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ftx

What is FTX Token?? How To Buy, Expectations And Predictions. Everything You Need To Know About FTT

Where do you buy your crypto coins and tokens today? There are many different crypto exchanges these days. As with other crypto projects, it seems that new exchanges are added every day. Sometimes you can’t see the forest for the trees. One of the lesser known exchanges is, for example, FTX.

FTX is anything but as well-known as, for example, Binance or Coinbase . That is why we would like to explain to you in this article what FTX is and how it differs from, for example, Binance. We will also tell you where you could buy the token of this project, and whether it is wise to invest in it. Of course you want to earn money with your crypto investment!

What is FTX?

FTX is proving to be a popular destination for crypto traders looking to engage in a wide variety of derivatives and leveraged trades. It’s easy enough to sell whatever the call is when you consider that the exchange offers Bitcoin options and cryptocurrency futures tied to popular and overlooked tokens. In addition, the platform allows leverage of 101x in addition to unique products such as MOVE contracts, oil futures, crypto indices and prediction market tokens.

Additional features such as deep liquidity, fiat transfers, unlimited withdrawals and an OTC desk are suitable for both high frequency retail and institutional traders. At the same time, features such as liquidation fund, stablecoin settlements, margin wallet conversions, and mobile app will suit everyday retail traders.

As a result, the exchange is quickly emerging as the preferred destination for experienced crypto and/or derivatives traders looking to expand their range of trading options. Despite its relative youthfulness, FTX is growing at an impressive pace and continues to introduce new trading products and tokens regularly, which should help it build a niche in a highly competitive market sector.

That said, the exchange is not for everyone and US residents cannot use its services. Likewise, trading OIL contracts on FTX is not allowed for residents of the US, Canada, the EU, the UK and China , which puts into context some of the problems associated with a rapidly evolving and innovating exchange.

In addition, the vast majority of crypto traders who trade cash on the major exchanges today may prefer to stick to simpler market orders/limits for their preferred cryptocurrencies rather than get into derivatives trading.

As is well known, trading derivatives and futures can lead to large losses and is best left to experienced traders. That’s why FTX is a solid option for anyone already involved in options and futures trading, and anyone with an understanding of leverage.

What is FTX?

FTX is proving to be a popular destination for crypto traders looking to engage in a wide variety of derivatives and leveraged trades. It’s easy enough to sell whatever the call is when you consider that the exchange offers Bitcoin options and cryptocurrency futures tied to popular and overlooked tokens. In addition, the platform allows leverage of 101x in addition to unique products such as MOVE contracts, oil futures, crypto indices and prediction market tokens.

Additional features such as deep liquidity, fiat transfers, unlimited withdrawals and an OTC desk are suitable for both high frequency retail and institutional traders. At the same time, features such as liquidation fund, stablecoin settlements, margin wallet conversions, and mobile app will suit everyday retail traders.

As a result, the exchange is quickly emerging as the preferred destination for experienced crypto and/or derivatives traders looking to expand their range of trading options. Despite its relative youthfulness, FTX is growing at an impressive pace and continues to introduce new trading products and tokens regularly, which should help it build a niche in a highly competitive market sector.

That said, the exchange is not for everyone and US residents cannot use its services. Likewise, trading OIL contracts on FTX is not allowed for residents of the US, Canada, the EU, the UK and China , which puts into context some of the problems associated with a rapidly evolving and innovating exchange.

In addition, the vast majority of crypto traders who trade cash on the major exchanges today may prefer to stick to simpler market orders/limits for their preferred cryptocurrencies rather than get into derivatives trading.

As is well known, trading derivatives and futures can lead to large losses and is best left to experienced traders. That’s why FTX is a solid option for anyone already involved in options and futures trading, and anyone with an understanding of leverage.

The team behind FTX

FTX was founded in 2018 by current CEO Sam Bankman-Fried, who was once a trader on the international ETF desk at Jane Street Capital, and current CTO Gary Wang, who is a former software engineer at Google.

Before founding FTX, in 2017 the duo founded Alameda Research Ltd, a leading liquidity provider in quantitative trading and cryptocurrencies, and Alameda helps FTX maintain deep order books, as well as 24/7 OTC services.

