Phemex Review: Latest Phemex Pros, Cons, and Key Features 2023

What Is Phemex?

Phemex emerges as more than just a cryptocurrency trading platform, encompassing a wide range of offerings akin to modern-day crypto exchanges. By incorporating copy trading, trading contests, and an attractive earning platform, all supported by a highly efficient professional-grade platform and trading engine, Phemex strives to establish itself as a sanctuary for crypto traders.

Beyond the realm of conventional crypto spot and derivatives trading, the Phemex exchange boasts an extensive array of beneficial features and functionalities. In this review, we will delve into each of these components. Moreover, for those intrigued by historical connections, it is worth noting that Phemex derives its name from Pheme, the Greek Goddess symbolizing fame and fortune.

Emerging as a relatively recent entrant in the industry, this exchange has made remarkable strides since its establishment in late 2019. Despite its brief existence, it has already achieved noteworthy milestones, highlighting an impressive track record. However, there are specific areas that require further refinement and enhancement.

With a global user base exceeding 5 million, the platform has garnered substantial popularity. As of the time of writing, it maintains a robust 24-hour trading volume surpassing 6 billion, an exceptional accomplishment, particularly given the prevailing bear market conditions.

Phemex, a Singapore-based company registered under Phemex Pte. Ltd., holds steadfast project values and pursues an admirable mission. The company has established clear development goals that warrant recognition. These goals are as follows:

Embrace change: Phemex acknowledges the prevalence of unpredictability and understands the significance of adapting continuously. By embracing change, the company aims to emerge stronger after each substantial transformation.
Act swiftly: Driven by a purposeful mission and vision, the Phemex team is committed to providing the best possible experience. They operate with a sense of urgency and boldness, recognizing that user satisfaction is the ultimate driving force.
Empower individuals: Phemex is dedicated to fostering a fair trading environment and equipping users with exceptional wealth management tools. Through enabling effective risk management, Phemex empowers individuals, celebrating their success as a testament to their traders' achievements.
Remain humble: Phemex understands the value of humility and actively listens to diverse perspectives. By consistently evaluating and improving themselves, they strive for ultimate success while maintaining a humble approach.

Guided by these principles, Phemex aspires to establish a robust presence in the industry and contribute to the success and satisfaction of its users.

The platform was established by a team comprising individuals with extensive experience working at the renowned banking institution, Morgan Stanley, alongside seasoned Bitcoin miners. This diverse background provides the Phemex team with a valuable blend of expertise from traditional finance (TradFi) and blockchain industries.

Phemex is accessible to users from various countries worldwide, including the United States. It should be noted that the platform maintains a relatively extensive list of restricted countries, surpassing the typical sanctioned countries found on many exchanges. While the reason for this may not be explicitly stated, you can refer to the Phemex Terms and Conditions page for a comprehensive list of supported and restricted countries.

Having acquainted ourselves with the platform's origins, let us now explore some of its prominent features in greater detail.

Phemex Review: Pros and Cons

Pros of Trading with Phemex

High Leverage Trading: Enjoy the flexibility of up to 100x leverage trading.
Sub-Account Creation: Easily create sub-accounts to manage your trading activities efficiently.
Extensive Cryptocurrency Support: Access a wide range of cryptocurrencies for trading purposes.
No KYC Requirements: Trade without the need for Know Your Customer (KYC) verification.
Community-Focused Approach: Engage with a vibrant community of traders and enthusiasts.
Advanced Order Types: Take advantage of multiple advanced order types to customize your trading strategies.
Modular User Interface: Experience a user-friendly interface that allows customization and adaptability.

Cons of Phemex

Trading Restrictions for US Citizens: Trading on our platform is not available for US citizens.
Comparatively Lower Liquidity: Please note that our platform may have lower liquidity compared to larger players in the market.
Limited Support for Fiat Currency: We currently do not support trading or transactions involving fiat currency.
Absence of IP Whitelists: Our platform does not have IP whitelists in place for user access control.

Is Phemex Safe?

The team behind our platform brings extensive experience in the business world, boasting a collective 40+ years of expertise in delivering high-frequency technology solutions. Notably, the team is led by eight former executives from Morgan Stanley, lending our platform a high level of trustworthiness.

