Phemex: Cryptocurrency Exchange & Derivatives Trading

As the trading world turns its gaze on to cryptocurrencies, more and more platforms have been launched to satisfy the tremendous demand.

While many of them are attracting users on a mass scale rather than focusing on quality trade, Phemex.com has distinguished itself by offering a simple yet comprehensive and transparent platform.

If you are searching for a crypto and derivatives exchange that offers a comprehensive set of trading tools, as well as low fees, Phemex is worth a look.

Get to Know Phemex

Phemex.com was founded in 2019 by experienced Wall St. investor Jack Tao and his team. Phemex was born with the mission of simplifying and making trading tools more accessible to people around the world. It was also built with the goal of becoming the most reliable platform for crypto and derivatives trading.

Leveraging the experience, discipline, and knowledge of its leaders (former Morgan Stanley developers), Phemex not only delivers top-tier financial tools, but also peace of mind to all of its customers. All in all, Phemex has created a great trading platform that is characterized by simplicity, trust, and innovation.

Phemex Markets
Phemex Markets

Products and markets

Phemex.com offers traders a comprehensive list of solutions for digital assets trading. Users can purchase cryptocurrencies, trade these on spot markets, or trade leveraged perpetual contracts.

Their spot trading services are notable due to an innovative zero-fee model. Anyone with a premium membership is able to trade BTC, ETH, XRP, LINK, XTZ, LTC, ADA, TRX, ONT, BCH, and NEO against USDT without paying any commissions. Most of its competitors will charge you a 0.1-0.5% fee each time you buy or sell a coin.

In terms of derivatives, the platform offers BTC/USD, ETH/USD, XRP/USD, LINK/USD, XTZ/USD, LTC/USD, and even GOLD/USD perpetual contracts with up to 100x leverage. Phemex is one of the few exchanges where you are able to speculate on the price of a non-crypto asset such as gold. In the future, the company plans on adding even more traditional assets such as Forex, stocks, and other commodities.

The platform has created a range of trading tools, features, and services to help traders gain more control over their positions and manage their risks more efficiently. All of the trading information is displayed in a clear and concise way through an excellent UI.

Buy Cryptocurrency with One Click
Buy Cryptocurrency with One Click

Powerful Tool Set

As stated above, Phemex is one of the leading platforms for professional trading and risk management. In particular, users can always take advantage of Take Profit and Stop Loss functions in order maximize the potential for profit and reduce risks, while benefiting from full leverage that allows positions to be 100 times larger than the account’s value.

However, with the use of leverage comes added risk, so it is very important to understand how to use limit orders in order to avoid being wiped out by a bad position.

In addition, Phemex allows users to control their BTC and USD margin settings, which is great for new traders who need to be especially careful. This is one of the many strengths of Phemex compared to other exchanges. For instance, BitMex only offers BTC settling, while BitFinex only has USDT.

Phemex’s users can access a speedy trading environment from virtually anywhere. The system is capable of performing up to 300,000 transactions a second, as it takes less than 0.001 seconds to execute to an order.

With the mobile application available for both iOS and Android, users can manage their funds instantly without any constraints.

Contracts Trading Screen
Contracts Trading Screen

Registration and Pricing Plans

Registering a new account on Phemex is extremely easy. All it requires is for a person to input a valid email address and password. After verifying the registration via email, you are a Phemex member. There are no KYC requirements.

Every Phemex member will have free access to trade derivatives. To access their Spot markets and be able to trade with zero commissions, Phemex offers Premium memberships.

In addition to zero spot trading fees, premium members also enjoy conditional spot orders, hourly and unlimited withdrawals, and the ability to gift premium trials to friends.

All new users will receive a 7-day premium trial membership.

Otherwise, you can register and then purchase and upgrade to Full Premium.

Here are the costs:

  • $9.99 for 30 days
  • $19.99 for 90 days
  • $69.99 for 365 days
Phemex Premium
Phemex Premium

Trading fees

All trading fees are explicitly listed on Phemex.com.

