Trading perpetual contracts is known to be one of the best ways to make money in crypto.
There are several exchanges out there that make trading perpetual contracts an easy process. Among them, two of the popular exchanges are Binance Futures and DyDx.
While Binance is a full-fledged crypto exchange serving differing areas, DyDx is only meant for perpetual swaps. So how Binance vs DyDx compares to each other?
Well, this is what we will be finding out in this comparison.
Binance vs DyDx: At A Glance Comparison
Binance is one of the well-known cryptocurrency exchanges out there. Even it is known to be the largest crypto exchange by trading volume.
Binance has been in operation since 2017, and it serves different areas of crypto.
With the exchange, you get access to the complete crypto ecosystem. It doesn’t matter if you want to trade in futures or spot; the exchange will help you out.
Alongside, it also offers you access to other crypto features and services such as crypto loans, staking, P2P trading, etc.
DyDx is one of the most popular decentralized exchanges out there for perpetual contract trading. The exchanges use smart contracts on the Ethereum blockchain to function.
Plus, the best part of the exchange is that it allows users to trade without any intermediaries.
However, unlike Binance, the exchange doesn’t have too many features. Instead, it serves one purpose, and it serves it very well.
Binance vs DyDx: Trading Markets, Products & Leverage Offered
When it comes to product offerings, Binance is a better choice since Binance is a full-fledged crypto exchange, while dYdX is a decentralized crypto exchange meant for perpetual swaps.
- Spot Market Trading
- Margin trading with 3x leverage for cross and 10x leverage for isolated trades
- Perpetual contracts in USD-M with leverage ranging from 1x to 125x
- Leverage between 1x and 125x for Coin-M perpetual contracts
- Crypto Options
- P2P trading
- Perpetual contracts with up to 20x leverage.
Verdict: Binance is a clear winner. The exchange not only offers you more market types but higher leverage than dYdX.
Binance vs DyDx: Supported Cryptocurrencies
When it comes to supported cryptocurrencies and trading pairs availability, both exchanges are far different from each other.
Being a full-fledged crypto exchange, it supports 500+ crypto tokens and trading pairs across the spot and future markets. Plus, Binance is the first choice for many new crypto launches. Some of the available tokens on the exchange are:
DyDx supports a limited number of trading pairs. But it has the trading pairs where most trading happens. So even if you don’t get a chance to trade in newly launched tokens. You can still trade in the popular tokens. Such as:
Verdict: Binance is the winner in terms of the availability of crypto tokens and trading pairs. As it supports more tokens compared to DyDx.
Binance vs DyDx: Trading Fee & Deposit/Withdrawal Fee Compared
Both exchanges are pretty impressive in terms of fees.
On one side, Binance is known to have one of the lowest trading fees in the market. On the other side, DyDx is known to offer you zero trading fees to an extent.
Here is how both of their trading fees compare:
Binance Spot Trading Fee
Binance has a tiered fee structure and follows a maker-and-taker fee model. So the more you trade, the lesser the trading fee you have to pay.
On top of that, you get a 25% discount on spot trading fees if you pay the fees using BNB (Binance’s native token). So the regular and discount spot trading fee stands at:
- Maker Fee: 0.1000%
- Taker Fee: 0.1000%
With a 25% discount fee:
- Maker Fee: 0.0750%
- Taker Fee: 0.0750%
Binance Futures Trading Fee
For futures trading, you see a similar tiered fee structure with a maker and taker trading fee mode. Also, you get 10% off on your futures trades which are only applicable to USD-M perpetual contracts. The regular futures trading fee stands at:
USD-M Futures Fee
- Maker Fee: 0.0180%
- Taker Fee: 0.0360%
With 10% discount:
- Maker Fee: 0.0108%
- Taker Fee: 0.0270%
Coin-M Futures Fee:
- Maker Fee: 0.0100%
- Taker Fee: 0.0500%
Binance Options Trading Fee
For options trading, you get charged a flat fee:
- Maker Fee: 0.020%
- Taker Fee: 0.020%
Binance Deposit & Withdrawal Fees
When it comes to deposits, there are no charges. But you might get charged a transaction fee depending on your payment method selection.
For certain payment options, there and no charges, but there are exceptions. So you need to check what sort of payment options you have for depositing and withdrawing fiat in your region.
Luckily, Binance supports P2P trading, which allows you to deposit funds at zero cost. Or you can deposit or withdraw crypto using another exchange or wallet.
DyDx Perpetual Trading Fee
DyDx also follows a tired fee structure with a maker-and-taker fee model.
However, the most important thing is, DyDx charges you zero trading fees for a 30 days trading volume of up to $100,000. Only if you cross this limit, then you would get charged trading fees.
Along with that, it also offers you a certain percentage of discount based on what tier you are in. so the regular fee stands at:
- Maker Fees: 0.020%
- Taker Fee: 0.050%
DyDx Deposit & Withdrawal Fees
When it comes to deposits and withdrawals of funds, Dydx doesn’t charge you anything. However, the transactions will incur a blockchain network fee.
