Strong points
Discover BitMEX. It is a trading platform that is relatively unknown compared to market giants like Binance, Coinbase, or Kraken, but which might interest you especially if you are familiar with markets and cryptocurrency. Offering complex products with high leverage, this trading (buying and selling) platform for crypto-assets could meet some of your needs. To give you a clearer understanding of the subject, the Tokize teams offer you a complete guide on it.
BitMEX is a cryptocurrency trading platform. It specializes in derivatives. Thus, users have the ability to position themselves and buy (or sell) futures and options contracts on various cryptocurrencies. This includes Bitcoin (BTC), Ethereum (ETH), or Litecoin (LTC). Launched in 2014, BitMEX was created by Arthur Hayes, Ben Delo, and Samuel Reed. Its headquarters are in Hong Kong, but the company is registered in Saint Vincent and the Grenadines.
BitMEX is a widely used platform with excellent liquidity. It is, therefore, easy and quick to place an order, especially as the user experience is very pleasant. It is a platform dedicated to knowledgeable individuals, with a maximum leverage of x100 (you can also engage in margin trading or short selling). Security is top-notch, and the fees are fairly low (at least, the withdrawal fees).
However, be careful. This cryptocurrency trading platform is absolutely not suitable for beginners. The risks are very significant (due to the leverage effect), and the possibilities are limited (few cryptocurrencies are available for spot trading). Deposits must necessarily be made in BTC (impossible in fiat). Finally, the platform has a history of outages and maintenance, which can be somewhat concerning.
BTCC
There are not many cryptocurrencies available for purchase on BitMEX. For example, you may only be able to trade:
The choice is quite limited, even though these cryptocurrencies are among the most targeted by investors.
Be aware that the market is very volatile, and investing in cryptocurrencies carries a risk of losses. Invest only what you can afford to lose.
Coinbase
Coinbase
Once on BitMEX, what can you expect to do? Here’s an overview of the services and features offered.
BitMEX allows its users to invest in cryptocurrency via futures contracts. These allow you to speculate on a rise or fall in the price of a specific underlying asset by a specific date (there is, therefore, an expiration date). This is a particularly common trading method in traditional trading, slightly less so in cryptocurrency.
Perpetual contracts (or simply called perpetuals) are contracts that are similar to futures contracts. However, they do not have an expiration date!
This is the main feature of BitMEX. Indeed, it is possible to trade with leverage up to x100. This allows you, if you have the knowledge and expertise, to take on relatively large positions by depositing a relatively “small” capital.
On BitMEX, you can engage in margin trading and short selling of futures contracts as well as options. This allows you to take advantage of declines in the prices of underlying assets. It is a trading option dedicated to expert traders, who have a certain mastery and experience of the cryptocurrency market, which is particularly volatile.
You can also do staking, of BMEX only (the native cryptocurrency of BitMEX). The token can only be purchased on the project’s native platform (BitMEX, against USDT) or on Gate.io. Be careful, the volume remains quite low, at about 20,000 dollars of exchange over 24 hours, on average. For more information on how to proceed and the rewards, feel free to visit the dedicated page (which you can find right here). This will allow you to see things a bit more clearly!
It wasn’t a given from the start, but with a few years of delay, BitMEX has done it. Today, it is possible to trade spot (cash) Bitcoin and some other cryptocurrencies. Not everything is possible yet, but you can buy and sell Bitcoin (BTC), Ether (ETH), Chainlink (LINK), Uniswap (UNI), Polygon (MATIC), Axie Infinity (AXS), and Apecoin (APE) against Tether (USDT). The announced goal? For spot trading to attract new investors and to position itself in the top 15 of the largest trading platforms in the world, which is unfortunately far from being the case. Currently, BitMEX ranks 50th in terms of volume.
Be careful, the market is very volatile, and investing in cryptocurrencies represents a risk of loss. Invest only what you can afford to lose.
BitMEX charges several types of fees. First and foremost, there are trading fees. On each transaction made, a percentage is deducted by the platform. These fees vary depending on the type of contract targeted and the volume of trading you perform. Trading fees for futures contracts are generally 0.075% for liquidity providers (makers) and 0.025% for liquidity takers (takers). Trading fees for perpetual contracts are 0.05% for makers and 0.075% for takers.
There are also financing fees. Perpetual contracts are validated every 8 hours. As a result, every 8 hours, fees are deducted. Additionally, there are fees imposed on leveraged operations. These are quite inexpensive and vary between approximately 0.01% and 0.075%. Finally, note that BitMEX does not charge fees on Bitcoin deposits and withdrawals.
To provide a clearer overview of what the fees might look like, BitMEX offers on its “Fees” page the possibility to enter information. This data will be analyzed in real-time, and you will then have an explanatory table detailing what the trading fees that may be imposed on you might correspond to. Please note that this is an estimate.
eToro
eToro
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
BitMEX does indeed offer a mobile application. It is directly available on iOS (Apple) and Android. Very easy to download, it allows you to trade from anywhere in the world (provided you have internet access). The interface is very pleasant, with a customizable dashboard that allows you to track your balance, positions, as well as open or recently closed orders.
On the app, you can also place your trading orders and manage your assets. Do not hesitate to enable alerts as well! You can easily configure them and be informed in real-time of price changes (upward or downward). A secure mobile application, with 2FA authentication (two-factor authentication), for total security of your funds.
