The world is changing, so is finance. What is possible today may not have been possible two years ago. It has always been said that necessity is the mother of invention. However, when it comes to issues concerning modern finance methods, which include digital currencies and decentralization, innovation could be attributed to being the reason for its invention.
While this invention has been on the ground for a couple of years now, most people hadn’t seen why these prudent alternatives could be substitutes for traditional banking and finance. The coronavirus pandemic has since changed this status quo. In the heat of the pandemic and worldwide lockdown, the need for alternative banking systems was rife.
Since several restrictions were placed against people’s movements, with interpersonal contacts advised against, many sought alternative ways to trade, invest, and carry out other banking procedures without having to visit these centralized institutions. As a result, the decentralized finance markets are becoming central stakeholders as the world recovers from the pandemic. Thus, more than ever, there arose a need.
The decentralized finance (DeFi) markets involve the use of digital assets, cryptocurrencies, blockchains, exchanges, and a host of other players. Bitcoin and Ethereum are already top players when it comes to the field of cryptocurrencies. Nonetheless, there have been massive additions to this list as several other altcoins are introduced by the day.
This information leaves us one on one with the concept of exchanges. Since so many transactions take place over DeFi platforms and blockchains, they are not just limited to Bitcoin and Ethereum, hundreds of other altcoins are involved. Exchanges, therefore, help us swap various cryptocurrencies depending on our trading interests, invest, trade, and earn returns for our activities.
There are so many exchanges available today; they range from decentralized exchanges to centralized exchanges, each of them offering different financial services and products. Selecting a suitable one could be a very tedious task. As a result, we’re bringing to you exchange reviews that should guide you as you explore the world of digital currencies and decentralized finance.
In this article, we shall be reviewing OKEx, a cryptocurrency exchange, and the trading market. We shall be considering their essential features, benefits, and every other aspect of their activities.
|Location||Malta, Hong Kong|
|Trading platform||Web-based, mobile app, desktop app|
|Trading option||Cryptocurrencies, Futures, Perpetual, Options, Spot, and Margin trading|
|Security||GSLB, Multi-Factor Authentication (MFA), distributed server clusters, hot and cold storages, private key encryption algorithm.|
|Verification||Mandatory KYC for transactions involving more than 100 cryptos|
|Customer support||Yes: livechat, email, Twitter, Facebook, WhatsApp|
|Leverage||10:1 (Spot trading), 100:1 (Futures)|
It is not often that you would see an exchange platform offering hundreds of cryptocurrencies and altcoins as tradable pairs on its platform. Founded in Hong Kong in 2017, OKEx is a cryptocurrency exchange that falls in this category. It is rated as one of the top five exchanges in the world based on trading volume. The platform boasts of concluding trades worth an average of $1.65 billion daily.
Initially starting in Hong Kong, OKEx moved its services operation-base to Malta due to the stringent restrictions placed on cryptocurrencies and exchange companies in the region by the Chinese government. It has a Seychelles registration and offers its services to millions of individuals spread across over 200 countries of the world.
The platform provides various options for crypto exchanges, spot, and derivative trading, margin trading, options, and futures to enable traders to maximize their trade strategies. They also offer one of the best leverages in the market, boasting spot trading leverages of 10:1 and futures leverages of 100:1. It features several advanced financial services made available to the users; the OKEx Pool, Cloud, Chain, and Academy are good examples of this fact.
In 2018, the platform introduced its native token, which it called OKB. This token enables users to settle platform trading fees, pay for exclusive services, and users can earn this token from the OKEx Pools and as mining rewards. While the platform is an incredibly vital financial services provider for expert traders, they are an equally important platform for beginners due to the depths of available tools, including a demo account that beginners can use to practice without having to invest real funds. They also feature a referral system that users can leverage to earn rewards in Bitcoin.
Trades cannot be concluded if there’s no ‘place’ where the trades are performed. In conventional trades, there is the presence of traditional markets. Also, in digital trades involving decentralized currencies and exchanges, there would always be a platform where these trades can be opened and closed.
With the number of exchanges being on the high side, the number of trading platforms is equally high. However, not many of these platforms possess features capable of making both rookie and pro traders smile heartily. Interestingly, OKEx went against the norm by providing excellent platforms where its users can carry out their trades. The platform boasts an online web application, a mobile application, and a desktop application; the latter of the three is a unique addition to the widely used former two. Features of the trading platform include but are not limited to: options for charts and order types, the latter consisting of limits, advanced limits, stop limits, trial, and a special option known as TWAP.
