Poloniex is a cryptocurrency platform launched in 2014 and it permits users to trade several cryptocurrencies like Bitcoin, Ripple, and Ethereum.
The exchange platform is quite popular, with day-to-day trading volumes of more than $100 million.
Poloniex gains money by charging a particular fee on daily trades that are completed through its platform.
In addition, experienced or expert traders are offered additional services which include Poloniex lending and margin trading.
Also, Poloniex lending can be automated through the use of the Poloniex lending bot like Aivren.
However, Poloniex lending is when investors borrow funds so that they can purchase larger amounts and when executing this process through the platform, investors borrow money from other users who are rewarded with interest on any amount they lend out.
You must know that as you begin to trade more on the platform, the fees keep reducing and this is dependent on the amount you trade for every 30 days.
Although, Poloniex offers considerably low fees even though it is not as low as the Binance exchange platform which is a competitor that charges lesser fees.
Also on this platform, the maker supplies liquidity. For instance, if George is hoping to sell 2 ETH at $500, he in this instance is the market maker.
Although the taker is the individual who takes the price so if Lexie wants to purchase ETH at the price George has listed it for, then she is the market taker.
Furthermore, as a trader, you must choose an exchange platform based on what you desire or interests you like some traders like a platform because they offer low fees while others prefer exchanges that allow fiat currency deposits.
Poloniex has an impressive range of cryptocurrencies listed for trade which includes major digital coins like Ripple, Bitcoin Cash, and also smaller coins such as Bela, Blackcoin, and more.
Also, when it boils down to trading, this platform has really good options of tools which include candlestick charts which range from 5 minutes to 4 hours, then you can also opt for stop-limit orders as well as the opportunity to zoom in and out of charts.
This platform is suitable for beginners too as its interface is quite simple to understand and utilize.
In addition, the exchange platform ensures that they make every effort to secure customer funds and also do everything to prevent any form of criminal activities on the platform.
However, a further advantage of using the Poloniex platform is that it has extremely huge amounts of cash flow, most especially with Altcoin pairings.
As you all know that this is a very important thing to consider as it means you will always get someone to trade with and it minimizes the risks of fluctuations.
Although, when it comes to charges or fees, the platform is one of the best in the industry for executing withdrawals and deposits.
This is because you will only settle the blockchain transaction fee as there are other cryptocurrency exchanges that make gains when you withdraw your money, which might be considered unfair as they derive money from you on every trade too.
Another advantage is that you are not required to verify your identity except you are looking to trade large amounts.
So unless you want to trade more than $2000 in a single day, you can trade anonymously.
Although the major reason you are permitted to do is that they don’t have any existing relationship with fiat money.
However, if you encounter any issues or difficulties that require assistance, there is a range of options to choose from which includes email, ticket support, and live chat.
Finally, a major disadvantage of trading on this platform is that it does not permit its users to carry out conventional payment methods through the use of debit and credit cards.
This can be a turn off especially during the first deposit after signing up and this means you will be required to credit your account with a cryptocurrency instead.
Although, other exchange platforms such as Coinbase permits you to credit and even make any withdrawal using fiat currency, such that if you do not possess any digital coin it will not be challenging to acquire one like Bitcoin from Coinbase and then proceed to make the transfer directly into Poloniex to ease the process.
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