Review on Foxbit by Sharron Robertson

Name: Foxbit
Item: Foxbit
Rating: 4

June 16, 2019

Foxbit Exchange Review

FoxBit is one of the leading bitcoin exchange in Brazil, boasting about 400,000 users. Its top rivals in the country are Mercado and Bitcambio. 
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Together the trio represents a fractional of a percent of cryptocurrency trading globally, but they should gain scale as the Brazilian bitcoin market grows. 
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The trading platform is based on open-source Blink Trade, which has proven to come back to haunt them. FoxBit claims to have 43% of the Brazilian bitcoin market.
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FoxBit is not a platform for speculative trading, given its singular focus on bitcoin. It’s more of an intermediary to exchange the Brazilian real for bitcoin or vice versa. 
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FoxBit Founder Guto Schiavon explained:
 Our job is basically to provide a middle ground between two people, one who wants to buy and the other who wants to sell. And we guarantee that at the end of the day, one will receive the bitcoin and another will receive the BRL as negotiated.
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While FoxBit boasts of a large percentage of funds being stored in a cold wallet, it has not been immune to security breaches. They’ve suffered a series of both technology infrastructure failures and security setbacks. The tech problems appear to stem from the company not being able to manage increased demand for its services, in response to which they’ve had to block newcomers from joining the platform.
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Pros

Hot and cold wallet addresses, both of which are transparent
Accepts fiat deposits (though only in BRL)
Supports SegWit, which leads to lower withdrawal rates
Promotes diversity in the workplace
Partner with US-based Bitgo, a multi-signature wallet

Cons

The exchange argues that most crypto platforms do and that they’re more focused on the backend than the front end. Having said that, FoxBit expects the user interface to improve.
No trading tools (e.g. charts, analysis, etc.)
Lacks coin diversity
DDoS attacks & software issues.
Customers accuse it of having no backup servers
More demand than they can sometimes handle