The presence of a web application makes it very easy for users to access the exchange markets regardless of whatever location they might find themselves in. So long as there’s an internet service, a trade is possible.
The mobile application can be downloaded from Google Play and Apple Stores for both Android and iOS users respectively. This application is a one-stop cryptocurrency trading platform that permits transactions involving digital assets and derivatives listed on the exchange. The app also features all of the facilities present in the platform, including a digital wallet that could be used to store cryptos and carry out other wallet-related activities.
Moreso, unlike most crypto exchanges, the platform offers a desktop trading app that is PC downloadable for Mac and Windows. Additionally, all the platform’s trading platforms are similar in the sense that they feature an excellent user interface for a seamless user experience. It gives both beginners and professional traders a range of trading possibilities.
A fundamental aspect of any exchange, especially one as large as OKEx, is security. Security of an exchange platform doesn’t only involve the maintenance of a platform’s integrity but also the security of its users’ assets. While platform integrity is very vital – particularly in this age where cyber hacks are rife – the security of users and their assets need not be undermined.
To mitigate against potential hacks and threats, OKEx puts in place GSLB technology and makes use of distributed server clusters. To further protect users’ assets and tokens, the platform employs a private key encryption algorithm featuring hot and cold storage wallets. Cold storages are an essential part of digital asset security since assets are stored offline and cannot be accessed by online hackers.
However, since digital exchanges always need to be online for transactions to take place, the platform features a hot wallet security protocol. It is a semi-offline multi-signature technology that guarantees that digital assets are deposited, transacted, and withdrawn quickly and conveniently in the most secure environment. This method makes it impossible to hack user’s private keys and consequently assets even if the servers are physically attacked. That is because the public keys are stored in-RAM and equally factors other features like a multiple authorization protocol and emergency backup services.
Furthermore, there’s also an option for multi-factor authentication and other verification procedures; it includes email and SMS recommended by the platform. It’s also important to note that the exchange hasn’t been hacked since its inception in 2017.
Having a wide variety of trading pairs is always a good sign for cryptocurrency traders. A variety of trading pairs offers increased opportunities to decide on which exchange would be carried out. Exchanges that guarantee a huge number of trading pairs have to have an equally large number of tradable digital assets. Unfortunately, not many of such exist.
OKEx, while boasting of being a major Bitcoin exchange firm, also prides itself as being a one-stop-shop for altcoin trade. The platform offers over 150+ coins with over 400+ trading pairs. It features some of the most popular coins which include Bitcoin, Ethereum, Litecoin, ADA, Polkadot, and XRP, and several other lesser-known altcoins. Most of these trading pairs are against Bitcoin and USDT which is an acceptable Stablecoin pegged to the value of the US Dollar.
The exchange also features a unique native token known as OKB. This token is also available as a trading pair and can be earned based on user activity on the platform. Asides from the usual trading system, OKEx also features a P2P trading option that can be accessed on the platform.
OKEx is also known for its continual additions of new altcoins as one of its tradable products; so, should there be the release of a new altcoin, OKEx should be one of the first exchanges you may want to visit.
The customer support center is responsible for handling any complaint directed against the exchange. That could be as a result of a failed transaction or some issues arriving from difficulties in gaining access to a particular feature on the platform.
Whatever the case causing dilemmas to traders on its platform may be, OKEx provides efficient customer support services. The exchange has an online live chat which one can use to contact a customer support agent on its website. The platform also offers an email support center and other social media platforms, including WhatsApp, Facebook, and Telegram.
There’s also the provision of an extensive FAQ library should there be questions regarding the platform. Furthermore, the exchange provides an OKEx Academy, which offers a step-by-step guide for every activity that could be carried out on the exchange. There are also videos provided for the academy program should there be any confusion.
The exchange has a mobile wallet built into its mobile application. The wallet provides multi-currency storage capabilities for cryptocurrencies numbering 36. The wallet provides you absolute control over your assets, and it is protected by multiple security layers. You’re capable of creating several vaults for the storage of your cryptocurrencies.
To create an OKEx wallet, you either have to create or import a new safe box. The procedures for wallet creation are well illustrated in the OKEx academy. For additional wallet security, you’d be required to create a 3-step mnemonic phrase. Take note that once this phrase is lost or forgotten, the platform offers absolutely no way to retrieve it again, so you are advised to be careful with it.
