Crypto.com vs. Binance.US – Forbes Advisor

by Arthur · September 13, 2022

Editorial Note: We earn a commission from affiliate links on Forbes Advisor. Commissions do not influence our editors’ opinions or assessments.

You need to do your homework before investing in cryptocurrency.

It’s more than just choosing which cryptos to own. First of all, you need to decide how you want to buy and sell cryptocurrency.

To get started, learn about crypto exchanges – there are about 500 of them to choose from. Let’s take a closer look at two of the most popular exchanges, Crypto.com and Binance.US.

Featured Cryptocurrency Partner Offers

Fees (producer/taker)

0.40%/0.40%

Cryptocurrencies available for trading

170+

Fees

0.1% Producer Fee / 0.2% Producer Fee (Tier I Fees)

Number of cryptocurrencies

100+

Table of Contents

Crypto.com vs. Binance.US: Similarities

Crypto.com and Binance.US both allow you to trade an extensive list of cryptocurrencies. They also offer a wide range of other services, such as crypto wallets and crypto stakes for Cardano (ADA) and Ethereum (ETH).

Both exchanges offer cryptocurrency storage options.

Binance.US users can choose the Binance Chain Wallet, which supports the storage of Bitcoin, Ethereum and Binance Coin (BNB), to name a few. Users of Crypto.com can hold crypto in the Crypto.com DeFi wallet.

Both exchanges offer margin trading as an advanced feature. Margin trading allows users to borrow money to trade larger amounts.

Security is a big issue in crypto and both companies have experienced hacks.

In January 2022, almost 500 than Crypto.com accounts experienced unauthorized withdrawals. All told, total losses were about $34 million, including more than $15 million in ETH, $19 million in BTC, and about $66,200 in other cryptocurrencies.

While the Binance.US exchange itself has not been hacked, thieves stole $40 million worth of BTC from its parent company in 2019.

Crypto.com vs. Binance.US: Differences

Binance.US is best suited for more experienced crypto investors who trade frequently and can accumulate savings thanks to the exchange’s tiered fee structure.

For users trading Tier 1 crypto pairs such as ETH/USD or SOL/USD, producer and receiver fees are 0.1% and 0.2% respectively for trades of less than $10,000 per month. In addition, the company offers free BTC trading for a limited set of pairs.

Crypto exchanges are not known for their excellent customer service. But Binance.US ranks particularly poorly on this front compared to Crypto.com. Almost 90% of Binance.US reviews on Trustpilot give the exchange a “poor” rating, while only 64% of reviews give Crypto.com a poor rating.

Despite its less-than-stellar customer service reputation, Crypto.com is more beginner-friendly than Binance.US.

“Crypto.com is the go-to option for beginners and people new to crypto,” says Ivaylo Yovkov, Chief Operating Officer at Rewards Bunny.

The Crypto.com platform is also more accessible in the US, although it also charges higher fees on average than Binance.US.

“Crypto.com’s mainstream global sports sponsorships and TV advertising campaigns make their platform seem familiar and trustworthy,” said Joseph Poulose, Chief Information Officer of InterMedia Group of Companies.

Who Should Choose Crypto.com?

The Crypto.com platform is one of the most popular crypto exchanges around, with 50 million users in 90 countries. Founded in 2016, it is available everywhere in the US except New York State.

Although it boasts more than 250 tradable coins, not all of them can be traded in the United States. That said, Crypto.com offers a variety of features, including a non-fungible tokens (NFT) marketplace and a DeFi wallet.

Crypto.com also has a prepaid Visa rewards card that makes it easy to add money to your account with bank transfers, credit or debit card payments, and cryptocurrency. Users of the exchange’s native cryptocurrency, Crypto.com Coin (CRO), can benefit most from the card.

Another feature of Crypto.com is that users can earn interest on cryptocurrencies they can lend to other users depending on their loan and how much CRO they have in their account.

Crypto.com Pros

Trading fee discounts for users who have CRO
Cashback Rewards Crypto.com Visa Card
Beginner-friendly app

Crypto.com Disadvantages

You pay more in fees if you shop less
It is not available in all 50 states
Fees and discounts can be difficult to understand for beginners
The platform has been hacked

Who Should Choose Binance.US?

One of the main appeals of Binance.US is low fees. In addition to limited free Bitcoin trading in the US, the exchange offers some of the lowest fees in the industry. The more you trade, the lower your fees will be, and you can get a 25% discount on advanced trading fees if you pay with Binance’s native token, BNB.

Note that BNB is one of the top 10 altcoins. The coin is a tool mostly used to pay trading fees and get discounted trades, but its $47 billion market cap is a testament to Binance’s popularity.

“Crypto.com and Binance are two companies that are essentially competing for the same pool of retail users and a differentiated pool of more sophisticated users and businesses,” said Anderson Mccutcheon, CEO of Chains.com.

Residents of the United States, except those residing in Hawaii, New York, Texas and Vermont, must use the reduced spin-off platform that complies with US financial regulations.

Like Crypto.com, Binance.US offers over-the-counter (OTC) trading where exchanges are made directly between a buyer and seller and large trades can take place without moving the broader market.

Binance.US Pros

The fees are low compared to major competitors.
Supports more than 100 cryptocurrencies.
It offers several versions tailored to different crypto skills and comfort levels.