Last update: Jun 28, 2022
FTX

FTX Review

While we can’t offer investment advice, this FTX review will make sure you understand the selling points and shortcomings of the service, so you can efficiently decide whether FTX is the right trading platform for you.

  • FTX


    1. Operating Since 2018
    2. Cryptocurrencies Supported 300+
    3. Trading Fees Maker fees start at 0.00%, while taker fees start at 0.40%
    4. Deposit Methods Credit card, debit card, cryptocurrency, PayID, SEPA, Signature SIGNET, Silvergate Exchange Network (SEN), and Wire Transfer
    5. Fiat Currencies USD, EUR, GBP, AUD, HKD, CAD, CHF, BRL
    6. Verification Methods Facial recognition, government-issued ID, and proof of address
    7. Margin Trading Yes
    8. Futures Trading Yes

About FTX

FTX is a cryptocurrency exchange platform that focuses on trading, with a broad range of products including leveraged tokens, volatility products, options, and derivatives.

Founded by industry veterans, Sam Bankman-Fried and Gary Wang, FTX strives to hit the sweet spot between simplicity and feature-rich design. As a result, FTX provides users with a full-service crypto exchange designed with their interests in mind and focused on the exchange of derivatives.

If you’re a crypto trader interested in getting involved with derivatives, FTX makes it easy to invest in volatile assets and manage your balances across multiple currencies. In terms of advanced features, FTX offers users the ability to engage in customizable futures and trading options, a risky but potentially advantageous strategy.

Targeted to experienced users, FTX offers an impressive range of derivatives and volatile assets. Dependent on predicting the direction and value of a currency’s change in value, this type of investing can be highly profitable when used effectively, despite being somewhat risky. FTX attempts to minimize users’ risks with intuitive analytical tools and a robust insurance fund.

What Cryptocurrencies Does FTX Support?

Versatility is one of the strengths of FTX’s crypto trading platform, with over 70 currencies currently supported and tradable. The big names like Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and FTX’s very own native token, the FTX token (FTT), are all available. Altcoins and stablecoins are also available such as Tether (USDT), Binance Coin (BNB), Dogecoin (DOGE), Cardano (ADA), Ripple (XRP), and with many more niche options on offer as well. If variety is a priority for you, FTX has enough options to impress even the most seasoned veterans.

However, it’s important to note that FTX is fairly derivative-focused, so expect to see many features related to this type of trading. In addition, derivative trading can be more complex and uncertain than typical trading, so it’s not always a great starting point for beginners. If that’s not what you’re looking for, there are platforms currently on the market that more effectively cater to users only interested in traditional buying and selling.

FTX Token

A fairly common practice in the market, the FTX platform offers users access to the company’s dedicated cryptocurrency. Referred to as FTT, holding these tokens can grant you access to various benefits. First, users who own FTT can vote on features and updates to the platform, allowing them to shape the platform they trade on.

Additionally, FTT tokens can save you money, as the platform offers reduced trading fees to users who hold the currency. The internal coin is also usable as collateral in certain types of trades, which is helpful to users engaged in futures or options trading.

You can gain benefits for staking the FTX token, including increased airdrop rewards, waived blockchain fees, and trading fee discounts.

Features of the FTX Platform

Choosing a crypto exchange can be a difficult decision, and the goal of this FTX review is to give you all the information you require to determine whether FTX meets your needs. Read the following sections to learn more about the features of FTX and what differentiates it from its competition.

Leverage

One of the most crucial advantages of choosing FTX as your primary cryptocurrency exchange is access to leveraged tokens. The platform will allow you to choose from four options, ranging from long to short. Each of the four types—BULL (+3%), BEAR (-3%), HEDGE (-1%), and HALF (+0.5%)—represents a different investment approach.

For example, choosing BULL allows users to profit from increases to an asset’s value while utilizing HEDGE or BEAR has the opposite effect. Therefore, learning how and when to use these ERC20 tokens is vital for users seeking effective leverage in their trades.

