Bithumb: A Comprehensive and Detailed Review of the Cryptocurrency Exchange

Bithumb is a leading cryptocurrency exchange with a dominant presence in South Korea, recognized for its high liquidity, user-friendly platform, and diverse trading options. This article delves deep into Bithumb”s history, features, and unique offerings, providing an all-encompassing guide to one of the most popular crypto trading platforms.

History of Creation

Bithumb was founded in 2014 in Seoul, South Korea by Bithumb Korea Co. Ltd. The exchange aimed to capitalize on the growing interest in Bitcoin and blockchain technology in South Korea, a country at the forefront of cryptocurrency adoption.

Key Milestones:

  1. 2014: Launched as a Bitcoin-focused exchange, quickly gaining traction as one of the first platforms to offer robust trading tools for South Korean traders.
  2. 2016-2017: The platform experienced exponential growth during the crypto boom, becoming the largest exchange in South Korea by trading volume.
  3. 2018: Faced a major security breach, losing $31 million in cryptocurrencies. Bithumb restored user confidence by fully compensating affected users and strengthening its security protocols.
  4. 2020: Introduced staking and futures trading, further diversifying its offerings for retail and institutional traders.
  5. 2022-2023: Continued to expand its NFT marketplace and international presence, while complying with stringent South Korean crypto regulations.

Main Characteristics

Bithumb is designed to cater to both beginners and professional traders, offering:

  • User-Friendly Design: A simple and intuitive interface for spot trading, complemented by detailed charts for advanced analysis.
  • Diverse Trading Options: Support for spot, staking, and futures trading, as well as an NFT marketplace.
  • High Security Standards: Features such as multi-signature wallets, cold storage, and real-time transaction monitoring ensure user safety.
  • KRW Integration: Tailored for South Korean users with seamless fiat-to-crypto integration using KRW.

Exchange Rating

Bithumb consistently ranks among the top 15 cryptocurrency exchanges globally and remains a dominant force in the South Korean market. Its reputation is built on its liquidity, reliability, and regulatory compliance.

Number of Coins

Bithumb supports over 170 cryptocurrencies, ranging from major tokens to emerging altcoins:

  • Major Coins: Bitcoin (BTC), Ethereum (ETH), Ripple (XRP).
  • Emerging Tokens: Polkadot (DOT), Cardano (ADA), Solana (SOL).
  • Stablecoins: Tether (USDT), TrueUSD (TUSD).

The exchange regularly evaluates and lists promising blockchain projects to diversify its offerings.

Depositing and Withdrawing Money

Deposits:

  • Fiat Deposits: Available in South Korean Won (KRW) through local bank transfers. Deposits are processed instantly or within a few hours.
  • Crypto Deposits: Supported for all listed cryptocurrencies. Deposits are free, except for standard blockchain network fees.

Withdrawals:

  • Fiat withdrawals require verified bank accounts and are subject to nominal fees.
  • Cryptocurrency withdrawals incur network-specific fees. For instance, Bitcoin withdrawals currently cost 0.0005 BTC.

Security for Withdrawals:

Bithumb employs advanced withdrawal whitelisting and mandatory KYC for withdrawals, ensuring funds are protected against unauthorized transactions.

Popular Currency Pairs

Bithumb”s most actively traded pairs include:

  • BTC/KRW: Bitcoin against South Korean Won.
  • ETH/KRW: Ethereum against South Korean Won.
  • XRP/KRW: Ripple against South Korean Won.
  • ADA/KRW: Cardano against South Korean Won.

The focus on KRW pairs highlights its dominance in the South Korean market.

Advantages and Disadvantages

Advantages:

  1. Strong Fiat Integration: Easy deposits and withdrawals in KRW.
  2. High Liquidity: Particularly for KRW-based trading pairs, ensuring minimal price slippage.
  3. Regulatory Compliance: Fully compliant with South Korean crypto laws, enhancing trust among local users.
  4. Robust Security: Multi-layered security systems to safeguard user assets.

Disadvantages:

  1. Limited Global Fiat Support: Non-KRW fiat currencies are not supported, limiting accessibility for international users.
  2. Complex Interface for Beginners: While easy to navigate for spot trading, advanced features can be overwhelming.
  3. Restricted Access: Users in certain countries face limitations due to regulatory restrictions.

