Bitflyer Exchange Platform Review
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Getting into the cryptocurrency industry requires you to know a few basic things about where and how to buy the coins. This basic information is necessary since there are many scams out there waiting to pounce on unsuspecting individuals entering this market for the first time. If you are a seasoned trader, it is important that you keep yourself updated on the latest developments especially with exchanges to know those that have more advanced features and lower fees so that you can trade at your optimum best.
There are different types of exchanges offering varied services. Each exchange tries to have a differentiating factor to woo more clients. There are those exchanges that allow you to buy digital coins using fiat currencies and others that only allow trading in cryptocurrencies with Bitcoin and Ethereum being the base coins. Ideally, it is upon you to decide which exchange suits your trading or speculating needs. In this review, we’ll learn about Bitflyer, a Japanese based cryptocurrency exchange and what it has to offer as well as its demerits.
What is Bitflyer?
Bitflyer is a cryptocurrency exchange platform based in Tokyo, Japan. It was established in 2014 by the Chief Executive Officer Yuzo Kano and quickly became the largest Bitcoin exchange by trading volume in the world. Others in the team that founded this exchange include:
- Takafumi Komiyama – the Chief Technology Officer
- ShuntaroKogame – the Chief Operating Officer
- Midori Kanemitsu – the Chief Financial Officer and Public relations head
It has since spread to Europe, the United States (US) and parts of Africa. It is the first Bitcoin exchange to be regulated in three continents, Asia in Japan, Europe, and the US. In the US, Bitflyer exchange received the bit license to operate in New York and is also available in more than 34 other states. In Europe, it received the Payment Institution (PI) from the European Union. It is now the most compliant digital currency exchange platform in the world. The platform is available in most European countries including Luxembourg where it was launched.
As of 2017, this exchange was facilitating over 25% of the global Bitcoin exchange and over $250 billion of other virtual currencies. It offers spot, FX and futures trading with trading pairs such as BTC/EUR, BTC/USD and BTC/JPY. It also allows leverage trading. you can leverage up to 15X to FX and futures. This means that you can make profits in the bear and bull markets.
Trading on Bitflyer Exchange
Opening a Bitflyer account is very easy. Once you open an account, you fund it with a currency of your choice including Japanese Yen, Euro or US dollar. You can only deposit unlimited amount for trading that attracts 324 JPY as a fee per every deposit. You can deposit funds through credit cards, bank wire transfer, bank transfer and cryptocurrencies.
They have a lightning FX account where you can deposit funds for quick trades. You can put long and short positions with this feature. In the long position, you place a buy order and then hope for the price to go up then sell to make a profit. In the short position, you sell a position and wait for the price to go down then place a buy order to get your profit.
With Bitflyer, you can trade consistently even during the weekend and public holidays. This aspect gives you flexibility not available in most other exchanges. Better still, the 15x leverage allows you to start trading with just a small amount of money. You can start trading with as less as 40 JPY.
The daily transaction limits depend on the account you are using. For Trade accounts, you can trade up to a value of $2000 for Bitcoins and $2000 for US dollar transactions. The maximum single transaction per day for this account is $3000. For TradePro accounts, the maximum daily transactions are up to $50, 000 for both the US dollar and Bitcoins while the maximum single transaction is unlimited.
Creating and maintaining an account with Bitflyer is free of charge. Using the Bitcoin Easy Exchange and the Lightening Spot (BTC/JPY) attracts a fee ranging from 0.01% to 0.15% depending on the amount being traded. In this case, the more you invest, the less you pay. Lightning Spot for ETH/BTC and BCH/BTC attracts a fee of 0.20%.
Withdrawing JPY depends on the type of account you have. For SMBC (Sumitomo Mitsui Banking Corporation) account, you will pay 216 JPY for withdrawals up to 30, 000 JPY and 432 JPY for withdrawals above 30,000. Non-SMBC accounts attract a fee of 540 JPY up to 30, 000 and 756 JPY for amounts above 30,000.
The real-time transfer fee for deposits is 324 JPY, while withdrawal fee is 216 JPY for amounts up to 30,000 JPY and 432 JPY for amounts exceeding 30,000 JPN.
Lightning FX and futures swap points attract a fee of 0.04% of the value of trade for both deposits and withdrawals.
BREAKING NEWS: The BitFlyer Regulations You Should Know About
April 17th, 2018: The Japanese cryptocurrency exchange platform – BitFlyer has notified its users that it is going to pay more attention to the Know Your Customer aka KYC procedure. The reason behind this decision is mainly the complaints that were addressed by the Japanese financial regulators.