To ensure the security of funds, our platform utilizes an HD Cold Wallet System. All funds are periodically transferred to a multi-signature cold wallet through offline signatures. Additionally, we leverage Amazon Web Service (AWS) Cloud, a renowned industry leader in cloud-based security and safety, as our hosting service. Our trading zones are isolated from the internal network by firewalls, providing an extra layer of protection. SSL technology and PCI scanning further enhance the platform's security measures.

With our robust recovery system, users can expect an impressive 99.99% availability. This reliability can prove to be a game-changer as Phemex stands the test of time. However, it's important to acknowledge that being a new player in the market, we anticipate encountering major challenges, including potential hacking attempts or market fluctuations that can strain even well-established platforms like Coinbase or Kraken.

Phemex Exchange Key Features

Phemex Spot Trading

Phemex offers a user-friendly trading experience that will feel familiar to those who have used trading platforms before. The platform adopts a standard modular design for the trading screen, akin to other crypto exchanges. Moreover, it harnesses the widely acclaimed and robust TradingView charting interface, ensuring a powerful and popular tool for traders. This versatility makes Phemex suitable for traders of all proficiency levels, catering to the requirements of even the most advanced technical analysis enthusiasts.

With TradingView seamlessly integrated into Phemex, users can easily access a comprehensive range of essential trading tools directly from the platform's trading screen. This integration guarantees convenience and immediate availability of the tools necessary for successful trading. With unlimited indicators and highly customizable screen modules, traders have extensive flexibility in tailoring their trading experience.

Experienced traders will find navigating and utilizing the trading interface on Phemex to be effortless, while newcomers may initially find it slightly overwhelming. However, Phemex offers support for demo trading and provides an impressive Learn & Academy section dedicated to educating new traders. This makes Phemex an excellent platform for beginners to gain valuable experience before entering live trading with actual funds.

Phemex's trading engine operates on the robust CrossEngine and TradingEngine, skillfully matching client orders by prioritizing price and time. This powerful combination ensures efficient order matching and execution on the platform. The CrossEngine is specifically designed to handle a remarkable 300,000 transactions per second, boasting an execution time of under 1 millisecond.

Phemex offers the following types of trade orders:

Market orders: These orders are executed instantly at the best available market price.
Limit orders: Traders can set a specific price, and the order will be executed instantly if the market reaches that price. Phemex supports different execution methods, including GoodTillCancelled (GTC), ImmediateOrCancel (IOC), and FillOrKill (FOK).
Conditional orders: Similar to limit orders, these orders allow traders to set a trigger price for execution.

With over 250 spot trading pairs available, Phemex provides a wide selection for most traders. However, if you are specifically interested in purchasing and trading low-cap and hard-to-find altcoins, the top three exchanges known for altcoin support are KuCoin, Gate.io, and Binance.

Please note that Phemex does not support margin or leverage trading in the spot trading market.

Phemex Derivatives Trading

Phemex has emerged as a favored platform for derivatives traders, providing comprehensive support for more than 150 perpetual contracts denominated in USD-M and Coin-M. Additionally, the platform has plans to introduce support for USDC Perpetual contracts in the near future. This wide range of derivatives offerings caters to the diverse trading needs of users on Phemex. Traders can access up to 100x leverage when trading these contracts, and similar to spot trading, the charting interface is powered by TradingView.

Traders on Phemex can choose from various order types, including:

Limit orders.
Market orders.
Conditional orders.

Additionally, the platform provides advanced settings for these orders, such as:

Reduce-only: This option ensures that the order only reduces the trader's position without increasing it.
Post-only: These orders are not executed immediately and are used to secure a Marker Rebate.
Bracket Order: Designed to limit potential losses and secure profits, bracket orders involve placing two opposite side orders to “bracket” the original order.
Good til Cancelled (GTC): These orders remain open until filled or manually canceled by the user. Traders can choose Immediate-or-Cancel (IOC), where a portion of the order is immediately filled at the target price, and the unfilled portion is canceled, or Fill-or-Kill (FOK), where the entire order is filled immediately at the target price or canceled.

Phemex offers these advanced order settings to provide traders with greater control and flexibility in their trading strategies.

