What is FTX exchange? The most complete FTX trading guide (2022)
What is FTX exchange? Detailed instructions on how to register an account, trade on FTX and answer frequently asked questions can be found here!
More and more derivative products of the Crypto market are interested and want to be traded. Along with that, the exchanges also quickly grasped this need to offer derivatives trading products to users.
In today’s post, I would like to introduce to you FTX exchange – specializing in derivative products.
So what is FTX exchange? What advantages does FTX have over other exchanges that are already on the market? How to use FTX? Let’s find out with Coin98 through this article.
What is FTX exchange?
FTX is a leading exchange specializing in providing derivative products related to cryptocurrencies such as: Spot (instant trading), Futures Contracts (future contracts), Option (options trading), Leveraged Tokens (Margin) and OTC.
Founded by Alameda Research – one of the world’s largest market makers and liquidity providers, FTX is an exchange built by investors and for investors themselves. . FTX is committed to building the best derivatives exchange by:
- Solve the most difficult problems of the leading futures exchanges: system overload, revenues, lack of liquidity, poor quality products, …
- Developing new products to serve the evolving needs of the market.
- Hear and respond to community feedback quickly: FTX was created with traders in mind, to build a strong enough platform for professional trading firms and for first-time users.
The main interface of the FTX floor.
Basic information about FTX
- Release date: April 2019.
- Products: Spot Contracts (Spot), Futures Contracts (Futures), Leveraged Tokens, OTC, Prediction, Option, Staking.
- The exchange’s token is FTT Token.
- Headquarter: Hong Kong.
- Owner: Sam Bankman-Fried, and owner of Alameda Research.
Prior to that, Alameda Research was founded in October 2017. Manages over $100 million in digital assets and trades between $600 million and $1.5 billion per day. At the same time, Alameda Research is also the main supporter of the FTX exchange.
In July 2021, FTX successfully raised a huge amount of up to $900M, and FTX was later valued at $18B.
Besides FTX, Alameda Research is also a big investor in many other projects.
FTX floor review
- The exchange’s trading market fully meets the needs of today’s brothers such as: Derivatives (future contracts), margin trading (leveraged trading), Option, OTC, …
- Deposit and withdraw coins with no fees.
- Currently, the exchange supports Vietnamese, making it easier for you to use transactions.
- The FTX exchange has an API gateway that makes it easy for you to link your account with portfolio applications or trading bots.
- FTX has an exchange coin, FTX Token (FTT), which currently has a huge market capitalization and growth since its inception.
- When Stake FTT will get many benefits, including free sending ERC-20 tokens.
- Provide full API Key for those who want to use 3rd party tools for transactions.
- There is a sub-account feature, convenient for users who want to divide their portfolio without creating another account.
- The exchange sometimes lags a bit if the market moves sharply, leading to many people joining margin, depositing and withdrawing.
- The interface on the computer, according to some individuals, is not beautiful.
- Transaction history shows no details.
Fees on FTX
FTX has a tiered fee structure, Spot and Futures trading fees on FTX are presented as follows:
FTX exchange fee (latest update 2022).
In addition, the FTX exchange also has a discount for holders of FTX Token (FTT). Current discount, based on user’s FTT holdings.
Up to the present time, users when depositing and withdrawing coins on the FTX exchange are free of charge. That is, you only pay tx fees on the Blockchain network. This is considered a strong advantage to attract a large number of users of FTX. However, in the future, the exchange may add withdrawal fees.
Idolmeta.net will update you when the latest information is available. Because usually the exchanges will sooner or later collect withdrawal fees.
The FTX exchange currently has a lot of incentives on fees (fee):
- Tokens used have a creation and redemption fee of 0.10%, a daily management fee of 0.03%.
- Using a margin of 50 times or more increases the transaction fee by 0.05%. Half of that is paid to the insurance fund.
- There are no OTC transaction fees.
Instructions to register for an account on FTX
Preparation before registering for FTX
In order for the registration to not take much time, you need to prepare a few things in advance according to the following list:
- Commonly used email addresses.
- A photo of the ID card includes: 1 photo of the front, 1 photo of the back and 1 selfie photo with the front (I will guide you in detail in the following part). You can use your ID card or driving license.
