The home of digital asset trading
In (2012) in the British Virgin Islands, an exchange office called Bitfinex was established. In those years, due to the high volume of transactions, it became one of the largest exchange offices in the world. A key element that has received a lot of attention in this exchange is the issue of security of this exchange. Despite all this, Bitfinex has been hacked several times in different years, but quickly upgraded its security and repaid all users' funds.
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Know more about Bitfinex
Bitfinex Exchange is the top destination for seasonal traders around the world and one of the best exchanges available in terms of recognition and trading volume. Except for a few countries in the world that have imposed sanctions on them, the exchange serves other countries and supports Fiat transactions to digital currency and digital currency to digital currency. This exchange has taken many strong security measures but has been hacked twice so far, in 2015 and 2016. Since then, it has significantly improved its security.
At the beginning of this review, let's take a look at the pros and cons of this exchange
A wide range of services, trading pairs, and types of orders
Cheap transaction costs
Very easy to use
Suitable for professional digital currency traders
Spend a lot of time verifying the account
Experience several serious hack items
Bitfinex was established and registered in the British Virgin Islands in 2012. At that time, due to the high volume of Bitcoin transactions, Bitcoin became one of the largest exchanges in the world. Many of the users of this exchange were professionals, not the general public, so it gave them the ability to do margin trading in various forms, transactions, and trading, registering the order or sale range, and so on. Although this exchange is suitable for professionals, its user interface is so simple that newcomers do not get lost in it.
While Bitfinex has a very powerful security system such as two-factor authentication (FA2) and IP address monitoring. But, in May 2015 and then August 2016, several reports of hacks were received. After these attacks, it strengthened his security shield and made up for all the lost funds of the users.
Despite being centralized, security at the Bitfinex exchange is a top priority and is more secure for the user, as well as taking more security precautions than most existing exchanges. Not only is there two-factor authentication listed above, but users can also use U2F Global Authentication, and in addition, all people's assets are stored in cold wallets. Bitfinex monitors user accounts in the following ways:
Stores login data and analyzes it for any unusual activity
Detects IP address changes if stolen
Sends notifications and blocks the account in case of suspicious activity
If necessary Restricts account access and withdrawal to selected IP addresses
Tracks patterns of behavior and initiates manual inspections on unusual perceptions
Uses PGP email encryption for the malware authentication process
In terms of security actions to protect your system, Bitfinex does the following:
Uses protection against DDoS attacks
Automatically backs up the database daily
Automatically encrypts and copies backup data
Regularly updates Linux software and systems
The above actions reduce the vulnerabilities of Bitfinex Exchange. Although the exchange does not insure users' budgets, it is responsible for compensating users when assets were lost due to security breaches.