Alameda has also incubated and developed FTX, with the exchange raising a total of $8 million in three funding rounds. Following the Seed and Corporate rounds that took place in 2019, the Series B round was completed on March 2, 2020, which attracted investment from Liquid Value Capital.

Binance acted as the lead investor in the business round, while FBG Capital, Greylock Partners, Kenetic, One Block Capital and Proof of Capital were all investors in the seed round.

The exchange is backed by a number of leading cryptocurrency venture capital funds and can count on a strong network. The core team behind FTX are transparent and have made their names and LinkedIn profiles public. FTX Exchange is owned by FTX Trading LTD, which is incorporated in Antigua and Barbuda and has offices in Hong Kong.

Supported fiat units and cryptocurrencies

While FTX is a relatively new player in the crypto trading industry, it supports the deposit, trading and withdrawal of an impressive number of fiat and digital currencies. Anyone wishing to deposit or withdraw fiat can currently do so in the following currencies:

  • USD
  • EUR
  • GBP
  • AUD
  • CAD
  • CHF
  • HKD
  • SGD
  • ZAR

FTX also allows its users to trade a wide variety of cryptocurrencies, with perpetual swaps available for 15 assets, while more than 45 tokens can be traded with leverage.

FTX also offers unique altcoin indices, Bitcoin options, MOVE contracts and spot trades. Therefore, the following cryptocurrencies can be traded on FTX:

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Litecoin (LTC)
  • Binance currency ( BNB )
  • Tether (USDT)
  • FTX token (FTT)
  • Bitcoin Cash (BCH)
  • XRP
  • Tezos (XTZ)
  • Chain Link (LINK)
  • EOS
  • Ethereum Classic (ETC)
  • PAX Gold (PAXG)
  • Huobi Penny (HT)
  • Tron (TRX)
  • Dogecoin ( DOGE )
  • UNUS SED LEO (LEO)
  • Bitcoin Satoshi’s Vision ( BSV )
  • BitMax Token (BTMX)
  • Cardano (ADA)
  • Algorand (ALGO)
  • TomoChain (TOMO)
  • OKB
  • Bilira (TRYB)
  • MATIC
  • Cosmos (ATOM)

FTX currently supports over 20 different perpetual swaps with forward trades available for currencies such as BTC, ETH, LTC, LINK, XTZ, XRP, BNB, EOS, MATIC, HT, OKB, ALGO, LEO, BTMX, PAXG, XAUT, DOGE, TOMO and ADA.

Over 45 leveraged tokens are available including BULL/USD (3x long BTC), BEAR/USD (3x short BTC), ETHBULL/USD (3x long ETH), ETHBEAR/USD (3x short ETH), LTCBULL/USD (3x long LTC), LINKBULL/USDT (3x long LINK), BNBBEAR/USDT (3x short BNB), and LEOBULL/USD (3x long LEO).

FTX also supports trading Bitcoin options and BTC MOVE contracts, and those looking for more direct trading can do so on spot markets that include BTC, ETH, BNB, LINK, FTT, BCH, USDT, PAXG, XAUT, TRYB and Support BTMX.

Deposits/Withdrawals

FTX accepts deposits and withdrawals in USD, EUR, GBP, AUD, CAD, CHF, HKD, SGD and ZAR, and the following cryptocurrencies can all be deposited into your FTX account:

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Bitcoin Cash (BCH)
  • Binance Coin (BNB)
  • Litecoin (LTC)
  • FTX token (FTT)
  • BitMax Token (BTMX)
  • Bilira (TRYB)
  • USD Stablecoins (USDT, USDC, TUSD, PAX, HUSD, and BUSD)

There are no fees for cryptocurrency deposits and withdrawals as FTX pays the blockchain withdrawal fees. However, fiat withdrawals under $10,000 will be charged $75, while all other transfers are free.

FTX only processes transfers on weeknights (except for Silvergate SEN), and transfers in USD can take up to a weekday, while transfers in other currencies can take longer.

You can make a fiat currency deposit or withdrawal from your FTX wallet by choosing your preferred fiat currency. You can also convert other fiat currencies to USD by using the “CONVERT” button in your FTX wallet. Your chosen fiat currencies will then be converted to stablecoins USD.

All fiat currency transfers are handled by a third party OTC desk, and fiat currency trading is only available to users who are KYC Level 3 verified. The FTX team encourages users to get in touch before depositing or withdrawing fiat for the first time, and has also created a video to explain the process.