Derivatives

Although more complicated than traditional buying and selling, derivative trading can yield phenomenal results when implemented correctly. While it may not be a great idea for users new to crypto, derivatives are a central part of stock trading, and it’s nice to see increasing numbers of crypto-traders have access to these tools.

Although each of these investment strategies requires a specific approach, one thing is crucial to all of them: accurate and accessible information. The FTX platform addresses this need beautifully, providing its users with accurate and up-to-date information about price trends and history. Using these tools to your full advantage can give you an edge over your competition.

Futures

A type of derivative trading involving committing to a purchase or sale at a set price on a specific date, futures trading requires accurate data and proper planning to execute correctly. FTX stands out for this type of trading, as the platform supports an impressive number of digital assets for futures contracts.

Options

Although they are similar to futures in many ways, options differ in one crucial area. While the contract involved in futures trading requires the buyer to complete the transaction, an options contract gives the buyer the right to change their mind. Thus, in an options contract, the buyer pays for the right to buy the asset at that price rather than committing to do so.

Spot Markets

Although the platform has a reputation of being derivative-focused, spot trading is fully supported and reasonably intuitive. The integrated FTX exchange allows users to buy and sell an impressive popular cryptocurrency selection of over 70 different currencies using either fiat currencies (such as USD, EUR, GBP, AUD, HKD, CAD, CHF, BRL) or crypto.

Prediction Markets

An option that FTX provides that is not widely available is prediction markets. More similar to gambling than typical crypto trading, prediction markets allow you to purchase a stake in the outcome of world events such as elections or competitions. While we recommend using caution with this feature, it’s undoubtedly an intriguing bonus feature.

MOVE Contracts

Similar to prediction markets but explicitly focused on the crypto market, MOVE contracts allow users to take a position on the movement of a particular asset. If you’re confident Bitcoin will rise by a certain amount in the next week, you can create a MOVE contract using the FTX platform.

All you need to do is specify the change you are anticipating and the period you expect it to take. This feature allows FTX users to benefit from the direction of the overall market, regardless of whether that direction is positive or negative at the time.

OTC Desk

Accessible only to users who have obtained complete verification on their FTX account (especially the country of residence part), the platform also offers an OTC trading desk as part of their service. This feature allows high-volume sellers to minimize their impact on the market and the money they spend on slippage. Unfortunately, not every crypto exchange provides OTC desks, so keep this in mind if this feature is essential to you.

FTX Trading Fees and Limits

One of the main draws of the exchange is its low trading fees. Maker fees start at 0.00%, while taker fees start at 0.40%. FTX bases its fee structure on both the role of the user (maker or taker) and the frequency at which the user conducts trades. There’s a $75 fee for withdrawals, although FTX waives that fee for withdrawals over 10,000 USD.

The level of verification provided by users determines the limits that the platform will place on their accounts. For example, when registering with only an email address, users receive a daily trading limit of $1000, which rises to $2000 with proof of residency. Providing FTX with a current photo ID will give users full, unlimited access to the platform’s trading and features.

This system allows users to try out the platform without providing too much information—a valuable option when you’re considering a few different platforms. Once you’re ready to become a fully privileged FTX user, the verification process is fast and straightforward. The verification process include undergoing facial recognition, sharing a government-issued ID, and providing proof of address.

Safety and Privacy

Before you choose a crypto platform, it’s crucial to ensure that the company you select is trustworthy with your data. Trading crypto inherently involves sensitive data, so read this section of our FTX review to determine how FTX’s security measures up.

FTX offers the typical range of security features provided by most crypto platforms. Accounts are secured using an effective two-factor authentication system, and the company utilizes cold storage to ensure user data is safe.

The platform has never suffered a data breach or hack, which is always a good indicator that they take security seriously. FTX also complies with anti-money laundering policies to ensure that investigations or violations don’t delay the system.

