What is FTX? How to use FTX?

By F | Exchanges

FTX exchange

Currently, more and more people are interested in derivatives products of Cryto market.

Along with that, the exchanges also quickly grasped this need to offer derivative trading products to users.

In today's article, I would like to introduce to you about FTX - specializing in derivative products.

So, what is FTX? And what advantages does it have over other existing exchanges?

Let's find out through this article.

FTX is a trading platform specializing in providing derivative products related to cryptocurrencies such as Futures, Leveraged Tokens and OTC.

Founded by Alameda Research - one of the largest market makers, and liquidity providers in the world.

FTX is a trading platform built by investors, for investors themselves.

FTX commits to building the best derivatives trading platform by:

  • Addressing the most difficult issues of leading futures exchanges (system overload, revenues, lack of liquidity, poor quality products, etc.).
  • Developing new products to serve the growing needs of the market.
  • Listen and resolve responses from the community quickly. FTX was created for traders, to build a strong enough platform for professional trading companies and for first-time users.

Some information about FTX

  • Premiere Date: April 04
  • Products of the company: Futures contracts, leveraged tokens, OTC, and FTT (its utility token).
  • Headquarters: Hong Kong.
  • Owner: Sam Bankman-Fried, and Alameda Research owner.

Previously, Alameda Research was established in October 10, managing over $ 2017 million in digital assets and trading from $ 100 million to $ 600 billion a day.

At the same time, Alameda Research is also the main supporter for FTX.

Review FTX

Advantages

Market transactions of the exchange fully meet the needs of people today, such as:

  • Derivative products (futures contract), margin trading, and OTC.
  • Deposit and withdraw coins without fees.
  • Currently the exchange supports Vietnamese, making it easier for you to use transactions.
  • FTX trading platform has API to help you easily link your account with portfolio applications or trading bots.
  • Since being put into operation up to now, the exchange has not had any serious errors such as lag, slow, hacked, etc.
  • FTX has its utility token of FTT Token (FTT). However, my observation is that this token is still developing, not promoting the necessary features of a utility token.
  • Provide adequate API Key for you guys want to use 3rd party tool to trade.
Disadvantages
  • There are not many coins on the exchange, the number of Altcoins is quite small. List of currently traded coins: FTT, BTC, ALT, MID, SHIT, OCD, HT, LEO, ETH, USDT, BCH, SOMETHING, BNB, EOS, LTC, BSV, XRP, and TRX.
  • Besides, because it is a new exchange, the 24-hour trading volume is still low, so it is difficult to meet the entire transaction needs of traders. Statistics on page Coinmarketcap also don't have much data.
  • FTX does not have applications for Android, IOS, so when you need to trade, you must use a laptop.

Instructions on how to register for an account on FTX

Preparation before registering for FTX

In order for the registration not to take much time, you have to prepare a number of things in the following list:

  • Your email address.
  • A photo of ID card includes: 1 photo on the front, 1 photo on the back and 1 selfie with the front (I will guide you in detail later). You can use your ID card or GPLX.
  • Phone preinstalled application Google Authenticator.
Step 1: Register a trading account on the FTX

First, you access the FTX website at the link: https://coin98.net/go/ftx

Enter the following information: Email, and password.

Note: You must type directly and not copy-paste into the information box. Your password must be at least 8 characters long and have a capital letter.

Then, click "Register."

So, you have successfully registered for FTX.

With this account, you can withdraw 1,000 USD / day.

However, I advise you to complete verification KYC in the next step for better account security, as well as no withdrawal limit when completing KYC.

Step 2: Verify your identity KYC

From your account, you choose "Send verification document" as shown below.

FTX will give you 2 options:

  • First is to verify as an individual.
  • Second is to verify as an institution.

Here I choose the individual.

Then, you fill in the necessary information as below.

First and last name: You write your full name.

Country of residence: You choose VIETNAM.

Type of identification document: You choose VIETNAM.

Fund sources: You can choose income or trade. If you choose otherwise, please specify / describe your personal property, residential or business address.

Next, I need to verify my identity by uploading the relevant documents.

Note: Acceptable documents: Recent utility bill, bank statement, lease agreement or ID card including address.

Here, I choose ID card. You should prepare 3 photos in advance, including:

  • Photo in front of ID card.
  • Photo on the back of ID card.
  • And the portrait photo holds the paper that shows the month / day / year of KYC registration.

You choose "Choose file" to upload the pictures.

Here I marked from number 1 to number 4 for you to easily follow.

[1] & [2] Up front of ID card

[3] Upside down ID card

[4] You upload a portrait of yourself holding a piece of paper that says "FTX month / day / year" (The time when you conducted KYC).

Please note that all these images must be in JPG or PNG format. Finally, click "SEND DOCUMENTS".

Step 3: Activate 2-step 2FA security

This is a step to help you increase the security of your account on the exchange. I highly recommend you should activate 2FA.

Select the Account button >> Setting >> Account Security >> Enable.

Use the Google Authenticator or Authy app to scan the code, and save the 16-character string for backup.

