Phemex Review

Phemex Review: PROS

Starting things off, let’s discuss some of the most positive features of the platform in question. Specifically, the first aspect we need to examine in this Phemex review is security, and thankfully, Phemex has no issues in this regard.

A Secure Cryptocurrency Exchange Platform

Security is obviously the most important feature when it comes to cryptocurrency storage and exchange. Without proper security, your assets are as good as gone - it’s just a matter of time until some malicious, third-party hacker or scammer tries to steal your cryptos from you!

Crypto exchanges do get hacked^[1] - there’s no real surprise there. These hacks often involve hundreds of millions of dollars in crypto assets gone in a matter of seconds. Thus, as you can probably tell, security becomes a vital point to look at!

For anyone wondering, "Is Phemex legit?" and whether the platform utilizes proper security measures to protect users’ assets, I have great news - most Phemex reviews are generally positive about the security features employed by the exchange.

Starting off with your built-in Phemex crypto wallet, the company checks withdrawal requests three times per day. If there are any suspicious transactions, they will get flagged immediately and will be subject to further review by a team of professionals.

On top of that, the company also uses cold storage to keep all of its users’ crypto funds. This is a standard practice, but at the same time, it’s very notable - cold wallets can be one of the best security measures for keeping your assets safe!

Moving on, for those who are wondering "Is Phemex legit?", you’ll be happy to know that the brand also utilizes AWS (Amazon Web Services) for all of its operations. This allows them to both employ a trusted firewall on their systems, as well as pick and choose specific zones where they want to operate, and navigate restricted zones, too.

Following that, you also have account security, with features such as 2FA (two-factor authentication) and double-entry bookkeeping. All of these aspects add up to create a secure environment where clients can trade crypto without having to constantly worry about their asset well-being.

Reading through some Phemex reviews, it’s also evident that Phemex is very serious when it comes to the topic of security. This is a very important point to consider! If Phemex themselves are serious about its security features, you can be sure that it will do everything in its power to keep your assets safe as a top priority.

Competitive Trading Fees

Fees are, undoubtedly, another topic that will come up pretty early when picking out the best cryptocurrency exchange for yourself. As it should - fees can really “make it or break it” when it comes to your potential trading profits, especially if you’re an active day trader and are doing this for a living!

The fee models, with most exchanges, are rather straightforward. You have your maker and taker trading fees, and then things such as withdrawals, deposits, and so on. Many top-tier exchanges will allow their users to deposit and withdraw crypto free of charge, and will employ specific trading fees for both the market makers as well as the takers.

In general, this is also the case with this platform. With that being said, this Phemex review wouldn't be complete without a run-through of the fee schedule. Take a look at this table to understand how the fee schedule works:

Table: Phemex's spot trading fees

In and of themselves, these fees are actually pretty decent! Not only do they match the industry standard, but they are also truly among the better fees that you’re likely to come across, with a trusted cryptocurrency exchange platform!

This, however, is only the standard version of the Phemex fees. The platform used to offer its users a Premium subscription service, where you could subscribe to this service and trade on the platform completely free of charge. But since 2022, Phemex has shifted to a tiered fee structure, which offers progressively lower fees based on trading volume and/or a user's average asset balance.

The fees you see above are specifically applicable to the Spot trading market. That means, futures trading has its own fee schedule with slightly different rules for the VIP and PRO systems.

This is awesome, for one single reason - all Phemex users will be able to enjoy lower trading fees the more they use the platform. Things such as normally trading crypto or using the API trading can increase your VIP or PRO level.

With all of that said, one thing’s for certain - the platform truly has a competitive fee structure and rewards users who are active and passionate about using the exchange.

Multiple Trading Tools

If you’re a beginner crypto trader and are only just now figuring out what is Phemex, chances are that you want to “take it slow” and purchase your first cryptocurrencies in as simple a way as possible. That said, if you’re an advanced-level trader and are looking through Phemex reviews in order to establish whether or not this exchange is suitable for you, great news - the platform offers some advanced trading tools.

What does that mean, exactly?

Well, for starters, as you’ve probably understood by now, Phemex allows you to trade crypto via Spot markets. In other words, you will be able to trade your cryptocurrencies instantly and will receive all assets into your dedicated Phemex wallet.

However, in addition to Spot markets, the Phemex exchange also allows individuals to trade derivative contracts. These are special trading tools that allow advanced traders to not worry as much about asset liquidity or personal cold storage, and instead, focus on making the most profits that they can.

The trading tools don’t end there, though. The Phemex crypto exchange also offers clients the ability to trade contracts with leverage of up to 100X.

Leveraged trading is when you borrow money from the exchange in order to make a trade. It’s actually quite complicated and very risky. While traders can upgrade their positions exponentially (especially with a 100X leverage), there’s also a huge possibility of getting liquidated. Thus, leveraged trading is only suggested if you really know what you’re doing.

📚 Read More: How to Leverage Trade Crypto Like a Pro

That aside, it doesn’t take away from the fact that the Phemex exchange DOES actually offer you the tools for advanced trading, if you need them. Definitely worth keeping in mind!

