Is Bybit a Good Crypto Exchange for Beginners?
It is important for novice cryptocurrency traders to choose the right crypto exchange. Not all companies can be used when you are just starting your path in trading, which is why the success in cryptocurrency trading depends on making the right choice. Beginners often wonder whether Bybit is a good crypto exchange to start trading with. In this article you will learn whether Bybit is good for beginners, what its pros and cons are and what a novice trader needs to know.
Short summary about the broker Bybit
The Bybit cryptocurrency exchange first appeared in 2018. It is a standalone derivatives trading platform with inverse and perpetual futures contracts with up to 1:200 leverage. Quarterly USD futures are available at Bybit in combination with BTC, ETH, XRP, EOS, LTC, and multiple tokens. There is a linear futures contract on BTC/USDT. The exchange has several technological advantages: it provides for mutual insurance of market participants against possible sharp price movements. There are offsets for long and short positions, and there is market depth.
| 💰 Account currency: | Cryptocurrencies |
| 🚀 Minimum deposit: | From USD 1 |
| ⚖️ Leverage: | Up to 1:100 |
| 💱 Spread: | From USD 1 |
| 🔧 Instruments: | BTC/USD, ETH/USD, XRP/USD, EOS/USD and BTC/USDT, USDT pairs — ETH/USDT, LINK/USDT, LTC/USDT, XTZ/USDT |
| 💹 Margin Call / Stop Out: | No |
Bybit Pros and Cons
👍 Advantages of trading with Bybit:
•It has a convenient, intuitive proprietary trading platform that is presented in the browser version, which eliminates conflicts with the operating system and braking when sending orders;
•Integration with TradingView allows users to simplify crypto market analysis and trading via a single platform;
•Combination of futures and perpetual contracts trading;
•There is an order book that allows you to assess the depth of the market and current trading volumes;
•It has a minimum entry threshold. The cost of a BTC/USD futures contract is USD 1;
•It is possible to open long and short positions with subsequent mutual recalculation.
👎 Disadvantages of Bybit:
•It has conditions for trading futures that are difficult for beginners, such as the formula for calculating the leverage, the terminology of the funding size and the premium index, funding rates, etc.;
•Lacks a mechanism to protect the interests of traders in the event of controversial issues;
•The mechanism of classic cryptocurrency trading is almost undeveloped. Only USDT, ВТС, and ЕТН are available for purchase.
What is a Good Crypto Exchange for Beginners?
In order to choose the right broker for a beginner, you need to consider several aspects.
Here are the main ones:
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Education. It is important for novice crypto traders to learn how to trade. An exchange can offer educational courses, video tutorials, articles, webinars, etc. The more learning opportunities there are the better.
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Availability of a demo account. You will need this account to practice. It provides an opportunity for a beginner to trade risk free and try out trading strategies.
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Availability of a simple method to buy cryptocurrencies. An exchange service or a P2P exchange would be an advantage for an exchange.
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Low fees. The level of income of the trader depends on the level of the fees. Therefore, it is important to choose a company that charges minimum fees. Crypto exchanges mostly use the Maker and Taker fee model. It is important that you study them.
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Instruments for passive investing. In addition to active trading, passive income is also important for beginners. Pay attention to availability of copy trading or staking.
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Trading platform. It is important for a novice trader to choose the simplest trading platform that will be easy-to-use for trading.
In addition to these factors, you also need to consider how customer support operates, as it will also be important. Bonuses for beginners are also a nice perk.
Trading Conditions for Bybit Users
Before you start working with an exchange, it is important that you evaluate its trading conditions. Bybit offers traders the following conditions.
| 💻 Trading platform: | Proprietary platform, TradingView |
| 📊 Accounts: | Demo, common account for all types of futures |
| 💰 Account currency: | Cryptocurrencies |
| 💵 Replenishment / Withdrawal: | Replenishment: Visa / Mastercard through a fiat gateway. Conclusion - cryptocurrencies |
| 🚀 Minimum deposit: | From USD 1 |
| ⚖️ Leverage: | Up to 1:100 |
| 💼 PAMM-accounts: | No |
| 📈️ Min Order: | No |
| 💱 Spread: | From USD 1 |
| 🔧 Instruments: | BTC/USD, ETH/USD, XRP/USD, EOS/USD and BTC/USDT, USDT pairs — ETH/USDT, LINK/USDT, LTC/USDT, XTZ/USDT |
| 💹 Margin Call / Stop Out: | No |
| 🏛 Liquidity provider: | No |
| 📱 Mobile trading: | Yes |
| ➕ Affiliate program: | Yes |
| 📋 Orders execution: | Market, limit, conditional |
| ⭐ Trading features: | Derivatives trading, copy trading |
| 🎁 Contests and bonuses: | Yes |
Commissions and Fees
The size of commissions and fees is also an important factor of choice. Traders Union analysts have prepared a short review of Bybit commissions and fees. In this section, you will find trading fees of the exchange as well as withdrawal fees.