- The phone comes with the Google Authenticator app pre-installed.
Step 1: Register for a trading account on FTX
First, you access the website of the FTX exchange at the link: https://ftx.com
Then enter Email & Password ⇒ Select Click to Verify.
Note: You must type it directly, not copy-paste into these information boxes. Your password meets the following 2 conditions:
- There must be at least one lowercase and one uppercase character.
- Must contain at least one special character (!@# $% ^ & *).
Enter your Email and Password to register for FTX.
Drag and drop the circle so that the upper puzzle piece fits into the empty square.
So you have successfully registered for an account on the FTX floor. With this account, you can withdraw 1,000 USD/day.
However, I recommend that you perform KYC verification in the next step for better account security, as well as no withdrawal limit when completing KYC.
Step 2: Identity Verification – KYC
First, you need to know what KYC is, KYC (Know Your Customer) is the process of collecting identifying information related to customers of a certain service. The basic information that is usually collected is a portrait photo, identity card number, passport, address, etc.
The purpose of the KYC process is to remove unqualified people from using a service. With different units, these standards may be different.
To KYC your account on FTX, you do the following:
From the home page interface of FTX, you select the Setting icon as below.
Here, you will have 2 areas that need to be verified:
- Identity Verification: You need to verify your identity before you can deposit or make transactions on the exchange.
- CM-Equity AG KYC: Do 2-Step KYC – These are the documents that need to be uploaded to perform identity verification.
Select Enable Trading and Deposits to verify your identity. Here, you need to fill in all the information to verify Level 1, including:
- Verification Type: Verify whether the account is an individual or an organization.
- Full name
- Country of residency
- State, province, or region
- Optional information: Favorite chat app, chat handle.
After Level 1 verification is complete, your account can now withdraw from $2000 to $9000 per day.
After filling in the information, you choose Submit Information, FTX will continue to let you verify Level 2 with the following information:
- Full legal name
- Country of residency
- Source of funds: Fund source – You can choose Income (income) or Trading (transaction). If you choose Other, please specify/describe the source of your personal assets, residential address or business address.
Next, you enter your Residential address including: specific address and country where you live.
Verify your phone number by entering your phone number in the box below, select Request SMS code ⇒ Enter the 6-digit code sent to your phone text message in the SMS Code box.
Scroll down and select Submit Information.
Select Upload Additional Documents to add the necessary verification documents.
Select Proof of Address, this is your proof of address document, be it a recent Utility Bill, Bank Statement, Lease Contract or ID card including address.
You upload photos and select Upload.
Step 3: Enable 2-step security 2FA
This is a step to help you increase the security of your account on the exchange, I always recommend that you activate 2FA.
You choose to go to Setting >> Security >> Two-Factor Authentication >> Authy / Google Authenticator.
You download the Google Authenticator or Authy app to scan the code below, and save the 16-digit string for backup.
In addition, you can also choose a security option by SMS. But, this way often takes time to wait for the message to arrive, or complicated when changing sims.
Instructions for depositing, withdrawing, trading on FTX
From the homepage of the FTX exchange, you choose Wallet as shown below.
Want to send any coin, you just need to enter the token code of that coin in the search box.
Here, I give an example with BTC. For the other coins, you do the same.
Enter BTC and select Deposit.
The next thing you need to do is load Bitcoin (BTC) into the wallet address displayed.
Note: As the wallet address of any coin you just send that coin, don’t send it to another coin.
This withdrawal step is almost the same as depositing. But instead of “Deposit“, you choose “Withdraw“.
Then, you enter your wallet address in the “Address” box, enter the amount to withdraw in the “Amount” box.
Finally, you choose “Withdraw“.
Buy and sell coins
FTX is known as the best derivatives exchange up to now. However, that does not mean that the Spot array is not quality. Users can top up via chains like Ethereum, Solana, Tron, etc.
In addition, the exchange also supports a lot of leveraged tokens: ETHBULL, SUSHIBULL, ETH BEAR, etc.
To buy and sell coins, you choose Market.
You can choose many types of coins you want to buy/sell such as: Future, Spot, Stock, Leveraged tokens, etc.