Buy Crypto With Fiat Money

As I’ve mentioned a bit earlier in the Phemex review, if you’re a beginner in the industry and are looking for a way to acquire your first cryptocurrencies, chances are that you’re going to want to do this in the simplest way possible.^[2]

Well, what can be simpler than purchasing crypto with fiat money?

This is actually another factor to consider for anyone wondering, "Is Phemex legit?". The exchange supports fiat-crypto acquisition, both via a bank transfer, as well as credit & debit cards. That’s huge!

While it’s not something that would be out of the ordinary (most top-tier exchanges allow users to buy crypto with fiat money), it’s still a huge deal for anyone who values convenience. If you pass all of the relevant KYC processes (identity checks) in place, you will be able to acquire crypto in just a few minutes, by paying for it with a major currency of your choice (USD, EUR, etc.).

This single factor alone makes Phemex a truly beginner-friendly exchange option! While the platform is definitely full of additional, advanced features and functions, beginners will still be able to acquire crypto easily, with the help of the fiat gateway.

Supports Multiple Different Crypto Assets

Cryptocurrencies have become very popular - that’s a pretty silly statement to make, even. With over 800 million people around the world own even a slight amount of crypto in any form proves that the concept is much more popular.

Increased popularity usually results in more and more different coin & token projects entering the market. Even now, there’s seemingly a new token being launched every single day!

What this all means is that exchanges need to keep up with the demand - the Phemex crypto platform is no exception. There’s an increasing amount of pressure on cryptocurrency exchanges to support more and more assets - that’s because, while you may only start out with BTC or ETH, chances are that you’ll want to diversify your portfolio, as time goes on!

Doing so with the Phemex exchange is actually quite easy, though.

Phemex supports over 500 different crypto assets and allows its users to trade all of them. This is an impressive number! Sure, when you compare it with thousands upon thousands of coins and tokens that are already in circulation, it might not look that impressive. However, at the same time, it’s worth considering that Phemex still gives you a wide range of options.

With that in mind, this surely becomes one of the most notable features of this Phemex review! With over 500 different assets to pick from, you can be sure that you’ll find all of the top-tier coins and tokens supported, as well as many of the different, more niche products, as well.

A Wide Selection of Additional Features

Up to this point in the Phemex review, we’ve already discussed a lot of the core functionality that the exchange in question has to offer. However, in addition to advanced trading features and top-of-the-line security, Phemex also has a myriad of smaller, less-talked-about benefits!

For example, you may actually earn interest on your crypto holdings within the platform. There’s a built-in earning program where you can choose a specific cryptocurrency, lock it up for a set amount of time (usually 7 or 14 days), and start accumulating an annual percentage yield (APY).

While the interest rates aren’t going to be “out of this world”, it’s still an awesome option - if you hold crypto in your Phemex exchange account, you’ll be able to earn passive income, without actively doing anything with those assets.

Another huge feature is the Phemex Academy. It’s a special, dedicated section of the website that allows Phemex users to study and learn about crypto. Not only can you get information on trading, but there are also over 1000 articles available on diverse topics, ranging from blockchain tech to upcoming crypto projects.

In addition to all of the features mentioned above, you can also expect 24/7 live, multilingual customer support, as well as a myriad of other, smaller features, too.

Did you know?

Compare Crypto Exchanges Side by Side With Others

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Phemex Review: CONS

Phemex is definitely a high-end cryptocurrency exchange, with a lot to offer both to the casual cryptocurrency enthusiast, as well as some hardcore traders. Having said that, though, whilst reading through the various Phemex reviews found online, chances are that you’ll bump into some less-than-positive aspects as well.

These aspects, however, mostly have to do with one single point concerning the exchange - the question “Is Phemex legal in the US?”.

Not Available to US Traders

The regulatory nature of cryptocurrencies (and crypto-related products) is a really hot topic within the US. This is true both when it comes to things like taxes, as well as the general legalities surrounding the different ways of building your crypto portfolio.

What this usually results in is offshore crypto exchanges being banned from operating within the country, outright. Unfortunately, if you’re looking for Phemex USA services, the exchange in question isn’t an exception - US-based traders won’t be able to use it.

The specifics of the ban revolve around the SEC (Securities and Exchange Commission) and crypto derivatives. These products are banned within the country due to certain legal issues, as well as the risks associated with them, for the traders.

While this likely isn’t of much consolation, Phemex isn’t the only exchange platform to face this type of ban. If an exchange is based somewhere not within the US (in other words, it's an offshore-located service), chances are that it’s going to have issues offering its services to US-based traders.

📚 Read More: SEC Cryptocurrency Regulations

This, in turn, cuts off a large number of potential customers from using the platform. However, there’s not really anything that can be done about it - if you’re located in the States and are looking for a cryptocurrency exchange that you could use without any issues, one of the other top-rated platforms might suit you better.

A Cryptocurrency Exchange With a Steep Learning Curve

One of the less-talked-about issues that cryptocurrency exchanges tend to face is the ratio of beginner-friendliness VS feature variety. Allow me to explain.

If there’s a question such as “Is Phemex legal in the US?”, the answer is pretty simple - it isn’t. There’s not much to discuss, and not a lot of leeway to change the answer.