It is also worth mentioning that FTX exchange has recently engaged with Chainalysis to keep an eye on suspicious cryptocurrency transaction alerts in the Chainalysis Know Your Transaction (KYT) product, which is a real-time anti-money laundering (AML) compliance solution for observing crypto transactions.

Insurance Fund

To mitigate the increased risks that come along with leveraged trading, the FTX platform uses an insurance fund. Funded through fees applied to highly leveraged trades, the insurance policy offers users security even during a catastrophic price drop. This feature shows a dedication to user wellness that can be truly valuable when things go wrong.

FTX VIP Accounts

The exchange features an exclusive VIP program for professional crypto traders out there. This includes several perks like:

  • An option to provide inputs on new FTX products
  • Direct access to senior developers
  • Flexible API limits
  • Dedicated account managers, and
  • Lower trading fees

Customer Service

The customer support staff at FTX makes it easy for users to solve problems they run into while using the platform. If a problem arises (e.g., KYC issues), it’s easy to reach customer service via social media like Telegram or email, as well as through the chat feature on their website (ftx.com). Response times are generally rapid, and a blog is available so users can find solutions even faster.

FAQ

Is There a Mobile App for FTX?

The FTX Pro mobile app is available on both the iOS and android app stores and contains all the same features as the desktop version. In addition, the app is entirely free and offers impressive functionality and usability. If the ability to manage your cryptocurrency on the go is a priority for you, FTX has the functionality you’re looking for.

What Countries Are Supported?

FTX service is available worldwide, except for a list of banned nations. Unfortunately, the use of FTX within the United States is limited to FTX US, which lacks derivative support (although it looks like this may change soon).

Is There an Integrated Wallet?

For users without an existing crypto wallet, FTX does offer wallet functionality. This feature works well, but no server-based wallet can rival the security of offline storage options.

What Are the Deposit Methods (Payment Methods) Available?

Credit card, debit card, cryptocurrency, PayID, SEPA, Signature SIGNET, Silvergate Exchange Network (SEN), and Wire Transfer or bank transfer with your bank account.

Are Users Charged Withdrawal Fees?

For most high-volume, experienced traders, FTX effectively charges no withdrawal fees. However, if a withdrawal falls below $10,000, FTX will charge a $75 fee per transaction. FTX also charges a marginal fee to users if their withdrawal amount exceeds their trading volume. FTX is transparent about its fee structure, so the system will always notify the user of any fees applied to the transaction before finalizing the withdrawal. Take note that FTX will also pay crypto withdrawal fees charged by blockchain ecosystem other than Ethereum.

Is NFT available on FTX?

Yes! NFTs have become very popular, and FTX offers a NFT marketplace for their customers to get onboard. You can buy, sell, mint, and store your NFTs on the cryptocurrency derivatives exchange.

Is Margin Trading available on FTX?

Yes, FTX supports margin trading.

Is Perpetual Futures available on FTX?

Yes, FTX enables you to trade Perpetual Futures. If you’re a beginner, perpetual futures are futures contracts that do not expire. Rather, the price of perpetual futures is updated every hour in order to keep pace with the value of the underlying asset.

Is FTX Deposit Fees really free?

Yes. It is free to deposit cryptocurrency and fiat into FTX.

FTX Exchange Review for Australia

Are you an Australian crypto trader looking to start trading digital currencies or crypto assets on a well-known crypto exchange with great user-interface and support team?

FTX is a centralized global crypto exchange platform that separates itself from its crypto exchange competitors by providing innovative products such as leveraged tokens, options, and derivatives. The exchange also supports over 300+ cryptocurrencies, which is a very big number compared to some of its competitors.

FTX is based in the Bahamas and made its way onto the cryptocurrency scene in 2019 with the aim of becoming the world’s leading exchange for trading tokens. Now, just a few years after it was established, it is a top centralized cryptocurrency exchange valued at more than $18 billion.

