Brief Introduction

BIT stands as a comprehensive cryptocurrency exchange designed for professionals looking for a robust trading environment. The platform encompasses a spectrum of services, ranging from executing complex trading strategies to facilitating price discovery and ensuring liquidity. Notably, the exchange offers advanced risk management capabilities, underpinned by the effectiveness of Portfolio Margin and Unified Margin.

The exchange’s commitment extends beyond conventional exchanges. Its founders actively foster innovation by promoting the development of cutting-edge financial products. Simultaneously, they enhance the suite of trading tools, providing users with a dynamic and evolving experience.

History and Location

Established in August 2020, BIT has become an independent entity following its spinoff from Matrixport, a leading cryptocurrency financial service company. Positioned as one of the premier crypto options trading platforms, BIT distinguishes itself by providing innovative USD-margined trading pairs. The company headquarters are located in Seychelles.

Available Assets

The platform supports the most popular digital assets such as BTC, ETH, TON, BCH, ADA, FIL, SOL, and others. Users may choose among different of crypto options with expiration types, including daily, weekly, monthly, and quarterly.

Features and Tools

BIT is one of the leading crypto exchanges that support BTC options in terms of volume. The exchange allows for:

perpetual contracts;

futures;

options products on BTC, ETH, and BCH.

Here are the main features of the exchange:

Insurance fund. The insurance fund at BIT stands as the secondary safeguard within the platform's risk management framework, with the initial line of defense being their liquidation methodology. There is over 200 BTC in the fund.

Portfolio margin. The platform assesses the user’s portfolio risk by engaging in intricate computations to determine the potential losses a portfolio might face under various scenarios. Once the PM account is activated, users can conveniently access and review the distinct risk parameters on their account.

Unified margin. The unified margin system is an enhanced risk-management mechanism, providing users with a streamlined, one-account solution. This innovative approach permits the utilization of all assets within the account as collateral when engaging in trading across various products. The operational principle involves calculating the value of all currencies in USDT. Additionally, a designated haircut ratio is applied to furnish margin for all positions. While this system offers advantages in specific scenarios, it poses potential risks, particularly for less experienced users who may not know how to use stop-loss tools.

Additional Features

Additional functions of the BIT exchange are:

Savings. This tool supports all popular assets. It implies no fees and no lockups, while at the same time providing competitive rewards.

APIs - only for options and futures - support post-only orders, batch orders, and stop/trigger orders.

Rebalancing market maker strategy - a part of automated market making, that helps increase portfolio value in a range-bound market.

Block trading - quick transactions for options and futures in large trading volumes and at low slippage.

Security

The BIT platform prioritizes the security of its users, evidenced by the absence of any reports on security breaches.

Users are provided with the following security measures:

Security key

2FA

Verification on a mobile phone

Fund password

KYC procedure.

Users' funds are protected by Cactus Custody. In addition, the BIT exchange supports key hardware protection.

Regulations

In 2023, BIT confirmed the successful finalization of its registration as a Virtual Asset Service Provider (VASP) in Lithuania. This registration empowers BIT to offer a spectrum of crypto-related services to customers within the European Economic Area. This official registration grants BIT the authorization to provide cryptocurrency exchange services and operate as a cryptocurrency depositary wallet service.

The BIT exchange is a reputable and reliable platform for advanced traders who prefer to use sophisticated tools for implementing their trading strategies. The exchange meets the requirements of regulations in Europe and is considered a safe place for trading.