Bitmex is one of the biggest derivatives exchanges for bitcoin. They crossed 8 billion dollar trading mark in July 2018, proving the size of their operations. While the platform is famous for its 100x leverage and is very popular among the trader community, it is not a good place for beginners.
Bitmex uses Bitcoin for all deposits and withdrawals. While this can be a disadvantage to a few who hold only fiat currency, using bitcoin has its own advantages. People can always swap their USD for XBT on a different exchange.
To help you figure out if Bitmex is the right exchange for you, we have made a list of pros and cons.
- Every transaction goes through a security check. Even if a small value does not match, they shut the system down until they resolve the anomaly.
- They store the majority of the funds in a multi-signature cold vault that requires at least two out of three partners to sign out the funds.
- Every withdrawal is manually verified by two Bitmex employees by hand before they are processed. Alerts are sent via encrypted email before they process each withdrawal to minimise fraudulent requests.
- To enhance security, you can also set up a two-factor verification on your account.
- The entire system is written on the kdb+ database which is used by a majority of the big banks. The platform’s systems are air-gapped and can communicate only with the designated computers via monitored channels. Bitmex has taken security to the next level, owing to the bad experiences of hacks in the cryptocurrency world.
- Bitmex seeks minimal personal information and since all transactions happen via bitcoin, your transactions and earning are anonymous.
- Bitmex has a dedicated customer support that is available 24/7 via multiple channels.
- The biggest advantage of Bitmex is their 100x margin, probably the best in the industry and it comes with minimal documentation.
- Bitmex is not available to residents of the United States, Province of Quebec, Cuba, Crimea and Sevastopol, Iran, Syria, North Korea and Sudan. Their terms of service prohibit the use of their services from these regions. They verify your location based on your IP address. Many people overcome this problem by using VPN.
- There is no regulatory overwatch on Bitmex because it is not a fiat currency and Seychelles does not regulate Bitmex.
- It deals only with Bitcoin.