Hi, And Welcome to Phemex Exchange Review, Phemex is the trending CryptoCurrency platform with zero fee rate, And in this review I did answer alot of doubting questions.
Yes, I mean everything you need to know about Phemex platform, I bet you, you will enjoy the review.
But first let’s get to know what Phemex is before we head on to other answered questions.
What is Phemex
Phemex is a professional-grade Cryptocurrency exchange offering both Bitcoin spot and options trading. The exchange offers an innovative zero-fee trading model where fees are not charged per transaction.
Phemex also offers Bitcoin, Ethereum, and Chainlink Perpetual futures. The exchange is built by ex-Morgan Stanley executives, aiming at providing institutional-grade trading tools and security.
Derivatives trading allows traders to increase their exposure to certain assets and the ability to “short”.
Jack CEO, is an 11-year veteran executive from Morgan Stanley, where he worked as the MSET BXS global development leader before departing to co-found Phemex. Jack’s primary area of expertise is in building high throughput, low latency, large scale algorithm trading platforms both in C++ and Java. He is also an expert on q/KDB+.
Jack has been enthusiastic about blockchain technology and cryptocurrencies since 2016. He is both devoted and determined to create a revolutionary cryptocurrency trading platform with the eventual goal of developing a new economy for global users.
Phemex Exchange review
Phemex is an exchange from Singapore that launched on 25 November 2019. It focuses on crypto spot trading and derivatives and supports eight different languages: English, Russian, Spanish, Japanese, French, Chinese, German and Korean.
An exchange’s trading volume is very important for its users. A large trading volume often (but not always) correlate with deep liquidity. When the liquidity at a platform is deep, it means that it will be less difficult for you to find a buyer to your sell order, or a seller to your purchase order.
On the date of first writing this review (21 April 2020, right in the middle of the finanial crisis caused by COVID-19), Phemex had a 24 hour trading volume of USD 405.6 million according to Coinmarketcap.
This gave it place no. 50 on Coinmarketcap’s list of exchanges in the world based on reported 24 hour trading volume.
On the date of last updating this review (5 February 2021), Phemex’s 24 hour trading volume had increased to USD 912 million! This placed it on place no. 11 among all crypto derivatives exchanges in terms of trading volume.
Key Features of Phemex
- Free trades on Spot Exchange (Premium account)
- Institutional grade trading and security
- Robust trading insurance
- Free deposit fees
- Ability to Leverage up to 100X margin
Phemex Spot Exchange & Free trades
One of the key advantages of Phemex exchange is the ability to have free zero fee trades. This concept groundbreaking for the cryptocurrency exchange industry because the previous model charged trading fees for both buy and selling crypto.
This feel would add up over time, with many traders paying thousands of dollars to cryptocurrency exchanges.
With Phemex, these traders can take advantage of the zero fee trading model and only pay a monthly premium of $9.99 USD per month. This is a huge game changer for cryptocurrency daytraders and technical analysts.
Phemex is also offering a 30 day free trial for the Premium account. To take advantage of this, users need to make a deposit over 0.02 BT and complete a transaction over 1000 USD.
Where is Phemex exchange located?
Phemex is an exchange from Singapore that launched on 25 November 2019. It focuses on crypto spot trading and derivatives and supports eight different languages: English, Russian, Spanish, Japanese, French, Chinese, German and Korean. An exchange’s trading volume is very important for its users.
Here are the amazing team of Phemex that is making things happen. They are the set up people that work hand in hand to make everything go smoothly.
How to create a Phemex account?
Creating an account is incredibly easy:
- First go to the Phemex.com registration page.
- Enter your email address and password.
- Your Invitation Code is DESIREPAUL
- Click on Continue, then you receive a verification email and code.
- Enter the code in the next window that appears.
That’s it. It’s a very simple registration process, and as with many derivatives exchanges it’s not mandatory to complete a KYC.
How does Phemex work?
You’ve already created an account and are now logged in. What can you do? You can start by buying Bitcoins or coins. It is possible to buy 6 different cryptocurrencies using the multiple portals that allow you to easily pay with credit card, SEPA, bank transfer, and more.
Each payment processors charges their own fees. In our opinion, it is still cheaper to buy Bitcoin at a broker.
If you don’t have BTC yet, you can buy Bitcoin with various easy payment methods from places such as Bitvavo. This is the cheapest exchange in Europe and only charges 0.25% in fees.
How to Deposit Bitcoin at Phemex
If you already own Bitcoin or you purchase it at a different exchange first, you can still transfer this to your Phemex Wallet in a few simple steps:
Log in to Phemex, go to Assets and click on Deposit.