Registration Process

Bithumb”s registration process is straightforward but includes mandatory verification steps:

Steps:

  1. Account Creation: Register with a valid email address and password.
  2. Verification: Complete KYC by uploading a government-issued ID and proof of address. For South Korean users, mobile number verification is also required.
  3. Enable Security: Activate 2FA for additional protection.

Active Users

Bithumb boasts over 8 million registered users, with a significant portion based in South Korea. Its active user base is growing steadily, fueled by its local dominance and increasing global reach.

Mobile Applications

Bithumb provides mobile apps for iOS and Android, designed to replicate the platform”s full functionality:

  • Real-Time Trading: Monitor prices and execute trades instantly.
  • Portfolio Management: Track holdings and profits.
  • Notifications: Alerts for price movements and order execution.

Ratings:

The apps maintain an average rating of 4.5 stars, praised for their reliability and user-friendly interface.

Customer Support

Bithumb offers comprehensive support:

  • 24/7 Customer Service: Available via live chat for immediate assistance.
  • Email Support: Responses are provided within 24-48 hours for more complex issues.
  • Help Center: A well-organized FAQ section with guides and tutorials.

P2P Trading

While Bithumb doesn”t have a dedicated P2P platform, it offers OTC (Over-the-Counter) trading, enabling large transactions with minimal market impact.

Geography

Bithumb is predominantly focused on South Korea, where it holds the largest market share. It has expanded into other Asian markets but faces restrictions in regions such as the United States due to regulatory constraints.

Languages Available

The platform supports multiple languages, including:

  • Korean
  • English
  • Chinese
  • Japanese
  • Spanish

Device Usage

Bithumb users primarily access the platform via:

  • Mobile Devices (60%): Ideal for quick trades and monitoring.
  • Desktop (40%): Preferred for detailed charting and analytics.

Additional Instruments

Bithumb offers several advanced tools, including:

  • Futures Trading: Leverage-based trading for experienced users.
  • Staking Services: Earn passive income by staking supported cryptocurrencies.
  • NFT Marketplace: Buy, sell, and trade non-fungible tokens directly on the platform.

Corporate Accounts

Corporate accounts on Bithumb come with:

  • Enhanced withdrawal limits.
  • Customized API solutions.
  • Priority support for institutional traders.

Trading Fees

Bithumb employs a transparent fee structure:

  • Maker Fees: 0.15%
  • Taker Fees: 0.15% Volume-based discounts are available for high-frequency traders.

Fiat Money

Bithumb supports fiat transactions exclusively in KRW, making it the go-to platform for South Korean users.

Investors and Ownership

Bithumb is owned by Bithumb Korea Co. Ltd. and backed by several prominent South Korean investors. Its ownership structure includes strategic partnerships with blockchain firms.

Team Information

The exchange employs over 300 professionals, specializing in blockchain development, cybersecurity, and compliance.

Exchange Token

Currently, Bithumb does not have a proprietary exchange token but frequently offers trading fee discounts through promotions.

Trading Volumes

Bithumb processes daily trading volumes of approximately $1 billion, primarily driven by KRW-based pairs.

NFT Support

The Bithumb NFT Marketplace allows users to trade digital assets, offering seamless integration with their crypto holdings.

Affiliate Program

Bithumb”s affiliate program provides commissions for referring new users, incentivizing active community participation.

Traffic Data

The platform attracts over 8 million monthly visits, with peak activity during major market movements.

Registration Methods

Registration is available via:

  • Email.
  • Social media (for South Korean users).
  • Mobile app.

Types of Orders

Bithumb supports various order types, including:

  • Market Orders
  • Limit Orders
  • Stop-Loss Orders
  • Trailing Stop Orders

Bonuses

Bithumb regularly offers:

  • Trading fee discounts.
  • Welcome bonuses for new users.
  • Seasonal staking rewards.

Interesting Facts

  1. Market Leader: Bithumb accounts for a significant portion of South Korea”s crypto trading volume.
  2. Charity Contributions: Actively participates in blockchain-based charity initiatives.
  3. Regulatory Pioneer: One of the first exchanges to comply with South Korea”s stringent crypto laws.

Bithumb”s dominance in South Korea, coupled with its robust security and diverse offerings, makes it an excellent choice for traders. While its focus on KRW may limit global accessibility, it remains a reliable platform with a proven track record of success.