Standing out among the many cryptocurrency exchanges worldwide is no easy feat. However, FTX has successfully done so since its inception just a few years ago. The company continues to make inroads into the mainstream and forges real-world partnerships to expand its footprint. But how does the exchange work, and is it user-friendly?
Why Are People Using FTX?
Most people on this planet have no exposure to cryptocurrency in any capacity. Many will try to obtain these virtual assets for investment, store-of-value, or speculative purposes. Acquiring cryptocurrencies requires a reliable exchange or trading platform, preferably with convenient deposit and withdrawal options and excellent customer support. FTX checks most of those boxes, providing numerous advantages for users to explore.
The benefits of FTX can be summed up as follows:
- Support for hundreds of currencies and trading pairs
- Convenient swapping between currencies (although most assets only have a USDT and/or BTC pair)
- Many trading options (spot, leveraged tokens, futures, tokenized stocks, etc)
- Mobile application for Android and iOS
- Low trading fees (with further discounts for $FTT token holders)
- Native staking option for supported cryptocurrencies to grant users passive returns.
- NFT support and marketplace
- Strong security with optional extra layers for withdrawals etc.
- FTX Pay – a convenient way to get paid in crypto or fiat, depending on personal preference.
In the following sections, we will go into a bit more detail regarding all of these aspects. However, no exchange is perfect or 100% user-friendly. Unfortunately for FTX, it falls short in the customer service department, and some users argue there are high withdrawal fees (for USD transfers). Even so, the young exchange continues to make a name for itself, thus they may improve upon these areas eventually.
The Services FTX Offers
FTX introduces a convenient way for users to instantly swap crypto assets or fiat to crypto like some other exchanges. It is a straightforward and convenient widget where one supplies the “from” currency and the “tö” currency and clicks a button to complete the process. Features like these will be helpful to both novice and advanced traders alike.
Second, there is the mobile application. Although many will use a platform like FTX through a desktop or laptop browser, it is always good to see mobile functionality. FTX Has an application for Android and iOS, both of which have many reviews and a high number of downloads. In addition, the user experience on mobile is virtually the same as a regular browser session, offering a streamlined service.
Third, an exchange stands or falls based on its available trading pairs and trading vehicles. Today, FTX has over 500 markets to explore and numerous trading vehicles that provide more “exotic” access to cryptocurrencies. Using leveraged tokens, futures, stocks, volatility indices, and more can help users achieve a different trading experience, providing everyone with a different “flavor”.
Support for staking is a popular trend among cryptocurrency trading platforms lately. Many users want to put their idle crypto assets to work and generate a passive revenue stream. Rather than withdrawing funds to oné’s wallet, users can now do so through FTX and other platforms. Earning interest on cryptocurrencies will always be appealing to the masses.
Lastly, there is support for non-fungible tokens, including a built-in NFT marketplace. However, users cannot deposit nor mint NFTs on the FTX.com website. Instead, they have to use FTX.us, the version of the platform dedicated to American users. That is one of the downsides of FTX.com, as US users will have to use a different domain, although it can be accessed by users from non-US jurisdictions too.
Trading Fees And FTT
Every trading platform will maintain a certain degree of trading fees on most user activities. This is because companies like FTX need to make money somehow, and there are multiple fees for users to consider.
Trading fees will always apply on maker and taker orders. The chart below shows the current fee percentage and how they change depending on one’s $FTT holdings. Owning more of FTX’s native token can unlock better discounts, although the tokeń’s value does not reflect the position of FTX in the market. Instead, it is the price people want to pay for the utility FTT provides.
Speaking of $FTT, the token also provides access to waived blockchain fees – for ERC20 and ETH transactions – , increased referral rebate rates, a new maker fee schedule, bonus votes on polls, higher SRM airdrop rewards, and IEO tickets. The requirement to unlock these extra benefits is to stake FTT and complete level 1 KYC verification.
Unstaking tokens is subject to funds being frozen for two weeks.
FTX Pay Explained
Although this feature is often overlooked, FTX Pay provides some exciting benefits. The service will move to FTX.us and let users receive payments in either fiat currency, crypto, or a combination of both. In addition, the service is designed to be customizable and can be set up by creating apps through one’s FTX account or an external wallet.
The primary purpose of FTX Pay is to accept payments through a website, online store, or mobile application. Moreover, choosing between fiat and crypto – or combining them – can help introduce more people to the cryptocurrency world.
Deposit Methods And Fees
Funding your FTX account is free, as there are no deposit fees. Moreover, the platfor supports numerous fiat currencies, including USD, EUR, CAD, BRL, ZAR, CHF, and others. Depositing these currencies into your account can be done through:
- Wire transfer
- Silvergate exchange network
- Signature SIGNET
- SEPA Transfers
- PayID
- Credit Card
By enabling these methods, the company confirms its mission to cater to the needs of many. Mainstream users prefer convenient and popular payment methods, and credit card support is a big boon for FTX. Moreover, the lack of deposit fees is essential to keep expanding the customer base.
The Downsides Of FTX
The first issue regarding FTX is how the international site is not designed for US users. None of the services provided on FTX.com can be accessed if you are from the US, as these users all need to redirect to FTX.us. Moreover, that platform is accessible by international users, making the whole setup seem a bit backward.
However, the biggest weakness for this company is its customer support. Using support tickets is great, but it is a bit ridiculous when it is the only option to contact a company handling your money. No phone number, live chat, or other ways to contact FTX can make the process of getting an issue resolved rather frustrating, even though it doesń’t need to be. FTX really needs to improve this aspect soon, but they show no inclination to do so.
Closing Thoughts
The FTX platform is convenient to both novice and advanced crypto users if they do not reside in the United States. However, those users can use FTX.us, the go-top lace for the NFT marketplace and non-fungible token minting. This is all a bit confusing at first, but it is a no-brainer once one gets the hang of it.
While one must commend FTX for its strong focus on security, its customer support is atrocious in 2022. Not having a live chat or phone number is not acceptable. Support tickets are convenient for the company but can be very frustrating for the user who needs to see an issue resolved quickly.