There are three types of fees chargeable by any cryptocurrency exchange. These fees fall in the category of deposit, withdrawal, and trading.
- Deposit and Withdrawal Fees
Like most other crypto exchanges, OKEx charges no fee for account deposits; although, fees are charged for withdrawals. Without a doubt, OKEx charges one of the lowest fees possible on the competitive exchange markets for crypto withdrawals. These fees could be as low as 0.0005 BTC when withdrawing bitcoin and 0.01 ETH when dealing with ETH withdrawals.
Meanwhile, crypto purchases can be carried out using credit cards, bank transfers, or any other third-party payment portal. Alternatively, you can make crypto deposits into the OKEx wallet from another crypto wallet.
Withdrawal limits on a 24 hour period starts from 300 BTC or its equivalent. Users wanting a larger withdrawal limit would have to contact the customer service agent.
- Trading Fees
OKEx offers a unique range of trading fees, which is significantly under the standard trading rates chargeable on the exchange markets. Perhaps, this is one of the reasons why the Malta-based cryptocurrency exchange has one of the largest following in the world.
The exchange calculates trading fees based on a maker-taker tiered system determined by a 30-day user trading volume. The makers are usually charged less because they help add liquidity to the exchange while the takers take off liquidity from it, and are thus charged higher.
Since the platform offers a range of trading options, the fees charged are peculiar to the type of trade. For Spot trading, regular maker fees are charged as much as 0.08% to as low as 0.06%, while regular takers are charged between 0.10% and 0.08%, all dependent on tier level and 30-day trading volume. VIP maker fees stand between 0.06% and a fee of -0.01%, while VIP taker fees are between 0.08% and 0.030%.
Futures and Options trading are charged quite the same. Regular maker fees go from 0.020% to 0.015%, while the corresponding taker fees stand between 0.050% and 0.030%. Rebates occur in VIP maker fees, with fees ranging from 0.015% to -0.010% and taker fees starting from 0.030% to 0.025%.
Perpetual trading features regular maker and taker fees similar to that of Futures and Options, but its VIP fees are quite dissimilar. The maker fees start from 0.010% to -0.015%, while taker fees are fixed at 0.030%.
Holders of the OKB token can get up to 40% off from these trading fees. All in all, OKEx fees are almost unbeatable the world over.
There are nine different accounts available on the OKEx platform. These accounts offer varied functions for the various trading activities on the exchange. The accounts include the following: Funding, Margin, Spot, Perpetual Swap, Futures, Options Account, Mining, Savings, and Fiat. There’s also a master account and sub-accounts.
Each of these accounts has a peculiar function, they are independent, but funds in them can be transferable to another account of your choice. The functions of each of these accounts are listed in the OKEx academy, so we won’t be going into details.
The Funding Account is your primary account on the OKEx platform. This account can be used for deposits and withdrawals. Moreover, this account would receive any bonus or reward gotten from OKEx. Other categories of accounts are used for carrying out the categories of trades they represent. For example, the Options Account would be used to find options trade, the Spot Account for spot trades, and so on. You can also move funds between accounts to carry out the trade listed for that particular account.
OKEx Referral Programme and Rewards
You can get up to $30 worth of Bitcoin when you invite someone to the OKEx trading platform. You can do this by obtaining a referral link once you sign in to your account, and sending this referral link to friends and acquaintances to register to trade with the platform.
When your referral buys crypto worth $100 or more, you and your friend get to earn BTC worth $10 each. Should your referral deposit up to $100 worth of crypto in their wallets, you earn a 10 USDT rebate. If your referral completes trading milestones on the platform, you’d get $10 worth of BTC while your referral gets $50 BTC.
You’d stop earning referral bonuses when you get up to 10 referrals who have enjoyed $10 worth of BTC bonus from their initial crypto purchases. In this case, you qualify to become an OKEx affiliate and earn a percentage from your referrals’ trades.
OKEx is by far one of the most profitable and efficient exchange platforms available at present. By trading volume, it ranks among the top 5, with trades reaching up to $1.65 billion daily. The exchange offers a range of trading possibilities to its users, which features several options such as spot trading, futures, perpetual, options and margin trading. It opens up numerous gateways for new crypto markets to thrive through the hundreds of cryptocurrencies it allows into its trading pair.
Compared to any other exchange platform, it is trading, and withdrawal fees are next to nothing. The platform doesn’t only provide web and mobile applications for trading; it also offers a desktop version of this platform, a feat that is relatively uncommon among cryptocurrency exchanges.