FTX is a top-tier crypto exchange that offers users a wide range of features, including low trading fees and a suite of order types. This blog post will discuss some tips on how to save the maximum amount in trading fees when using FTX. Read on to get started.
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Explore the referral system
One of the primary ways to save on trading fees at FTX is to take advantage of the exchange’s referral system. By inviting friends to use FTX, you can earn a percentage of their trading fees as commission, which can add up over time. In this case, when you leverage the FTX referral system, you will be able to save on trading fees while also earning a commission. Referral bonuses are credited to your account daily, and they can be used for trading purposes or withdrawn once the amount reaches $25. You need to have at least one active invitee within 30 days before withdrawing referral rewards. If you don’t meet this requirement, you will have to deposit at least $100 of crypto into your FTX account.
Learn more about OTC trading
OTC trading is another way to save on fees when using the FTX exchange. The OTC market allows users to trade large amounts without affecting the order book. This feature offers a better solution for individuals and institutions that want to trade large volumes without having to worry about price slippage. To use the OTC market, you need to complete a verification process and provide additional information such as your name, email address, and phone number.
Use leverage wisely
Leveraged trading can be a great way to maximize profits when trading cryptocurrencies. However, it can also be a risky undertaking if you don’t know what you are doing. When using leverage on FTX, you need to understand that there is always the risk of losing more money than your initial deposit. Leverage trading fees at FTX are calculated using the following formula:
- Leveraged Trading Fees = (Position Initial Margin) + (Position Initial Margin * Leverage Multiplier / 100%)
This means that if you open a position of $100 with leverage of 20x, the fees will be: ($100) + ($100 x 20 / 100%) = $120. This is higher than the normal trading fee without leverage. If you want to save on trading fees, it’s best not to use leverage.
Use the right order type as well
Finally, another way to save on trading fees is to use the correct order type for your needs. FTX offers a range of order types, each with its own set of benefits and drawbacks. For example, if you are looking to make a quick trade, then using a market order is the best option. However, if you want to place a limit order, it’s best not to use it when trading on FTX as this type of trade comes with a fee that can be higher than other types of orders.
FTX is a great crypto exchange that offers users low trading fees and other features such as OTC trading and leveraged positions. This guide has discussed some useful tips for saving the maximum amount in trading fees at FTX. If you follow these tips, you can save a lot of money on fees while using this top-tier exchange.
