Strong points
In the dynamic world of cryptocurrency, choosing the right exchange platform can make all the difference in your trading journey. In this article, we explore bitFlyer comprehensively, examining its features, security protocols, user experience, and unique offerings that set it apart from the competition.
Read Tokize´s in-depth review of crypto exchange platforms to uncover the best options for your investment goals.
Let’s start with a brief introduction to the exchange. BitFlyer is a cryptocurrency platform that allows users to buy, sell, or trade cryptos like Bitcoin.
Originating from the Land of the Rising Sun, Japan, the exchange was founded in January 2014 by a former Goldman Sachs banker named Yuzo Kano. While this name may not ring a bell for many, it’s worth noting that Kano’s background brings significant financial expertise to the platform.
bitFlyer quickly gained significant traction in Japan. By 2017, it emerged as the leading Bitcoin exchange in Japan in terms of trading volume. Just a few years after Bitcoin’s inception, the exchange foresaw the potential of cryptocurrencies in Japan. This anticipation resonated well with the Japanese public, contributing to the country’s prominent position in the crypto landscape. Notably, amidst global regulatory tensions surrounding cryptocurrencies and exchanges, Japan stands out. The government recently eased regulations for crypto exchanges, introducing a “green list” of approved cryptocurrencies.
While BitFlyer started in Japan, it has expanded its services to the United States and residents of the European Economic Area (EEA). In Europe, the exchange operates under the regulation of the Luxembourg Financial Markets Authority and offers a fully translated interface in French.
bitFlyer is a centralized exchange distinguished by its Lightning Exchange, offering various trading options such as future contracts and margin trading. Additionally, it provides a mobile application for both Android and iOS devices.
At the time of writing, bitFlyer supports around ten cryptocurrencies and tokens. The platform maintains an active presence on Twitter and Facebook. To wrap up this overview, here are some key figures regarding bitFlyer’s activity:
Bitflyer
Bitflyer
The success of an exchange partly relies on the available offerings. So, what cryptocurrencies are available on the BitFlyer platform? At the time of writing this guide, the exchange offers the opportunity to buy or sell about a dozen digital assets.
While this list may be smaller compared to other exchanges like Coinbase or Binance, it is diverse and consists only of reliable assets. Therefore, you won’t find meme coins or dubious coins on BitFlyer. The cryptocurrencies (or tokens) offered all have significant ambitions and serve the operations of important ecosystems.
Currently, you can buy and sell the following cryptos on bitFlyer:
BitFlyer primarily focuses on crypto trading. Unlike other exchanges, BitFlyer does not offer an ecosystem with various crypto services. For instance, you won’t find crypto lending services, wallets, or staking on BitFlyer. As such, BitFlyer mainly concentrates on buying, selling, and exchanging the cryptocurrencies mentioned above. This simplicity is advantageous, especially for cryptocurrency beginners. The interface is user-friendly, and you won’t be overwhelmed by various products offered by the platform.
BitFlyer’s exchange services remain sharp and perfectly tailored for beginners and professionals. The Lightning Exchange module was designed by traders who have worked on Wall Street, so the interface boasts all the features expected from an experienced trader. On bitFlyer, you can engage in futures trading, margin trading, and more.
Like any exchange platform, BitFlyer applies a fee schedule for certain operations. These fees compensate the exchange for the services provided. Generally, a crypto exchange charges fees for deposits, withdrawals, and trading.
BitFlyer does not charge any fees for creating and maintaining an account. Moreover, the exchange stands out by not applying any fees for cryptocurrency deposits. In reality, deposits in certain cryptos like Ethereum will incur some fees related to the blockchain.
BitFlyer’s withdrawal fees depend on the cryptocurrency or token in question. For example, withdrawals are free for Monacoin (MONA) and Stellar (XLM). For other cryptocurrencies, the fees are as follows:
On BitFlyer, trading fees on the Lightning Spot depend on the amount wagered in the last 30 days. The fees are as follows:
Deposits in dollars are free of charge. The fee applied by the exchange for withdrawals is $20.
