FTX is a digital exchange that deals in various cryptocurrencies and crypto derivatives. It was launched in May 2019 and was endorsed by Alameda Research. In December 2019, the exchange also secured funding by Binance. It shows its credibility and acceptance by the market.
FTX is known for its spot trading practices. You can perform fund transfers via fiat and credible cryptocurrencies including Bitcoin, Ethereum, and Litecoin. FTX also supports some of stablecoins and altcoins.
Here’s a simple guide to the FTX crypto exchange, how you can trade on it, trade fees you might have to incur, and more.
What Is FTX?
It is said that FTX is a crypto exchange that is built by traders, for traders. It is one of the largest crypto exchanges in the market in terms of volume and that adds to its credibility.
FTX allows you to trade in innovative products such as industry-first derivatives, volatility products, options, and leveraged tokens.
The exchange platform, both web, and app, is designed in a way that is suitable even for beginners. Being designed by traders themselves, FTX tries to be intuitive enough for beginners and powerful enough for master traders.
One of the factors that make the FTX platform attractive for you whether you are a beginner or a professional is that you do not have to pay any fees on the deposit or withdrawal of the funds.
If your profile is verified through the last KYC process, the exchange allows unlimited withdrawals for both fiat and crypto.
With FTX exchange, you are free to deposit and withdraw funds through wire transfers in 10 fiat currencies, such as EUR, USD, SGD, AUD, CAD, BRL, ZAR, CHF, HKD, and GBP.
What Does FTX Offer?
FTX crypto exchange offers a variety of products.
Futures: FTX allows perpetual and quarterly futures on more than 20 cryptocurrencies, such as Bitcoin, Ethereum, Ripple, EOS.IO, and Tether. The exchange also trades in Index Futures. You are allowed to leverage up to 20x on most of the derivatives here.
Spot Markets: The exchange allows trading of more than 100 spot trading pairs. You can trade in some of the leading cryptocurrencies including Chainlink and Solana. Apart from the above-mentioned products, the exchange also offers leverage tokens, options, and MOVE contracts.
How do I register on FTX?
Registration For PC:
If you are a beginner or trading on FTX for the first time, you will want to follow the below-given steps to register yourself on the exchange.
First, you go to ftx.com and click on “REGISTER” on the top right-hand side corner of the website.
In the pop-up dialog box, you will enter the email and the new password as shown in the image below. Then you have to check the terms & conditions box (It is recommended to read the terms before proceeding forward).
Next, you click on the sign-up. However, here, your account is created, but not verified yet. For that, you have to go through a simple but crucial KYC process.
You can verify your account by going through the FTX KYC process. FTX has three different levels of KYC requirements. Once you complete the required KYC process successfully, you are ready to start the trade through the exchange website.
Registration For App:
FTX allows you to trade through both website platforms and mobile apps. While before we talked about how the website interface works. Here, we will consider account registration through an application.
You start with opening the FTX app on your mobile device. You will get a welcome window asking you to log in or register. If you are a new trader on the FTX, you choose the “register” option.
Next, you fill in all the required information such as Email ID and password. In case you have a referral code, you can fill it in. If not, you can leave it blank.
The immediate step will be to agree to the terms and conditions by checking the “I agree” box and once you click on “register”, your profile is created.
How do I deposit and withdraw on FTX?
To deposit or withdraw fiat from FTX exchange, all you have to do is go to ftx.com/wallet and click on ‘deposit’ under any fiat currency you’d like to deposit.
Once you do this, the exchange will give you an ID.
If you’re making a USD deposit, you are recommended to mention that as a note on your wire transfer.
However, if you are making large withdrawals, it may require manual review and this may consume a few hours.
One note here.
If you are withdrawing stablecoins, then it depends on their creation and redemption speeds. If the amount of withdrawal is large, this can take up to 6 hours on weekdays and even more time on weekends.
If you are a US-based trader with tier 1 KYC verification then you are limited to $10,000 in crypto & fiat withdrawals every day, and $300,000 throughout the lifetime.
If you are a US-based individual with a tier 2 KYC verified account, there is no limitation for you.
How To Trade Bitcoin & Altcoins On FTX?
There are three ways you can purchase crypto through fiat currency in your FTX account:
Suppose you are placing an order through FTX.us, then you will enter FTX.US and go to the markets page. There, you will see all the trading pairs that the exchange offers to trade. You can choose any one pair by clicking on the row in which their pair is given.
