In terms of fund security, Binance is one of the best exchange platforms, offering two-factor authentication, IP lockouts and address whitelisting. However, it isn’t perfect, as the exchange was recently hacked to the tune of 7,000 BTC, at the time worth around $40 million. Fortunately, Binance covered the loss using its SAFU fund, but most exchange hacks don’t end so well.
Unfortunately, while Binance is an excellent cryptocurrency exchange, and is arguably one of the most secure exchange platforms around, it still pales in comparison to the security that is provided by a cryptocurrency hardware wallet such as the Ledger Nano S.
Because of this, it is good practice to keep only enough funds to cover your day-to-day activities on exchanges, while keeping the rest safely stored on your Ledger Nano S. After all, if Binance gets hacked again, the SAFU fund may not be sufficient to cover the losses, so it is best to take security into your own hands and only leave a small amount in your Binance wallet.
Make sure to update your “Ledger Live” App from here:
- Ledger Live installed on your computer
- A Ledger Nano S with an official Ledger USB cable
- The Bitcoin app installed on your Ledger Nano S
- Bitcoin balance in your Binance wallet
- A Bitcoin wallet created on your Ledger Nano S
Moving Your Bitcoin to your Ledger Nano S
Step 1: To begin moving your BTC from your Binance wallet, you will need to first log into the exchange.
Head over the Binance login page, and enter your email and password, before clicking the ‘Log In’ button.
Step 2: After logging in, you may need to complete two-factor authentication. Simple enter your 2FA code in the box provided on screen to complete your log in.
Note, this step can be skipped if you do not have 2FA enabled on your account.
Step 3: After logging in, hover over the ‘Funds’ tab and select the ‘Withdrawals’ option. This will then redirect you to your Binance wallet, where you will be able to select the cryptocurrency to withdraw.
Step 4: On the withdrawals page, search for bitcoin in the search box. This will pull up a list of available wallets from the list of supported cryptocurrencies on Binance. Here, select ‘BTC – Bitcoin’ to proceed to the next step.
Step 5: Now we need to get your Bitcoin (BTC) address from your Ledger device. To do this, simply open Ledger Live and navigate to the ‘Receive’ tab.
Step 6: Connect your Ledger device to your computer and unlock the device, select your Bitcoin account and follow the on-screen steps until your Bitcoin wallet is displayed on Ledger Live. Be sure to check that this address matched the one displayed on your Ledger Nano S.
Step 7: Once you have your address, copy this into the withdrawal page on Binance and enter the amount you would like to withdraw. Once you are happy with the address and the amount, click the ‘Submit’ button to submit your withdrawal.
If you have 2FA enabled, you will need to enter this before your withdrawal is processed.
Step 8: After entering your 2FA code (if applicable), Binance will prompt you to confirm your withdrawal by email. Log into your email, and check for an email from Binance, it should contain the amount of cryptocurrency you withdraw, and the address you entered on your withdrawal page. If these two are correct, click the ‘Confirm Withdraw’ button.
Now that you have confirmed withdrawal of your funds, these should be sent to your Ledger Nano S wallet address after Binance finalizes the withdrawal. Although this tutorial provides details on how to secure your Bitcoin in cold storage, you can slightly vary the above steps for any other cryptocurrency supported by the Ledger Nano S.
Image credits: Binance