However, it is recommended to prioritize the use of the desktop platform. Although the user experience is very good on the app, it remains more pleasant on a computer with a larger screen, reducing the likelihood of typos, and generally, it’s a more complete tool.
Kraken
Kraken
Unlike other trading platforms, BitMEX only offers one type of account, for absolutely all its users. Therefore, there is no VIP or Premium level. The functionalities are the same for everyone, provided they live in a country that accepts BitMEX as a platform. Indeed, the latter is prohibited in the United States, Canada, Crimea, North Korea, Iran, Syria, Sudan, and Cuba.
What about security-related questions? What has been put in place by BitMEX to ensure the full security of funds and personal data? Let’s take a quick tour of all the elements that have been implemented.
As with many cryptocurrency trading platforms, BitMEX takes the issue of security very seriously. Firstly, it should be noted that cold storage is in place. Assets are stored offline and are not accessible via the internet. However, a small portion of the total funds on the platform is kept hot (solely to meet withdrawal and deposit needs).
Furthermore, BitMEX requires all its users to enable two-factor authentication (2FA) to access the trading platform. Password, facial identification, or fingerprint scanning—you will have the choice. It should also be noted that all sensitive data (such as passwords, API keys, etc.) is encrypted.
Regarding legal and regulatory obligations, BitMEX is registered in the Republic of Seychelles and is subject to the laws and regulations of this country. However, BitMEX is not regulated by a major financial authority. It should be noted that the trading application has encountered some legal issues in recent years, particularly with the CFTC (Commodity Futures Trading Commission) for offering investors the opportunity to engage in futures contracts without authorization.
Moreover, BitMEX was directly indicted by the U.S. Department of Justice for violating the Bank Secrecy Act. The platform was fined $100 million as a penalty. The charges have since ceased and things have returned to normal, although this episode is likely to continue tarnishing the company’s image.
Would you like to position yourself on BitMEX and buy cryptocurrency? Here, in a few very simple steps, is what you need to do to position yourself on a particular value.
To open an account on BitMEX, you need to go to the platform and click on the ‘Sign Up’ button. This button is located at the top right of the screen. You will then need to fill out an initial registration form, in which you will have to provide your email address, password, and country of residence. Accept the terms and conditions and then continue.
You will then need to confirm your registration request by clicking on the link received in the confirmation email that you will receive a few moments later. Once the account is activated, you just need to log in by entering your email address and password.
Attention! To fully enjoy BitMEX, you will need to complete the KYC (Know Your Customer) process and send your personal information, which will then be verified. Identity card, photograph, you will need to provide several elements that will then take several hours to be verified.
BitMEX will ask you to set up two-factor authentication (2FA) to secure your account. Follow the instructions to configure two-factor authentication using the Google Authenticator app or a similar app, although the former remains by far the most effective. This won’t take very long, but it is absolutely necessary if you really want to take full advantage of the tool’s features while being sure that your funds are perfectly secure.
Making your first deposit (or a regular deposit after some time of use) is quite simple. Once logged into the platform, you need to click on the “Deposit” button located at the top right of the home page. A unique deposit address will be generated for your account. Copy this address or scan the QR code displayed on the screen. You can only deposit Bitcoin, so be careful. Once the transaction is validated, wait for the funds to arrive in your account. The confirmation time varies depending on network congestion and the transaction fees you have paid. This can range from a few minutes to several hours. But don’t worry, the funds will arrive, you can be sure of that. However, take the time to double-check everything.
To place your first order, simply click on the “Trade” button, located at the top left of your screen, on the homepage. Select the contract you want to trade from the list of available contracts. For example, if you want to trade Bitcoin futures contracts (XBT), select the XBTUSD contract.
Enter the amounts as well as the target prices, the leverage, and off you go, you just need to validate your order for it to be executed. Note, the market is very volatile and investing in cryptocurrencies carries a risk of loss. Invest only what you can afford to lose.
BTCC
Quite clearly, BitMEX is a platform suited for experienced traders. Traditionally, novice investors engage in spot buying and do not necessarily seek to invest in futures contracts, or even perpetual contracts, of which they may not even be aware.
Leverage, which must be handled with extreme caution, is also suitable for those who have a thorough understanding of trading, its risks, and have very good technical knowledge. While the gains can be significant, leverage, especially at x100, can also result in substantial financial losses, so it is essential to be careful. If you are new to trading, favor platforms like eToro, Binance, or Coinbase, which are much more suited.
Coinbase
Coinbase
BitMEX offers customer service available 24/7 through various communication channels. Here are the different ways to contact BitMEX customer service:
English is the only language used to contact and communicate with the platform’s customer service. However, the responses are well-constructed, provide real added value, and often help find solutions to encountered problems.
Kraken
Kraken
BitMEX is a great platform, provided you know what you are talking about. Indeed, if you are an expert in trading and you are perfectly aware of what it involves as well as the risks associated with “alternative” products (leveraged trading, perpetual contracts trading), you could have a lot of fun on BitMEX. The leverage, at x100, is quite rare in the industry and can give you the opportunity to make very nice transactions.
However, if you are new to the field, it is certainly not a platform that is suited to your needs. We recommend that you turn to trading platforms that are much more suitable, such as eToro, Binance, or Kraken.
As a reminder, the cryptocurrency market is very volatile. You can lose all or a large portion of your funds. Therefore, consider investing wisely, only putting in what you can afford to lose.
eToro
eToro
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