Once this is done, you will be taken to the trading page. This interface will show you the price updates of the market, along with the order book, and the order placement panel of the chosen market.
If you want to buy an asset, you will have to click on “Market Order” and mention the quantity you plan to buy.
Once the order type and amount are fixed, you click on “Buy”.
Here, you have successfully bought crypto! Whether you want to buy BTC or Altcoin or any other crypto, the process will be the same.
And when you want to sell them, you will follow the same process.
You will go to the order placement panel and on the right-hand side of the panel you will have to do is to choose the “sell” option (which you can see in the above image).
You can sell only those and that many cryptos which you own on this exchange.
What are the various trading fees on FTX?
While trading on FTX, you will have to pay fees when you buy and sell cryptocurrency.
The amount or percentage of fees you have to pay will depend on your 30-day trading volume. If you are a Tier 1 trader, you will have to pay a maker fee of 0.020%and a taker fee of 0.07%.
On the other hand, if you come under the highest tier, you will have to pay a 0.04% taker fee and a 0% in maker fee.
This means, you will have to pay the taker fee for placing market orders that get filled immediately, and you will have to pay the maker fee for placing an order that does not get filled immediately.
FTX also has a VIP program for professional traders where the fees are at the lower end.
Other Trading Fees:
- Futures Settlement: No additional fees for futures settlement.
- Spot Trades: These fees are deducted from the asset you receive.
- Leveraged tokens: You have to 0.10% to create as well as redeem a token, along with a daily management fee of 0.03%.
- Perpetual Contracts: You have to pay a funding fee on perpetual contracts. However, the exchange does not keep this and is given to the holders on the other side of the concerned contract.
Apart from these fees, the exchange charges you for MOVE contracts too.
Does FTX require KYC?
Yes, FTX encourages you to go through a simple yet robust KYC procedure to ensure the safety of traders’ transactions and data. Having verified traders on the exchange also makes it more credible.
FTX KYC Levels?
There are three levels of KYC available at the FTX exchange.
Where all you require is to enter your active Email ID and password. However, you will not be able to trade, deposit, or withdraw here. This verification merely allows you to explore the site.
2. Tier one KYC
This is where you need to enter your details such as Email ID, Date of Birth, Full Legal Name, Country/region/province, and Phone jurisdiction. The exchange allows you to trade with 2000 USD daily.
3. Tier two KYC
Here, you will have to submit your details such as your legal name, Address, Proof of Address, Date of birth, Description of source assets, Passport or similar government-issued ID, and Facial verification.
Once this KYC is done, you can trade unlimitedly and both crypto and fiat withdrawals are unlimited.
How To Complete KYC on FTX?
We have talked a lot about KYC already and you must be wondering how to complete the KYC on FTX. Here is how to go with this:
To start the KYC of your account, you first select the “Verification Type”. It can be either Individual or an Institutional account.
Once you choose the verification type, you will be directed to the next page accordingly and will have to submit suitable documents to complete the KYC.
For that, the interface will ask you to take a picture of your identity document and upload them as shown in the image below.
You will have to click “Start” in the start verification section and upload the correct document photo as per the given verification document options as shown below.
Once this is done, your level 2 verification is finished.
Getting verification at this level might take some time. However, you are most likely to get quick approval for your KYC application if you have submitted all the right documents.
FTX is a credible crypto exchange platform that allows you to trade in cryptocurrencies and crypto derivatives. The exchange supports different cryptocurrencies such as Bitcoin, Ethereum, Chainlink, Litecoin, Ripple, and more.
Irrespective of your proficiency level in the crypto market, if you’re looking for a trading exchange (website or app) that can provide you with diversity, FTX is for you. The exchange also offers affordable fees which allow you to gain maximum from your every trade.
- 1 What Is FTX?
- 1.1 What Does FTX Offer?
- 1.2 How do I register on FTX?
- 1.3 How do I deposit and withdraw on FTX?
- 1.4 How To Trade Bitcoin & Altcoins On FTX?
- 1.5 What are the various trading fees on FTX?
- 1.6 Does FTX require KYC?
- 1.7 FTX KYC Levels?
- 1.8 1. Unverified
- 1.9 2. Tier one KYC
- 1.10 3. Tier two KYC
- 1.11 How To Complete KYC on FTX?
- 1.12 Conclusion