Cryptocurrency trading is getting more and more popular. Traders are looking for fast executions and low fees. There are already some well-established companies in the market.
Newer companies like PrimeXBT are creating competition among vendors, making the offering increasingly attractive for investors in the long run.
At PrimeXBT, trades can be made via several digital assets like BTC, LTC, ETH, and XRP. Even fiat currencies and some CFD's are supported.
This review is all about PrimeXBT. We talk about the company, the funding options, the security, and the trading platform.
Let's start the review by looking at the two most frequently asked questions.
What is PrimeXBT?
PrimeXBT is currently the No. 1 Bitcoin-based trading platform for active traders in 170+ countries.
Along with cryptocurrencies like BTC/USD, also various fiat currency s can be traded via PrimeXBT. This includes popular currencies like EUR/USD and USD/JPY.
PrimeXBT allows leveraged trading with a 100x leverage in both directions - long and short. They support five different order types and allow anonymous accounts.
More than 40 employees serve clients around the world. With three offices and more than 12 liquidity providers, PrimeXBT handles an average daily volume of ~$375,000,000.
Is PrimeXBT legit?
PrimeXBT is a newer crypto-exchange and brokerage company. They were founded in 2018 and have grown exponentially ever since.
What do we know about the company behind PrimeXBT?
Two companies are behind the Brand PrimeXBT. They are registered but not regulated by institutions like the SEC.
- PrimeXBT Trading Services Ltd. - Seychelles company registration number 206865
- Prime Technologies Ltd. - St. Vincent and Grenadines company registration number 25369BC2019
All legal documents are published in their legal-terms section on their website and can be found here.
Their Trustpilot score currently shows a rating of 4.5/5.
Now let's review the trading platform.
Trading Platforms Review
PrimeXBT's innovative trading platform is web-based and comes with advanced features. The platform is fast and reliable.
The fantastic thing about PrimeXBT's trading platform is that it can be tested for free and without registration.
Do you consider to become a customer? One simple click at "view live trading demo" opens the platform.
Users can use the buy and sell buttons and get full access to the Prime XBT platform, once they used one of their payment methods to fund the account.
PrimeXBT offers leveraged trading for cryptocurrencies. Leverages also mean that there is a risk of losing your money. That's because the leverage has an impact on potential profitability and potential losses.
Let's proceed with the Prime XBT review by taking a closer look at the functionalities and the standard layout.
At the upper left corner via "All Markets", users can choose between three different market segments:
In total, the company allows leveraged trading for more than 30 assets. For example, LTC/BTC, LTC/USD, BTC/USD, and fiat currency like GBP/JPY.
Buy and sell orders at PrimeXBT will appear in the order section on the bottom left. The little dropdown can be used to perform column customization.
Current positions are at the lower right.
Traders can go long and short in any market tradeable in this platform. Traders expecting rising prices buy an underlying asset to benefit from prices going higher.
On the other hand, traders expecting falling prices go directly short in an underlying asset to benefit from falling prices.
The orders made via the Prime XBT platform are executed on Amazon AWS servers.
With a reasonable amount of liquidity providers, quick executions and low latency can be expected.
You may ask yourself if day trading is possible with PrimeXBT. Their current statistics imply that 74.1% of market orders where executed at the requested quote.
To avoid slippage, a limit order should be used as the order type if appropriate.
In total, five different order types are supported:
- OCO (one cancels the other)
- Protection orders
Good to know: Protection orders can be attached to the first order.
For example, traders who set a buy stop at a price above can attach a protective stop-loss order at the same time when an order is placed.
That means that once the buy order is executed, the protective stop-loss order gets transmitted and protects the current position.
The chats are in the center of the trading screen. Besides buy and sell buttons, also the time frame, charting type, and some studies can be applied.
The time frame goes from 1 minimum up to the monthly view while the chart types bar, candlestick, and line are supported.
Trendlines and more complex annotations like Fibonacci Retracements can be drawn on the chart.
On top of that, about 30 different studies like the Average True Range, CCI, Bollinger Bands, and moving averages can be added to the chart.
Trades can be placed by using the charts or the green buy and red sell buttons within the dashboard at the right.
The workspace can be designed in the prefered way since the whole platform is widget based.
Users can use 4 different charts at the right and arange all other widgets like open and closed positions besides.
Some may prefer to go with the standard layout described above.
The review wouldn't be complete without looking at the PrimeXBT funding and financing options. You cannot fund your account via a credit card.
A customer needs a Bitcoin wallet to fund the account and to execute trades. At least if you want to stay anonymous.
The only thing you need to start trading with their web-based app is a deposit of at least 0.001 BTC.
That's because the only supported deposit currency is BTC, with a minimum deposit of 0.001. That means that if you want to become a customer, then you need a Bitcoin wallet first to make your deposits.
If anonymity is not important to you, then a deposit via credit card is also possible. The money will be transferred to your personal Bitcoin address.
Overnight financing is also possible with Prime XBT. That means that once trades are made, positions can be held overnight.
The review later refers to the PrimeXBT fees, where the fee structure of the company will be lined out more precisely.
Now let's proceed with the review by taking a closer look at the fee structure. PrimeXBT charges trading fees and overnight financing fees.
The fee structure is important and a central element in any review. As being said, first, a transfer of at least 0.001 BTC from your wallet to the app is needed to start trading.
The trading fees differ depending on the assets traded.
The trading fee for cryptocurrencies is 0.05% for each traded asset. This includes BTC/USD, ETH/USD, ETH/CTC, LTC/USD, and all other cryptocurrencies.
Indices and Commodities
Trades in indices and commodities like brent, crude, and GER30 result in a fee of 0.01% per trade.
Forex trading comes with the lowest trading fee of only 0.001%.
Keep in mind that the spread, which is the difference between the bid price and the ask price, adds to your trading fees.
This is like buying a brand new car. If you purchase it, you pay the ask price to the car dealer. If you return the car immediately, he will give you much less money even if you drove only 50 meters, which reflects the bid price.
Overnight Financing Fees
You can trade with a 100x leverage. In other words, 99% of your position is held via borrowing of liquidity.
This leads to borrowing costs once your trades for opening a position get executed within a day, but the trades don't get closed on the same day.
In other words, if a position is held overnight, the overnight fees apply.
The fees for overnight holds vary depending on the direction of the trade - long or short. Please review the table below to check the exact fees per asset.
Indices and Commodities
It doesn't matter if a trader takes a long- or a short position. The overnight fee is equal for long and shorts. However, there is a considerable difference depending on the underlying asset traded.
The fees page on their website provides a good overview of all potential costs. Besides the expenses named, also trading limits and margin requirements should be considered.
Prime XBT Social Media Channels
Social media channels are a great free source of information if you are a customer or if you want to become one of Prime XBT's users.
Here are the most popular channels:
PrimeXBT Review Summary
The opportunity to open an account anonymously makes the account opening process speedy, while the missing regulation should always be considered before transferring high amounts of money to this platform.
The trading platform looks promising, and the fee structure is competitive.
PrimeXBT clearly lives the ideology behind cryptocurrencies.
The fact that anonymus funding is only possible via BTC transfers and not via credit card underlines this. Why? Because 100% anonymous accounts only work if funding is done without personal information.
But traders willing to share their personal data can also fund the account via credit card.
PrimeXBT is an interesting alternative to Coinbase. A low minimum deposit of 0.001 BTC sets the entry barrier pretty small.