My Note on Solutions.: CustomBinding binaryMessageEncoding error, Security settings for this service require 'Anonymous' Authentication but it is not enabled for the IIS application that hosts this service.

this is an Issue about the WCF Bindings. By default, if you use wshttpbinding or httpbinding, The http channel will use the Text based encoding which is not very efficient in terms of the network transfer. however, you can combine one custombing, just pick up the binaryencoding which is been used by tcpbinding, and httptransfer as the transport channel.

you can create one customBinding like this,

</binding>
</customBinding>

if the service is hosted in IIS, and the anonymous access for this folder has been turned off. you may get the follow error when you try to access the svc. even just the wsdl access.

erver Error in '/DemoWCF' Application.

Security settings for this service require 'Anonymous' Authentication but it is not enabled for the IIS application that hosts this service.

Description: An unhandled exception occurred during the execution of the current web request. Please review the stack trace for more information about the error and where it originated in the code.
Exception Details: System.NotSupportedException: Security settings for this service require 'Anonymous' Authentication but it is not enabled for the IIS application that hosts this service.
Source Error:

An unhandled exception was generated during the execution of the current web request. Information regarding the origin and location of the exception can be identified using the exception stack trace below.

Stack Trace:

[NotSupportedException: Security settings for this service require 'Anonymous' Authentication but it is not enabled for the IIS application that hosts this service.]
   System.ServiceModel.Channels.HttpChannelListener.ApplyHostedContext(VirtualPathExtension virtualPathExtension, Boolean isMetadataListener) +11449553
   System.ServiceModel.Activation.VirtualPathExtension.ApplyHostedContext(TransportChannelListener listener, BindingContext context) +75
   System.ServiceModel.Channels.HttpTransportBindingElement.BuildChannelListener(BindingContext context) +119
   System.ServiceModel.Channels.BindingContext.BuildInnerChannelListener() +66
   System.ServiceModel.Channels.MessageEncodingBindingElement.InternalBuildChannelListener(BindingContext context) +67
   System.ServiceModel.Channels.BinaryMessageEncodingBindingElement.BuildChannelListener(BindingContext context) +46
   System.ServiceModel.Channels.BindingContext.BuildInnerChannelListener() +66
   System.ServiceModel.Channels.Binding.BuildChannelListener(Uri listenUriBaseAddress, String listenUriRelativeAddress, ListenUriMode listenUriMode, BindingParameterCollection parameters) +124
   System.ServiceModel.Description.DispatcherBuilder.MaybeCreateListener(Boolean actuallyCreate, Type[] supportedChannels, Binding binding, BindingParameterCollection parameters, Uri listenUriBaseAddress, String listenUriRelativeAddress, ListenUriMode listenUriMode, ServiceThrottle throttle, IChannelListener& result, Boolean supportContextSession) +337
   System.ServiceModel.Description.DispatcherBuilder.BuildChannelListener(StuffPerListenUriInfo stuff, ServiceHostBase serviceHost, Uri listenUri, ListenUriMode listenUriMode, Boolean supportContextSession, IChannelListener& result) +647
   System.ServiceModel.Description.DispatcherBuilder.InitializeServiceHost(ServiceDescription description, ServiceHostBase serviceHost) +1364
   System.ServiceModel.ServiceHostBase.InitializeRuntime() +37
   System.ServiceModel.ServiceHostBase.OnBeginOpen() +27
   System.ServiceModel.ServiceHostBase.OnOpen(TimeSpan timeout) +49
   System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout) +261
   System.ServiceModel.HostingManager.ActivateService(String normalizedVirtualPath) +121
   System.ServiceModel.HostingManager.EnsureServiceAvailable(String normalizedVirtualPath) +479

[ServiceActivationException: The service '/DemoWCF/Service.svc' cannot be activated due to an exception during compilation.  The exception message is: Security settings for this service require 'Anonymous' Authentication but it is not enabled for the IIS application that hosts this service..]
   System.ServiceModel.AsyncResult.End(IAsyncResult result) +11527290
   System.ServiceModel.Activation.HostedHttpRequestAsyncResult.End(IAsyncResult result) +194
   System.ServiceModel.Activation.HostedHttpRequestAsyncResult.ExecuteSynchronous(HttpApplication context, Boolean flowContext) +176
   System.ServiceModel.Activation.HttpModule.ProcessRequest(Object sender, EventArgs e) +278
   System.Web.SyncEventExecutionStep.System.Web.HttpApplication.IExecutionStep.Execute() +68
   System.Web.HttpApplication.ExecuteStep(IExecutionStep step, Boolean& completedSynchronously) +75