ByBit review: What you need to know to use the platform

Bybit is a trading platform that continues to increase its number of users. Bybit is today one of the best crypto exchange platforms that exist. Available since the end of 2018, bybit slowly becoming a reference in derivatives trading. You can indeed trade future contracts (futures) with a leverage of up to 100:1.

Also, before starting, know that this platform (given the leverage) is not for everyone. If you have a high risk profile and are familiar with trading, then ByBit may be right for you. If this is not your profile, then it is recommended to find out about trading beforehand.

Let's see in this article what we think about it and how to best use this platform. What is it really worth and how can you use it to its fullest?

Presentation of the ByBit platform

Bybit is a P2P derivatives trading platform based in Singapore. The company behind it is called " Bybit Fintech Limited", a company registered in the British Virgin Islands. The team members are visible on LinkedIN and many of them have exemplary CVs in the world of finance with careers at Morgan Stanley, Tencent, etc.

If Bybit is used so much by crypto-traders, it is surely for futures contracts with enormous leverage. These are even the highest contracts on the market. The platform also stood out by offering unique features that we will present here.

What is leverage used for on ByBit?

Bybit is sought after among traders who want high leverage. Thus, a trader can trade with large amounts thanks to leverage while he will only have to deposit a tiny part of it.

He can then trade (and generate profits) significantly higher than what he would have had with leverage.

To give you a concrete example with a leverage of 100. You only need to deposit 1% of the amount. So, if you want to trade on a contract worth 10,000 euros, you will only need to deposit 100€ of initial margin.

Please note: On Bybit, the leverage is adjustable and can be changed even after opening a position. You should know that this is particularly rare on other platforms.

However, although Bybit offers 100x leverage on some of its contracts, this is not the case for all. If you are a large trader and enter large positions, they will reduce the leverage you can have on your contract. This helps protect the platform against positions that are too risky.

What are the fees on Bybit?

For deposits and withdrawals, Bybit does not charge you any money. That said, you can still pay network fees (excluding Bibyt) if you want to withdraw bitcoin for example. This is used to pay the miners. That said, fees generally remain very low.

For other trading fees, you have a $5 fee on all orders you place on the exchange. This is a model called "maker-taker" that is very common on trading platforms. They only charge fees if they withdraw liquidity.

Fees on Bybit are similar to other platforms. Because margin trading is based on “borrowing” positions, you will pay or receive funding fees. However, these are not transaction fees. These fees are exchanged between traders and are not paid to bybit.

As for financing rates, this will depend on market conditions and interest rates. It is therefore not fixed and it varies every day. When you open a position, you will know the details.

How to register on ByBit:

To register, nothing could be simpler:

• 1/ Registration on the Bybit official website.
• 2/ You are asked for an email (or telephone number, depending on your choice) and a password.
• 3/ If you want to receive a bonus, you can use our special sponsorship code:
• 4/ Once you are registered, Bybit sends you a confirmation code (by email or text message) that you must enter immediately in the form.
• 5/ Now it's done! You want to register and log in and you can start depositing funds into your account (and receive bonuses accordingly).

🕶️ It's very easy to register on ByBit because it is a completely anonymous platform. You are not required to complete KYC to trade.

How to deposit and withdraw funds on Bybit?

The good news is that today one can directly deposit fiat on the platform and buy BTC, ETH or USDT to start trading quickly.

You can also, for example, buy them on the BitPanda platform with your bank card or even by transfer and transfer your cryptos to your wallet on ByBit. It's up to you to decide according to the prices displayed. What is certain is that it is faster to go through the "fiat gateway".

To deposit, nothing could be simpler. Just go to your Bybit account and click on "Assets" to see the " Filing"

As you can see, you get bonuses if you deposit bitcoin within 48 hours of signing up.

For withdrawals, it's just as easy and quick. You will need to register a crypto address of your choice. Then you will need to confirm with 2FA security and the withdrawal operation will be carried out.