In addition, you can choose a security option by SMS. However, this way often takes time to wait for the message to arrive, or complicated when you change the sim.

Step 4: Transfer to FTX

From the website of the exchange, you choose "Purse" as shown below.

To send any coin, you enter the token code of that coin into the search box.

Here is the example of BTC. For the other coins, you do the same.

The next thing you need to do is load Bitcoin into the displayed wallet address.

Note: The wallet address of a coin is only transfered that corresponding coin, not other coins.

Step 5: Buy and sell Bitcoin & Altcoin on FTX

This exchange mainly focuses on derivative transactions.

At the time of writing, only 5 types of coins were deposited: BTC, ETH, LTC, USDT, BCH.

In addition, you see other codes such as EOSHEDGE, USDTBULL, BNBBEAR ... these are ERC-20 tokens used for derivative transactions.

It is then converted to USD balance to trade derivative products, not crypto-crypto (spot trading).

The steps of trading derivative products, futures trading, OTC trading, and so on will I guide in detail in the following sections.

Step 6: Withdraw money from FTX

This withdrawal step is almost similar to the deposit in Step 4. 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, choose "Withdraw".

Experience in using other features on FTX

How to trade margin on FTX

Now I will guide you to trade margin on FTX.

FTX brokers allow you to trade margin with leverage ratios of 3x, 5x, 10x, 20x, 50x, 100x, 101x.

FTX does not require you to implement KYC successfully to trade margin.

You can only make margin with USD. That is, you can deposit USD to buy other coins, or sell coins to collect USD.

First, you need to convert your coins to USD. Choose "Leveraged Coins", and choose "Convert".

Then, you choose the currency to be converted into USD, enter the amount to be converted, and click convert.

So, you have finished the margin property.

Then, you choose "TRADING" as shown below.

You just need to place a buy / sell order, FTX will automatically deposit.

The margin information you should note as follows:

  • The currently available balance: You cannot trade larger than this number.
  • That coin is allowed by the FTX to use the maximum leverage currently available.
  • Maintenance fee for buy / sell orders per day. Then, you click on "Margin Buy" for the buy order, or "Margin Sell" for the sell order.
How to trade futures contracts on FTX

In the main interface of the screen, you select "FUTURES CONTRACT", and then choose the type of contract you want to trade.

Here I would like to give the example of BTC-PERP.

This transaction is similar to when you do spot trading normally.

However, this is a futures contract transaction, so you do not need to hold that exact Crypto, but only need the collateral corresponding to the Collateral and trade on its index.

FTX also offers Limit Order, Market Order, Stop Limit, Stop Market and Trailing orders.

How to use the Stop-Limit function on FTX

Differences between Stop-limit on FTX and other platforms such as: BitMEX, Don't finish.

Here you have to determine the price to start trading.

Specifically, when creating a Stop-Limit order, you must enter the trigger price directly.

If you are buying, an order will be sent when the market price exceeds your trigger price. If you are selling, an order will be sent when the market price drops below your trigger price.

I will make it easier for you to understand: BTC-PERP is trading at $ 10,000. You use Stop-Limit buy order with activation price of $ 10.5 and size 5. When the market price goes up to $ 10.5, your Stop-Limit order will be triggered, and FTX will turn it into a buy order of 5 BTC-PERP.

How to use API Key on FTX?

For those who need to use tools to trade or manage portfolios, API Key is an item that you cannot ignore.

To activate API Key for your account, go to account >> Setting >> API Keys >> Click on "Activate" of API item as shown below.

This API will have information as shown below. Remember to save the "Secret Key" for backup when needed.

How to get ref link to introduce FTX

In the FTX main interface page, go to the "Settings" section. In the middle of the screen, you will see the link.

You will receive 30% of the transaction fee of the person you refer. The referrals will receive a 5% discount on the first $ 30 trillion in transactions.

With this policy, the more people you invite and the more these people trade, the more passive income you receive.

How to troubleshoot when losing 2FA on FTX

When losing 2FA on FTX, you should first check if you have saved 16-digit Key when activating Google Authenticator.

If you have saved the Key, you just need to re-enter the 16 digits into the app. Google Authenticator will automatically generate new codes for you.

In case there is no Key, you should quickly chat with online support so that they can guide what needs to be done.

Send request to FTX's support department at this link: https://help.ftx.com/hc/en-us

You should describe the problem as detailed as possible, enclosed with email account registration, the latest trade, and the largest balance.

FTX will send email to you, and support you to reset 2FA.

How to contact with FTX support department

Frequently asked questions when trading on FTX

Should I trade on FTX?

In my opinion, you should test trading on FTX.

As a new participant, you should not join FTX. Because FTX uses leverage, if you do not have the knowledge, you can lose your money.

Currently, FTX supports Vietnames for you. However, because it is a new exchange, many traders do not know it.

Besides, the transaction volume is not large. Currently, on Coinmarketcap , there is no data about FTX.

FTX's interface will be relatively complicated, and confusing with newcomers of margin trading. You can trade margin on Snapex if you are a newbie.

In my opinion, you should experiment with a small amount of capital when participating in FTX Exchange.


