Poloniex Exchange Review

Poloniex Exchange Review
7 Total Score
  • Great security set-up
  • Exchange Services
  • Margin Trades
  • Lending
  • Registered with FinCEN
  • Easy to sign up and begin trading
  • Extensive FAQ and article section
  • Social Media presense for latest news

Poloniex Cryptocurrency Review

Trust Score 7/10

Poloniex is one of the most used cryptocurrency exchange companies with a reputation for its highly regarded security and high-tech trading tools. The company that runs Poloniex is based out of San Francisco in the US and has quickly built a firm presence in the cryptocurrency exchange industry. The business is registered by Financial Crimes Enforcement Network (FinCEN) in 2016 but has been in action since the beginning of 2014.

You can trade on margin as well as exchange cryptocurrencies which is why Poloniex has been able to grow such a strong presence in the cryptocurrency marketplace. Most exchanges do not give the double option of margin trading as well as exchanges.

The exchange has a firm following, particularly in the US offering hundreds of cryptocurrencies. Each currency can be studied and broken down using the exchanges state-of-the-art software tools and is perfect for executing trades.

There is some negative press out there about Poloniex as well, so the exchange does not come out smelling of roses even though it is so popular. There are some people that have said that Poloniex has frozen their accounts for no reason, but we have not seen any first-hand evidence of this. We suggest really digging deep into our review, then decide for yourself whether you think Poloniex is worth it or not. You could always begin with a small investment and build up with confidence.

On the other hand, it seems there is a far greater number of people singing Poloniex’s praises. From our point of view, the website is sound and there have been no problems on our end. It is a shame about the negative reviews because it means we have had to downgrade our rating despite the site being the perfect place for duel exchanges and margin trades.

  • Margin Trading
  • Exchange Cryptocurrencies
  • Strong Security
  • Very popular

 

Mobile Apps

You can download either the iOS or Android app that is available in both Apple and Google stores. The app works brilliantly and has the same options you will find on the desktop version of the website. You can review market rates and perform margin trades while on the move. This is especially useful if you know or hear about a shift in the market and you need to trade remotely.

 

Coins Offered

Poloniex has over 100 cryptocurrencies to trade. The most well-known cryptocurrencies include the following:

 

Registering at Poloniex

Registering an account with Poloniex is very straightforward. As the site only accepts cryptocurrencies as payment, the rules are less restrictive than most other websites of its kind.

Note that you can register just one account with the exchange company, and if you register another, you stand the risk of both accounts being suspended. Once your account is registered, you will be given access to the exchange, trading, and lending services all under one account name.

To create your account, just visit the Poloniex website and at the top of the screen there is an option to create an account – it will say “Create an Account to start trading”.

You will need to select the country you are in, provide an email address, password, and repeat your password. Then confirm you are not a robot. At this point, you will be asked to confirm your email address to activate your account.

 

 

There are also 3 levels of account verification.

  • Level 1

Initially, you will be able to deposit and withdraw up to $2,000 worth of cryptocurrency daily with your email address verification.

  • Level 2

To raise your limits, you will need to provide your address, phone number, passport as well as your date of birth. This will then increase your daily limits to $25,000 worth of cryptocurrency.

  1. Level 3

You will need to speak to support and be approved if you want to raise your limit above the $25,000 set at Level 2.

 

Trading Options

You have three facilities to use at Poloniex, which are trading, exchange, and lending. This is all integrated into a very nice and well planned out interface. There is, however, some lack of performance at times when the site is under pressure from DDOS and also at peak trading.

Nonetheless, you cannot grumble when it comes to using the new user interface that was introduced in 2015. You only have to look at some of the reviews on the Poloniex site to see that there have been a lot of positive comments regarding how much better the newly improved interface is.

Many people compare Poloniex to that of exchanges such as Kraken and Bittrex.

  1. Margin Trading

On Poloniex, you will be able to leverage any cryptos you own or have on the exchange and sell to earn trading profits on price movements. The same charts and information you use to sell to make profits can also be used to buy currencies that you feel are at a good price level and could rise at which point you can use the exchange to sell them once again to leverage profits from price changes.

  1. Lending

Lending is another way to make a profit on Poloniex. You can lend your crypto currency to other users for an agreed interest rate and time period. On the contrary, the idea is that traders can borrow from the lending section in order use those funds for margin trading.

  1. Exchange Services

Usng the exchange gives you the ability to move value of one crypto currency to another. This means you can move the value of one of your cryptocurrencies and exchange that value into another cryptocurrency listed on the exchange. In this area, you will also be making your deposits from your crypto wallets.

 

Accepted Payment and Withdrawal Methods

There is one hitch to Poloniex, and that is that you cannot make payments using fiat currency. You can only deposit using cryptocurrency that the exchange accepts. The deposit option is very easy to use and will walk you through the process of creating address and code for cryptocurrency deposits.

Withdrawals are also very simple. You just need to follow the instructions provided by Poloniex. Remember that you will only be allowed to withdraw Cryptocurrency to a wallet and not into a fiat currency or by using any fiat currency accounts.