Furthermore, the platform incorporates a helpful ping monitor located in the lower left-hand corner. This monitor offers real-time updates on the speed of your data transmission and reception. For easy reference, all the previously mentioned information can be readily found in the highlighted sections below, ensuring quick access whenever needed.

Phemex Sub-Accounts

Sub-accounts are a distinctive feature that is not widely supported by most cryptocurrency exchanges, yet it is gaining popularity among quantitative traders. Phemex offers the ability to create sub-accounts within an existing account, granting traders the flexibility to hold both short and long positions. These sub-accounts serve various purposes, such as hedging positions, utilizing trading bots, or testing different strategies in isolation.

The main account and all sub-accounts can be conveniently accessed and managed on a single screen. Each sub-account can be explored individually to review trading history, data, and statistics specific to that particular sub-account. This streamlined interface provides traders with comprehensive visibility and control over their trading activities across different sub-accounts.

Phemex allows users to create and manage up to 20 sub-accounts on their platform. This feature enables traders to organize and handle multiple accounts with distinct settings and strategies within a single Phemex user account.

Phemex Earn

Phemex offers multiple avenues for users to earn interest on their held cryptocurrencies. The first option is the Flexible Savings product, which provides the opportunity to earn interest without any lock-in periods. With savings rates ranging from 0.3% to 2%, supported assets such as BTC, ETH, SOL, and stablecoins can generate passive income. Phemex supports 11 assets in total, which is a notable offering compared to other platforms.

The second choice is the Fixed Savings Accounts, offering higher interest rates but requiring users to lock in their funds for specified terms. These fixed accounts boast competitive APYs ranging from 0.5% to 8.80% and lock-in periods of either 7 or 14 days. This flexibility positions Phemex as a favorable platform for earning passive income on held assets.

The Phemex Launchpool represents the third option for customers to generate passive income. This feature curates tokens and projects that offer higher APYs compared to regular staking. By participating in the Launchpool, users can discover new projects and earn increased returns on their tokens, making it an engaging opportunity to earn passive income while exploring new investment opportunities.

Top Trader Competition

The concept of gamifying trading has gained significant popularity among various crypto exchange platforms. Examples like Binance and KuCoin have introduced a “Vegas-style” section on their platforms where traders can engage in competitive activities and participate in trading contests to earn additional rewards and prizes.

Phemex has made an enticing foray into the realm of competitive trading. The platform hosts multiple teams and solo trading contests, encouraging traders to actively compete against one another for the opportunity to win cryptocurrencies and exclusive prizes.

In a recent campaign, the top 3 traders with the highest Profit and Loss (PNL) were awarded a $500 bonus, and an extra 20% commission from traders who copied their trades, and Phemex provided enhanced social media exposure and trader profiles on the platform. This can potentially pave the way for a highly profitable trading career for traders who can consistently demonstrate profitability.

Traders ranking from 4th to 50th place received a $100 bonus. Trading contests have gained popularity across various trading platforms, providing an appealing incentive for traders who are dedicated to their craft and wish to earn additional rewards.

Phemex Copy Trading

Copy trading has gained significant traction on exchanges such as Gate.io and Bitget. It offers an excellent opportunity for traders to earn passive income while benefiting both experienced and novice traders in the following ways:

Learning from Experienced Traders: Novice traders can study and learn from the trades executed by more experienced traders, allowing them to gain valuable insights and improve their trading skills. It's akin to an apprentice learning from a seasoned craftsman.
Supplementing Income for Experienced Traders: With a multitude of assets and charts to monitor, experienced traders can leverage copy trading to share their workload and earn additional income by allowing others to replicate their trades.
Diversifying Trading Strategies: Traders seeking to diversify their portfolio can focus on their expertise while copying trades from specialists in other assets. For example, a trader proficient in Bitcoin trading can follow and copy trades from an expert in Ethereum, capitalizing on their knowledge of Ethereum's behavior and price movements.
Sharing Strategies for Profit: Experienced traders can share their successful trading strategies and earn profits from their followers. By allowing others to copy their trades, they can generate additional income while executing their own trades.
Easy Hands-off Income: Traders seeking effortless income can simply sit back and copy trades from skilled professionals, minimizing their active involvement in trading decisions.

