BitMEX is one of the crypto trading platforms in the market that was established by ex-bankers. This exchange is a well-known platform, however, the reasons for its popularity are somewhat controversial.
It is known among the crypto traders for its high trading volume but also for its uncertain history. The reputation of the exchange has been controversial due to a few incidents and allegations towards the exchange.
This is why, it is essential that you know some details about the BitMEX exchange before you use it so you can get a good idea about whether it is suitable for you to use or not.
What to Know About BitMEX?
BitMEX stands for Bitcoin Mercantile Exchange and is a peer-to-peer trading platform. It offers some impressive features to the users, despite the controversies surrounding its reputation. This platform also offers leveraged contracts that can be purchased and sold in Bitcoin by the users.
This brief BitMEX review also focuses on the team working behind the platform, which includes high-frequency traders, economists and developers.
There are several other aspects of the exchange that you need to know about before you use it for trading crypto.
Swap and Futures Contracts
The BitMEX exchange offers futures and swap contracts, which is an important piece of information that you should have if you want to use this exchange for trading crypto.
- As a potential user of the exchange you should know the futures and swap contracts supported by BitMEX that are mentioned below:
- Downside Profit Contracts that allows buyers to participate in the possible downside of an instrument.
- Perpetual Contracts has no expiry or settlement and copies a margin-based spot market.
- Traditional Contracts or Futures this is like an agreement according to which you can purchase or sell a currency, commodity or any other instrument at a price that is already defined.
- Upside Profit Contracts are similar to the downside profit contracts that allows buyers to participate in the possible upside of an instrument.
Supported Digital Assets
The digital currencies that are supported by an exchange is one of the factors that needs your consideration, especially if you are new to the crypto space and want to use this exchange. The cryptocurrencies supported by a platform can help you decide if it is a suitable exchange for you or not. The reason being that if you want to buy or trade a crypto asset and you have already decided then you can look for a platform that supports that digital currency.
Here are some of the cryptocurrencies that are supported by the platform.
- Zcash (ZEC)
- Tron (TRX)
- Ripple Token (XRP)
- Monero (XMR)
- Litecoin (LTC)
- Ethereum Classic (ETC)
- Ethereum (ETH)
- EOS Token (EOS)
- Dash (DASH)
- Cardano (ADA)
- Bitcoin Cash (BCH)
- Bitcoin (BTC)
Fees Charged by the Exchange
BitMEX fees are an equally important aspect to consider as any other feature of the platform. It is necessary to know about the fee charged by an exchange so you can determine if it is according to your criteria or not.
This is also important to know, considering that there are crypto exchanges in the market with high fees including hidden and additional charges. Using such an exchange is never a good idea but instead crypto traders or investors should always choose a secure platform with a transparent fee structure.
Therefore, if you are new to the crypto space and you want to use BitMEX. Then you should know that it has a straightforward fee structure. It offers up to 100x leverage and the fee model is according to market makers and takers. The fee that the makers or takers have to pay depends on the crypto assets as well.
There are no fees to be paid by the users while making withdrawals and deposits. However, there is a minimum network fee.
While there are no limits for withdrawals, the minimum deposit that can be made is 0.001 BTC.
Can you Trade with Leverage on the Exchange?
Knowing about an exchange such as this one, requires you to be familiar with all its available features, such as BitMEX liquidation, leverage trading and more.
If you are a crypto trader and you want to start trading crypto with leverage then BitMEX can be one of the exchanges you can use. It offers up to 100x leverage and supports two types of margin trading namely:
However, regardless of the type of margin trading you choose, make sure you have plenty of information beforehand and choose a secure platform.
BitMEX is a well-known crypto exchange. However, the reasons for its popularity are not all positive. Despite the fact you should know the details mentioned above if you intend on using this platform for trading crypto.