As mentioned above, Premium members can enjoy zero-fee spot trading services.

For contracts, Phemex charges market makers a -0.025% fee and market takers a 0.075% fee. A negative fee essentially means that Phemex actually pays its users as an incentive to add liquidity to the order book.

In addition, there is a funding fee that is paid between traders. When the funding rate is positive, longs pay shorts, and when the funding rate is negative, shorts pay longs. To be clear, this as payment between traders and not charged by Phemex.

Promotions

Phemex.com provides a number of welcome bonuses and other incentives for new traders, and anyone who has been loyal to the platform.

Specifically, up to $80 is offered as Welcome Bonus, which is divided into 3 types.

The first milestone is a $60 reward for opening an account and depositing a given amount of either BTC, USDT, ETH, XRP or LINK, and then exceed 50,000 USD for cumulative BTC/USD contract value trading.

Secondly, Phemex’s users have a chance to receive $10 when placing a spot order of 500 USDT or higher. Similarly, another $10 bonus is rewarded to a single BTC/USD contract with a value of $5,000 or more.

Although these bonuses cannot be withdrawn to wallets or transferred, they can be used to pay different fees, place positions, or cover losses from trading activities.

Moreover, attractive prizes are granted in their Referral Program when one user successfully invites a new member to make a deposit.

Bonuses range from $10 to $100, depending on the amount of the first deposit of invitees. Users can use this money just as Welcome Bonuses, as this cannot be withdrawn or sent to another account.

Deposit & Trading Bonuses
Deposit & Trading Bonuses

Security and Transparency

There is no doubt that Phemex is doing its absolute best to provide a safe and transparent digital trading environment. Unlike other unregulated platforms, Phemex’s target is to become the most trustworthy channel for traders both large and small.

To make this goal a reality, Phemex has registered and is now a fully compliant Money Services Business, which is run by the US Financial Crimes Enforcement Network. In practice, Phemex applies multiple security layers to ensure the safety of each account and the whole system.

Phemex’s wallets are designed under a Hierarchical Deterministic Cold Wallet System, in which every deposit and withdrawal request is approved by offline signatures. This mechanism helps store users’ accounts safely and allows them to detect any malicious activities.

The platform is strengthened by separated firewalls and custom-designed network management protocols. Everything is run on the basis of the Amazon Web Service Cloud, which prevents errors that can lead to a systemic shutdown.

For users, Phemex offers a 2-factor authentication feature to lock up their accounts.

Once a procedure is requested, such as changing passwords or cashing out, a secondary verification is activated to avoid any possible risks or hacks the users’ funds.

Phemex also makes public risk warning declaration on the homepage, so that traders are more aware of each side’s obligations and responsibilities.

Like any centralized exchange, your counterparty is the exchange itself. Thankfully, Phemex has worked to be compliant with US regulations and also employs active risk management to lower the risk of a problem.

Stay Safe When Using Leverage

Phemex has a great trading platform, but you still need to understand how to manage risks appropriately before you enter a trade.

When you use leverage, both gains and losses are magnified. That means that if you are using 50x the amount of money you have in your account in a position, a price move of 50% against you will liquidate your entire initial margin.

The only way to stay safe is to use stop-loss orders so that your position will be sold before your entire account is wiped out. Make sure you understand how to use these orders, and keep some funds safe if you end up on the wrong side of the market.

Support and Community

Aside from many great trading features, Phemex has done an excellent job supporting its users. From the main site, traders can easily lookup detailed user guides and articles on a variety of topics and services.

Besides an exhaustive library of articles in their Help Center, additional help can be requested by contacting their 24/7 live support.

Phemex’s community is active on most popular social sites, including Facebook, Twitter, Telegram, and YouTube.

If you want to learn more about Phemex, or sign up for a free account, just click right here to visit its website!

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