BitMEX is one of the hundreds of crypto exchanges that are operational in the crypto market. Just like other platforms, this crypto exchange also has several aspects you need to consider before you choose it to buy, sell or trade digital currencies.
The reasons for the popularity of the BitMEX exchange are both good and bad. It was established by ex-bankers as a trading platform that offers high trading volumes. However, it is also known for its uncertain
Even though it is a good crypto exchange, its reliability has been in question due to some allegations and scandals.
Therefore, before you decide to choose this exchange to buy or trade digital assets, make sure you know its benefits and drawbacks as are mentioned here.
Benefits of Using BitMEX
Understanding the pros and cons of different crypto exchanges can help you determine which of the platforms are most suitable for you to use. Even the biggest cryptocurrency exchanges might not cater to your needs or requirements, which is why it is important to know the benefits of using an exchange.
In this brief BitMEX review you can get to know some of the advantages of using the exchange.
Helpful Link: https://www.bitcoinsensus.com/bitmex-tutorial/
BitMEX Does Not Require KYC
KYC (know your customer) is like an additional layer of security used by most crypto exchanges. This requires the users of exchange to specify their identity details and provide such documentation that makes it difficult for fraudsters to operate.
While it is a good way to ensure the safety of exchange, some platforms do not use it as it limits access for users in various parts of the world. Instead, such exchanges make use of other security features to offer the utmost security.
BitMEX exchange is one of the platforms that does not require KYC verification from the users. This makes it easily accessible to a wide range of audiences.
BitMEX liquidation is yet another aspect to know about before deciding to choose or avoid this exchange. Liquidity means how easily an asset can be turned into cash when needed. High liquidity is, therefore, an aspect that most crypto investors and traders look for.
BitMEX offers high liquidity, which is why it is often preferred by the interested parties as compared to the platforms that don’t offer good liquidity.
Fee Structure of the Platform
BitMEX fees are another benefit of using the platform to buy, sell or trade digital assets. The fee structure of the platform is quite straightforward and transparent. This crypto exchange follows the market maker and taker model when it comes to charging a fee. According to that model, you will be required to pay the following:
- Taker fee: 0.075%
- Maker fee: -0.025%
Swap and Futures Contracts
This BitMEX review also focuses on the swap and futures contracts supported by the platform.
Here are the futures and swap contracts to know about.
- Downside Profit Contracts
- Perpetual Contracts
- Traditional Contracts or Futures
- Upside Profit Contracts
Drawbacks of the Exchange
Every crypto exchange has its own set of drawbacks and benefits. Similarly, BitMEX also has a few drawbacks that you should know about if you intend on using it to buy, sell or trade digital assets.
Therefore, before you make your decision regarding which exchange to choose, here is what you should know about the cons of the exchange.
The BitMEX exchange is a popular name, however, it might not be highly suitable for every kind of crypto investor or trader. This is because it is not a user-friendly platform for beginners.
If you are new to the world of crypto and want to find a crypto exchange to start trading or investing in digital currencies then BitMEX might not be the best platform for you.
Before choosing any crypto exchange, make sure you take a look at the user experience offered by the platform. This will simply help you avoid using a platform that is not compatible with your experience or requirements.
Unavailability in the USA
As a beginner, you should keep another factor in mind while looking for a platform to start crypto trading or investing. This factor is the availability of a platform in your country or region.
As a potential user of this exchange, you need to know that BitMEX USA is not available. This means that if you are in the United States then you need to find another platform to buy or trade cryptocurrencies.
Knowing about different aspects and features of exchange, such as BitMEX can help you decide whether it is a suitable platform for you or not. The benefits and drawbacks of the exchange mentioned above are also essential for you to know so you can make an informed decision.
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