The world’s largest cryptocurrency exchange, Binance, has been hinting that it plans to launch margin trading on its platform, and today it became a reality. In a beta version that went live this morning, users are now able to margin trade Binance Coin, Bitcoin, Ethereum and XRP.
Those wishing to avail themselves of the new service can enjoy 2 x leverage for each of the five currencies, with more pairs and higher leverage anticipated in the coming months.
Notably, margin trading will not be available to all users as US customers appear to be excluded, as well as those based in Iran, North Korea, Syria, Cuba, and Crimea. It is not clear whether it will be available in the US at a later time or why the exclusion has been made, although other exchanges have taken similar steps.
If you're on https://t.co/KiZP5RBX6P you might see a shiny new button on the top left. 👀
— Binance (@binance) May 30, 2019
They exchange announced the news in a rather coy manner on Twitter, by suggesting that users “might see a shiny new button” on Binance.com exchange.
Those using Binance now have the option to stick with the old Binace.com site, or navigate to the beta version which offers margin trading, and a new look for the site. Binance have not said when they will make the switch from the old site to the new site permanently.
New look site
The beta site offers a much slicker design with a full page graphic which includes a number of banners advertising various features, interspersed with relevant news. With a simpler approach to menus as well as the favourites/markets tabs, it offers a subtle but definite improvement when it comes to user experience.
The trading screen itself has not changed much, asides from the margin trading button. There have been some adjustments to the font – it has been changed, enlarged slightly and now appears to be in bold. It also seems that attention has been paid to the colour balance of the graphs- the colours appear more crisp and contrasted, standing out in a way that makes the whole view look considerably more pleasing to the eye.
The look of the new trading window is more professional and in a way, corporate. Whilst the site-wide changes are not apparent at first glance, the overall look and feel of the site is a lot more “Silicon Valley” many of Binance’s competitors. Whilst it appears to be more of an upgrade in terms of design, as opposed to a revamp, it doesn’t fail to live up to expectations.
It seems like Binance could have taken some design tips from the recent Bitstamp beta version which Dapp Life was granted access to back in February. If you look at the trade view in particular, you can notice the same clean lines and colours that present themselves in both company’s sites. Inspired by Bitstamp or not, these tweaks result in a look and feel that is totally befitting of the world’s leading cryptocurrency exchange.
When the rumours started
Rumours started circulating about Binance’s intentions back in March when the Binance API was updated to include two variables; “IsSpotTradingAllowed” and “IsMarginTradingAllowed”. This seemed to suggest that the exchange could be in the middle of enabling margin trading capabilities.
Then earlier this month, more changes were made to the API as the two variables’ flag that had previously been disabled, was now live for nine currency pairs. On May 21st, Binance posted a cryptic Tweet- a black background with just “2.0” emblazoned across it.
As speculation grew, as did the value of the native BNB coin, reaching $31.4 back then, and reaching $33.11 at the time of writing. The Binance coin has been referred to as “the gift that keeps on giving” due to the fact its steady gains remain unrivalled by any other competing currencies. This surge has been attributed to a number of changes that have occured with Binance and its platform.
Margin trading is a type of trading where users are able to ‘borrow’ money to increase the size of their trade. Referred to as “leverage”, these funds come in multiples of the capital that the the trader puts down and increase the amount return, should the trade be a success.