Cheapest way to get transact on Binance & the most Lucrative way to withdraw ZAR?

[Lefty309]

seems they heard you

https://twitter.com/i/web/status/1356242535941873666

Sweet. Thanks for the heads up

 

[OkPlankton]

Hi, I am new to crypto and have 2 questions. As Binance suspended the depositing and withdrawal of ZAR about 6 months ago, we are left with using our credit cards to buy crypto directly. This carries a standard 3% fee as well as a currency conversion fee from our bank (2% ?).

Another way is to buy crypto on a local exchange and then deposit it into Binance, which I am currently doing with Luno because it works out cheaper than above. Is there another, trusted local exchange that is cheaper than Luno?


For my 2nd question, if there comes a time where I feel like withdrawing ZAR rather than reinvesting, what set of steps are best to achieve this? Let us assume:
1) Popular cryptos like BTC, ETH are dipping.
2) The price of some particular crypto, P, is on a bull run and I would like to sell P for profit.

Luno is not ideal as they only support popular crypto like those above. I am thinking to sell P for a stablecoin like Tether (USDT). Then withdraw this stablecoin from Binance to a local exchange with sufficient volume, and then sell that for ZAR. (is ice3x good?)

Is this a good plan? If not I would greatly appreciate some guidance. Thanks

This is my process.

1. Buy on Binance via Card (Capitec)
2. Trade whatever coin I want on Binance
3. Convert to USDC when I want to take profits
4. Transfer USDC to Luno Wallet
5. Convert Luno USDC to ZAR
6. Widraw in my bank account from Luno

Luno currently only supports ETH blockchain (https://www.luno.com/help/en/articles/11000100818) and not the Binance smart chain, so it's a hefty network transaction fee. This is one of the reasons I just buy directly with a card on Binance.

 

[NarrowBandFtw]

This is my process.

1. Buy on Binance via Card (Capitec)
2. Trade whatever coin I want on Binance
3. Convert to USDC when I want to take profits
4. Transfer USDC to Luno Wallet
5. Convert Luno USDC to ZAR
6. Widraw in my bank account from Luno

Luno currently only supports ETH blockchain (https://www.luno.com/help/en/articles/11000100818) and not the Binance smart chain, so it's a hefty network transaction fee. This is one of the reasons I just buy directly with a card on Binance.

why would any exchange support Binance's proprietary chain though? (other than Binance of course)

have you tried those same steps except using XRP or LTC instead of USDC? fees should be much lower

 

[Snyper564]

This is my process.

1. Buy on Binance via Card (Capitec)
2. Trade whatever coin I want on Binance
3. Convert to USDC when I want to take profits
4. Transfer USDC to Luno Wallet
5. Convert Luno USDC to ZAR
6. Widraw in my bank account from Luno

Luno currently only supports ETH blockchain (https://www.luno.com/help/en/articles/11000100818) and not the Binance smart chain, so it's a hefty network transaction fee. This is one of the reasons I just buy directly with a card on Binance.

those cards transactions are capped at R1m a year and seen as foreign just fyi

 

[OkPlankton]

why would any exchange support Binance's proprietary chain though? (other than Binance of course)

have you tried those same steps except using XRP or LTC instead of USDC? fees should be much lower

I wasn't aware the Binance Smart chain was proprietary. I thought some other Exchanges also support it. It does makes sense for it to be exclusive.

I will try transferring XRP/LTC and hope the fees are less. Thank you for the valuable info

 

[OkPlankton]

those cards transactions are capped at R1m a year and seen as foreign just fyi

To be honest, don't think I'll have to worry about the cap for now lol

 

[GISDude]

Hi All.
See this thread is still active so thought I would also join the convo.

I am also looking for a cheaper way to get funds into Binance. The Credit Card is unfortunately attracting that fee as well as the conversion typically is different than the actual ZAR/USD exchange rate (some more profits taken).

Using VALR or LUNO with EFT is free but has the drawback that the exchange is on average about 5% more expensive than international (like binance). So what I'm saying is if I deposit ZAR to my VALR and exchange for XRP (Ripple) I would be exchanging at a 5% higher rate than what is currently trading on binance. Then if I send the coin over to binance I would technically have paid a 5% fee for getting it there.

Anybody noticed this before and have a better alternative?

 

[Snyper564]

Hi All.
See this thread is still active so thought I would also join the convo.

I am also looking for a cheaper way to get funds into Binance. The Credit Card is unfortunately attracting that fee as well as the conversion typically is different than the actual ZAR/USD exchange rate (some more profits taken).

Using VALR or LUNO with EFT is free but has the drawback that the exchange is on average about 5% more expensive than international (like binance). So what I'm saying is if I deposit ZAR to my VALR and exchange for XRP (Ripple) I would be exchanging at a 5% higher rate than what is currently trading on binance. Then if I send the coin over to binance I would technically have paid a 5% fee for getting it there.

Anybody noticed this before and have a better alternative?

Notice this before? Yes this is normal.

Your best bet is to make use of the binance free card fee promotions that occur from time to time.

 

[K T]

Notice this before? Yes this is normal.

Your best bet is to make use of the binance free card fee promotions that occur from time to time.

I'm busy grappling with this at the moment as well.
It seems to me that even without the free card fee promo it would still be cheaper than going via a local exchange. Correct? Given the local premium and fees to send to Binance.

 

[Snyper564]

I'm busy grappling with this at the moment as well.
It seems to me that even without the free card fee promo it would still be cheaper than going via a local exchange. Correct? Given the local premium and fees to send to Binance.

the exchange prices fluctuate every second... thats why I belong to about 5 and pick the cheapest when I want to buy.

 

[NarrowBandFtw]

I'm busy grappling with this at the moment as well.
It seems to me that even without the free card fee promo it would still be cheaper than going via a local exchange. Correct? Given the local premium and fees to send to Binance.

if that was true the local exchanges would be out of business ages ago

you also need to factor in the blockchain network fees to send it from Binance to a local exchange if you ever want to cash out in ZAR (or worse, SWIFT fees to transfer internationally back to you bank)

arbitrage simply is not that easy to profit from any more, that's why companies like Shiftly exists, it takes scale and specialization to profit from arbitrage these days and you need to include all fees to compare properly e.g.

Binance:
deposit fee + forex change fee + taker fee to buy + blockchain send fee to get it to a local exchange + local exchange taker fee to sell + local exchange withdrawal fee (and you are affecting your annual balance of payments limit)

Luno:
deposit fee (whatever your bank charges you for an EFT, R1 to R7 usually)
+
taker fee to buy (0.1%)
+
taker fee to sell (0.1%)
+
withdrawal fee (free) (and you are not affecting your annual balance of payments limit)

now compare the difference in fees to the difference in price and also consider that both markets fluctuate independently of each other, you might have bad timing and send from Binance to Luno at a time when their prices are closer to each other than usual

a free card promo can easily be the difference between profit and loss here