However, when it comes to feature variety, especially when discussing advanced-level features, things are different. Many exchanges nowadays aim to put in as many different features and functionalities as possible within their platform. Just take a look at Binance, as an example.

Certain Phemex reviews do express this sentiment, as well. The exchange offers advanced trading tools, crypto earning options, and a variety of additional features to its users. That’s great, in the grand scheme of things - after all, concepts such as feature creep don’t really exist in the world of crypto.

That being said, all of these features (their variety) can become overwhelming pretty fast. This is especially true if you’re new to the space.

📚 Check Out: How to Get Into Crypto Trading With Zero Experience

In short, if you’re a complete beginner, Phemex can take some time getting used to, and you might need to do a lot of research to be able to navigate all of the features offered by the exchange. While it’s not a bad thing, per se, it can seem intimidating to beginners, who would then opt to choose a simpler platform or one that doesn’t feel as overwhelming.

How to Use Phemex?

Before I let you go, there’s but a single thing left to do - give you a quick tour of the Phemex exchange, and showcase some of its core features and functionalities!

How to Register on Phemex?

As per usual, we’ll start with the obvious, first - the registration process on the Phemex cryptocurrency exchange.

As Phemex itself puts it, registering on the platform shouldn’t take longer than 30 seconds! The process is very fast and super-straightforward, with the only information that you’ll need to input (for now, at least) being your email address.

How to Use the Main Features of Phemex?

Granted that this isn’t an in-depth guide on how to use Phemex, we won’t go through all of the details and features that you may utilize on the exchange. Instead, I’ll give you a quick rundown of how you can use the main features available on the platform!

To start off, if you choose to navigate to the crypto depositing section, you’ll be presented with your Phemex wallet address (it will differ for each cryptocurrency that you may choose to deposit). What you need to do now is simply send your desired crypto to the equivalent wallet address, and wait - once the transaction is confirmed on the network, your account will be credited with the coins that you’ve sent.

Alternatively, if you’d like to instead buy crypto with a credit or debit card, you may choose to do so on its respective page. You’ll see a selection of different payment gateways, all of which will allow you to acquire crypto with fiat money.

Navigating to the top of the screen, selecting [Spot] and then [Spot Trading], you will be redirected to the trading view of Phemex. Not many Phemex reviews point this out, but if you’re not looking for some sort of advanced functionality, navigating this section isn’t at all difficult and should become pretty intuitive after a few trades.

Going back to the main site, you’ll be able to access all of the relevant features and functions of Phemex from the menu at the top of the page. Whether it be crypto acquisition, trading, earning, promotions, contracts (remember - no Phemex USA!), or anything in between, all of these features will be available on this menu.

All in all, while Phemex might appear to be a bit confusing for complete newcomers to the world of crypto, after a few trades and spending some time on the exchange, you should be able to find your way around the website, no problem!

Pros

• Secure and reliable
• Accepts fiat currencies
• Lots of trading options

Main Features

• Reputable exchange
• Accepts fiat currencies
• Offers various trading options

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Pros

• Beginner-friendly
• Secure
• Decent trading and withdrawal fees

Main Features

• Crypto.com Visa Card
• Automated tools & bots
• Ecosystem synergy with CRO

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Pros

• Accepts fiat currencies
• Simple to use
• Supports only trusted cryptocurrencies

Main Features

• A leading cryptocurrency exchange platform
• Best for all type investors
• Accepts fiat currencies

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Conclusions

As I’ve alluded to throughout the entirety of this Phemex review, picking out a reliable cryptocurrency exchange these days can seem like a pretty difficult task. With so many different platforms to choose from, it gets overwhelming pretty fast!

That’s why attention to detail matters now more than ever before. And, if you’ve read through the entirety of this Phemex crypto exchange review, you probably already know - the platform has a lot to offer to its users.

The only real issues that you might face with the exchange in question have to do with Phemex USA, and the fact that the platform isn’t all that simple to get into if you’re a beginner crypto enthusiast. Other than that, Phemex offers a myriad of benefits to its users - some evident straight from the get-go, others a bit more inconspicuous.

Phemex fees are another big topic to consider, as well. The traditional fee model employed on the platform’s contract trades showcases some very competitive numbers.

If you’re looking to find out "Is Phemex legit?", in the most general sense of the term, I think it’s a no-brainer - multiple advanced features, KYC verification checks, over 500 different cryptos available to be traded, fiat money support, and so on. All of these things add up to create a very inviting exchange!

That being said, thanks for reading my Phemex review, and good luck with all of your future crypto adventures!

The content published on this website is not aimed to give any kind of financial, investment, trading, or any other form of advice. BitDegree.org does not endorse or suggest you to buy, sell or hold any kind of cryptocurrency. Before making financial investment decisions, do consult your financial advisor.

Scientific References

1. Chohan U. W.: 'The Problems of Cryptocurrency Thefts and Exchange Shutdowns';

2. Nadeem M. A., Liu Z., Pitafi A. H., Younis A., Xu Y.: 'Investigating the Adoption Factors of Cryptocurrencies—A Case of Bitcoin: Empirical Evidence From China'.