Phemex Review 2024: Features, Fees, Pros & Cons

Phemex is an unregulated cryptocurrency exchange based in Singapore that has been popular amongst traders due to its state-of-the-art perpetual contracts trading. Now, the exchange provides a lot more than ever before.

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Quick Verdict

Phemex was initially a perpetual contracts exchange, but it has since developed into a well-rounded cryptocurrency trading and investment platform with plenty to offer. Mostly known for its fast and reliable trading engine that enables swift order processing, zero-fee crypto trading (with certain restrictions) the unregulated exchange provides a breadth of 350 crypto assets across 578 markets. 

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Its perpetual contracts trading markets are comprehensive and rival those of other global exchanges. 

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Create an account with Phemex and start trading.

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Pros

• Supports 350 spot crypto assets and 578 markets.
• Contract trading fees start at 0.018% for makers and 0.055% for takers.
• Comprehensive trading tools, including TradingView charting, live order books, and various order types.

Cons

• The P2P marketplace is limited to USDT, BTC, and ETH, and the user interface is outdated.
• Phemex Earn is limited in variety and duration, with no long-term fixed options.

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Phemex’s Features and Markets

Comprehensive derivatives trading

With its roots in derivatives trading, Phemex provides a large selection of perpetual futures markets. Otherwise known as “contract trading,” Phemex provides access to hundreds of assets, with most contracts equalling $1. Contracts comprise USDT-M and COIN-M perpetual, where USDT is used as the margin and the selected coin as collateral, respectively. 

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Users can place orders and use leverage of up to 100x on contract trades, with long and short positions available. In addition, market, limit, and conditional orders are available, and traders can customize orders as needed.

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TradingView charting, live order books, and the ability to monitor active positions and order histories are all common features. While Phemex does not provide anything unique, it remains a reliable platform for contract trading due to its fast order execution and range of analytical tools.

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Phemex Earn

Phemex’s Earn Programme allows customers to earn up to 10% APY interest on 13 popular cryptocurrencies, such as USDT, ETH, BTC, and SOL. The terms can be flexible or fixed, with a maximum period of 14 days typically, meaning that no long-term options are available.

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Customers who select a flexible arrangement can withdraw their funds at any time. The Phemex Earn program provides respectable short-term income but quickly sells out and has a limited variety, while the long-term fixed rates are low. 

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Solid copy trading

Phemex provides crypto copy trading, which allows users to duplicate the trades made by another user instantly. The platform features a multitude of experienced traders, and users can check information on parameters such as monthly earnings, overall profit and loss, and the amount of others copying them.

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Followers pay a fee to duplicate a trader's position, and the trader receives some of the followers' profits. This is an excellent approach to passive trading for individuals who are scared to try cryptocurrency trading. 

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The aspect that is lacking is the community environment, and copy trading on Phemex feels a bit static. With this in mind, eToro is far superior if prospective customers want more social connectivity. 

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Virtual mock trading 

Like many other global crypto exchanges, Phemex has a mock trading module where users can place trades in a simulated environment.  

While users have all the charting tools, advanced indicators, and order types they need, only six mUSDT perpetual trading pairs can be accessed. That said, Phemex has introduced a range of trading bots that can be used in the demo account.

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P2P trading

Phemex users can exchange cryptocurrency directly with other users through the Peer-to-Peer (P2P) marketplace. Phemex moderates these transactions, but the funds are transferred to the seller, who then sends the cryptocurrency to the buyer.

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The P2P marketplace on Phemex has its cons, which outweigh the pros. Firstly, only USDT, BTC, and ETH can be traded. Secondly, the user experience feels outdated and lacking. 

However, there are zero transaction fees and 15 payment methods available to merchants.

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Prediction markets

While Phemex's major offering is its trading capabilities, it allows users to speculate on real-world events via its prediction markets platform. 

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Each competition on the Prediction Markets platform requires a user to pledge USDT to participate and has only two outcomes: those who accurately anticipate an event's outcome receive a payout in USDT. While an intriguing notion, similar to sports betting, competitions appear infrequent.

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Phemex Launchpad

The Phemex Crypto Launchpad allows users to invest in new cryptocurrencies during the Initial Coin Offering (ICO) phase. A project can apply to be listed on Phemex's Launchpad, and if selected, several tokens can be assigned for investors to purchase at a discounted price.

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Unfortunately, the featured projects are few and far between, with only three projects available at the time of writing. 

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Supported Fiat Currencies and Deposit Methods

Phemex has partnered with popular payment gateways like Simplex, Coinify, and MoonPay to allow users to buy cryptocurrency with a credit or debit card. However, wire transfers are also available. Funds will arrive in your trading wallet after 1 - 2 days with no fees incurred.

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The interface currently enables the purchase of only four assets - Bitcoin, Ethereum, Tether, and USDC, which is limited. Users can buy cryptocurrency with 84 fiat currencies, including USD, EUR, GBP, JPY, AUD, and CAD. 

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Supported Cryptos and Trading Pairs

Phemex supports 350 spot crypto assets for buying and selling on the exchange, which is respectable compared to other global platforms. There are over 120 derivatives markets (only two COIN-M trading pairs) available, where trading pairs are denominated in USDT or USDC.

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Overall, the selection is fairly limited compared to Binance and Bybit, which have over 40 and 6 coins to trade, respectively. 

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Fees and Charges

Deposit & Withdrawal Fees

Phemex does not impose additional fees for cryptocurrency deposits into a user trading account. Furthermore, withdrawals from the Phemex wallet incur a standard blockchain fee, which fluctuates depending on the crypto asset and network load. 

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Instant purchases of cryptocurrencies using a credit or debit card will incur a 0.8% fee. 

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Spot market fees

Trading fees on the market start at 0.1% for maker and taker orders, with a 20% discount available depending on the user's trading volume. While not the cheapest trading fees, they are on par with Binance and Bybit. This should suffice for most traders since the trading volume required to attain the 20% discount is $800,000.

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Contract trading fees

Like its spot trading fee structure, contract trading follows a maker-and-taker model, with fees starting at 0.018% and 0.055%, respectively. These fees are some of the lowest, contributing significantly to Phemex's popularity as a derivatives exchange.

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Using Phemex 

In our opinion, Phemex was rather simple to use when important site portions were easily accessible. Phemex's trading interface was likewise excellent, and we did not experience any latency issues.

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Phemex customers can access the market, limit orders, and conditional variations. The TradingView-equipped Phemex interface lets you view your trade history easily. The derivatives trading tool also makes changing leverage and viewing margin needs simple.

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Final Verdict

Phemex has evolved from a specialized perpetual contracts trading platform into a comprehensive cryptocurrency exchange. Its robust trading engine, extensive tools, and solid copy trading options make it a reliable choice for high-frequency traders. However, its P2P marketplace is limited, and the Phemex Earn program lacks long-term options. Overall, Phemex excels in speed and reliability in contract trading, but its broader appeal is lacking compared to the likes of Binance, Coinbase, and Bybit, in our opinion.

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We aim to publish factual and accurate information as of the publication date. For specific information about a cryptocurrency exchange or trading platform please visit that provider's website. This information is general in nature and is for educational purposes only. We do not provide financial advice, nor does it take into account your personal financial situation. We encourage you to seek financial advice from an independent financial advisor where appropriate and make your own inquiries.

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