What services are available on ByBIT?

Asset exchange (Convert)

On Bybit, users can exchange their assets easily, without trading, by making a conversion. We can currently convert 4 different cryptocurrencies which are BTC, ETH, USDT and EOS. When we carry out Asset Swap, this does not happen on the classic order book. It’s really a great option when you want to do it quickly.

Trading platform and Spot platform

Obviously, the trading platform is the essential part of the platform. This is designed to allow us to trade efficiently with cutting-edge tools. The trading platform is well laid out and very intuitive. On the top tab, you can switch between your wallets and your account management. You can also switch between the BTC and ETH futures markets.

For more experienced traders, Bybit uses tradingview charting technology. This element is well known in the financial industry for offering the most functionality and indicators possible.

Recently, the platform launched the Copy-trading service to easily be able to copy the best traders on Bybit. Read our article: Here's how to copy the best traders on Bybit and have the same profits!

How to trade on Bibyt?

When you want to place an order, you will see above the form that you can switch between order types. You can adjust leverages, price and even quantity. You can also edit the details of the report.

There are 3 types of orders you can place on the platform:

• Market order: It is an order that is placed at the market price. He will place the order at “bid” if it is a sale or at “ask” if it is a purchase. This is classic on all platforms.
• Limit order : This is an order that is placed at a level chosen by the trader. The position is open for a selected duration.
• Conditional order: It is an order that can become either a market order or a limit order once certain price levels are reached. When the trader opens the trade, he must set the trigger price as well as the direction, quantity and leverage.
  

🛑 There are 3 “stop losses” to minimize your losses (and increase your profits)

There are 3 different ways to set up a “stop-lor” at Bybit.

• Good-Till-Cancelled (GTC) : This is a position that remains open until we decide to close it.
• Immediate-or-Cancel (IOC) : This position can be executed immediately and at the best price. This also means that this order type allows partial execution of the order.
• Fill or Kill (FOK) : This position is designed to be executed at the best price in full or not at all. This is quite similar to the IOC order except that partial orders cannot be executed.

Understand the terms used on the platform 📈

• Liquidation occurs when we exhaust all our initial margin and the price of the asset reaches the liquidation price. The trader's position is then liquidated naturally.
• ADL : This is the automatic deleveraging of the platform. When a position cannot be liquidated at a higher price and the insurance fund cannot cover it, then you can benefit from the ADL. It is a risk management tool.
• Double pricing mechanism : In order to avoid the risk of market manipulation on the exchange, Bybit uses a double price mechanism as the contract reference price. This is made up of the “Mark Price” which will trigger the liquidation and the “Last Traded Price” which is used to calculate the price at which the order is closed.
• Automatic margin replenishment: To ensure your position is always at the correct margin levels, you can configure it for automatic replenishment. This means that every time your margin is about to be exhausted, it will draw on your funds to keep your position open automatically
• Stop Loss : Having stop losses on your positions ensures that they close at a price you specify.
• Mark / Spot Price : The Mark price is derived from the Spot price. Spot price is a Bitcoin price index that represents the global price. It is composed of prices published on Bitstamp, Coinbase Pro and Kraken.

Ultimately, what are BiByt futures?

If you want to start trading on Bybit, you need to know the distinction between the two types of futures contracts on the platform.

• To the USDT contract, the margin used is Tether. You can think of this as a contract that has USD as its base currency (since Tether is a stablecoin). This way, the dollar value of your warranty will remain the same.
• As for the reverse contract, the cryptocurrency itself is used as the margin. So if you trade BTC/ETH/EOS/XRP as your base currency, your margin will also be in one of these cryptos. So, for example, for ETHUSD contracts, you will have ETH as margin.

The inverse contract is slightly riskier than the USDT contract. In fact, not only are you exposed to the real market, but you will also have exposure through your underlying collateral. If you want to trade something other than Bitcoin, then it will be an inverse futures contract.