The FTT Token

Like other cryptocurrency exchanges, FTX maintains its own token for the ecosystem. The FTT token offers its holders benefits including reduced FTX trading fees and socialized income from the insurance fund. The team makes weekly redemptions and burns tokens at:

  • 33% of all fees generated in the FTX markets
  • 10% of net additions to the insurance fund
  • 5% of fees generated from other uses of the FTX platform

It is important to note that the FTX token is not available in the US; however, anyone in a jurisdiction that supports the token can follow the latest developments here.

How do I buy FTT?

You can buy FTT on various crypto exchanges. We recommend that you do this with Binance or Bitvavo , given the high volatility of these platforms. You are then sure that you can buy or sell FTT at all times. That’s something you can’t be sure of with small exchanges.

Of course, it is also possible to buy FTT from decentralized exchanges (DEXs) such as Uniswap , Sushiswap , and Pancakeswap . However, keep in mind that it is a lot more difficult to buy FTT from these platforms. It is much simpler to purchase it via, for example, Binance or Bitvavo.

Finally, it is worth mentioning that you can of course also buy FTT tokens on the FTX exchange. However, there is a drawback to this. The exchange of FTX is not yet widely used. As a result, there is a good chance that you do not yet have an account with this exchange, and you will therefore have to create a new account. That is why many crypto traders choose to buy FTT tokens on Binance or Bitvavo. Since August 2021 you can now also buy FTT on Bitvavo. Enter below how much FTT you want to buy on Bitvavo!

How can I save FTT?

The FTT coin can be stored in the FTX wallet provided directly by the project itself. You can also store your crypto coins in other wallets, such as the Lumi Wallet or the Ledger Nano S or X.

If you have a lot of CFTTEL in your possession, it is wise to store it in a hardware wallet . A cold wallet is much safer than a wallet that is continuously connected to the internet, such as a MetaMask wallet or the wallet of a crypto exchange .

Before you buy a wallet, it is wise to check whether FTT is supported. It is possible that you have a wallet that does not yet support FTT tokens. In that case, you cannot store the tokens on the wallet you use. Therefore, always check this in advance, so that you are not faced with surprises.

FTX Chart

FTX Token (FTT) EUR 37.89 (-1.78%)

Is FTX a secure platform?

Thanks to the fact that the exchange has only been in operation since 2019, it has managed to avoid major hacks and malicious attacks. However, the team doesn’t give much information about its security protocols and we have to assume it uses all established security best practices.

We do know that the FTX team uses full SSL encryption on its website and integrates two-factor authentication (2FA) to help users secure their accounts with Authy, Google Authenticator or SMS verification.

The team also introduces its unique liquidation engine and backup cash delivery system, a three-step solution designed to manage margin calls and mitigate clawbacks. FTX’s liquidation engine uses intelligent and efficient values ​​to manage liquidations and close positions before they go negative.

In addition, traders are warned to monitor and close any open positions that fall below a holding margin of 4.5%. This helps minimize the negative effects of risky trades and avoid chargebacks. FTX also shows an estimated liquidation price in the information box on the right side of each market page and helps traders stay informed.

The FTX Insurance Fund was also established to help prevent client losses in the event of sudden adverse market movements, which could lead to the rapid liquidation of several open positions on the exchange.

Anyone using 50x to 100x leverage will pay a higher fee that will be allocated to the insurance fund, and if the liquidation engine fails to absorb a serious market move, the insurance fund will be used to pay anyone with an open position that mistakenly ended at a loss, to be repaid. The FTX team has also set aside 5% of the non-FTX-owned FTT tokens to be used to pay back clients if the insurance fund is unable to complete the process.

FTX thus proves to be a safe platform, as the team has a warning system in place. FTX also appears to be a secure platform as the team has built in sophisticated insurance mechanisms and is also led by the founders of Alameda Research, who have acted as market makers for BitMEX and OKEx, and have extensive experience in the industry.

The exchange also has a strategic partnership with Binance, in addition to partnerships with Circle, Paxos, FBG Capital and Proof of Capital. Interestingly, the FTX team also states that all deposits and withdrawals are monitored by blockchain analytics firm Chainalysis, which may or may not be appropriate for privacy-minded individuals.

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