Order types to know when trading FTX
Limit Order : Limit Order allows users to manually set the buy/sell price they want. The limit order will be executed only when the market price reaches the previously set limit price.
Market Order: Allows you to quickly buy an asset at the time of placing an order. Usually trades on market orders will be executed immediately and always become the top priority of all pending orders.
Stop Limit : This order will have 2 prices: Stop Price (Stop) and Limit Price (Limit). When the price has reached the stop price, the limit order will be immediately pushed to the order book and waiting for order execution.
Stop Market : This order will also have 2 prices: Stop Price (Stop) and Market Price (Market). When the price reaches the stop price, the market order will be triggered and executed immediately.
Trailing Stop: Allows you to cut your losses flexibly, this order is like a dynamic Stoploss that moves in the same direction as the order trend, for example: When your order is profitable, you can set a Trailing Stop. and the price will always move higher by a certain number of pips when your BUY order is profitable, otherwise it will go lower if the Sell order is profitable.
Other trading instructions on FTX
Trade Margin – Trade Margin on FTX
Trade Margin is also known as margin trading. This is a form of trading that uses financial leverage so that users can buy and sell exchanges for more money than they have. From there, creating a higher profit and of course the risk will also be higher than normal trading.
From July 25, FTX only allows you to margin trade with the leverage ratio of 1x, 3x, 5x, 10x and 20x.
To be allowed to margin, FTX exchange does not require you to successfully perform KYC. You can only make margin with USD. That is, you can deposit USD to buy other coins or sell coins to earn USD.
To trade margin on FTX, you do the following:
First, you need to convert the coin you are holding into USD. Select “Leveraged Tokens“.
You then choose leverage to filter out these leveraged assets.
So you have prepared the Margin account.
Then, you scroll down to see the place to buy and sell these tokens, but you must deposit USD first, otherwise the word “DEPOSIT USD” will appear.
Trade Futures – Trade Future on FTX
Future is a futures contract transaction, which is a derivative product of a digital asset.
It is like an agreement to buy or sell a commodity, currency or another instrument at a predetermined price, at a specified time in the future.
However, this contract of sale has no expiration date, so the trader can hold the position for as long as he wants.
To Trader Futures on FTX, you do the following:
In the main screen interface, you select ‘FUTURES’ and then select the type of contract you want to trade.
Here I will give an example of BTC-PERP coin.
This trading is similar to when you trade Spot (spot) normally.
However, this is a Futures transaction, so you don’t need to hold the exact crypto asset, you just need to have the corresponding Collateral collateral and trade on its index.
Place Stop-Limit orders when trading
Here you must determine the starting price of the transaction. Specifically, when creating a Stop-Limit order, you must directly enter the trigger price (Trigger Price).
- If you are buying, the order-book will be sent when the market price (Market) exceeds your trigger price.
- If you are selling, the order-book will be sent when the market price (Market) falls below your trigger price.
I will give you an example to make it easier to understand: BTC-PERP is trading at $10,000. You use Stop-Limit to buy with trigger price of $10.5 and size 5. When the market goes up to $10.5, your Stop-Limit order will be activated and FTX will turn it into a buy order of 5 BTC-PERP.
Instructions for using extra features on FTX
Get API Key
For those of you who need to use tools to trade or manage your portfolio, API Key is an item that you cannot ignore.
To activate API Key for your account, choose SETTING as shown below.
Then select API.
Select Create API to create an API.
Get ref link to introduce on FTX
On the FTX main interface page, you go to the SETTING section as above. In the middle of the screen you will see the link.
You will receive 30% of the transaction fee of the person you refer. Referrals will receive a 5% fee reduction for the first $30 trillion of transactions.
With this policy, the more people you invite and these people trade regularly, the larger the amount of passive income you will receive.
Create subaccount – Sub account
Subaccount is a sub account, used to store assets like the main account. The use of Subaccount is:
- Convenient for users who want to allocate capital without creating another account.
- If the main account is in debt, you can add money to the Subaccount to trade.
- Join FTX’s IEO.
How to create a Subaccount:
From the main screen, click Wallet, the interface will appear as shown below.
You click Create to create a Subaccount. Next to the Create button are the names of the Subaccounts I created to participate in FTX’s IEOs.
After that, you just need to name the Subaccount and you’re done.
