10 Differences Between ByBit and BitMEX

What are the differences between ByBit and BitMEX?Two good crypto exchanges that you can choose from are ByBit and BitMEX, both of which offer quality trading experience.

However, which particular trading exchange you will choose depends on how knowledgeable you are about their differences in features and functionalities.

If you are not, then you are at the right place because this article deals with just that in a more precise and specific manner.

If you are into cryptocurrency derivatives trading, you will need to have quite a reliable and good crypto exchange on which you want to do your trades.

This is very important because crypto trading is a fast-paced game and it is the exchange that will determine how easily and conveniently you can trade on it.

Choosing the right crypto trading platform, therefore, is the first step to ensure success in crypto trading. Check out Differences Between Bittrex and Binance.

Typically, BitMEX and ByBit, when compared with a few of the most popular cryptocurrency derivatives trading platforms in the market, add an extra layer of sophistication in their trading approaches.

This will also ensure that your chances of making profits on cryptocurrency trading is exponentially magnified and that for incurring losses are significantly understated, if not removed completely.

10 Differences Between ByBit and BitMEX

Differences Between ByBit and BitMEX

Both these crypto trading platforms are fast-expanding by the virtue of their solid foundations.

However, there are lots of differences between them that are significant enough to take into account to determine which one is exclusive in its own category. Here they are.

1. Overview

Launched in 2014, the BitMEX exchange is typically a P2P trading platform on which you can exchange your cryptocurrency products. This platform also comes with a useful and easy to use mobile app, BMEX, both of which are owned and operated by HDR Global Trading Limited.

This entity is incorporated in Seychelles and comprises three persons having a sea of experience in market making, web development, and of course, equities derivatives trading. They are Arthur Hayes, Ben Delo, and Samuel Reed.

ByBit, on the other hand, is a comparatively new crypto derivatives trading platform established in 2018. The company is registered in the British Virgin Islands and has its head office in Singapore.

However, the operation of this company is not limited to Hong Kong and Taiwan. In fact, this particular crypto derivatives trading platform has retail and individual clients from all over the world including Europe, Russia, North America, Japan, Southeast Asia, and South Korea.

Ben Zhou is the founder of ByBit who is well-known for his experience in both quantitative and margin trading. The prime objective of this crypto trading platform is to give the traders what they need while trading crypto coins on it.

2. Use Case

As a crypto derivatives trader, you can use BitMEX to buy ‘Long’ and sell ‘Short’ perpetual contracts as market, limit, and stock market orders.

However, the UI may seem to be a bit crowded and the beginners in the crypto trading scene may feel it a bit overwhelming, if not very difficult, to use because it lacks guiding tips and prompts and is overloaded with information.

However, it is a good platform that offers leverage to traders up to 100X which makes up for the deficit of a user-friendly interface.

ByBit, on the other hand, is a good platform to trade perpetual contracts on major coins such as BTC, ETH, XRP, and EOS. In addition to that, the platform is already working on expanding this list to support derivative trading on other crypto coins as well.

Though the leverage offered by this platform is similar to BitMEX, the trading layout of it is very user-friendly. It shows all the actions and information on different compartmentalized panes and along with it offers a non-intrusive tutorial and tips to help the traders in navigating. This feature is especially helpful for the beginner traders and new users.

3. UI Comparison

The User Interface of ByBit is more modern and convenient to use since it is a newer platform. The ByBit user interface comes in two forms namely, ByBit White UI and ByBit Dark UI.

Read Also:  Crypto ICO vs ISO - 7 Differences & Which is Better

In both these UI types, everything is well-thought of and incorporated strategically to help the traders significantly to indulge in long term sessions of trading in a suitable environment.

On the other hand, the BitMEX platform, being four years older, comes with a somewhat outdated User Interface as compared to the standards of today.

The BitMEX UI also comes in two forms namely BitMEX White UI and BitMEX Gray UI but both these have started to show their age. However, these UIs focus more on the security and stability aspect rather than the design.

You can make out the differences between the UIs of BitMEX and ByBit yourself. However, in the end, the choice is yours and will depend on your personal preferences of course.

4. Fee Structure

When it comes to the fees charged by these two crypto exchanges, that of BitMEX is a negative 0.0250% maker fee and the taker fee is 0.0750%.

This means that you will get a rebate on your trade. Apart from that, this platform also charges fees for long and short funding from the users which may vary according to the type of trade and other conditions.

