With more than 380 registered crypto derivatives trading exchanges out there, finding the best crypto exchange can be a huge challenge. You need to consider myriad factors, such as trading fees, trading interface, leverage, deep liquidity, and more.
Margex is a relatively new cryptocurrency exchange founded in 2020 in Seychelles. Since its launch, it has been gaining massive popularity in the crypto space. It offers some unique features to traders, such as advanced price manipulation protection and wallet whitelisting.
So, how does the Margex exchange stand against other popular crypto exchanges in the market? Here’s a comprehensive Margex review to help you make the right decision.
Margex Exchange Review: Supported Cryptocurrencies and Trading Pairs
Margex supports futures trading on six trading pairs. These include:
Margex offers traditional futures contracts and perpetual swaps.
Margex doesn’t publicly disclose its 24h traded volume, but since it’s a new exchange, the volume is likely less than other prominent exchanges like Bybit and Binance.
Margex Review: Product Offerings
Margex allows you to go long (buy) or go short (sell) on all the trading pairs.
Margex offers leverage trading with up to 100x leverage on all trading pairs. Hence, you can take positions worth USD 10,000 with an initial margin of USD 100.
While high leverage can sound tempting, it has its drawbacks. By taking high leverage, you expose yourself to a greater risk of forced liquidation, and hence, a greater loss. Therefore, it is recommended to use smaller leverage when trading crypto derivatives.
Furthermore, Margex enables you to use an isolated margin to know the liquidation price and better manage your risk.
Margex Order Types
Like most crypto derivatives trading exchanges, Margex supports three order types:
- Limit Order: In limit orders, you place an order by entering a specific price at which you want the order to be executed. Once the price reaches your desired price, your order will automatically execute.
- Market Order: A market order is executed at the current market price. Please note that a market order won’t necessarily execute immediately. The execution speed depends on the high liquidity.
- Conditional Order: A conditional order includes take-profit and stop-loss orders that allow you to manage better and control your trades.
Margex Trading Fees
Margex follows a market maker-taker fee model. If you’re new to the concept of market makers and market takers, this quick explanation will help.
Liquidity is an important element in cryptocurrency trading. Liquidity is determined by the number of orders currently in the order book. An exchange with deep liquidity will be able to execute more orders in less time.
When traders place a limit order (or conditional order that doesn’t execute immediately), it enters the order book, increasing liquidity. Such orders are called “market maker orders.”
When traders place a market order (or a limit or conditional order that executes immediately), it takes away the liquidity from the market. Such orders are called “market taker orders.”
Margex has a flat trading fee structure. It charges:
- Maker Fees: 0.019%
- Taker Fees: 0.060%
These fees apply to all futures trading contracts.
Unlike many trading platforms, Margex doesn’t have a tiered fee structure where the trading fee reduces as the trading volume increases. It also doesn’t have its native token like FTX, Bybit, and Binance.
However, users can earn discounts and bonuses on Margex fees by participating in marketing campaigns.
Margex Trading Platform & Tools
Whether you’re an experienced trader or a beginner, having a clear idea of the features and functionalities of the trading platform is essential. Let’s discuss the key features of Margex’s trading platform and where it stands when compared to other popular exchanges.
- Desktop Trading Platform
Margex deploys a TradingView charting system, like most other exchanges in the market. On the left side of the trading panel, you’ll find the option to place orders. You can select the order type you want to place, your initial margin, and the leverage you want to use.
The panel also shows the real-time funding rate for perpetual swaps. You also get Buy and Sell buttons that allow you to go long or short. On the right side of the panel, you’ll see the order book that enables you to analyze market depth.
On the top, there’s a list of the crypto futures pairs available for trading. You can click on the pair name to open that pair’s live chart. At the bottom, you’ll find the following sections: Open Positions, Active Orders, Positions History, and Orders History, to better manage your orders.
On the topmost taskbar, you get the following options: Trade, Wallet, Settings, Referrals, and Support for seamless navigation.
- Technical Analysis
Effective technical analysis is the key to success in short-term crypto trading. Since Margex uses TradingView, it has all the major technical analysis tools. These include:
- Numerous chart types, including line, area, candles, Heikin-Ashi, and more
- Multiple time frames, from 1 minute to 1 day
- Hundreds of built-in technical indicators, with API support for seamless integrations
- Drawing tools to mark important levels and leverage price action
In addition, you get access to market depth, market cap, and other fundamental analysis indicators to make more informed trading decisions.
- Mobile App
With mobile trading on the rise, most exchanges have mobile apps to allow traders to get a superior trading experience on their mobile devices. Unfortunately, Margex is yet to launch a mobile app. Margex may not be the best pick for you if you prefer crypto trading on a mobile app.
However, Margex has a mobile-friendly website that offers the same trading interface and experience as the desktop version.
- Demo Trading
You may not be entirely comfortable in leverage trading with real money if you’re a new trader. Margex resolves this hurdle for you. The platform has a demo trading feature where you can trade real-time crypto markets with dummy currency.
Hence, you can formulate new strategies and test them. Once you gain confidence, you can begin trading with real money.
User Interface and Experience
The Margex platform has an intuitive trading interface. It’s not only easy-to-use and highly responsive but also pleasing to the eye. By default, it comes with a black background that allows you to follow the chart and spot movements immediately.