The customers have to confirm their identity as well as their address with the receipt of the postal letter from the exchange platform. These new settings will be implemented starting from the 26th of April. Those users who do not go through the procedure will be automatically disabled.
Like many other exchanges, Bitflyer also requires some form of verification to allow you to use their platform for trading. Once you create an account, you will be required to present the following documents;
Proof of Identity
For proof of identity, you can upload either;
- Your passport.
- Your driver’s license.
- Government-issued identity card with a clear photo of you.
- Diplomatic, marine or military passports.
These documents must be validated, should show your full name, date of birth and date of the issue clearly. They should also show the expiry date as well as the issuing authority. Make sure your photo is also clear. If you use a document written in a language other than English, make sure to translate and attach a statement confirming the same.
Proof of Address
You need either of these documents for proof of address;
- Utility bills. Water, electricity or water bills.
- Bank, credit or insurance statements.
- Rental contracts.
- Government documents showing your address.
These documents should bear your name, date of issue and your address. They should not be more than three months old. You can send PDF documents sent to you via mail, and they should be in English or translated if in any other language.
Now that you know which documents to use for verification, it is important that you also know how to upload them to your account.
In your Bitflyer account, check on the right side of the interface and click on “Account Information.” Click upload and attach your preferred document. You can as well take a picture of your document as long as it is clear and send to Bitflyer for verification.
When you finish uploading these documents, Bitflyer will go through the documents to confirm their authenticity then send you a confirmation email to affirm your verification.
Is Bitflyer Safe?
Bitflyer is the most compliant exchange platform in Japan, Europe, and the US. It is currently one of the safest exchange platforms albeit some complaints here and there. Apart from the regulations from the three continents, Bitflyer employs a whole range of security features.
Here are some of the security features that Bitflyer employs.
- Multi-sig – the account requires layers of signatures to confirm transactions
- Anti-Money Laundering
- Know Your Customer
- SSL Communication and encryption
- DigiCert SSL Server certificate’s Highest level EV
- SHA-2 (SHA-256) Highly secure hash function
- Web Application Firewall
- Password Strength Check
- Account Lock Function
- Two-step Authentication using your mobile device
- Automatic timeout
- Cold storage wallet – 80% of Bitcoins in Bitflyer are stored in offline wallets that have a 24 hours surveillance
- Self-diagnosed health check on servers that checks for any inconsistencies in Bitcoin and JPY deposit balances. In case of any inconsistencies, the system blocks any suspicious transactions and shuts down the system to prevent any major damage.
If you have any query or issue you would like to raise with Bitflyer, you can always check on their frequently asked questions page. They have answered most of the questions on that page. If that page does not answer your query, then you can contact them through their contact page with your issue. Be ready to wait for an extended period considering the huge number of clients that this exchange has. They do not have a live chat neither do they seem to have a number that you can call if you have an urgent issue.
How to Use Bitflyer
After creating an account, here are a few simple steps you should follow to use your account.
- Fund your account using the various methods stated in this review.
- Once you have funds in your account, decide whether you want to engage in spot or margin trading
- If you want spot trading, check for the Lightning trade feature where you can place long or short positions of the available trading pairs.
- If you want to buy Bitcoins to resell later, click on “Buy/Sell Bitcoin” on the top left side of the exchange interface, enter the number of coins you wish to purchase, then click on “Buy Coins” icon. You will then see the balance on the top bar after the transaction is confirmed. If you want to sell, you follow the same process only that now you will click on the sell option.
- You can use the Bitwire feature on this platform to send and receive Bitcoins. With this feature, you will not need to use your Bitcoin address; you can use your email address.
- If you want to withdraw funds from your account, click on “Account Funding,” then click on “Withdraw JPY,” then follow the simple instructions that follow to have the funds sent to your account.
In a Nutshell
Bitflyer is one of the largest Bitcoin exchange platforms by trading volume in Japan. It handles more than 80% of the Bitcoin transactions in Japan, a country that supports and encourages the use of cryptocurrencies. It is regulated in Japan, Europe and in the US, making it the most regulatory compliant exchange in the world. It is very easy to use, with minimal transaction fees and advanced security features. You can trade using three major currencies including the Euro and the US dollar.
This account is good for beginners considering the simplified interface it presents that beginners will find being user-friendly. It also has a huge trading volume, a key aspect when trading due to liquidity issues. There are very minimal negative reviews about Bitflyer meaning that it is safe, secure and reliable.
As always, it is our pleasure to keep you informed of the latest development in the digital currency industry. Thank you for taking your time to go through this article. You are welcome to check out more of such articles on our page.