British Bitcoin exchange Coinfloor which just started offering its services to customers, is committed to meet government regulations and keep money launderers out; however, that would not mean that it will compromise with the safety of users’ funds. The London-based exchange says that it has made safety of users’ funds a top priority.
Coinfloor believes that Bitcoin security is its major agenda as its entire philosophy revolves around the “no single point of failure” approach. The Bitcoin exchange emphasizes that for any part of its business e.g. server, legal jurisdiction, Bitcoin storage, banking, and databases, all parts are accounted for in regards to business continuity.
The Bitcoin exchange promises that if any operational part fails, it will be able to switch operations onto a new system. It has a two factor authentication process to ensure that customers’ funds are safe and secure. A source from Coinfloor says, “The two factor authentication or 2FA is the security principal that a secure system should utilize “something you know” and “something you have.”
He further adds that whereas the first of these is a password, the second is a physical device which could be either a phone or a Yubikey. Thus, if some customer has a feature phone, the Bitcoin exchange will send an SMS and if customers have an Android or iPhone then it will recommend installing Authy and logging in that way.
Answering the question regarding the protection of privacy by Coinfloor, the official from the Bitcoin exchange says that it keeps and uses information in line with the Data Protection Act of 1998. Additionally, as it is registered with the Information Commissioner’s Office for data protection, it does not send customers’ data to 3rd parties for marketing and advertising purposes.
Low Commission Rates
Coinfloor promises to keep commission rates on its exchange the lowest in the industry. It has a Maker-Taker pricing schedule wherein customers can place orders without any charges and the fee is only charged after the trade is matched.
For instance, if customers place an order onto the order book, which another user then matches, and that trade executes, then they are acting as a “Maker” or liquidity provider and will be charged lower fees.
Similarly, if customers place an order which matches an existing order, removing liquidity from the system, they will be charged the “Taker” fee.
To contact the reporter of this story: Deepak Tiwari at firstname.lastname@example.org