PrimeBit Review – Scam or Not?
PrimeBit is a P2P cryptocurrency-related trading platform offering both spot and futures trading in bitcoin and many altcoins. You can trade up to 200x leverage on PrimeBit at reasonably low fees using the web interface or Metatrader 4.
200x leverage is a game-changer on the market with the highest possible margin you can get for cryptocurrency trading.
But is PrimeBit a legit platform? Does it live up to the expectations? Let’s going through the features PrimeBit offers.
The company behind PrimeBit’s P2P trading platform is PrimeBit Ltd, a registered company on Saint Vincent and the Grenadines Caribbean island. The trading platform has started its business in 2019 and quickly become popular among traders due to its low fees and unique P2P system.
PrimeBit has a fairly big follower base on Facebook and you can chat with fellow traders in their dedicated Reddit thread too. These are the main platforms besides their blog where you can get hold of any discounts, giveaways, or important notifications about service announcements.
Although they are pretty active on various social media channels, there are not too much information available only about the ownership structure of the company even when asked on different forums, like on BitcoinTalk. The site does not even have an About us section.
The lack of transparency about the executives and founder always raises questions about the legitimacy of any project, so we do hope PrimeBit will provide some information on its background in the near future.
Getting Started on PrimeBit
When you are signing up to PrimeBit you have a couple of choices: you can use an email, but to speed up the process you can also register with your Facebook or Google account.
After registration, you are prompted to confirm your signup through email with a six-digit confirmation code that will lead you to a page to provide your password. And that’s it, no further information needs to be provided as PrimeBit is a crypto-only platform.
Once you have your account activated you will be directed to app.primebit.com to use the web trader or you can connect your account directly to Metatrader 4 or 5.
Deposit and Withdrawals on PrimeBit
If you want to fund your account on PrimeBit, you can choose between BTC and USDT. In both cases, you are given a unique deposit address where you can send the funds to.
At the moment you can only fund your account with these two cryptocurrencies. Even if you want to trade litecoin or ethereum futures, there is no option to deposit LTC or ETH on PrimeBit.
If you do not have BTC on hand, PrimeBit offers a convenient way to purchase bitcoin through a third party partner, Match2Pay Exchanger service. If you click on the green Buy BTC at the bottom of the page, you can purchase bitcoin with EUR or USD bank wire deposits.
The minimum purchase, in this case, is 50 USD and the maximum is 20 000 USD. Note, that Match2Pay Exchanger service charged an extra fee for buying bitcoin through them.
There is no minimum deposit or withdrawal on PrimeBit, but consider the minimum contract sizes of perpetual contracts when funding your account. In the case of BTCUSD trading pair, the minimum contract is 0.0001 BTC while for ETHUSD it is 0.005 BTC and for LTCUSD it is 0.01 BTC.
BTC deposits are debited to your account after 1 confirmation, however, USDT deposits can take longer times. On the USDT Omni layer, you need to wait for at least 6 confirmations on the ERC20 blockchain it is needed 30 confirmation to be debited to your account.
When you are withdrawing BTC from PrimeBit, you only need to pay the transaction fee to the network. This is a flat fee of 0.0005 BTC and 1-5 USDT per transactions, consider this fee as well when initiating a withdrawal.
The processing time for withdrawals can take up to 24 hours.
PrimeBit is a P2P trading platform which means when you are entering an order into the order book it is matched against another order in the book, bypassing any third-party intervention. This also means in case you lose on a position, PrimeBit is not making any money off it, since they are not on the opposite side of your order but another trader is gaining in this case.
And why is this a good thing? Because this way PrimeBit is not incentivized to manipulate prices, since they do not win if you are losing money.
Beyond bitcoin, you can trade with ethereum and litecoin perpetual contracts on PrimeBit. A perpetual future contract is an instrument that tracks the price of the underlying asset based on a price index.
In case of PrimeBit, this spot market index is a weighted average of major exchange platforms, including Bitstamp, Coinbase, Kraken, and Gemini.
Having a perpetual futures contract with an index spot price reference ensures fair pricing and trading conditions without the option to manipulate execution prices by any centralized body.
Since PrimeBit is a crypto-only trading platform, you do not need to pass any KYC process to have your account activated, you can start trading right away after you have funded your account with deposits. Registration is quick and easy, you only need to provide an email address to get started.
Cryptocurrency and bitcoin is a very volatility asset, meaning that the price can vary greatly even within a short period of time.
However, for any reason you want to further increase your profit potential, you can engage in up to 200x leverage on PrimeBit on your crypto trading portfolio. Having 200x leverage is a game-changer as it is one of the highest margins you can get on the bitcoin trading market nowadays.
Compared to other platforms, PrimeBit’s 0.5% margin requirement is very low, other exchanges require you to hold at least 1% or 5% of the total portfolio as margin on your account.
Bear in mind that higher leverage also involves greater risk exposure, so make sure you use adequate risk management tools, like stop loss and take profit orders to keep your hard-earned profit.
Make sure you read the specification of each contract before jumping into trading, as for ETH and LTC perpetual contracts the instruments are built in the forms of quantos – meaning the settlement prices are set in BTC, so you will have an additional risk exposure between altcoins and bitcoin.