ByBit, on the other hand, also charges their users at the same rate of BitMEX, that is a negative 0.0250% maker fee and 0.0750% taker fee, but it does not include any funding fees on the perpetual contracts.

5. Supported Coins

In terms of coin support, the BitMEX platform offers BTC, BCH, ETH, LTC, ADA, EOS, and XRP. Depending on the type of crypto coins, the leverage offered on each by this platform varies.

However, one specific point that you should keep in mind in this aspect is that when it comes to making deposits, this platform only accepts BTC deposits and no other cryptocurrencies.

Also, withdrawals can be made in BTC only because it eases the accounting procedure since the exchange maintains all profits and losses records in terms of BTC.

ByBit, in comparison, only offers support for BTC, ETH, XRP, and EOS coins though it is planning to expand this list in the near future.

However, the most significant difference of this platform with that of BitMEX is that it supports the users to make deposits on and withdrawals from this exchange in all the types of crypto coins that it supports.

6. Customer Support Comparison

The BitMEX trading platform offers support to its customers primarily over their website. It is typically an email-based ticketing system that is available in multiple languages such as English, Russian, Korean, Chinese, and Japanese.

However, the response time is pretty slow, often taking a couple of minutes to hours. BitMEX follows a more research based initiative to secure its crypto ecosystem.

It offers no live chat feature but has a presence on Reddit and Twitter to reach them in case you have any queries.  However, the platform provides chat-based support using the instant messaging platforms of several third parties such as Weibo and Wechat. For the Russian language, it uses Telegram.

In comparison, the customer support of the ByBit exchange seems to be slightly better than that of BitMEX. They offer live chat customer service around the clock right on their website.

Apart from that, the platform also provides its support to the customers through email as well as via the social media accounts.

They typically have their accounts on eight of the most popular and largest social media platforms in the world such as Twitter, Facebook, LinkedIn, Telegram, Reddit, and others.

7. Trading Pairs Availability

When it comes to availability of trading pairs, on the BitMEX platform you will be able to trade perpetual swaps on ETH, XBT, and XRP.

Apart from that, the platform also offers 8 other different traditional futures contracts on BCH, XBT, ADA, ETH, XRP, EOS, LTC, and TRX.

On the other hand, as for ByBit, the platform offers pairs of only four different perpetual swaps such as BTC and USD, ETH and USD, XRP ad USD, and EOS and USD.

Apart from that, the platform also supports BTC and USDT futures contracts but that is limited to the hedging purposes only.

Read Also:  6 Differences Between Crypto Staking and Crypto Mining

8. Leverage

As for the leverage offered by BitMEX, you can expect to have up to 100X on all XBT contracts. As for trading with XRP and ETH perpetual contracts the same is up to 50X and for all other coins listed on it, the leverage offered is up to 20X.

If you traditionally trade futures contracts on ETH and LTC especially the limit of leverage will be up to 50X and 33.33X respectively.

In contrast, as on ByBit, you can get the highest leverage of up to 100X on BTC and USD or BTC and USDT futures contracts. As for the other three trading pairs, you will get a leverage of up to 50X.

9. Order Types and Order Book Compared

In terms of order book and order type, ByBit seems to have a slight edge over BitMEX even though BitMEX offers 7 different order types such as market orders, limit orders, stop-limit orders, stop-market orders, trailing stop orders, take-profit-limit orders, and take-profit-market orders.

However, the order books of this particular crypto trading platform looks flashier and less responsive in comparison to those of ByBit. You may find it a bit difficult to analyze the market movements and price fluctuations and deduce the potential wrong trades due to excessive blinking.

On the other hand, the ByBit platform supports only 3 order types, namely, limit orders, market order, and conditional orders. However, it additionally comes with 3 order life options as well such as immediate-or-cancel, good-till-cancelled, and fill-or-kill options.

The open order book of this platform, however, appears very crisp and clean. You will find it very easy to scroll the page up and down and analyze the sizes of the buy and sell orders in detail. It will also be quite easy to determine the differences in the price fluctuations.

10. Some Other Differences

Here are a few points that may seem unimportant but useful to differentiate between ByBit and BitMEX.

ByBit follows a bonus policy unlike BitMEX. This is a strategic move made by the platform that helps it to attract new users and beginners towards it. It eliminates the risk factor for the first time users.

The policy is to follow them after creating an account on Twitter to earn a welcome bonus of $10. If you make your initial deposit an additional bonus of $50 is provided.

These $60 dollars can be used to trade and get the feel of the market until a user is comfortable with it and ready to risk their own money while trading.