Click on Continue.
Here you see your unique Bitcoin wallet address.
Enter this address in the withdraw page of your other exchange or wallet. Check this guide how to buy Bitcoin with easy payment methods.
Enter how much you want to send to Phemex. Please copy the address carefully. Mistakes can cause your BTC to be lost forever.
Click Continue and confirm the transaction in the email notification.
After 1 confirmation on the network, your BTC will be confirmed and you can begin trading on Phemex.
Cryptos you can use to deposit on Phemex
It is currently possible to deposit the following cryptos:
- Bitcoin Cash
Next, you can then use these cryptocurrencies to make spot trades or to purchase perpetual contracts.
Perpetual contracts differ from other futures contracts in that they do not expire, whereas futures contracts have a specific expiration date. This is why you can buy or sell perpetual contracts and close them whenever you want.
At Phemex, the Bitcoin perpetual contract is normally referred to as BTC/USD. Each BTC/USD perpetual contracts is worth $1. So when you buy $1,000 worth of BTC/USD contracts, it is as if you are buying $1,000 worth of BTC.
Phemex has three ways to place orders for BTC/USD perpetual contracts: limit orders, market orders, and conditional orders. Broadly speaking, the three methods work as follows:
- Limit order
When you choose to use a limit order, you set a price (also called the limit price). This means that you will only buy or sell at the specified price. If the limit price is never achieved, then the order will not be filled.
- Conditional order
This is somewhat similar to limit orders. The only difference is that it has a trigger price, meaning that the order will not even active or be “triggered” until your specified price is reached. This is used by professional and advanced traders.
- Market order
These types of orders are executed directly from the order book and filled at the best available market price. Choosing a market order means that you order will immediately fill at the best available price.
We will handle all the charged fees in this Phemex review. The trading fees on Phemex are set at -0.025% for market makers and 0.075% for market takers. A negative market maker fee means that the exchange actually rewards you for adding liquidity to the order book.
The fees for market takers are somewhat higher because the platform encourages users to fill the order books and thus create a higher liquidity. We see that quite often in the market.
Another important fee to take into account is funding fees. A funding fee is applied every 8 hours. The system determines if the funding fee is positive or negative based on multiple factors. If the funding fee is positive, it means that the long positions will pay a percentage to the shorts. And if it’s negative, it means that shorts pay longs. To be clear, this is a fee that is paid between traders and not charged by Phemex at all.
There are no overnight fees.
When withdrawing BTC from the Phemex trading platform, you pay the standard minimum 0.0005 BTC network transaction. Phemex does not actually charge its own withdrawals fees.
In terms of its spot trading markets, to benefit from its zero trading fees model, Phemex offers you a premium membership instead. Plans start at $9.99 for 30 days, $19.99 for 90 days, and $69.99 for 365 days.
By becoming a premium member you also get access to conditional spot orders, hourly withdrawals with no limits, and the ability to gift premium trials to friends. The standard fee is 0.10% when you don’t have the membership.
Phemex has multiple bonuses to attract new customers. Every single new user receives a Premium Trial membership for 7 days.
Phemex has a special promotion for new and existing users until December 22, 2020. Based on your deposit you can receive an extra bonus of up to $ 700:
Deposit 0.2 BTC and receive 100 USD.
Deposit 0.5 BTC and receive 400 USD.
Deposit 1 BTC and receive 500 USD.
Deposit 1.5 BTC and receive 600 USD.
On top of that, a bonus totaling $ 100 is available by doing small tasks:
- Receive $80 for a deposit of 0.2 BTC or more.
- Receive $10 for a spot order greater than 500 USD
- Receive $10 for a BTC/USD trade of USD 5,000 or more
We will update our Phemex review when there are new bonuses or free Bitcoin deals.
What Do Maker-Taker Fees Look Like With Phemex?
Expect trading fees of -0.025 percent for makers and 0.075 recent for takers. What do negative market maker fees mean? Phemex exchange rewards users for adding liquidity to the platform’s order book.
That said, the takers’ fees are higher because the platform maintains a strong focus on filling the order books and creating higher liquidity. These differences in maker-taker fees remain a common theme among many other exchanges as well.
What You Need to Know About Phemex Membership?
To benefit from Phemex’s zero trading fees model, the exchange offers a premium membership.
