PrimeXBT Review: 100x Leverage With Advanced Trading, Charts, and Passive Income

The PrimeXBT cryptocurrency exchange is a one-stop-shop trading platform that supports trading cryptocurrencies, most major stock indices, commodities, and foreign currencies.

In addition to offering margin trading up to 100 times your initial investment amount, it also has a novel "covesting" feature that lets you see and mimic the trading moves of top-investors on the website. Also, its "turbo" trading option allows you to make short-term price predictions. If your guess is correct, you make a quick double-digit profit. Unfortunately, PrimeXBT is not available in 14 countries including the U.S. and Canada and that weighs on our rating. Check out our full PrimeXBT review to see if this exchange is right for you.

This cryptocurrency exchange is a good fit for: Experienced users looking for advanced features and opportunities designed to increase profitability. New users will enjoy the ability to copy the trades of experienced traders. All users will benefit from being able to trade different kinds of assets including cryptos and major stock indices.

Top perks

Robust multi-level, referral program

The PrimeXBT referral model has a four-tier payout system. You receive rewards not only for direct referrals you bring to PrimeXBT but for their referrals as well. It's like a multi-level marketing plan. This setup can multiply the passive income you receive from the trading fees paid by the referral network you build. You have to use your custom referral link to invite people. To receive max rewards, encourage your referrals to invite more folks.

PrimeXBT offers leveraged trading up to 100x

PrimeXBT offers leveraged trading up to 100 times the amount you contribute. Leverage trading (also known as margin trading) is a method involving borrowed funds from the exchange. The reason to trade via leverage is to increase profit potential. Leveraged trading allows you to trade and profit using much larger asset amounts than with personal funds.

Advanced technical analysis tools -- without leaving the website

The PrimeXBT technical analysis platform runs on Tradingview. It's preloaded with hundreds of popular indicators (like strength index, moving averages, etc.), more than 50 intelligent drawing tools for in-depth market analysis, and educational resources on the most popular trading concepts. The charts are useful in helping traders identify up-and-down price trends for the assets they're watching. So users make more profits and avoid losses.

What could be improved

Extremely limited number of trading pairs

PrimeXBT has a weak slate of trading pairs. It offers only seven, which is among the fewest offered by an active global exchange. What makes it odd is that the exchange does not currently accept any reserve currency deposits from bank accounts or credit cards. It only accepts crypto transfers from other exchanges or digital wallets in:

• Bitcoin (BTC)
• Ethereum (ETH)
• Tether (USDT)
• USD coin (USDC)
• Covesting (COV)

It only accepts crypto transfers but barely offers any crypto trading choices. Most digital exchanges offer dozens -- if not hundreds -- of crypto trading options for users to choose from. It's unusual and unclear why PrimeXBT would choose to offer so few options.

No access for residents of several countries including the U.S.

The site lists 14 countries on its "prohibited jurisdictions" including Canada, U.S., and Japan. There was no additional explanation for the blocked access in these regions.

Doesn't currently offer lending or borrowing against your stored funds

More and more crypto exchanges are offering lending services. This is especially true with the explosive growth of decentralized finance (DeFi) within the space. As of this writing, PrimeXBT does not offer interest-bearing accounts. Its blog site states that it plans to roll out a way to earn interest, but it's not clear what tokens or coins will be eligible. Also you have to join a waitlist for the service, which won't launch until late summer of 2021 at the earliest.

Separately, under its covesting module, PrimeXBT offers a "staking" option but it is NOT interest earning. It's merely a three-tiered membership program you buy into that opens up more perks the more you spend upfront. A membership buy-in feature is not the same definition of staking used by other exchanges. How PrimeXBT defines the term is confusing at best -- misleading at worst.

If you want a U.S. based full-service crypto exchange: Headquartered in the U.S., Gemini is easy to use and offers a variety of trading features and rewards. The Gemini exchange also offers investors dozens of cryptocurrencies to research and consider compared to PrimeXBT. Its Gemini Earn feature is another unique aspect that sets it apart from PrimeXBT, as it allows users to earn interest on their idle cryptocurrency balances.