However, traders can face some liquidity issues. Since Margex is a new exchange, its daily trading volume isn’t as high as other popular exchanges. So, sometimes, your orders may get stuck and take a while to execute.
Margex Deposit and Withdrawal Methods
A big benefit of using Margex is that it supports deposits in the form of crypto and fiat. If you want to deposit crypto, Margex allows you to make BTC deposits from any BTC wallet. If you want to deposit fiat, Margex supports bank card deposits via Changelly.
While deposits are instant in most cases, sometimes they may take up to two hours to reflect.
Margex requires you to make a minimum deposit of at least USD 10 to start trading. However, by making a deposit greater than 0.004 BTC, you can avail of a USD 50 registration bonus.
Similarly, Margex allows you to withdraw funds in Bitcoin and fiat. There are no withdrawal fees; however, the execution of withdrawal requests may take some time, depending on the funds available in the hot wallet.
How To Start Trading on Margex?
If you’re never traded cryptos before, starting trading Margex can be intimidating. Let’s make things easier for you.
Here is a step-by-step guide to getting started with margin trading on Margex.
1. Open an Account on Margex
The first step is to open a trading account. Head to the Margex Account Opening page and open your account. Margex is an anonymous crypto derivatives exchange and doesn’t require any KYC. Hence, you can open your account with an email address and password only.
2. Deposit Funds in Your Wallet
Once you have opened your account, the next step is to deposit funds. As mentioned, you can add funds to your wallet in BTC and fiat. Add a minimum of USD 10 to start trading, or more than 0.004 BTC to get a USD 50 sign-up bonus.
Since Margex offers high leverage of up to 100x, you can start trading with a minimal margin.
3. Place Your First Trade
Once you have funded your account, it’s time to place your first order. To do that, follow these steps.
- Select the trading pair you want to trade.
- Enter your position size (the number of contracts you want to trade)
- Enter the leverage you want to use. The more leverage you use, the less initial margin you’ll need to place a trade.
- Select the order type – limit or market
- Click on Buy or Sell.
That’s it. You have entered your first trade on Margex.
4. Close Your Position
The final step is to close your open position. You can do that in two ways.
- You can manually close your position by placing a market order at the current price.
- You can use a conditional order (take-profit or stop-loss) to exit your position at a specific price point.
It’s always recommended to use conditional orders to exit your positions. Doing so has two benefits:
- You can limit your losses, and thus, your risk.
- You can take away the desired profit without losing it.
Margex Security Features
Security is another essential aspect to consider when choosing a crypto exchange. Since crypto exchanges are not regulated, selecting a safe and trusted exchange that implements industry-standard security features is crucial.
Margex deploys a lot of security features to provide a safe and convenient trading experience to its users.
Margex security features include:
- Two-Factor Authentication: Margex enables users to activate two-factor authentication (2FA) to enhance the security of their accounts and avoid unauthorized logins.
- Withdrawal Confirmations: The team at Margex manually authorizes withdrawal requests to prevent any malicious withdrawal attempts.
- Wallet Whitelisting: Margex’s wallet whitelisting feature restricts third parties from withdrawing funds from your wallet.
- Security Questions: Margex has a series of security questions that users need to answer before changing passwords or making other critical changes to their profiles.
Price Manipulation Protection Mechanism of Margex
The cryptocurrency market is undoubtedly volatile. While volatility leads to trading opportunities, many new traders get trapped in sudden price fluctuations. Margex implements an MP Shield Price Manipulation System to protect traders from price manipulations.
The MP Shield System is Margex’s proprietary liquidation mechanism that prevents unfair liquidation and auto-deleveraging. Here’s a quick insight into how MP Shield works:
- On Margex, the price of each asset depends on the combined liquidity of more than 12 liquidity providers.
- Margex implements an AI-based algorithmic technology that consistently monitors price feeds.
- Margex provides equal trading opportunities to all traders by continuously monitoring trading activities.
- The exchange doesn’t offer illiquid assets that are inflated artificially. Hence, traders get effective protection against Pump and Dump activities.
Margex Customer Support
Margex is as good as other popular leverage trading exchanges when it comes to customer support. It offers a 24/7 live chat functionality with an average response time of fewer than two hours. You can also send them an email at email@example.com in case of detailed queries.
Additionally, Margex has a social media presence on Twitter, Telegram, and Facebook. You also get access to a vast knowledge base that includes videos, blog posts, etc.
Margex Review Summary
Let’s start with the positives first. One of the key advantages of Margex is that it has one of the most user-friendly and beginner-friendly trading platforms. It also supports demo trading, which can be beneficial for new traders.
It doesn’t require any KYC, and hence, getting started is easy. It accepts crypto and fiat deposits and offers up to 100x leverage on all trading pairs. It charges low fees, as the taker and maker fee is quite competitive.
On the downside, it is a new platform, and hence, low combined liquidity can be an issue. It isn’t supported in the US, and it doesn’t have a mobile app. Also, Margex supports only six trading pairs, so your options will be limited.
Overall, Margex is an excellent exchange for beginners and professionals looking for a Bitcoin-based exchange to start leverage trading.
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