Buy and sell NFT
At the beginning of September 2021, FTX launched the NFT exchange, where users can post their NFTs for sale or buy from others similar to Opensea.
Buyer’s fee is 0%, seller’s fee is 2%. This number is quite high compared to transactions on DEX (usually 0.3%), but in general it is still cheaper than Opensea (2.5%).
NFT minted on FTX will be listed with currencies as USD, SOL, ETH.
To participate in NFT trading on FTX, click on NFT on the homepage.
To see other people’s NFTs, click Browse, and if you want to mint NFTs, click Mint
After clicking Browse, you can find your favorite collections.
Then click to see specifically how many people are selling. Suppose I click on FTX Swag, the following will appear:
You choose the seller with the right price, then click buy.
If you want to mint, after you click on Mint, enter the information according to the instructions, then upload the image and you’re done.
Frequently asked questions when trading coins on FTX
Should you trade on the FTX exchange?
Although not as old as Binance, Huobi, etc., FTX is currently one of the major exchanges with an amazing growth rate, especially giving users a very good experience on gender products. birth and spot.
Therefore, you can put FTX on the list of priority exchanges.
Is the FTX exchange a scam?
Up to this point, the FTX exchange has not encountered a case of being accused of a scam. The story of property theft has never happened on the FTX exchange.
Has the FTX exchange been hacked?
Up to now, the FTX exchange has never been hacked.
Losing 2FA on FTX, what to do?
When you lose 2FA on the FTX floor, you should first check if you have saved the 16-digit Key when activating Google Authenticator.
If you have saved the Key, you just need to re-enter those 16 digits into the app and Google Authenticator will automatically generate a new code for you.
Is the FTX floor prone to maintenance errors?
Currently, the FTX floor has no maintenance information as well as the announcement that it will be maintained in the near future.
When there is a maintenance notice, I will update you guys to know more.
Which country’s FTX exchange?
FTX is owned by FTX Trading LTD, a company incorporated in Antigua and Barbuda.
What is FTX exchange coin?
On July 29, 2019, FTX exchange issued its Token, FTX Token (FTT). You can buy FTT tokens on the FTX exchange by going to FTT ⇒ Buy FTT.
FTT is an ERC-20 & SPL token, the token will be used to:
- FTX will buy and burn FTT with a third of the total exchange fee.
- As collateral on FTX.
- Get socialization benefits from insurance fund on FTX.
- Holders will enjoy discounts and tighter OTC spreads.
- Stake FTT will be a lot of benefits mentioned above.
FTT Token Burning Mechanism, this will continue until at least half of FTT Tokens are burned.
Is KYC required to withdraw money from FTX?
With FTX exchange, you do not need KYC to be able to withdraw $2,000/day. This is an ideal policy for those of you who are trying the floor, or trading with a small amount.
However, I always recommend KYC and 2FA security for your account to be better protected.
What is the deposit and withdrawal limit on FTX?
Deposit: There is no deposit limit.
Withdrawal: For unverified accounts KYC is $2,000/day. For successfully verified accounts there is no withdrawal limit.
What is App FTX on Android, iOS
There are already apps on these two platforms. You can download the FTX exchange application on Mobile via the following link:
- Download FTX exchange on Android operating system here.
- Download FTX exchange on iOS operating system here.
Does the FTX exchange have an IEO?
So far, FTX has carried out a number of IEOs and these projects are all part of the Solana ecosystem such as Maps.me, Solrise, Mercurial, etc.
For those of you who are not familiar with IEO, IEO (Initial Exchange Offering) is a form of crowdfunding through a token sale on Crypto exchanges. If with ICO, you will buy tokens directly from the project. Then with IEO, the token will be sold on a certain exchange and those who want to invest can go to that exchange to buy.
FTX is an exchange that can meet your basic to advanced transactions. Especially those who want to participate in Crypto derivatives trading. No-fee deposit and withdrawal is the outstanding advantage of the exchange.
With more and more Crypto exchanges appearing today, the ability for you to find a quality exchange is not too difficult.
Thus, Idolmeta.net introduced you to the FTX exchange and detailed instructions on how to trade on FTX. If you have any questions or problems during using FTX, please comment below for immediate support!