Binance vs. Newton: What Works Better For Canadians in 2024

Security Compliance

Binance offers world-class security meaning your coins are in relatively safe hands. It offers two-factor authentication, so you can prevent unauthorized access to your account.

Keep in mind, Binance has been hacked before. Back in 2019, hackers stole 7,000 Bitcoin along with customers’ 2FA codes and API tokens. The hackers used phishing and viruses to gain access to the exchange. However, because Binance holds most of its digital assets in cold storage, the hackers only got away with what was in the hot wallet – about 2% of Binance’s Bitcoin holdings at the time.

As long as you take precautions, and transfer your crypto off the exchange to an external cryptocurrency wallet, you should be safe.

Newton does daily backups to minimize risk and states on its website that customer data is stored in Canada. They also perform daily site backups, have offline third-party storage for digital assets, and they allow their customers to directly connect their bank account to reduce fraud.

Binance employs a multi-layered system structure and a Secure Assets Fund for Users (SAFU), offering an added layer of protection for its clientele.On the other hand, Newton complies with FINTRAC regulations and provides mandatory two-factor authentication for all users, using the Authy app. However, Newton does not provide explicit details about the percentage of digital assets kept in cold storage.

Regulatory Compliance

Binance has no restrictions for Canadians, except for Ontario residents. You can use it at full capacity whether it’s a simple buy order at market price or a more advanced order type. 

Newton is fully compliant with FINTRAC regulations in Canada. 

Binance has had to stop its operations in Ontario due to regulatory issues with the Ontario Securities Commission. As of now, it does not have any specific compliance or registration with Canadian federal organizations.

As a Canadian exchange, Newton adheres to local laws and is recognized by the FINTRAC. It adheres to all relevant Canadian laws pertaining to financial transactions.

Customer support

Binance offers 24/7 support and a live chat option. In addition, Binance also has helpful FAQs and online ticketing service for their customers. Binance replied to our concern within a day.

Newton has FAQs and a knowledge center on the website. Customers can message the support teams either online via their support pages or through email. Newton does not have a phone and live support.

Binance provides round-the-clock customer support, featuring live chat capabilities and an extensive knowledge base in their help center. Newton, on the other hand, provides a knowledge base on its website to answer common questions. It also features an automated chatbot for immediate assistance and a ticketing system for more complex queries. Their support team is available on both weekdays and weekends.

Conclusion

In conclusion, while both Binance and Newton offer commendable services and user experiences, Binance emerges as the victor in this comparison. Its superior security measures, wider range of available cryptocurrencies, more advanced features, and its international reputation for reliability all contribute to its edge. Despite being an international platform, Binance's commitment to compliance and user security makes it a standout choice for crypto enthusiasts, regardless of their geographical location.

Initially, we recommended choosing Binance over Newton for your cryptocurrency trading needs. However, Binance has announced its exit from the Canadian market on 30 September 2023, citing regulatory uncertainties. As a result, we can't recommend Binance over Newton.

If you find that neither Binance nor Newton meets your requirements, we encourage you to explore our monthly-updated list of the best exchanges for Canadians to trade crypto. This list provides a range of alternative options that may better suit your specific needs and preferences.