However, when it comes to depositing funds via the BANX gateway, it might attract processing fees.
Verdict: DyDx, in terms of fees, is a clear winner. You don’t get charged anything for a 30days trading volume of $100,000. Even if you cross that, the trading fee is still pretty low.
Binance vs DyDx: Order Types
Both exchanges have their own order types. And here is how they look:
- Stop Limit
- Stop Market
- Trailing Stop
- Post Only
- Stop Limit
- Stop Market
- Trailing Stop
- Taker Profit Limit
- Taker Profit Market
Verdict: As both the exchanges have pretty much the same order types, it is a tie between Binance and DyDx.
Binance vs DyDx: KYC Requirements & KYC Limits
Binance is pretty strict in terms of KYC (know your customer). You are required to complete your user verification before you can start trading on the exchange.
Without verifying your user account, you won’t be able to deposit funds, place trades or withdraw funds.
- Verified: 50K USD fiat limit per day.
- Verified Plus: Fiat limit of 2M USD per day.
- Verified Plus (2): Transactions in fiat are unlimited.
As DyDx is a decentralized crypto exchange. As a result, there is no need to verify your account. Nor do they have any sort of KYC levels.
Verdict: As DyDx doesn’t require you to complete your KYC to start trading, it is a clear winner for this section.
Binance vs DyDx: Deposits & Withdrawal Options
Both exchanges are quite different when it comes to depositing and withdrawing funds. Since Binance is a full-fledged crypto exchange, it has a different way of functioning than DyDx.
- Method 1: You can use your Credit/Debit cards, bank transfers, or other payment methods available in your region to buy crypto.
- Method 2: Binance supports P2P trading, which can be used for free deposits and withdrawal of funds.
- Method 3: Transfer crypto to Binance’s wallet from another exchange or wallet.
- Method 1: You are required to use your crypto wallet to deposit or withdraw funds to your DyDx account.
- Method 2: DyDx also allows you to buy crypto directly on the exchange. However, the service is powered by BANX, and it may attract high fees.
Verdict: Depositing funds on Binance is a much easier process and less costly and even free in some cases. Hence it is the winner.
Binance vs DyDx: Trading & Platform Experience Comparison
The trading experience is similar on both exchanges. As they both offer you similar features and user interfaces.
- Multiple technical chart options, including TradingView
- Pair details
- Order book
- Easy-to-use order form
- Trade history, open orders, PnL records
- User-friendly mobile app
Joining Binance? Know How to day trade on Binance exchange
- Technical chart powered by TradingView
- Order book
- Positions, orders, fills, and payments
- Easy-to-use order form
- Multiple order types
- Pair details
- Mobile app
Verdict: As both exchanges have similar features and offer the same trading experience, it is a tie between them.
Binance vs DyDx: Customer Support
Binance offers you multiple ways to reach out to customer support. The easiest way to reach Binance’s support is through their live chat window, which will connect you with a live support agent.
Alternatively, you can get help by sending them an email. Or you can reach out to them through Twitter at @BinanceHelpDesk.
DyDx support can be reached by raising a support ticket. Or you can contact them via Twitter. Also, they have a Help Center with lots of guides which you can search and find to resolve your issue on your own.
Verdict: Binance’s support is much more convenient to reach out to. Hence, it is the winner for this section.
Binance vs DyDx: Security Features
- Keeps funds in cold storage
- Two-factor Authentication
- Real-Time Monitoring
- Advanced-Data Encryption
- Funds are secured by smart contracts.
- Contract Audits
- Perpetuals Protocol on Layer 2 Audits
- Admin-Account Delay
Verdict: As Binance offers more security features compared to dYdX, it is the winner.
Is Binance Safe & Legal To Use?
Binance is one of the safest crypto exchanges out there. It keeps the vast majority of users’ funds in cold storage.
Plus, on the user’s side, it offers you multiple security features like 2FA real-time monitoring system to help detect suspicious activities and prevent them.
Also, the exchange doesn’t have any history of hacks.
Is DyDx Safe & Legal To Use?
DyDx is safe to use as a decentralized cryptocurrency exchange. It uses smart contracts to lock users’ funds and doesn’t hold the assets by them.
So users’ funds are protected against any hack or other security threats. Also, the exchange is secured by the Ethereum blockchain, and it doesn’t have any history of security breaches.
Binance vs DyDx Conclusion: Why not use both?
In the end, in a battle between Binance and DyDx, I would say it is a tough choice to make.
But I would personally prefer Binance over DyDx. It offers you a wide range of markets, higher leverage product offerings, multiple ways to deposit and withdraw funds, and more.
But dYdX is not a loser. It doesn’t charge you any trading fee to some extent. Also, being a decentralized exchange, it comes with its own advantages.
So if you want to trade at zero cost and want to use a decentralized exchange for perpetual trading, DyDx would be a good choice.
See how Binance & DyDx compares to other crypto exchanges: