BitMEX Review 2021 – Margin Trading, Fee, Testnet, and Calculator

In this article, we will review BitMEX, a leading crypto margin trading exchange, which provides perpetual contracts and futures trading products.

Summary (TL;DR)

  • BitMEX is one of the oldest trading platforms, which provides contract trading products.
  • Getting started at BitMEX can be tedious due to its complex features and outdated user interface.
  • You cannot trade at BitMEX without completing your identity verification.
  • BitMEX offers its services in leverage trading, perpetual contracts, and futures trading.
  • You get one of the best insurance funds at BitMEX.
  • BitMEX recently launched its mobile app for both Android and iOS.
  • The entire BitMEX trading engine is in KDB+ software, which banks use to secure their network.
  • BitMEX offers an extensive support system and an affiliate program that benefits both sides.
  • If you’re a trader from the USA and wish to use BitMEX, then you can use a VPN.

What is BitMEX?

BitMEX is one of the early movers in crypto trading market. It is located in Seychelles and has been up and running since 2014. BitMEX is a peer-to-peer platform that offers leverage trading.

BitMEX Exchange
BitMEX Exchange Review

BitMEX provides you perpetual contracts products, and you can only use Bitcoin to trade at BitMEX. It also provides anonymity from the order book; however you have to complete your KYC verification to place orders.

How to use BitMEX?

BitMEX comes with an outdated but complex user interface, and at times getting started can be a tedious process. Hence, we provide you with a step-by-step guide from creating an account to placing an order and withdrawing your returns.

How to create an account on BitMEX?

Creating an account at BitMEX is very simple, and all you have to do is follow the below steps accurately:

  1. Visit the official website of BitMEX.
  2. Now click on ‘Register’ from the top right corner of the screen.
  3. On the next window, enter your email and password.
  4. Once you agree to all the privacy policies, click on register.
  5. Now verify your email through a link in your mailbox.
BitMEX sign up
BitMEX Review: Sign UP

How to complete your verification at BitMEX?

You cannot trade at BitMEX without completing your KYC verification. Hence follow the below steps to complete your KYC verification:

  1. Once you login to your account, you can now start your KYC verification process.
  2. Go to the trade tab and click on ‘begin identity verification’ from the screen’s top-left corner.
  3. Now you have to complete the verification process in four parts.
  4. Firstly, select your country and then upload your government-approved ID cards.
  5. Secondly, capture a selfie or upload a video for facial verification.
  6. Thirdly, upload a government-approved document for location verification or enable the location of your device.
  7. At last, provide the information regarding the funding of your BitMEX account.
BitMEX Review: KYC Verification
BitMEX Review: KYC Verification

How to deposit funds in your BitMEX account?

Now that you’ve verified your BitMEX account, you will want to begin trading. To do so, you would need funds in your BitMEX account, and you can now follow the below steps to fund your BitMEX account:

  1. First of all login into your BitMEX account.
  2. Then visit the ‘account’ section from the header of the trading tab.
  3. Now, click on the deposit button.
  4. Finally, either scan the QR code or copy the wallet address to deposit funds.
  5. Remember, BitMEX only accepts bitcoins as a deposit, so do not send any other crypto to this wallet address.
BitMEX deposit
BitMEX Deposit Review

Now that you have funds in your BitMEX wallet, you would want to jump straight into trading. However, jumping in directly without much information about the platform might cause a lot of harm to you in your initial trading days. Hence to prevent that loss, let us first learn some important things regarding trading at BitMEX.

Trading options at BitMEX

BitMEX allows its users to trade both in crypto as well as the futures market. However, unlike other platforms, BitMEX does not support spot trading. And according to Coindesk, BitMEX CEO recently said that the exchange is planning to add the spot trading feature.

BitMEX Leverage Trading

BitMEX offers margin trading services by keeping your initial margin as collateral and providing additional funds to open a position based on your leverage. You can easily select an asset you wish to trade from the header and go long or short.

BitMEX employs two different methods of leverage trading, which are as below. Read our guide to learn more about BitMEX margin trading.

BitMEX Cross Margin 

BitMEX cross margin allows you to use your entire account balance to prevent liquidations. In certain situations, you can lose more than your initial margin for a particular position, but it’ll prevent you from liquidation.

BitMEX Isolated Margin

BitMEX isolated margin puts only your initial margin at risk, as in the case of liquidations, it does not use any of your account balance. It can prevent extra losses by not putting your entire account balance at risk but cannot prevent liquidations.

BitMEX Perpetual Contracts

BitMEX perpetual contracts