The copy trading section of the platform enables traders to explore and evaluate available traders to copy. Each trader profile showcases key metrics like total Profit and Loss (P&L), monthly Return on Investment (ROI), and monthly P&L, providing important information to assist in the selection process.

Phemex Launchpad

Launchpads have gained significant popularity across various exchanges such as Binance, OKX, and Bitget, and their appeal is well-founded. As an enthusiast of both centralized and decentralized launchpads, I highly appreciate platforms like the Trader Joe DEX, Enjinstarter Launchpad, and TrustSwap.

The emergence of launchpads has revolutionized the opportunities available to the average trader or investor. Previously, access to early-stage projects was predominantly limited to venture capital firms, affluent individuals, and those with influential connections.

Launchpads offer investors a lucrative opportunity to acquire tokens at significantly lower prices compared to their peak values during bull runs. The potential for enormous gains, often reaching thousands of percentage points, is precisely what fervent holders envision. A prime illustration of this phenomenon can be observed through the remarkable profits achieved by several projects that engaged in the Binance Launchpad.

Phemex carefully curates a selection of promising projects, enabling its users to participate and purchase tokens during the early stages, even before they are officially listed on the platform. It curates a range of promising projects for its users to engage with, providing them the opportunity to acquire tokens during the early stages, prior to their official listing on the platform. Let's explore one of the previous projects as an example:

The Launchpad portal on Phemex grants customers access to valuable information regarding upcoming token launches, empowering them to evaluate the potential of each project and make informed decisions on whether to participate. However, one area where Phemex could enhance its service is by providing more comprehensive details, insights, and analytical resources concerning the showcased projects. This would greatly assist users in conducting thorough research (“DYOR”) and deepen their understanding of the projects.

Currently, Phemex has only featured two projects on its launchpad, with no indication of forthcoming launches. At present, the level of activity on Phemex's launchpad appears to be comparatively lower when compared to certain rival exchanges.

Risk Warning: It is important to recognize that not all launchpad platforms are equal, and relying solely on a launchpad is not a substitute for conducting thorough research and exercising due diligence. The Launch feature available on platforms such as Phemex entails a significant level of risk, primarily because the featured projects are often small in scale and prone to a higher risk of failure. In the unfortunate event of project failure, tokens received from such projects hold no value.

Moreover, it is crucial to consider that these new projects typically possess relatively small market capitalizations, resulting in heightened volatility and vulnerability to price manipulation, including pump-and-dump schemes.

Therefore, it is essential for investors to exercise caution, carefully assess the risks involved, and make well-informed decisions before participating in launchpad activities.

Phemex Mobile App

Phemex has dedicated substantial effort to developing an exceptional app catering to users who prefer to engage in mobile crypto trading.

Upon exploring the app, I found it to be remarkably user-friendly, boasting a superb UI/UX design. The overall trading experience on the app is delightful, mirroring the functionalities available on the web platform. The recent app overhaul and update have garnered positive feedback from users, aligning with my own positive impression. Notably, the Phemex App has received remarkable ratings from its users, with an impressive 4.7/5-star rating on Android and a 4.5/5-star rating on iOS. These ratings are based on over 15,000 reviews across both platforms.

While the app has garnered excellent ratings and I personally couldn't identify any faults, it is important to note that most traders, myself included, would not recommend relying solely on a mobile app as the primary trading tool. Depending solely on a mobile app for trading can potentially lead to unfavorable outcomes. I elaborate further on why this is not recommended in my Coinbase Review, which I encourage you to explore before assuming that a mobile app alone can make you a professional trader.

How to Register an Account on MEXC Exchange?

Phemex provides a convenient platform for trading without the need for KYC verification. Users who wish to deposit, withdraw, and trade cryptocurrencies can do so without undergoing the verification process. However, KYC is required for purchasing crypto or signing up for an OTC account.

The registration process on Phemex is straightforward and can be completed in four simple steps:

Sign up on the official Phemex website.
Provide a valid email address and create a password. It's important to use a genuine email address as it will require verification.
Click the verification link sent to your email to verify your account.
Set up your account, enable recommended security features, and start enjoying trading.
For KYC verification to purchase crypto, users need to go through a third-party vendor by selecting the “buy crypto” tab and following the provided process. The specific requirements and documents may vary depending on the vendor but generally involve uploading a government-issued ID, providing address information, and taking a selfie.