 

Transaction Fees

One of the great things about dealing with a cryptocurrency exchange that only deals in cryptocurrencies are that fees are always very low. That is when compared to converting fiat currency into a cryptocurrency anyway.

In every trade on Poloniex, there is the Maker and Taker, which distinguish the various fees charged.

Both parties involved in trades will both pay fees. The person or maker will pay around 0% to 0.15%. On the other hand, the taker will pay 0.05% to 0.25%. Also, it is worth noting that the higher the trades are, the lower the fees become.

For instance, less than 600 BTC will be charged at 0.15% to the maker and 0.25% for the taker, but 120,000 + BTC will be charged at 0.00% to the maker and 0.05% to the taker.

 

Supported Countries

There are no country restrictions for Poloniex. Clientele comes from all over the world. 50 million users visit the exchange most of them from the US – 25%, then also Russia, UK, Brazil, Vietnam that make up for the next highest volume of visitors along with other countries with a much lower percentage.

 

Customer Support

Customer support is relatively good with Poloniex. They do need to sort out their ticketing system as sometimes it seems requests seem to get lost. There are also cases where it can take months for tickets to be resolved. Despite this, the customer support is supposed to be 24/7, but Poloniex has a reputation for not always being quick to respond.

This has only occurred in some cases, but it is not good when you hear this often about an exchange that has so many positives in other areas.

  1. Knowledge Base and ticket status

When you click on Contact Customer Support you will be taken to a knowledge base where there is a lot of information available about how the exchange operates. This is very useful and worth reading through if you are looking for more information. You can also “Check ticket status” here.

Here is a screenshot:

 

 

  1. Contact Us Form

There is a contact us form for more information here at https://poloniex.com/contact. Ther also technical support here too.

  1. Twitter

You can follow Poloniex on Twitter for the latest news, which is always useful for trading tips, new tools, and tips and advice on the marketplace.

 

Safety

Poloniex has built a reputation for having one of the most secure cryptocurrency exchanges online. The company uses centralised exchange audits. There is no third party outsourcing when it comes to private keys for wallets; meaning that Poloniex controls all the keys itself.

Another safety feature that is built into the exchange is the “air-gapped” cold storage feature. Poloniex encourages members to store as much of their deposits as possible here. There is also 2-factor authentication plus as with many e-wallets, crypto wallets and crypto exchanges, the security systems have browser recognition in place.

There is, however, a high custodial risk with Poloniex simply because they use a centralised platform. with this style of system, you should always make sure that if you are not using funds for lending, trading or exchange, then you should have those funds stored in a wallet.

If you have heard of the time whereby the site was hacked and 12% of Bitcoins held on the exchange were stolen, then read on. Poloniex took full responsibility for this minor hitch in their rise to stardom by paying back all their customers that were affected by the hack.

All in all, yes this is a centralised system, and yes Poloniex did get hacked, but the company still encourages storing cryptocurrency you have in limbo in a wallet. Moreover, the company’s honesty and integrity were maintained when all Bitcoins stolen were replaced.

This is despite the fact that no one actually knows who the owners of Poloniex are exactly. For some, this may be off-putting, but for the many users on this exchange, the fact that the owner’s identities are unknown have not put them off signing up for an account; especially since you can margin trade and exchange all from the same account, which is a rarity for most Cryptocurrency exchanges.

 

Conclusion

This is probably one of the most debated cryptocurrency exchanges online. The fact that the owners have not revealed themselves is something that seems quite strange. However, the cryptocurrency exchange still seems to be one of the most popular with over 50 million visitors per month, which is massive!

No other Crypto exchange online can claim so many visitors.  Even writing this review, you have love and hate Poloniex. It is one of those sites you just really want to try because after all 50 million users a month visit Poloniex, so there must be a reason why.

One of the highlights of polonix is that that you can:

  • Margin Trade
  • Exchange
  • Use Lending Facilities

The company is registered bt the Financial Crimes Enforcement Network (FinCEN), which is a massive bonus for most users. If the customer support lets you down, then you always have the FinCEN who will look at your case and force Poloniex to look into it if in such case intervention is deemed necessary. This gives me as a crypto exchange review agent a lot more confidence in Poloniex.

Overall it is well worth dabbling in Poloniex at the level 1 account access just to see what the exchange is all about. Although I do not recommend this exchange if you a beginner when it comes to cryptocurrencies simply because the system has not been designed to facilitate beginners.

However, if you are a beginner and want to join the masses that already use Poloniex, then you have a an extensive FAQ and help support articles section where you can get aquainted with exchange with some through reading.




7 Total Score
Top Crypto Currency Site

PROS
  • Great security set-up
  • Exchange Services
  • Margin Trades
  • Lending
  • Registered with FinCEN
  • Easy to sign up and begin trading
  • Extensive FAQ and article section
  • Social Media presense for latest news
CONS
  • Customer support does appear to have a bad reputation
  • The owners of Poloniex remain anonymous
  • Not a great exchange if you are a beginner
  • Uses a centralized system
  • Not always recommended for beginners
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