The Traders Union experts analyzed the Bybit platform documents regulating the trading conditions for differentiation of commissions. The commission depends on which category is assigned to the trader: Maker or Taker. The Taker commission is 0.075%; whereas the Maker commission is 0.025%.
| Account type | Spread (minimum value) | Withdrawal commission |
| Standard | From $ 20 | No |
Investment programs of Bybit
It is important for novice traders not only to trade actively, but also earn passive income. Passive investing can help you earn extra profit, and also compensate for the losses you may incur as a result of active trading. Bybit offers the following passive income options.
Investment Programs, Available Markets, and Products of the Crypto Exchange
Bybit's trading conditions are not designed for investment programs but only for copy trading programs for derivatives and spots. The exchange policy provides for the expansion of the product line for active trading and investment programs but they are not yet included in its present inventory. To some extent, the division of traders into Makers and Takers can be called investment, stake and earn free crypto tokens on the Bybit Launchpool trading platform.
Maker and Taker is a motivation program for liquidity providers
The Maker/Taker motivation program assumes that traders are assigned a class depending on the ordering policy. A Taker placing market orders pays a higher commission for each trade. A Maker works with pending orders and its trading commission is lower.
The Maker's Reduced Commission Reward is a kind of payment for providing liquidity. The pending order remains in the market providing Taker orders, which, on the contrary, absorbs free liquidity. This differentiation encourages traders to make less rapid speculative transactions and invest more for a long time using pending orders.
Advanced AI Tools for Cryptocurrency Trading
Bybit offers several advanced AI-driven tools to help traders navigate the cryptocurrency markets. Their solutions leverage the latest developments in machine learning and natural language processing to provide actionable insights, powerful automated strategies, and round-the-clock market access.
The TradeGPT Master Trader is an AI-powered copy trading tool that allows users to automatically replicate the trades of expert algorithms. Operating 24/7 based on technical indicators, signals, sentiment analysis and quantitative strategies, it achieves an impressive reported 80% win rate. Traders can benefit from these proven AI models without the hassle of technical analysis or constant monitoring.
TradeGPT also acts as an AI assistant, integrating Bybit's exclusive market data to interpret trends, recommend analyses and answer users' investment questions. With over 200,000 traders in its community, it serves as an efficient research companion to help navigate opportunities and risks. The Intelligent News feature further enhances insights by natural language processing of cryptocurrency headlines and discussions to extract the most relevant information.
The Aurora AI Bot analyzes historical market data to backtest and recommend optimal strategies. Users can try out strategy trading simply by selecting an approach and allocating their investment amount. A wide range of options are provided, from high-yield to stable arbitrage styles. Traders gain access to sophisticated strategies without extensive trading experience.
ByBit - How to open and fund account | Firsthand experience of Oleg Tkachenko by Traders Union
ByBit - How to open a trading account? | Firsthand experience of Alex Smith by Traders Union
ByBit - How to copy trades | Firsthand experience of Oleg Tkachenko by Traders Union
If you are a large investor and plan on investments over $10,000, contact us at vip-invest@tradersunion.com or by the feedback form on our website. Our professional team will take you through all the intricacies of thedeal and all the steps from signing up to withdrawal of profits.
Learn More about How to Stake on ByBit
Bybit affiliate program:
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Bybit’s affiliate program comprises a monthly commission from Bybit to each partner up to 30% of the exchange's profit from the referral. After registering as a partner, you will receive a referral link that you can promote on your resources and social networks. You can build a multi-level referral network and receive up to 10% of sub-affiliates’ earnings.
Conclusion. Is Bybit good for beginners?
The Bybit cryptocurrency exchange will be an excellent choice for beginners. The exchange offers a convenient trading platform, which a beginner can learn to work with rather quickly. There is an excellent education center with a large number of materials for novice traders. Also, traders can earn passive income on good conditions. Therefore, Bybit could be considered as a good cryptocurrency exchange for a start.
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FAQ
What do I need to know about the fees charged by cryptocurrency exchanges?
The majority of cryptocurrency exchanges use the Maker/Taker fee model. As a rule, they use a multi-level system for traders that depends on the trading volume. The higher the trader’s trading volume, the lower the fees.
How do I choose a reliable cryptocurrency exchange?
Crypto exchanges mostly operate without licenses, as the majority of countries haven’t adopted legislation to regulate them. In order to choose a reliable exchange, you need to find out about its reputation and read the reviews about user experiences with it.
How many cryptocurrencies could a crypto exchange offer?
The number of cryptocurrencies on the listing of a cryptocurrency exchange may be very different. Some platforms offer less than 10, while others – several hundreds. It is important that you check the choice of cryptocurrency before registering on the exchange.
What are the risks of investing in cryptocurrencies?
Investing in cryptocurrencies carry high risks due to their high volatility. It could cause substantial losses, which is why it is important to observe the rules of risk management.
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Team that worked on the article
Mikhail Vnuchkov joined Traders Union as an author in 2020. He began his professional career as a journalist-observer at a small online financial publication, where he covered global economic events and discussed their impact on the segment of financial investment, including investor income. With five years of experience in finance, Mikhail joined Traders Union team, where he is in charge of forming the pool of latest news for traders, who trade stocks, cryptocurrencies, Forex instruments and fixed income.
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.