FTX provides several products that may appeal to both advanced traders and crypto beginners. For beginners out there, FTX provides spot trading on its platform. For advanced traders, the exchange supports the leveraged tokens, socks, and futures.

FTX has also become a leading advocate when it comes to cryptocurrency regulations. FTX representatives claim that they are committed to remaining compliant with regulators. Furthermore, FTX also offers low trading fees. Overall, this makes FTX a solid pick for cryptocurrency traders that are looking for top-notch, value-driven exchange platform to meet their crypto needs.

FTX Exchange Review for Canada

First of all, take note that there may be partial restrictions in other jurisdictions, potentially including Canada, India, Malaysia, Thailand, Barbuda, and Hong Kong. FTX also does not accept users from Ontario and the exchange does not allow non-professional investors from Hong Kong buying specific products.

But regardless, here’s some FTX review for Canadian crypto traders out there.

FTX is an online digital exchange platform for crypto derivatives and cryptocurrency. The exchange is built to support the trading of Bitcoin options and other popular crypto derivatives.

FTX enables fund transfers via fiat currencies and stable cryptocurrencies such as Bitcoin, Ethereum, and Litecoin and helps gain access to the best spot trading practices. The exchange also supports a selected range of altcoins and stablecoins.

With FTX’s trading services, they help institutional and retail traders diversify their cryptocurrency trading portfolios. FTX offers multiple trading options and products. Moreover, FTX services are built to stay dedicated to professional traders in the crypto space, which makes perfect for seasoned traders.

It’s also worth mentioning that FTX also operates an over the counter (OTC) service. This particular service helps interested crypto traders make huge crypto purchases. Through the FTX mobile app, crypto traders can purchase big crypto volumes and manage their FTX accounts while on the go. In terms of volume, FTX is considered among the best derivatives exchanges out there.

For a list of Canadian-based crypto exchanges, take a look at our comparison of the top and safest crypto exchanges in Canada.

FTX Exchange Review for UK

FTX was established in 2018 by Sam Bankman-Fried. Before founding the exchange, Sam was working as a trader at the international ETF desk on Jane Street Capital. Later on, Gary Wang, who’s the company’s current CTO, joined Sam and helped him using his experience as a Google software engineer.

Before establishing the exchange, Sam and Gary founded Alameda Research in 2017. Alameda Research is a research company that helps in providing quantitative trading analysis for every cryptocurrency liquidity provider. These days, Alameda Research also assists FTX in protecting the exchange’s order books.

FTX’s trading services help both retail and institutional traders diversify their crypto trading portfolios. FTX provides multiple trading products and options. Aside from those, FTX services are made to stay dedicated to professional traders in the market, which makes the platform suitable for seasoned traders.

Overall, when it comes to volume, FTX exchange is considered among the best derivatives exchanges in the crypto space. In general, it easily gets the top spot as one of the best crypto exchanges in UK!

Closing Thoughts

FTX is a fantastic choice for crypto traders of all backgrounds and experience levels (especially professional traders), offering excellence in every meaningful category. With an impressive interface (that includes the ability to execute market, limit, and stop-loss orders, live order books, and candlestick charts), guaranteed liquidity, and crypto derivatives trading on the same platform, FTX has something to offer you regardless of your place in the crypto world.

By reading this FTX review, you’ve learned a lot about what the FTX platform offers and how it can optimize your trading. If you want maximum features without sacrificing ease of use, FTX has what you need in a cryptocurrency trading platform.

Now, if you’ve already tried FTX and you’re not satisfied for some reason, then we highly recommend you check our other crypto exchanges review such as Binance, Bitmex, Swyftx, or Coinbase.

 

Disclaimer: smartbillions.com is owned and operated by Smart Billions and may contain advertisements, sponsored content, paid insertions, affiliate links, or other forms of monetization.

author Marco Vela

A crypto obssessed digital marketer passionate about making a difference in the world. When he's not behind the computer he can be found hiking, camping and relaxing with his dog.