Understanding the concept of “Isolated” and “Crossed” Margin

When trading the BTC/USDT pair on the Bybit platform, you have two options regarding margin allocation. These are isolated and crossed margins.

☞ The isolated margin : . It does not take into account the equity levels and PnL positions you have on other positions for the same trading pair. In fact, even if you make a profit on another transaction, this has no impact on your probability of being liquidated (and vice versa).

☞ The cross margin: If you decide to cross margins, then all your balances will be combined to avoid liquidations. If you have other open positions for the trading pair in question, then they will be included in the calculation of pre-liquidation margin levels.

To tell you frankly, we think the ideal is to use the isolated margin. This way you can adjust the margin and have control over the potential risk of your position.

How to earn bitcoins with Bybit?

There are different ways to earn bitcoins using BYbit.

✅ You can earn BTC by doing some simple tasks like registering on social media and following Bybit profile. You will receive $5. If you complete certain surveys, you will also earn $5.

✅ If you trade for 10 days in a row, you also earn $5

✅ Trading competitions are organized regularly with grand prizes offered. It's up to you to participate and try your luck as they say.

✅If you make a first deposit on the platform greater than 0,05 BTC, you will get an additional $5. If it is above 0,5 BTC, you receive $50. If you deposit more than 1 BTC in total, you will get $20 extra.

These free bitcoins can be used to trade directly. However, you cannot withdraw them directly if you do not delay with them. If you earn profits with it, you will of course be able to withdraw them.

Is Bybit a secure platform?

This is the very first question to ask yourself when you want to trade. Like many trading platforms, ByBit uses a cold wallet so as not to have all the funds on the platform. The wallets are therefore offline, not available to potential hackers.

When you want to withdraw your funds, you must go through a multi-signature security process, which then makes it possible to strengthen security. Finally, important data is under Bybit SSL encryption and the site uses basic internet security. Obviously, the site has the 2FA two-factor authentication system with Google Authenticator in particular.

Conclusion on Bibyt: one of the best platforms for leverage trading?

What we like about Bibyt is that we can personalize the different modules of its interface.

We must also remind you that Bybit's trading engine is extremely powerful as it is capable of executing a total of 100 trades per second per contract. Not all platforms can boast of such speed.

And, if you're wondering why this is important, faster order execution means the risk of trading errors is drastically reduced. Likewise, with speed, one can match the order books of both parties almost instantly.

If you are not yet very experienced in this area, do not hesitate to use the platform in demo mode. It's a great way to practice and learn without any risk.

Likewise, for traders who prefer mobile applications, you will be delighted to use bybit on your phone (iOS and Android)

As for our opinion on Bybit, some members of our teams use it regularly when they want to make a big splash to put it like that. They benefit from leverage. The interface is super user-friendly and the technology powerful. Everything we need to do leverage trading.

We were also delighted to see that they had created an insurance fund to manage possible risks, which makes the platform even more secure and certainly sustainable in the long term. The other good news is their collaboration with chainlink to update all external price data.

So of course, there would certainly be things to improve but let's say that here, already, the Bybit platform is a very good platform that we can recommend to you.

In any case, always do your own research, and try in demo mode as well.

—->Go to the site bybit

Can you use Bybit without KYC?

Yes, it is possible to use Bybit without KYC under certain withdrawal extent. Moreover, Bybit is one of the platforms used for those who want buy cryptos in Africa, because the company accepts all users from all over the world.

What can you do on Bybit other than trading?

The platform offers many different services to satisfy users and all profiles. For example, the platform has implemented a NFT space on Bybit.

Is Bybit the best crypto trading platform?

For many traders, yes, Bybit is one of the best crypto trading platforms. Moreover, during events of type SWOT on Bybit, many traders from all over the world participate. The prizes and competitions reach millions of euros to be shared among the best traders.

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Disclaimer: Trading is a risky activity. Do your own research and only invest in projects that you understand. Zonebitcoin does not provide financial advice.