’t have to report large transactions to the Canada Revenue Agency (CRA).

The Best Crypto Exchanges In Canada

Best Overall

Supports: 16 cryptocurrencies
Security: 95% cold storage
Trading fees: 0.2%

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Lowest Fees

Supports: 17 cryptocurrencies
Security: 95% cold storage
Trading fees: 0.1% - 0.2%

Free account, instant verification

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Best For Altcoins

Trading fees: 0.4%
Security: 95% cold storage
Signup bonus: $10

Trade with 10x leverage.

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Rated 4.2/5