For a large selection of cryptocurrencies: Binance.US users have access to more than 70 coins, which far outpaces PrimeXBT.

PrimeXBT does not have a wallet separate from the main exchange. It has five separate embedded wallets within the exchange. Each wallet is designated for a specific cryptocurrency:

• BTC
• ETH
• USDT
• USDC
• COV

These are the only cryptocurrencies that can be transferred to the platform for trading. There are two ways to do that:

• Direct crypto deposits from your personal crypto wallets to your PrimeXBT account
• Deposits through third-party services, such as Paxful, Coinify, Xanpool, CEX.io, which allow you to buy crypto using a bank card

Currently, PrimeXBT only allows direct crypto transfers. It doesn't support direct bank or credit card deposits.

The main section of the platform allows you to manage your account. There you can create, track your multi-currency wallets and make deposits or withdrawals. It's also where you access your margin trading, turbo predictions, and covesting strategies features.

RELATED: Check out The Ascent's CEX.io review.

PrimeXBT Covesting

Covesting allows platform users to see and mimic the top traders on the PrimeXBT website. Covesting is a unique way to make passive profit for anyone who doesn't know how to trade themselves. The covesting feature allows you to replicate the trading decisions of experienced and successful traders.

If you're an experienced trader, you can set up your own portfolio and trading strategy for others to follow. The minimum amount of personal funds required to be a covesting leader depends on the currency:

• 0.05 BTC
• 1.2500 ETH
• 2,500 USDT
• 2,500 USDC

PrimeXBT Turbo

PrimeXBT turbo is a fascinating feature where you can earn more than 70% return on your investment in minutes. The trick is to predict short-term price moves of various assets, such as:

• Bitcoin
• Gold
• S&P 500
• Oil
• EUR/USD

If the prediction is wrong, the loss equals the pledged amount selected when making your prediction at the start. The potential return for a correct guess is preset by the turbo feature.

Various assets have different prediction durations, which are:

• Crypto: 5 minute, 10 minute, and 15 minute
• Forex: 1 minute and 5 minute
• EUR/USD: a 30 second contract duration is also available

PrimeXBT has one of the simplest fee structures among trading platforms. There are two different expenses -- trading fees and overnight financing fees.

A trading fee is incurred any time a position is opened or closed as a percentage of the transaction amount as shown below:

Overnight financing is incurred any time a leveraged position is carried into a new trading day. The overnight fee is a percent of the open trade that ranges between 0.00277% to 0.1389% based on the type of trade. Positions closed before the start of a new trading day (00:00 UTC) are not charged.

There are no fees for account deposits. The withdrawal fee is a flat fee regardless of the amount of the asset being withdrawn as shown below:

PrimeXBT offers seven cryptocurrency trading pairs -- one of the lowest among active exchanges. This includes:

• Bitcoin (BTC)
• Ethereum (ETH)
• Ripple (XRP)
• EOS (EOS)
• Litecoin (LTC)
• USD Coin (USDC)
• Tether (USDT)

PrimeXBT strives to provide the highest level of security to its platform users. It claims an extensive, multi-layered cyber security framework. This framework ensures strict measures and practices are in place to protect customer assets against any threat or cyber attack.

PrimeXBT runs random stress tests and security audits to ensure its network stays secure.

Its specific security measures include:

• Two-factor authentication (provided by Google) to prevent unauthorized access to users' accounts
• Encrypted secure sockets layer (SSL) to encode and protect website traffic
• All passwords are encrypted using the bcrypt hashing function
• PrimeXBT uses Cloudflare to prevent potential distributed denial-of-service (DDoS) attacks
• Ongoing IT security assessments are run to stay current with new potential vulnerabilities

The PrimeXBT environment is hosted on Amazon Web Services (AWS). AWS has a proven track record of industry-leading digital and physical security.

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• You're a trader at any level: beginner to veteran
• You don't live in the U.S., Canada, or 12 other no-go countries
• You don't need a wide selection of cryptos to trade
• You're not interested in lending or borrowing features
• You like the idea of multiple passive revenue streams
• Cybersecurity is important