To verify your account on Phemex, follow these twelve steps:

To begin, open the Phemex App on your device and proceed to log in to your account.
Tap the Account Icon located at the top left of the screen.
Select the KYC verification option.
Tap the Verify option.
When you're ready to proceed, tap Start and follow the on-screen instructions.
Choose the issuing country of your ID from the drop-down menu and select the correct ID type.
The app will access your phone's camera. Ensure your document is centered and angled properly for legibility.
Capture a valid photo of the document and tap the Confirm button.
The next step involves face verification. Tap Start when you're prepared.
Position your face within the provided oval-shaped space. The app will automatically scan and upload your image.
While the application is processing, you will see a “Verifying” tag next to the ID & Face Verification option.
If the process is successful, the tag will change to “Verified.”

Phemex Fees

Phemex offers fee-free deposits, allowing users to transfer funds into the exchange without incurring any charges. As for trading fees, Phemex maintains a straightforward fee structure with a maker fee of -0.025% and a taker fee of 0.075%. These rates are in line with industry standards and comparable to other exchanges.

In addition to trading fees, Phemex implements a funding rate that varies based on the leveraged position held by traders. It's important to note that higher leverage can have a substantial impact on equity, and this is reflected in the funding rate applied by Phemex.

Phemex Deposit Fee

Phemex guarantees that there are no fees for crypto deposits, enabling users to transfer cryptocurrencies into their accounts without any additional charges.

Nevertheless, it is essential to be aware that the claim of complete fee exemption for third-party payment gateways by Phemex is partially accurate. When using VISA or MasterCard for payments, there could be a fee of up to 2% imposed on the transaction. Conversely, alternative payment methods like SEPA or simple bank transfers generally do not attract any fees.

Phemex Trading Fee

At Phemex, the trading fees are structured as follows:

Spot Trading Fee:

Standard Users: 0.1% fee applies to both takers and makers.
Premium or Premium Trial Users: No trading fee is charged for spot trading.

Contract Trading Fee:

Takers: A fee of 0.075% is applicable for contract trading.
Makers: A fee of -0.025% is applied for makers, which means makers receive a rebate for providing liquidity.

These fee rates are specific to Phemex and may vary from other platforms.

Phemex Fiat Withdrawal Fee

Phemex does not currently offer any payment methods for withdrawing fiat currencies. The platform primarily focuses on cryptocurrency trading and does not support direct withdrawals in fiat currencies at this time. Users are advised to convert their cryptocurrencies to fiat through other platforms or exchanges that facilitate fiat withdrawals.

Phemex Crypto Withdrawal Fee

The withdrawal fee for cryptocurrencies on Phemex is not fixed and can vary depending on market conditions. It is recommended that users review the specific fee associated with each asset before proceeding with the withdrawal of their digital assets. By checking the current fee, users can obtain accurate information and make well-informed decisions when it comes to withdrawing their cryptocurrencies.

Deposit and withdrawal payment methods

Phemex Affiliate Program

Unlike many other cryptocurrency firms, Phemex provides a completely free affiliate program that is accessible to all Phemex users.

Through this program, users have the opportunity to earn approximately 50% in commission on all fees generated and paid by their referred individuals. Additionally, users can receive a commission of 10% for all referrals made by their sub-affiliates.

The exceptional payment structure of the Phemex affiliate program sets it apart, offering the industry's best and highest commission rate among crypto companies.

Customer Support by Phemex Exchange

Customer support is an often overlooked aspect of trading platforms, which can be a critical mistake. Realizing that a platform lacks reliable support when facing an urgent issue during an open trade can lead to significant losses. Access to prompt and efficient support is crucial in such situations.

When conducting exchange reviews, I prioritize thoroughly testing the customer support provided. It is essential not to blindly trust claims of good support made by platforms, as many fall short of delivering on this promise. In my KuCoin review, I shared a surprising and humorous anecdote about the deplorable customer support I encountered.