Bitflyer
Bitflyer
The BitFlyer exchange offers a free mobile application available for both Android and Apple users. This app provides the same functionalities as the traditional website, allowing users to access crypto trading services directly from their smartphones.
On Google Play, the app has been downloaded over a million times at the time of writing, with over 5,400 reviews. Overall, the bitFlyer Android mobile app has a rating of 3.6 out of 5.
In the App Store, the BitFlyer app has a rating of 4.3 out of 5 based on 196 reviews. Among the most common criticisms are the lack of a night mode and occasional difficulties logging in.
For bitFlyer U.S. clients, the platform offers three types of accounts: StandBy, Trade Class, and Trade Pro Class. What’s the difference? Both account types require specific verification documents.
The StandBy account requires fewer documents. Additionally, the standard StandBy account is only used to navigate the exchange menu. Essentially, with a StandBy account, you cannot engage in crypto trading or make deposits.
In contrast, the Trade Class and the Trade Pro Class accounts allow you to make deposits as well as withdrawals and trading. To open a professional account (Trade Class or Trade Pro Class), you need to provide the following documents:
Within the trading account, there are class differences. These set limits on purchases and sales. For example, the “Trade Class” category allows you to buy and sell cryptos up to $50,000 per day. If you want no limit, you must access the “Trade Pro Class” category. To change categories, you need to contact the platform’s customer service.
Bitflyer
Bitflyer
Security is a crucial factor to consider when choosing your exchange. After all, the exchange you select will essentially act as your bank. Moreover, as demonstrated in the past year, the crypto space is still in the process of structuring, with malicious or poorly secured actors still present. It’s therefore vital for you to verify the security level of your exchange. So, what about BitFlyer?
The bitFlyer exchange implements various protocols to ensure a high level of security for its clients. Considering that the exchange manages over $5 billion, security must be guaranteed. The fact that it was established in Japan, a country known for its strict security standards, is already an encouraging sign.
One of the primary security measures implemented by bitFlyer is two-factor authentication or 2FA. Essentially, this requires authentication in two steps. Typically, this involves first logging in with your username and password. Additionally, the exchange will send you a code via SMS or email. 2FA helps prevent malicious individuals from gaining access to your account with just your username and password.
Another measure implemented by BitFlyer concerns how the exchange stores your cryptocurrencies. As you may know, there are two types of wallets for storing cryptos. Hot wallets are user-friendly but store your cryptos online and are therefore vulnerable. Cold wallets, on the other hand, store your cryptos offline on hardware devices. They are more secure, although they require a certain level of expertise and maintenance. bitFlyer has chosen to store its clients’ cryptocurrencies in cold wallets. Specifically, 100% of clients’ cryptocurrencies are stored on this type of medium.
Finally, two other measures are worth mentioning. On-chain transactions are carried out using a multi-signature circuit. Additionally, the platform employs state-of-the-art encryption called DigiCert. Evidence of the exchange’s seriousness, BitFlyer has no reported thefts in the last 7 years. Many exchanges cannot make the same claim…
The bitFlyer exchange holds several licenses. The platform is regulated in Japan by the Japanese Financial Services Agency (JFSA). Additionally, the exchange is licensed to operate in Europe since 2018. The company is approved by the Luxembourg Ministry of Finance and registered as a Virtual Asset Service Provider with the Commission for the Supervision of the Financial Sector (CSSF).
Bitflyer
Bitflyer
Do you want to start crypto trading on BitFlyer? It’s very simple! Below, we present a tutorial that guides you step by step through the process. You’ll learn how to open an account, secure it, and make a deposit to start your crypto trading journey.
As with all platforms, you need to have an account before you can perform any operations. The first step is to open your account on bitFlyer. To sign up, simply go to the homepage. Then, you need to choose whether you want to open a personal or professional account.
The next step is to provide your email address. Once you have provided your email, you will receive a message. In this email, you need to click on the provided link. This step allows bitFlyer to verify that you have entered your email address correctly.
The exchange then asks you to create a password. As with any financial application, we recommend creating a complex password. Moreover, the platform provides recommendations regarding the structure of the password.
Once you have your username and password, all that’s left is to accept the platform’s terms of use.
