Bithumb Exchange | Beginner’s Guide From Scratch

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Cryptocurrency has become the buzzword amid the pandemic across the world and the latest event of Bitcoin Halving. Investors are considering cryptos as the commodity which has the huge potential to double their money in no time. To buy, sell, or trade the cryptos to earn profits, you need to sign on the crypto exchange. Amid the Coinbase and Binance, another crypto exchange which is getting popular is Bithumb. So, if you are thinking of creating your account or using the services of Bithumb, then you have landed up at the correct article. In this guide of Bithumb exchange, I have got you covered with all the necessary information about the exchange. Let us get started with Bithumb.!

Bithumb Exchange | Brief Introduction

Bithumb brief introduction

Bithumb is a third party crypto exchange that allows the users to invest in a number of currencies in the form of buying, selling, and trading. South Korea based crypto exchange was launched in 2013 by a company named as BTC Korea.com (Bithumb founder). In terms of daily trade volume, Bithumb stands out as one of the largest exchanges in the world. One of the reasons for higher trading volume could be the facilities provided to institutional investors by Bithumb. Trading volume ensures the liquidity associated with the exchange, thereby ease of trading to investors. With a user-friendly interface and intuitive features, whether the trader is a novice or advanced, both of them could experience the hassle-free services of Bithumb. Now, after the brief introduction, let us move forward to details of payment modes which can be utilized to buy the cryptocurrencies.

Transaction Fees | Deposits And Withdrawals

Deposit Fees

The fees incurred while depositing the coins depends on the type of coin being deposited. For instance, cryptocurrencies such as Ethereum, Ripple, and EOS are free while Bitcoin, Dash, and Litecoin incur a small amount of fees. (P.S: There is a minimum limit to deposit the cryptocurrencies on Bithumb account)

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Withdrawal Fees

The fees incurred while withdrawing the coins depends on the type of coin being drawn out. The transaction fees keep on changing on the exchange depending upon the liquidity or demand-supply of that particular currency.

Trading Fees

For trading purposes, Bithumb charges 0.15% of the total amount of buying or selling of currencies as the basic fees. For instance, while purchasing $1000 worth of Ripple, traders have to pay 0.15% of the amount, i.e. $1.50. Trading fees can be lower if done through the Bithumb voucher decreasing down by 0.01%-0.07%.

Payment Mode | Method To Buy/Sell Cryptocurrency

Bithumb payment mode

Bithumb is the crypto-to-crypto exchange except for the citizens of South Korea who can enjoy both fiat-to-crypto and crypto-to-crypto mode of payments to process the deposits and withdrawals. For all other users, either they can open a crypto account on fiat-to-crypto exchange and then transfer the funds to Bithumb to avail the benefits or they can simply buy the cryptos with the existing coins in their crypto wallets. This won’t be as difficult as it sounds, you just need to create an account on the exchange like Coinbase (fiat-to-crypto), purchase the crypto from fiat currency either by bank transfer or credit/debit card and then you can easily transfer the coin purchased on Coinbase to Bithumb Exchange for further utilization.

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Coins Or Tokens Available | Bithumb Exchange

Presently (June 24, 2020), Bithumb gives the option of 115 cryptocurrencies that can be bought, sold, or trade at Bithumb Exchange. For the convenience of investors, Bithumb had carefully categorized the coins as a major, New, I/W, etc on their website along with their trading volume and price trends. The majority of popular coins like Bitcoin, Ether, Ripple, Litecoin, and less popular coins like Ethos, Augur, etc are supported by the crypto exchanges. 

Safety Review | Bithumb Exchange

While selecting any crypto exchange as the medium of trade, it is necessary to check the security protocols followed by the exchange. So, Is Bithumb Exchange safe? As the crypto regulations are strict in South Korea, the stakes on Bithumb become higher to maintain the security of funds of the customers. A number of personal details need to be filled while opening the account on Bithumb exchange, this ensures that only an account per user can be opened per person, thereby restricting the anonymous trading. Also, Bithumb exchange involves the procedure of two-factor authentication every time you log in to withdraw funds. Furthermore, to assure the safety of the funds, high-level encryption techniques are deployed by Bithumb ensuring the protection from cyber attacks.

Pros And Cons | Bithumb Review

Bithumb exchange review

Every crypto exchange has certain advantages and disadvantages. Let us list out some of the pros and cons of Bithumb Exchange in this section of Bithumb review.

Pros

  • Minimal transaction fees
  • Massive trading volume, thereby high liquidity
  • 24/7 customer support with both live chat and phone
  • Highly secured platform with two-factor authentication
  • Ideal for both novice and advanced traders
  • Accessibility of more than hundred cryptocurrencies
  • Bithumb API or interface is user-friendly and intuitive.

Cons

  • Only crypto-to-crypto exchange does not allow users to buy coins from their fiat currency
  • The exchange was hacked twice, once in 2017 and other in 2018 (Bithumb hack)
  • The verification process is slower compare to other exchanges
  • Targeted to the residents of South Korea mainly not Bithumb Global.

Summing Up

And that is the end of the Bithumb Exchange guide from scratch, which reviewed the mode of payments, transaction fees, cryptocurrencies supported, security protocols, and pros and cons of the exchange, in brief, to help you in taking a self-educated decision before choosing the Bithumb exchange as your trading platform. In my personal opinion, you can choose Bithumb exchange though it has been hacked twice, it has the proven records of the highest trading volume and high liquidity. The exchange gives you an amazing opportunity to learn the transaction process with the virtual credits offered on the exchange. Either you are a beginner, advanced or professional trader in crypto space, the platform of Bithumb exchange would not disappoint you in any case and provides you with the best of facilities and services in the crypto market place, as per the Bithumb CEO.

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