Two weeks ago, Bithumb Global—a subsidiary of the South Korea’s largest cryptocurrency exchange Bithumb—celebrated its first anniversary. In just one year, the platform has grown into a user-friendly trading venue that provides not only a wide range of tools, but also the ability to make fiat withdrawals. In this review, DeCenter will explore the structure of Bithumb Global.
Founded in 2014, Bithumb is a regulated exchange that sees the most substantial trading volumes in South Korea. Today, it is part of the Korea Blockchain Association, a self-regulated organization, and since 2018, it has been overseen by the Financial Services Commission (FSC), the country’s main financial watchdog. In this regard, Bithumb can be considered one of the top exchanges in the entire market, and not only in South Korea. At the time of writing, the number of users who signed up for Bithumb has already exceeded 8 million, and the total volume has surpassed the $1 trillion mark. More than 300,000 unique users visit the site every day, and the average daily transaction volume stands at over $1 billion.
In 2019, the founders of Bithumb decided to focus on global expansion, giving foreign projects the opportunity to list their coins at the same time enjoying high security standards. That’s how the idea to launch a subsidiary platform was born, and on May 14, 2019, Bithumb Global went live. Over the past year, more than 900,000 people from 151 countries and regions used the exchange’s services, with its interface and round-the-clock tech support becoming available in 13 languages. Today, the daily trading volume on Bithumb Global is more than $100 million. The exchange also stores some of the world’s biggest EOS and ETH reserves in its wallets.
Crypto Trading Advantages
On Bithumb Global, 169 cryptocurrencies are actively traded, which can be purchased for dollars, euros, and other fiat currencies using Visa or Mastercard.
As for the trading fees, they are mostly 0.1%. This applies to all digital assets, except for EUSD which has a fee of 0.01%. The withdrawal fee varies—for Bitcoin, for example, it’s 0.001 BTC, and if you want to move Ether, you’ll be charged 0.01 ETH. To pay for commissions, you can use the platform’s internal stablecoin BUSD, which is backed by U.S. dollars at a one-to-one ratio.
To improve user safety, Bithumb Global follows KYC/AML policies that offer account verification. Without the confirmation of personal data, however, traders are limited to withdraw no more than 1 BTC per day. After providing a mobile phone number, this limit rises to 5 BTC; by uploading identity documents (photo of a person holding their ID card or passport), one can increase their limit to 20 BTC; when providing a document with the proof of address of residence, the limit increases to 100 BTC. The verification procedure usually takes 2–3 days.
Speaking of security, it is worth noting that Bithumb Global uses cold wallets to store user assets, 24/7 server monitoring, SSL encryption, and two-factor authentication (2FA). The platform’s team also includes about 200 developers who track the optimization and compliance of the internal architecture. To do this, Bithumb Global experts regularly conduct internal audits, improve the format of internal inspections, and update IT systems.
Bithumb Chain and Bithumb Coin
On November 7, 2019, the Bithumb team announced the Bithumb Chain, which is characterized by high levels of both security and speed. This network is presented as an open-source decentralized protocol. A number of Bithumb products and services run on Bithumb Chain, allowing users to seamlessly exchange value at all stages of trading.
So, for example, with the Bithumb’s ledger, one can use an EaaS (Exchange-as-a-Service) to create a blockchain-based trading dApp in one click. It will operate on top of the PSP (Profit Sharing Protocol), which allows one to run such applications without the need to integrate their own blockchain while maintaining autonomy. PSP also allows one to take advantage of additional functions that facilitate the work of trading services: for example, algorithmic matching of transactions or automated trades and accounting of operations.
The Bithumb Chain network does also have its native token, Bithumb Coin (ticker: BT). It ensures the stability and sustainability of the Bithumb Chain, which powers the Bithumb products and services, as well as the infrastructure of the broader Bithumb Family ecosystem.
Last November, Bithumb introduced the Bithumb Family, a global digital financial ecosystem powered by the Bithumb Chain.
Key members of the Bithumb Family:
South Korean cryptocurrency exchange Bithumb
Borderless digital asset exchange venue Bithumb Global
Singaporean trading platform Bithumb SG
Custodian Bithumb Custody
Decentralized network for creating retail dApps Bithumb Chain
Decentralized trading platform Bithumb DEX
OTC for institutional investors Bithumb OTC
Blockchain services company Bithumb STO
Thus, Bithumb seeks to unite all crypto communities on a single transparent and decentralized platform in order to ensure a free and fast exchange of digitized data and value between all participants of the ecosystem.
At the same time, the BT token is a kind of “circulatory system” for the products born into the Bithumb Family. BT allows one to transact on the Bithumb Chain network and provides the necessary mechanisms to incentivize users to increasingly exchange value within the network.
The developers offer many benefits to those who hold BT tokens. Among them:
Access to ecosystem products. The token will be used to motivate users and traders, process transaction fees on the Bithumb Global network, grant rights to use the network system, pay transaction fees on the Bithumb Global platform, and also pay for new products in the future. Through the leasing contract system, users can also lend their BTs to receive leasing rewards.
Project management. Token holders may not only take part in the management of the network by voting and determine the vector of project development—including the nomination of listing candidates—but also make investment decisions.
Privileges and additional profit. BT gives token holders privileges in the platform’s marketing activities, including additional bets in BG Staging and additional return on investment when participating in token betting. Other advantages of BT ownership include participation in events such as fair distribution of tokens.
Starting May 15, 2020, the Minter Network project, whose BIP token is already available for trade and exchange, has become part of the Bithumb Global’s ecosystem.
#BithumbGlobal will list $BIP @MinterTeam— Bithumb Global (@BithumbGlobal) May 15, 2020
🗓️Deposit: May 15, 2020 at 10:00 (UTC+8)
🗓️Trading: May 15, 2020 at 17:00 (UTC+8)
📈Trading pair: BIP/BTC、BIP/USDT
For more details >> https://t.co/xovKLzNXhq#BGlisting #cryptoexchange #trading #crypto #blockchain pic.twitter.com/0hElZvBlWD
To give BIP the exposure it deserves, the teams held a two-million BIP Gran Prix contest.
To celebrate the official listing of $BIP @MinterTeam on @BithumbGlobal, we will hold a “2,000,000 BIP Grand Prize Pool” event, for community participation!— Bithumb Global (@BithumbGlobal) May 15, 2020
For more details >> https://t.co/3MA8eWQuMh#BGlisting #Crypto #cryptoexchange #airdrop #giveaway pic.twitter.com/KqRFfLK3rb
The winners were announced on the official blog yesterday, and all rewards will be distributed within five business days.