As explained above, security is paramount for a crypto exchange. That’s why bitFlyer’s registration process includes two steps to secure your account.
The exchange will ask you to fill out a form to better understand your profile and identity. This questionnaire corresponds to the requirements of the KYC (Know Your Customer) protocol to which the exchange is subject. More and more exchanges are complying with the KYC protocol. This is a security measure because it allows the exchange to know its customers.
Once you have filled out the form, the platform includes a final verification step. For this, you need to provide your phone number. Once you have done this, you will receive a verification code on your phone that you need to enter on the platform. After this step, bitFlyer will validate your account, and you can start your trading activities.
As mentioned above, the exchange offers the option to use a two-factor authentication system. While it’s not mandatory, we recommend activating it on your account. This way, even if someone were to know your password and email, they wouldn’t be able to log in to bitFlyer. The platform allows you to select the operations for which you want to activate two-factor authentication, such as:
Before engaging in crypto trading, you need to fund your account. You can do this in dollars via bank transfer or PayPal. As mentioned above, euro deposits are free of charge. This money will be used to buy cryptocurrencies later on. In the case of a bank transfer, you should expect a processing time of approximately one or two days (for a SEPA network transfer). According to the website, PayPal deposits are currently unavailable.
Alternatively, you can also make a deposit directly in cryptocurrency. Again, the platform does not apply any fees. However, with a standard account, you must first make a deposit in euros before transferring your cryptocurrencies. If you have a Trade Pro account, there’s no issue; you can simply transfer your cryptos to make the initial deposit.
Depending on the type of account you have, you will be limited in terms of deposits and withdrawals. To eliminate all limits, we recommend opting for the “Trade Pro” account. To open this type of account, you will need to provide documents proving your identity and address.
The trading interface is simple to use. You just need to select the cryptocurrency of your choice, define the quantity, and then click on “Sell” or “Buy“. At the top of the interface, you’ll find all the cryptocurrencies available on bitFlyer, specifically the crypto/USD pair.
At the bottom of the page, you have the transaction history for the selected cryptocurrency. On the right, you have the price chart of the cryptocurrency. You can select the time interval you prefer: 1 hour, 1 day, 1 week, 1 month, or 1 year.
Bitflyer
Bitflyer
The bitFlyer platform is versatile, making it a great choice for beginners. Its interface is simple and streamlined, providing essential information without overwhelming users. Additionally, the limited selection of cryptocurrencies can be advantageous. You won’t need to spend time understanding a myriad of coins before making your choice. The available cryptocurrencies are secure and each offers interesting features. Furthermore, having its own mobile application is a significant advantage.
For experienced traders, BitFlyer offers plenty to appreciate as well. Its interface remains comprehensive, offering various options for in-depth market analysis. Remember, the exchange was created by professional traders who previously worked on Wall Street. Moreover, if you opt for the Trade Pro account, you can trade without limits. The security measures implemented by bitFlyer are reliable and instill confidence. Likewise, being regulated by multiple agencies worldwide is a significant advantage.
Limited information is available regarding bitFlyer’s customer service. It’s worth noting that the exchange’s website includes a “Support” menu, where you can find a FAQ section. This FAQ is divided into several categories such as Security, General Information, Getting Started, Account Management, Professional Account, Buy / Sell, Trading / Lightning, Periodic Maintenance, PayPal Deposits, Recurring Buy, Deposit / Withdrawal. As you may notice from the category names, the FAQ is not fully translated into French yet. For quicker assistance, you can also use keywords in the search bar provided.
Additionally, the exchange offers a contact form for further inquiries.
BitFlyer exchange is a standout crypto platform. It’s secure, regulated, and offers a limited but intriguing selection of cryptocurrencies for trading. Mastering the platform doesn’t take much time, and opening an account is swift while maintaining robust security measures. Moreover, unlike some other platforms, BitFlyer is highly transparent about its fee structure. The exchange facilitates deposits in fiat currency (USD) or cryptocurrency. Additionally, it boasts a comprehensive mobile application available on both Android and Apple platforms, a significant advantage. BitFlyer’s strength lies in its ability to cater to both novice and experienced traders.
Bitflyer
Bitflyer