How much will you pay for membership? Plans start at:
- $9.99 for 30 days
- $19.99 for 90 days
- $69.99 for 365 days
When you become a premium member, you’ll gain access to conditional spot orders. You’ll also enjoy the ability to gift premium trials to friends and hourly withdrawals with no limits. Remember that without a membership, the standard fee costs 0.10 percent.
Deposit and withdrawal methods on Phemex
Phemex supports BTC deposits and withdrawals. This is to be expected from an unregulated derivatives platform. That does grant anonymity and non-KYC account, but is very limiting, considering their competition platforms like BTSE, that offers 7 different coins and 10 fiat currencies to deposit.
So, to start trading on Phemex, you need to own or buy Bitcoin. For trading USDT settled contracts, you need to exchange BTC to a USDT trading account at a current rate.
The withdrawing process is easy, you need to enter your wallet address and choose the amount of Bitcoin to withdraw. The 2FA process is implemented, but there is no option to set your white-list of trustworthy IP addresses.
That’s a downside, because most of the competition platforms, like Coinbase Pro or BitMex, offer that option. Also, the speed of the withdrawal can be a drag sometimes, and usually takes several hours. The withdrawal process takes place three times a day, 8 am, 4 pm, and 12 am UTC. The cut-off time for withdrawals is 30 minutes before the next interval.
Phemex Deposit & Withdrawal Fees
Tthere are no fees for depositing funds. The fee for withdrawing the funds from your wallet is set at a low 0.0005 BTC, with the minimum withdrawal amount of 0.002 BTC. There are no deposit and withdrawal fees when moving funds from one subaccount to the other. Of course, that might change in the future, as the platform continues to grow in users and daily volume tradings. (https://phemex.com/fees-conditions)
How To Trade With Phemex With Zero Fees
To buy and sell cryptocurrency with Phemex, follow these simple steps:
- Login to your Phemex.com account
- Navigate to the top menu and hover over ‘Products’
- Use the drop down menu to select ‘Spot Trading’
- Choose the crypto asset (e.g. Bitcoin, Ethereum)
- Enter the amount to buy or sell back to USDT
- Review the order to ensure the details are correct
- Click on the green ‘Buy’ or red ‘Sell’ button to place the trade.
The exchange also provides a trading contract for GOLD/USD and with more assets such as S&P 500 stocks, stock indexes, interest rates, FOREX, commodities, energy and metals that will be released on the platform shortly according to the Phemex website.
Verification: Is KYC required at Phemex?
Phemex does not require KYC verification checks. Registration process on Phemex is instantaneous and does not require lengthy verification hassles or any official documents to prove your identity. It is perfect for privacy-conscious traders
Buying and selling on Phemex
Since it is a derivatives platform, there is no actual transfer of BTC between buyers and sellers. Instead, contracts are settled in the underlying asset and quoted in USD.
Similar to other exchanges, Phemex accommodates three types of orders: ‘Market’, ‘Limit’, and ‘Conditional’ trading. A trader can choose from these options to open or close a position.
Traders can also choose the amount of leverage they want to use. To execute an order, traders can choose from another three options, namely, ‘FillOrKill’, ‘ImmediateOrCancel’, and ‘GoodTillCancelled’
Is Phemex Exchange Safe?
There are two key factors to consider when evaluating if Phemex is an safe exchange to trade on – exchange fund protection and leveraged trading insurance. The most important consideration is if the exchange is safe from hackers- this is because crypto exchanges typically a huge Benefit.
Phemex processes withdrawal requests 3 times/day, and each request is rigorously scrutinized by both operators and founders. Based on our sophisticated Wall Street risk control experience, we are able to detect any malicious actions and quickly act to protect the assets of our users and platform.
Qualified withdrawal requests are also processed via offline signature, thereby all assets remain100% stored in a cold wallet system with all operations conducted offline.
Pros & Cons of Phemex
- Top tier exchange and wallet security
- Developed by eight former employees of Morgan Stanley
- No KYC for small withdraws
- Industry trend-setting Zero Fee Trading
- Sub Accounts and easy to use APIs
- Regional restrictions without providing alternatives for users from those jurisdictions
- Relatively new, only launched a year ago
- Too sophisticated for those who are new to cryptos
Is Phemex legit or Scam
So far as the time of writing this post, Phemex is 100% legit and not Scam. Though we can’t predict the future.
Although, I don’t think there will be anything that will results to Phemex not been real.
Inasmuch as we know there is risk in every business, I can assure you that you are safe with this Platform.
Boom, This is how far we can go with the review. Please note: This review is on the basis of historical data and we are not here to promote any platform.
Meanwhile you can drop your questions and comments below.