What is Bybit? How to register on Bybit
The number of traders and trading volume on derivatives exchanges have increased significantly over the past few quarters. Before that, Bitmex used to be the best margin exchange, but due to the change in traders’ sentiment and the controversy surrounding the Bitmex hack, many traders started turning to exchanges escrow such as Bybit and Binance.
Of these, Bybit turned out to be the clear winner as they listened closely to the community of traders, and since last year they are constantly growing. Many people might be surprised how a fledgling exchange like Bybit managed to capture the hearts of traders in such a short time. Let’s find out clearly why Bybit will continue to grow in the future.
What is Bybit?
Bybit was a popular peer-to-peer (P2P) Bitcoin and cryptocurrency futures exchange in Singapore in March 2018. The exchange operates under Bybit Fintech Limited, a company registered in the British Virgin Islands. The platform trades with a focus on margin trading, offering up to 100x leverage on BTC/USD and ETH/USD trading pairs. Bybit also recently added Spot trading in July 2021 to complement its core derivatives offering. Currently, only four trading pairs are available: BTC/USDT, ETH/USDT, XRP/USDT, and EOS/USDT. It has been announced that more trading pairs will follow soon.
At the moment, Bybit is not approved by the FCA. It is decommissioning on UK territory. Ben Zhou co-founded Bybit in 2018 after realizing the bright potential of cryptocurrency trading two years earlier. Before serving as the exchange’s CEO, Zhou served as the General Manager of forex brokerage XM for China.
At the time of writing, the exchange had 9 million registered users.
Led by CEO Ben Zhou, the platform is based in Singapore, but its reach is already a global one, thanks to an impressive array of features, including:
- Margin trading with up to 100x leverage
Some crypto exchanges only allow up to 5x leverage, but you can trade Bitcoin, Ethereum, EOS, and XRP perpetual contracts with up to 50x, 100x, or less leverage to find the right balance between risk and return.
Of course, users need to be aware of the risks involved, and the most significant disadvantage is that traders can lose more than their initial investment, even if the market price drops slightly. Margin trading should only be done by those with a deep understanding of technical analysis and is not recommended for beginners.
- Multi-currency support
At ByBit, you can deposit, withdraw and open positions in BTC, ETH, EOS, XRP, and even USDT (not available for trading, only hedging). Use the internal Asset Exchange feature to convert cryptocurrencies with ease.
- Low Fees
ByBit offers some of the most competitive margin trading fees on the market. There are no deposit fees when depositing cryptocurrency into your Bybit account.
There are different fees involved for market makers and market takers, depending on whether you are Derivatives trading or Spot trading.
- Derivatives Trading: Market makers receive a rebate (negative fee) of 0.025%, meaning they will receive money by executing the trade. Market takers pay a fee of 0.075%.
- Spot Trading: Market makers do not have to pay a fee, and market takers pay a fee of 0.1%.
To convert from one digital asset to another, Bybit charges a flat rate fee of 0.1%.
- No-KYC cryptocurrency derivatives trading
This platform does not ask you to provide any personal or private information. User identity verification is where the two differ fundamentally. BitMEX strictly implements the KYC process and is proud to be the first crypto platform to do so. Bybit, on the other hand, is more concerned with the IP address than the user’s actual identity.
When considering user restrictions, both companies blacklist users according to their physical location. Bybit and BitMEX ban users from the United States, Quebec, Cuba, Crimea, Sevastopol, Iran, Syria, North Korea, and Sudan. Bybit also does not entertain people living in Singapore, the UK, and mainland China. BitMEX observed similar treatment for traders in Hong Kong, Seychelles, and Bermuda.
- Secure platform
ByBit has a robust, powerful, and well-designed platform and is easy to navigate yet is full of advanced options. It can handle up to 100,000 trades per second.
Bybit has developed a hardware wallet system to collectively store its users’ funds in cold storage and help keep them safe from malicious threat actors. Unlike the other exchanges that use hot wallets (crypto wallets accessible online), Bybit assigns cold deposit addresses to traders. It completes asset consolidation and withdrawals with offline signatures. So, the exchange has no history of hacking, breaching, or leaking user information.
- Bybit insurance fund
In addition to its high security, Bybit has an insurance fund to manage and handle excess losses, so traders who have dealt with losses do not collect more than their initial deposit, and profit traders are not made to cover the spread.
Bybit’s insurance fund is, quite simply, a reserve fund that the system can dip into to protect traders from negative equity and liability for excessive losses. Assume that a trader’s position has been liquidated; If the closing price is better than the bankruptcy price, the trader’s remaining margin will be added to the insurance fund. However, if the closing price is below the bankruptcy price, the loss of the position will exceed the trader’s initial margin so that the insurance fund will cover the shortfall.
- 24/7 customer support
The support is available in multiple languages and takes the form of a desk-based live chat function and email.
- Mobile app for iOS and Android
Bybit’s mobile app is available for iOS on the Apple App Store and Android on the Google Play store. The app has an average rating of 4.9 stars on the Google Play store from 34 000 reviews and over 1 million downloads.
Bybit is not FCA-approved. It is shutting down operations on UK territory. Also, it does share your data with third parties inside and outside EEA. It’s not only for legal reasons – it will be shared with their partners for promotions and services.
Furthermore, it is also not available in the United States as the country has strict regulations in place to control trading derivatives and cryptocurrency exchanges. Bybit is not available to customers in the United States and other countries, such as the United Kingdom. To use their website, you must actively confirm that you are not from the United States.
Especially since there is no KYC, it can be a big risk as your account could be frozen, meaning you won’t access your funds. And you could be breaking the law.
How to register on Bybit
You can follow these steps to set up your account.
Visit the Bybit official website and click register here.
Enter your email and password.
Enter Referral Code: 22939 to get $20 reward
Check your email – Enter the verdication code sent to your email
Choose 1 of 3 (this step is not important) or Click ” Let’s fund my account”.
Check “Account & Security” then select “Verify Now” to KYC your account.
Verify Now to KYC (Level 1 is enough).
Choose you country and Upload the document (Passport, ID Card, Driver’s License or Residence permit).
Note: If you want to KYC by phone, download the Bybit app and complete the same steps.
For Apple (IOS): here
For Android: here
After completing face verification, wait for 5 to 10 minutes, the system will automatically update.
Bybit is a digital recommendation for margin traders with 100x leverage and offers perpetual contracts, futures, and spot trading all in one exchange. The interface on both the desktop site and the mobile app is full of features yet easy to navigate for the experienced trader.
Many Bybit users have several shortcomings, and its limited ability to convert fiat to crypto is a great example. But it also has many good things going for it, such as multi-signature cold wallet storage. You will be able to trade with leverage and manage your positions with a user-friendly interface.
The only downside is that Bybit is not available to residents of the United States. However, it has a lot of room to grow. And it may start with implementing a strict KYC policy to welcome US Bybit traders. More importantly, having a rigorous ID verification process can enhance its legitimacy in the eyes of regulators.
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