So, how does Phemex's support stack up?

Honestly, it's pretty impressive, especially when compared to KuCoin. I typically don't have high expectations for robust support when reviewing exchanges outside the top ten. However, in the case of Phemex, over a span of three days, their support team excelled in every test I presented. To ensure objectivity, I conducted these tests incognito, assuming the role of a regular customer seeking assistance without revealing my true intentions for review purposes.

Phemex offers support through its Help Center, which features a comprehensive collection of articles and guides that prove to be quite helpful. My only suggestion for improvement would be to include more step-by-step guides, images, and tutorials, particularly for newcomers seeking to learn how to trade.

The Phemex support team can be reached through various channels, including email, live chat, and the Telegram community. These avenues provide users with multiple options to seek assistance and find solutions to their queries or concerns. The Telegram community, in particular, can be a valuable resource as it allows users to connect with other traders and potentially receive helpful guidance or advice.

Conclusion Review Phemex

Phemex is clearly driven and dedicated to establishing itself as a prominent player in the cryptocurrency exchange industry, aiming to reach the pinnacle alongside other major players in the field.

Since entering the US market and attaining regulatory compliance, Phemex has demonstrated impressive growth and continuous introduction of new features and functionalities. The platform's appeal to serious traders is evident, thanks to enticing offerings such as profitable copy trading, engaging contests, and a robust trading engine. Although Phemex is still a relatively young platform and has room for further development in terms of product and market offerings, its ongoing expansion and positive trajectory indicate the potential for Phemex to secure a solid position among the top ten exchanges.

Frequently Asked Questions

What is Phemex?

Phemex is a reputable cryptocurrency exchange that enables users to buy and trade various cryptocurrencies. The platform supports both spot trading, where users can directly buy and sell cryptocurrencies, as well as derivatives trading, which allows for trading based on price speculation without owning the underlying assets. In addition to these trading features, Phemex offers popular functionalities such as Earn, which provides opportunities to earn passive income through various investment products.

Headquartered in Singapore, Phemex was established in 2019 and has gained recognition as a regulated trading platform. It adheres to relevant regulations and operates in compliance with the legal requirements of the jurisdictions in which it operates. Phemex's commitment to providing a secure and trusted trading environment makes it a reliable choice for cryptocurrency enthusiasts and traders.

Is Phemex Legit?

Phemex is a trusted and legitimate cryptocurrency platform that prioritizes the safety and security of its users. The company is registered as a Money Services Business with FinCEN (Financial Crimes Enforcement Network) and operates within the legal framework of the jurisdictions it supports. This ensures compliance with regulatory requirements and instills confidence in users.

One notable aspect of Phemex is its experienced team, which boasts over 40 years of combined expertise in the industry. The team includes eight former executives from Morgan Stanley, bringing valuable knowledge and insights to the platform. Additionally, the team comprises members with diverse backgrounds and extensive experience in the field of blockchain technology, further enhancing Phemex's capabilities and understanding of the crypto space.

Can I use Phemex in the USA?

Yes, Phemex is registered with FinCEN and operates within the United States.

Is Phemex good for beginners?

Although the platform's advanced trading concepts and features cater more towards experienced traders, Phemex is an excellent resource for beginners seeking to learn how to trade. This is primarily due to their complimentary Phemex Academy, which provides an extensive range of blog posts and articles covering everything from Crypto 101 to advanced trading techniques. Additionally, Phemex offers demo accounts for users to practice trading without any financial risk.

Is Phemex better than Binance?

While Binance holds the top position as the world's leading exchange, Phemex cannot be considered superior to Binance. Most traders prefer Binance due to its extensive features and offerings, which are both comprehensive and robust. However, Phemex does have its advantages over Binance in terms of copy trading and KYC-free trading.

Is Phemex better than Coinbase?

Coinbase stands out as one of the premier exchanges for beginners, providing a user-friendly platform for purchasing and securely storing cryptocurrencies. However, Phemex excels in several aspects when compared to Coinbase. It is particularly advantageous for individuals interested in trading futures, engaging in copy trading, conducting KYC-free trades, and accessing earn features. For those seeking these specific functionalities, Phemex offers a superior solution compared to Coinbase.