Liquidity is an important factor to consider while comparing two crypto exchanges, and BitMEX and ByBit are no exceptions. Well, both of them are quite liquid, but the BitMEX platform has a significant advantage over ByBit, once again due to its age.

The daily trading volume on this exchange is worth billions of dollars which makes it one of the biggest and more liquid crypto platforms out there in the market.

When it comes to withdrawals, ByBit processes them throughout the day but BitMEX, in comparison, processes them only once in a day, usually at 13:00 UTC every day. This may cause some inconvenience to some users who want to make withdrawals frequently for whatever reason.

BitMEX is not suitable for all types of traders, especially the beginners in this crypto space, in spite of being a simpler and more intuitive trading platform for crypto margin trading, unlike ByBit. The primary reason for it is the cluttered user interface of this particular crypto trading platform.

The BitMEX platform is also prone to login issues and overload errors that affect the trading experience offered by it.

However, ByBit is a more intuitive and well laid out crypto trading platform with a standard UI which allows easy toggling between several widgets making it quite easy to operate for both the professional and beginner traders.

You can trade on the go if you use the ByBit platform because it comes with a mobile application. This feature is found lacking in BitMEX.

As for the charting features, trading tools, and different technical indicators of these two platforms, the access offered by BitMEX is quite limited in comparison to ByBit.

However, the liquidation process of ByBit is quite fair and more fail-safe as compared to BitMEX due to their liquidation policy.

Read Also:  13 Differences Between USDT and USDC

The contracts on this platform get liquidated when the prices near the bankruptcy price. There are more checks and balances in place which makes this process more transparent and it utilizes a dual-price mechanism. This helps in avoiding liquidation owing to market exploitation.

As for the security aspect of both these crypto exchanges, it may seem to be similar when you look at the features. Both these crypto exchanges take the security aspect quite seriously.

However, that of BitMEX is more reassuring in comparison to ByBit because it has been in the market for several years more which has helped it to improve its features and bring it to a higher and more proven level.

Also, they only process withdrawals once in a day which helps them to monitor them manually in more detail to find any suspicious activities which reduces the security risks even further.

Which is Better – ByBit or BitMEX?

Ideally, when it comes to choosing between ByBit and BitMEX, though it is a difficult task, you should do so in order of preference based on better customer support, service and a superior trading experience.

As you can see from the differences of the two exchanges above, BitMEX scores a bit higher in terms of offering number of trading pairs and liquidity factors but ByBit does not lag behind in providing a seamless crypto trading experience.

It has surely proved its mettle to keep up in this fast-paced and extremely competitive trading environment to come out as one of the most dependable crypto exchange platforms.

However, there are a few other points that are worth mentioning which will help you to determine which among BitMEX and ByBit a better exchange to choose for your crypto trading needs.

Combining all of the above factors and the others, it can be summarized as under.

  • Coin listing: BitMEX has two more than ByBit.
  • Fee structure: ByBit is cheaper and more straightforward as opposed to BitMEX.
  • Customer support: ByBit offers 24/7 live chat which is better than the email ticketing system of BitMEX.
  • Withdrawals and deposits: ByBit allows making them in all its listed crypto coins as opposed to Bitcoin-only approach of BitMEX.
  • Trading experience: ByBit offers a better experience in spite of the fact that it is younger in comparison to BitMEX.
  • Trading volume: The daily trading volume of BitMEX ranges in multiple billions whereas that of ByBit is limited to a few millions of dollars.
  • Best for: This platform is best for the advanced crypto traders as opposed to ByBit which is good for both beginners as well as experienced professional traders.
  • User Interface: That of BitMEX can be very confusing to the new traders since it is clunky and more cluttered with Windows 98 aesthetic as opposed to the more modern and clearly designed UI of ByBit that comes with a wide range of helpful tools, tips, buttons, and features.

Now, with these differences, it may be easy for you to determine which is better to suit all your crypto needs.

While BitMex is more known and the first mover, ByBit has done a good job to offer it a healthy competition and, with some improvements made and other features included, it has a good chance to dislodge the incumbent.

The top-class matching algorithm gives ByBit an upper hand over BitMex. It is just a matter of time before it gains more traction from a larger audience and grows exponentially, provided it continues moving on the right path.

Conclusion

BitMEX is a more well-established and very well known platform for perpetual contracts trading and ByBit is a relatively newer platform that facilitates leverage trading. The differences mentioned above will help you in making the right choice.