Hi, everyone! Today I want to talk to you about a crypto asset trading platform that I consider will be an important player in the world of exchanges this year and in the future it will establish itself as a strong competitor in the market. I will make a general review addressing all the features found on the platform so that you have an idea of the benefits it offers.
Hydax, based in Singapore, started operations in 2019. Thanks to its global strategy, Hydax has communities around the world (China, Korea, Russia, Philippines, Indonesia, Mexico, Africa, etc.) . However, under its regulatory framework it does not offer its services to residents of the United States.
1. A Safe Platform
The exchange infrastructure has sophisticated security measures to prevent any DDOS attack, phishing or any other method that hackers could use to try to compromise it. User safety is very important to Hydax so linking a phone number, email, and enabling 2FA authentication is a prerequisite.
It also requires the user to create a separate login password and an asset password for the account. These security measures are necessary to maintain the integrity of your portfolio and allows you to secure every action you execute while using the exchange. Something that should be noted as well is that the exchange operates with hot and cold wallets to avoid any vulnerability of the assets in the platform.
2. Spot Market
The usual way to trade the crypto markets is through a spot market. The Hydax exchange offers 3 base markets (USDT, BTC and ETH) in which there are 23 currently available cryptocurrencies with the USDT pair, 15 with BTC and 4 with ETH. The interface is very easy to use and is very similar to other exchanges such as Kucoin, Binance Hotbit, etc.
Orders can be executed at a limit price or at market price. It has charts generated with TradingView. This allows for quite meticulous and accurate technical analysis due to the tools that TradingView offers. It has candles from 1 minute to 1 month, thus expanding the market perspective you can have so you decide on the strategy that best suits you. You can also highlight your favorite pairs for quicker access to them.
Transparency and integrity of operations is very important to Hydax and that is why they implement systems to eliminate any attempt to manipulate prices or volume.
3. OTC Market
Hydax also offers the opportunity to buy and sell BTC, ETH and USDT independently and directly from user to user without the need to place an order on the spot market. Currently they have support to accept Credit Cards, Alipay and WeChat Pay. As of now though, I think only Chinese and Taiwanese citizens are able to deposit fiat.
4. Perpetual Contracts
A perpetual contract is a derivative product very similar to a traditional futures contract. However, perpetual contracts do not expire or have a specific delivery time. The perpetual contract allows you to leverage the funds (collateral) of your account up to 100 times and thus create positions up (Long) and down (Short). Hydax has a perpetual contract market where you can use your BTC or USDT as collateral.
5. Grid Trading
This feature is definitely what sets Hydax apart from other exchanges. Hydax allows you to configure a grid system in which you can automate your trades and eliminate the need to manually place them on the spot market. The biggest benefit of using a grid system is that it helps you get a return on your investment even when the markets are volatile or in range. Definitely a valuable tool for anyone who wants to maximize the performance of their crypto assets. This system is implemented thanks to an API key that is shared with the BitUniverse bot.
In fact, Hydax and BitUniverse held a competition in which they awarded 1 BTC and 100,000 HDX to the winners so don't wait any longer, if you have not created your account in Hydax, do it as soon as you can to take advantage of these type of competitions, giveaways and airdrops that are constantly going.
6. Initial Exchange Offerings (IEO)
In 2017, markets experienced a high interest in token sales through ICOs (Initial Coin Offering). This is seen by many as the catalyst for the bubble in late 2017. An ICO is usually planned by a startup that has a proposal for a blockchain-based ecosystem and a native token-driven business model. However, they generally do not have a viable product or established business model, they are simply ideas embodied in a white paper.
This crowdfunding method has promoted many malicious people taking advantage of investors and never carrying out the idea that projects proposed in the first place. Another difficulty is that it takes time and resources to be able to include the token in exchanges with enough liquidity to support the initial sale price, so most of the time the price drastically collapses when the token reaches an exchange.
IEOs perform the token sale through exchanges, whilst providing confidence to the investor that the exchange took the appropriate measures to select only projects with enough potential to perform the offering. They also guarantee that the token is added to the exchange. This is currently one of the safest ways to invest in a blockchain-based startups.
7. The Hydax Token
The exchange has its own ERC-20 utility token (HDX) based on Ethereum. The platform has a token buyback mechanism using 25% of the net profits generated by the platform and thus gradually eliminating the amount of tokens in circulation to progressively make the token more valuable. Hydax implements the usage of the token in different ways:
- To pay for listing fees, withdrawal fees and trading fees.
- For the global alliances program.
- Gaming ecosystem payments that use NFT tokens.
- OTC merchant deposit.
- Project Investment and incubation.
- Ecosystem nodes.
- Voting privileges
- HDX Exclusive trading pairs.
- Institutional nodes.
8. Mobile Compatibility
Hydax already has an Android and iPhone app to trade securely and conveniently wherever you are.
9. Exchange Fees
Exchange platforms normally charge a different fee for order creators (market makers) and for those who accept an already created order (taker) or commonly called as the maker-taker model. Hydax introduces a fixed commission model for both type of traders of 0.20% and 0.10% respectively, for cryptocurrencies in the top 10 of coinmarketcap. Fortunately, Hydax has 8 of this top 10 available to trade. As for the perpetual contracts market, only the taker pays 0.045%.
The global standard for commissions has generally been set at 0.25% but as the market becomes more competitive, platforms have chosen to use lower fees including 0.10% or 0.15%. However, Hydax proves to be competitive enough within the industry.
I hope this article has been useful to you to take into account all the benefits that this platform offers. Hydax highly values the community of traders and supporters who use the platform so they are always constantly running competitions, rewards programs, affiliates, airdrops and more so I recommend that you keep an eye on their socials for any of these. Thank you for reading this article, have a nice day!