Is FTX safe and reliable? Is FTX a scam?

Compared to other exchanges, FTX is very new, only established since July 07.

Up to this point, FTX has not been accused of fraud. Property theft has never happened on FTX.

How much are the trading fees on FTX?

FTX has a tiered fee structure, as follows:

* BLP: The program provides Backstop liquidity. You can read here for more information.

In addition, FTX also has discounts for FTT owners. For example, current discount which is based on your FTT holdings.

Other fees on FTX:

At the moment, FTX has a lot of incentives for fees:

  • Used tokens have a creation and redemption fee of 0.10%, and a daily management fee of 0.03%. You refer here: https://ftexchange.com/tokens
  • Using margin 50 times or more increases transaction fee by 0.05%. Half of that amount is paid to the insurance fund. You can see more information here.
  • There are no deposit or withdrawal fees. That means you only cost tx fee on the Blockchain network.
  • There is no OTC transaction fee.
Has FTX been hacked yet?

Up to now, FTX has never been hacked.

How much is the deposit/withdrawal fee on FTX?

There are currently no deposit / withdrawal fees on FTX. However, in the future, the exchange may add withdrawal fees.

I will update you when I have the latest information. Because often sooner or later they will charge a withdrawal fee.

You refer to the fee schedule to withdraw here: https://help.ftx.com/hc/en-us/articles/360031209171-Deposits-and-Withdrawals

Does FTX often have maintenance errors?

Currently, FTX has no maintenance information as well as notice of maintenance in the near future.

When there is maintenance notice, I will update to you to know better.

Which country is FTX from?

FTX is owned by FTX Trading LTD, a company established in Antigua and Barbuda.

What is FTX's utility token?

On July 29, 07, FTX exchange issued its token, FTT, by using the "SWITCH" function available on the website.

The maximum amount of FTT you can buy per account is 1000 FTT. If you want to buy FTT, you must load your assets into FTX before July 27, 07 (at least 2019 hours in advance).

FTT is an ERC-20 token, built on the Ethereum Blockchain.

  • Total supply: 350,000,000
  • Circulation: 25,000,000

The purpose of Token FTT is:

  • FTX will buy and burn FTT with one third of the total exchange fee.
  • FTT will be able to be used as collateral on FTX.
  • FTT will receive socialization benefits from insurance fund on FTX.
  • FTT owners will receive a discount and tighter OTC spread.

The FTT Token burning mechanism will continue until at least half of the FTT tokens are burnt.

Coin98 There is an article about FTT token, you can refer to the article.

Do I need to complete KYC to withdraw from FTX?

With FTX, you don't need KYC to withdraw $ 1,000 / day.

This is an ideal policy for those who are trying with exchange, or trading in small quantities.

However, I always recommend you do KYC and 2FA security to better protect the account.

Does FTX support Vietnam?

FTX currently supports 5 languages.

And, Vietnamese is one of the earliest supported languages.

Besides, FTX now has a support team on Vietnamese Telegram channel. Therefore, if you have any questions, they will be answered easily.

How much is the deposit and withdrawal limit on FTX?
  • Deposit: There is no deposit limit.
  • Withdrawal: For unverified KYC accounts, the limit is $ 1,000 / day. For successfully verified accounts there is no withdrawal limit.
Does FTX have app on Android, iOS?

Currently FTX has no app on Android, IOS.

Which trading markets does FTX support?

Futures contract:

  • Better liquidity OKEx and BitMEX (except BitMEX BTX perp).
  • Futures contracts with BNB, USDT, BTC, ETH, EOS, XRP, TRX (perps and quarterlies).
  • Payment in USD stablecoin.

Leveraged Tokens:

Leveraged Tokens are ERC-20 coins that allow traders to achieve a level of leverage in spot exchanges.

These tokens simplify trading leverage.

Currently, FTX offers: 3x LONG, 1x SHORT, 3x SHORT leveraged tokens for BNB, USDT, BTC, ETH, EOS, XRP, TRX

OTC:

  • FTX offers one of the industry's narrowest spreads for crypto / crypto and crypto / fiat pairs.
  • There is no OTC transaction fee (currently), low spread.
  • Credit (bank account) is provided to trusted bank partners.
  • Payment delay feature.
Does FTX have an IEO?

Currently, FTX does not have IEO.

FTX has just been launched for a while, they have not announced any organization to sell tokens through IEO.

When there is official information, I will immediately update for you.

Summary

FTX is a trading platform that can handle basic to advanced transactions of traders, especially, traders who want to participate in Crypto derivatives trading.

Free deposit and withdrawal fee is a prominent feature of the exchange. With Crypto exchanges appearing more and more nowadays, the ability for you to find quality exchanges is not too difficult.

In addition to familiar and well-known exchanges, FTX is one of the new exchanges to be worth testing.

Hopefully, this article about FTX can help you better understand the exchange, and other related issues. If you have any questions, feel free to comment below so that Coin98 can answer as soon as possible.

Or you can discuss with 10,000+ people at Coin98 Research Group.

Goodbye and see you again in the next article!

F

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