Bybit Crypto Derivatives Exchange Launches Spot Trading

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Bybit, one of the largest Singapore-based crypto derivatives exchanges, has thrived in the spot crypto exchange market.

Breaking the news on Thursday, Bybit said spot trading in bitcoin (BTC), ether (ETH), XRP and EOS is now available for users against stablecoin Tether (USDT). Other trading pairs will follow shortly, he said.

Bybit says it won’t charge any manufacturer fees for spot trades, which are taken to provide liquidity to the market in the form of buy or sell limit orders. Binance, the world’s largest crypto exchange, for example, charges a manufacturer fee of 0.1000% for trading volume valued at less than 50 bitcoins.

Bybit’s zero fee is a “lifetime” feature, not a limited time offer, exchange founder and CEO Ben Zhou told The Block. Bybit’s taker fees represent 0.1% of trading volume, he said. Taker commissions are generally higher than manufacturers’ commissions, because taker orders are immediately compared to an order already in the order book, which removes liquidity.

Serve more customers

Bybit was founded in 2018 and is currently the second largest bitcoin futures exchange in terms of open interest and trading volumes, according to The Block’s data dashboard. When asked why start spot trading now, Zhou said it would allow the exchange to serve more clients.

“Now that we are comfortably at the top of the derivatives lane and have managed to stay operational throughout the bull run as virtually all of our peers have experienced overload and downtime, we believe. that it’s time we brought the same level of reliability that Bybit embodied in spotty derivatives, ”Zhou said.

Bybit will also launch options trading “later this year,” Zhou told The Block.

When asked how Bybit would ensure the liquidity of the spot trading offer, Zhou said that an incentive program is in place for market makers and that currently “all” market makers are already connected to the exchange’s test environment.

Like Bybit’s derivative offering, spot trading will not be available to residents of the United States, Mainland China, Singapore, Quebec (Canada), Iran, Syria, North Korea and other restricted jurisdictions.

Earlier this year, Bybit ceased its services in the UK following a warning from the country’s Financial Conduct Authority. Last month, the Ontario Securities Commission initiated proceedings against Bybit, accusing the exchange of operating an unregistered crypto trading platform in Ontario, Canada.

2021 The Block Crypto, Inc. All rights reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial or other advice.

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