Bitfinex Drops $10,000 Minimum Equity Requirement

Home » FinTech » Cryptocurrencies » Bitfinex Drops $10,000 Minimum Equity Requirement

Bitfinex Drops $10,000 Minimum Equity Requirement

Even as cryptocurrencies have grown in popularity, there are still questions about the accessibility of those assets. From volatile values to confusion over buying and trading, those wanting to invest in crypto have often had to jump through a few hoops. However one platform is now attempting to open its doors by significantly lowering its capital requirements.

This week, Hong Kong-based cryptocurrency exchange Bitfinex announced it was doing away with its $10,000 minimum equity requirement. In a Medium post the company explained that the decision was made in response to trader demand. As a result Bitfinex says that everyone will have access to “the world’s most advanced trading platform.”

In a statement, Bitfinex CEO Jean-Louis van der Veld said, “We simply could not ignore the increasing level of requests for access to trade on Bitfinex from a wider cohort than our traditional customer base.” He went on to note, “For the last six months we have been working hard to ready our platform for a new wave of customer accounts and are now in a position to open Bitfinex to a wider audience. By dropping our minimum equity requirement, the only limits are now set by the traders themselves.”

As for what recent improvements van der Veld is referring to, the company says its upgraded its support center with more answers to common questions coupled with faster issue response and resolution times. Similarly the platform will now provide education on every token it lists. Bitfinex has also enhanced its Know Your Client (KYC) portal to create a “more frictionless” process in the “near future.”

Despite doing away with its minimum equity requirement, Binfinex users may still incur fees if their deposits are below a certain threshold. For example Bitcoin deposits of less than $1,000 USD will be subjected to a 0.0004 BTC fee. Other fees may also apply for withdrawals, order execution, margin funding, and more.

Bitfinex’s decision to lower its minimum equity requirement puts them in a position for real growth. As it stands the platform has an average daily Bitcoin trade volume of $38 million, putting it in second place (albeit a distant second) behind Binance according to a recent Bitwise report. By opening their platform to many more traders, it stands to reason that they can easily gain ground and help close that gap. Of course this success will only come if the upgrades the company boasts make its infrastructure as stable and capable as they claim. In either case Binfinex is proving to be one crypto platform worth watching.

Comments

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Author

Jonathan Dyer

I'm a small town guy living in Los Angeles looking to make solid financial decisions. I write for a number of finance websites, including HuffingtonPost and Business2Community. I founded DyerNews.com in 2015 to focus on personal finance and the emerging FinTech markets.

Other Articles by Jonathan Dyer

Barclays, Anthemis to Create Female Innovators Lab for FinTechs

Among the many things that Silicon Valley is often criticized for is that many successful startups are seen as "boy's clubs." In many cases this same label extends to FinTech firms as well. Now Barclays and Anthemis are teaming up in an attempt to change that. This week the two...

Walmart Launching Co-Branded Credit Card with Capital One

Bentonville-based retailer Walmart is refreshing their credit card offerings, upping the rewards to put an emphasis on online shopping and mobile payments. This week the company announced a partnership with Capital One to create the Capital One Walmart Rewards Mastercard while also releasing a store card dubbed the Walmart Rewards...

France and Germany Move to Block Facebook's Libra

When Facebook first unveiled official plans for the cryptocurrency Libra, there was certainly excitement from some circles. Unfortunately regulators haven't been quite as thrilled, with many jurisdictions sharing their concerns and questions. Now two European countries are taking things one step further, announcing that they'll move to block the digital...