Digital currencies have become one of the recent trends and upcoming technologies. They function as the traditional fiat but are better in that they are decentralized and in tokenized form, making them safer.
Digital currencies can help to settle payments and complete different types of trades. There are many ways digital currencies exchange hands, including exchange trading, P2P transfers, and other payment methods. Below is some information about BitMEX, one of the crypto exchange platforms where one can trade their coins for fiat and in other types of trades.
BitMEX is a Seychelles-based crypto-only exchange founded in 2014 by Arthur Hayes, Samuel Reed, and Ben Delo to offer professional services in the Bitcoin derivatives market. HDR Global Trading Limited operated it out of Seychelles, contributing to its fast growth rate.
BitMEX is a leading derivatives market that allows crypto traders to buy and sell in futures and perpetual markets within a range of assets. However, the exchange’s history with regulators may deter its potential users due to poor regulatory compliance.
It launched perpetual leveraged swap contracts on BTC in 2016 that allow traders to enjoy trading in BTC futures with a leverage of up to 100X and no expiry date. That particular protocol helped it post the highest volumes in the BTC derivatives market.
Even though it is a leader in the derivatives market, BitMEX has been involved in multiple lawsuits from former customers. It has also been under regulators’ microscope for violations like market manipulation, trading against customers, money laundering, and breaking international compliance laws. However, the exchange is shaking off a bad reputation as it has already introduced identity verification procedures for all clients in 2020.
Which Cryptos and Crypto Services Does Bitmex Offer?
BitMEX supports up to 18 different cryptocurrencies and tokens. Some of the main cryptos that the platform offers include:
- Bitcoin (XBT)
- Ethereum (ETH)
- Dogecoin (DOGE)
- Litecoin (LTC)
- Bitcoin Cash (BCH)
- Binance Coin (BNB)
- Cardano (ADA)
The services offered by BitMEX best fits experienced and institutional traders. While beginners may feel that they have complex systems, professional ones will appreciate the resources provided. Some key features of the platform include:
- BTC futures market trading with a leverage of up to 100X
- Low latency market data and trade execution
- High accuracy crypto trading and pricing APIs
- Staking with BitMEX Earn to earn up to 10% APR
- Discounted trading fees depending on a user’s 30-day Average Daily Volume
How to Open a Bitmex Trading Account
The process of opening a trading account with BitMEX is relatively simple.
- Enter your email address and password
- Complete the verification process (provide ID, presence capture video or selfie, location, citizenship declaration, payment details)
- Businesses can also set up corporate accounts.
- Wait for confirmation
The process of trading cryptocurrencies on BitMEX is not complicated; it is similar to what other exchanges offer. However, for leverage trading, one needs to follow their instructions to avoid huge losses that could come with it.
While it may seem risky to trade with BitMEX due to its history with regulators, it may be better to DYOR as it is improving on regulatory compliance. The platform has an active customer support service that functions through support tickets and email. However, it does not have phone support. Even though its futures market is enticing, inexperienced traders should stay away from BitMEX as the complexity of its systems may cause huge losses to them.