Although it does not change the way the perpetual futures are settled in cash, the profit potential can be very different depending on the altcoin rallies.
If you are not yet committed to signing up to PrimeBit, don’t worry, you can create a demo account and check out all the features they offer without risking a dime. The demo account is completely free and can be connected directly to Metatrader.
Primebit Demo Trading
Paper trading in the demo account can also help you to test your strategies with live data. The only difference between the demo and the live account is that the demo account’s data fees are delayed.
To help you further in your trading journey, PrimeBit offers 1 BTC of demo money to start trading on the demo account, and you can always replenish this wallet if you want.
Whether you trade on your desktop or your mobile, PrimeBit will have a solution for you. Their web interface includes all the necessary charting and analysis tools you need to execute your strategy.
But if you want to stick to the gold-old Metatrader you can also feed PrimeBit account directly to that platform.
If you are the type of person you want to keep an eye on your positions even on the go, get the PrimeBit mobile apps available from both Android and iOS.
It worth pointing out, both applications received very good feedback (4.5+ rating) on both app stores. And if this is not enough, you can also code your strategies using the API that helps you to connect to the trading interface directly.
Although PrimeBit offers many great features, one area for improvement is the supported coins. At the moment they only offer trading for BTC, LTC, and ETH.
PrimeBit lists the restricted countries in their Terms and Conditions. Beyond the following countries, all residents of the rest of the world can use PrimeBit’s services without limitations.
Restricted countries include:
Afghanistan, Algeria, the Bahamas, Botswana, Cambodia, Crimea and Sevastopol, Cuba, Ecuador, Ethiopia, Ghana, Iran, Iraq, Myanmar, North Korea, Pakistan, Republic of Serbia, Sri Lanka, South Sudan, Sudan, Syria, Tunisia, Trinidad and Tobago, Yemen, United States, Canada, and Japan.
Fees on PrimeBit
PrimeBit uses a maker-take fee model, where the trading fees are between -0.025%-0.075%. A negative trading fee means you get a rebate on your trading if you reach a certain volume in a 30 days window, this is applicable if you are placing limit orders instead of market orders, which are drawing liquidity from the market.
If you are engaged in margin trades you also need to consider the funding rates. This is the fee applied for having leveraged positions opened after every 8 hours. The rate is determined in each 8 hours based on the market conditions.
This funding rate is not something you pay to PrimeBit but the short and long position holders are pay to each other to keep the trading liquidity on the market intact.
The good news is that there are no deposit or withdrawal fees charged on PrimeBit. In case of withdrawal, you only need to pay the transaction fee applies for the blockchain transaction, nothing further is charged to your account.
Security on PrimeBit
Even though PrimeBit is not a regulated entity per se, the company is a registered business with an official license to provide trading services under the regulation of Saint Vincent and Grenadines.
PrimeBit keeps most of the cryptocurrencies deposited to the platform in cold storage to protect user funds from unexpected hacks and security breaches. Offline wallets ensure that even in case of an attack, the funds of the users can remain intact.
The website, primebit.com is encrypted using SSL making sure any personal information or browsing data is encrypted in a way that PrimeBit will not be able to access it in any way.
To further protect your account, make sure you turn on two-factor authentication (2FA) using Google Authenticator App or any other third party application. This way only you can have access to your funds, even in case of an unexpected data leak of password or hack.
If you are using Metatrader 5 you can enjoy further security benefits, including data encryption, server authentication, and file protection.
Support on PrimeBit
Noone really cares about support and FAQ until something goes wrong and you need urgent help. When it comes to support on PrimeBit, first you are referred to their in-depth FAQ page to find an answer to your questions. In case you still have questions, you can raise it to the support team through a Contact form, that is basically an email.
The support team does their best to resolve any issues and answer any questions. Depending on your problem, they usually solve it in a couple of hours’ time, but their official turnaround time is 24 hours.
If you are just getting started with the platform, PrimeBit offers a lot of different video tutorials to speed up your onboarding. Whether you want to trade on your desktop or mobile, you will find something useful in their library.
The platform has been translated into 12 different languages, beyond English, it is also available in Polish, Spanish, Turkish, Portuguese, Japanese, German, Chinese, Russian, Vietnamese, Thai, and Korean.
PrimeBit is a derivative trading platform that offers one of the highest leverage options on the cryptocurrency trading market. You can trade up to 200x leverage with the BTCUSDT, ETHUSDT, and the LTCUSDT trading pair with low fees and fast execution. PrimeBit is a P2P exchange so your orders are matched with fellow traders and the prices represent the true market rate built up from multiple sources.
The perpetual contracts are Quanto based meaning the execution price is valued against the BTC price even in the case of ETH and LTC – this can be confusing for newbies, make sure you read the contract specifications before risking any money. PrimeBit offers some very unique and great features, however lacks of transparency around the background of the company.
- very high, 200x leverage
- no KYC
- mobile apps
- lack of transparency over the company background
- only 3 coins are available to trade: BTC, LTC, ETH
- no chat support