PrimeBit is a new platform of crypto derivatives that is easy to use and accessible to almost anyone. While the platform is new, it offers its customers some interesting crypto trading tools and a peer-to-peer trading platform that offers low-leverage simple leverage trading. Unlike many crypto exchanges that offer crypto derivatives, PrimeBit does not act as a counterparty. Instead, it creates a platform for investors to establish peer-to-peer connections with leverage up to 200x.

Signing up for PrimeBit is also extremely easy and there is no minimum deposit. If you are interested in how PrimeBit works or why peer-to-peer trading might be a better trading method for some investors, let's take a look at what PrimeBit is doing to offer new options for leveraged crypto trading to crypto traders.

PrimeBit Streamlines Peer-to-Peer Trading with Crypto Derivatives

PrimeBit is a crypto derivative agent that offers a service comparable to a stock exchange like BitMEX. Instead of trading with real tokens, PrimeBit customers have the opportunity to trade with contracts that take their values from Bitcoin, Ethereum and Litecoin. Opening an account on PrimeBit is easy. All you need is an email address. So you can create a PrimeBit account. 

Once your account is opened, you can leave Bitcoin in your PrimeBit wallet and then start trading on the stock market. PrimeBit also offers customers a great full-featured demo account for investors who want to practice their Bitcoins before using them to back up real transactions.

Three contracts PrimeBit submitted at the time of writing:

BTC / USD

ETH / USD

LTC / USD

Since PrimeBit is just starting out as a crypto derivative exchange, it will also offer its customers more contracts that are likely to expand as it grows as a company. For now, PrimeBit has three contracts covering three of the most popular tokens.

PrimeBit Features at a Glance

• Up to 200x - the highest leverage on the market.
• MetaTrader 5 desktop and web application.
• Fair Price Marking - a mechanism that ensures smooth trading on volatile assets, even with high leverage.
• There is no feature like minimum deposit for easy access to beginner investors. Also fully functional demo accounts.
• No expiration date - Make permanent contracts for your profit without restrictions.
• Fixed point value - easy to understand price model with linear return.
• A lucrative affiliate program with up to 20% revenue share and a transparent dashboard to control revenue stream.
• PrimeBit Trade Calculator for easy calculation of the basic parameters of an order you are considering.

Why Peer-to-Peer?

Trading between spouses has some advantages over using a stock market that acts both as a counterparty and a market maker. When a stock market is both a counterparty and a market maker, there is a risk that the stock exchange will use the price-setting mechanism in its favor. In the world of Difference Contract (CFD) trading, there are many claims about using its own pricing capabilities to earn money from customer positions against CFD brokers.

If you are not the other party, the operation differs in this case. Because the broker only makes money by facilitating the trading process and if you lose, it does not make money. With PrimeBit, another trader will create your profits or losses. PrimeBit will earn money in the form of fees to build its trading structure. This type of platform is also good for investors who want to use crypto derivatives to earn income from Bitcoin assets as investors on the PrimeBit platform are paid (or have to pay) direct funding fees every eight hours.

How Trading Works with PrimeBit?

The trading platform created by PrimeBit is available through its online interface and is the industry standard MT5 trading terminal. When you open and finance an account with PrimeBit (or create a demo account), you can start trading on the online platform. 

PrimeBit only accepts deposits on BTC, and both deposits and withdrawals must be very fast. The company says that once a Bitcoin node transfer is approved, the deposit will be credited.

PrimeBit Fees

Fees for market makers and buyers on PrimeBit are as follows (funding fees will vary with the market, but locked when a trade is opened):

BTC / USD - Market Maker Fee -0.025% - Buyer Fee 0.075%

ETH / USD - Market Maker Fee -0.025% - Buyer Fee 0.075%

LTC / USD - Market Maker Fee -0.025% - Buyer Fee 0.075%

As mentioned above, PrimeBit earns its money from market maker fees and does not receive any part of the funding fees that should be paid every eight hours. The MT5 platform has graphical tools that you can use to analyze markets, and it also works with a number of third-party applications.

PrimeBit An Innovative Broker

PrimeBit brings some great ideas to the crypto derivatives market. The peer-to-peer structure of their exchanges addresses the potential of the problems that arise when a broker is both a counterparty and a market maker. PrimeBit also created a robust price-setting mechanism in which it is almost impossible to 'play' to influence prices on the stock market.

PrimeBit is also extremely easy to use. Allows almost anyone with BTC in their wallets to trade leveraged crypto derivatives. It may be a disadvantage for some traders that PrimeBit only allows deposits and withdrawals with BTC, but it is not difficult to get BTC these days.

Overall, PrimeBit will likely expand its operation as it will attract more customers by offering BTC, ETH or LTC trading on a leverage basis. The only real disadvantage of PrimeBit is that it is new. This requires a record of how robust service it can offer to its customers.