• Friday, June 21, 2024
businessday logo

BusinessDay

Binance introduces updated API services to ensure user protection

Binance paused Nigerian trades over price suppression

In its quest to increase the adoption of cryptocurrency globally, Binance, one of the world’s leading blockchain and cryptocurrency providers, recently included an update in its Application Programming Interface (API) services to ensure that users’ protection is prioritised to create a secure and sustainable crypto ecosystem.

An API, which refers to a set of protocols for building and integrating software applications, allows a senior crypto trader, for example, to pull financial data and information from Binance, feed them into a trading program that determines the optimum move to make, and then send the trading instructions back to Binance to execute on those instructions.

With this update in place, Binance has limited API actions to only accounts that have undergone intermediate identity verification to ensure the safety of its marketplace.

In a statement by Binance, it explains that by requiring accounts with API key creation access to pass through the intermediate KYC processes, each account is linked to a genuine human trader, which ultimately promotes security on its platform.

This update, Binance says reflects the company’s unwavering commitment to its users’ safety, as these security verification steps will allow Binance to track who has access to its platform and prevent its misuse.

Read also: Can the bruised Nigerian crypto market rebound in 2022?

“Beyond the API update, Binance has also embedded other state-of-the-art security measures and strict data privacy controls across its ecosystem to ensure that users are well protected and have the crypto experiences that they deserve. With user-accessible tools such as two-factor authentications, stringent password requirements, and withdrawal address management tools, customers can easily be alert about suspicious activities and more.

“Binance also instituted a Secure Assets Funds for Users (SAFU) to allocate 10 percent of all trading fees received on its platform towards providing insurance to potential breaches in the case of emergency scenarios. The company has also harnessed the power of education towards minimising the cases of vulnerability to fraud by consistently creating free educational content to spur literacy for users off and on its ecosystem,” the company explains.

Binance further explains that as established, security remains an integral part of the crypto sphere, determining how many users will be comfortable with investing their funds to eventually enjoy financial freedom, adding that it is therefore pertinent for exchanges alike to work to ensure that safety measures for the best interest of users, communities, and regulators are in place to help generate sustainable growth in the industry.

“Being a leader in the digital finance space, Binance has been able to successfully approach security from various fronts, from the latest technologies and investments to people and education.

“This is an applaudable path towards preparing for the next billion users in the cryptocurrency world – by balancing the desires of early adopters with the concerns of the incoming majority, as well as governments and regulatory bodies at large,” the company adds.