In recent weeks, cryptocurrencies have plummeted to levels last seen months ago, leaving various crypto users in losses. Whenever the prices of crypto assets go south, crypto investors often flock to more stable and reliable income streams within the crypto market, such as trading. However, some users are restricted due to their geographical locations. BYDFi fixes all these. Regardless of where a user lives, they can access BYDFi trading tools and other services within the platform.
Table of Contents
This article delves into BYDFi’s top features, trading tools, and other common questions people ask about the exchange.
What is BYDFi?
BYDFi is a cryptocurrency exchange that implements a no-KYC policy. Users can create accounts and use the exchange’s services without undergoing the Know Your Customer (KYC) assessment, a process where personal credentials are submitted. Still, users must submit their details when transacting amounts equivalent to 6 BTC daily.
Founded by Michael Hung in 2020, the crypto exchange initially operated using the name “Bityard.” However, the crypto trading platform was rebranded to BYDFi in 2023, and the new name means “BUIDL Your Dream Finance.” The exchange’s development team believes that the new brand name showcases their vision for the crypto market to grow in utility beyond current use cases like NFTs, metaverse, DeFi, and GameFi. Its official website shows over one million individuals use BYDFi across over 150 countries.
Trading functionality is at the helm of BYDFi’s use cases. Among the many trading features on the platform are spot trading, futures trading, and copy trading. It offers over 800 cryptocurrencies for spot trading and allows for flexible leverage trading ranging from 1x to 200x. Among the hundreds of crypto assets available are memecoins like DOGE, SHIB, PEPE, and TRUMP.
BYDFi Features
Here is a list of BYDFi’s top features that have attracted over a million customers:
Spot Trading
Spot trading involves buying and selling cryptocurrencies at the current market price. Each crypto asset is paired with another crypto, such as USDT, USDC, or other stablecoins or fiat currencies. BYDFi offers over 800 cryptocurrencies featuring digital assets like BTC, ETH, SOL, and DOGE.
Perpetual Trading
Perpetual trading (or perpetual futures) allows users to speculate on the future price of a specific cryptocurrency without an expiry date. BYDFi features USDT-M (perpetual contracts settled in USDT) and Coin-M (perpetual contracts settled in other cryptocurrencies) perpetual futures. Unlike rival crypto exchanges implementing 100x or 125x leverage, BYDFi allows traders to place trades with up to 200x leverage, allowing for more dramatic price movement.
Copy Trading
As the name implies, copy trading allows beginner investors to replicate the trading strategies of veteran traders. This minimizes risk and maximizes potential profits. BYDFi enables new traders to partake using as little as $10. It features various cryptocurrencies and supports diverse languages.
Users can also choose between isolated margin mode (to manage funds of each position independently) and cross margin mode (to automatically channel funds for multi-strategy portfolios and complex trading activities). Traders can also deposit funds into their accounts using various payment methods. BYDFi also offers a transparent fee structure to users.
Demo Trading
Demo trading is a simulator where traders familiarize themselves with the trading tools in a platform and acquire practical trading skills. They are provided with simulated funds to execute trades in the trading sandbox, implying that users do not lose actual funds in the process. BYDFi offers demo traders $100,000 in USDT to practice and sharpen their trading skills.
Coin list
BYDFi allows users to organize and track their favorite crypto assets and share any cryptocurrency with other users.
Fiat gateway
BYDFi allows users to deposit funds using various channels, such as credit/debit cards and bank transfers. To facilitate global transactions, the crypto exchange also employs third-party payment options like BANXA, Alchemy Pay, Transak, Mercuryo, and Coinify. Users can deposit funds using over 100 fiat currencies, including GBP.
BYDFi’s Smart Trading Tools
Aside from its traditional trading features, BYDFi has taken things forward by rolling out automated trading tools to upscale users’ trading activities. These smart trading tools include:
Spot Grid
BYDFi’s Spot Grid is a cutting-edge trading tool created to help traders profit from market volatility with minimal effort. Traders who use this type of trading tool can automate their trading strategies, minimize emotional decision-making, and maximize potential profits.
The Spot Grid also has risk management features, which make it easier for traders to optimize their trading strategies.
Why Choose Spot Grid?
Spot Grid has peculiar features and benefits, making it an attractive choice for traders. For instance, its advanced grid trading strategy allows users to divide a price range into multiple grids and automatically buy low and sell high within them, making profits from price fluctuations.
The tool also provides customizable parameters, including grid number and investment amount, which help traders tailor the strategy to their individual preferences and needs. Additionally, Spot Grid's automated trading capabilities execute buys and sells within the designated price range, saving time and effort.
Furthermore, other benefits of Spot Grid are its real-time monitoring and risk management features, such as stop-loss and take-profit orders, which help minimize potential losses. By eliminating emotional decision-making, Spot Grid enables traders to stick to their strategy and avoid impulsive mistakes.
How to Use Spot Grid:
To use the Spot Grid tool, a user needs to first create an account by signing up for a BYDFi account and completing the necessary verification steps. Then, navigate to the Spot Grid section within the BYDFi platform and configure the price range, grid number, investment amount, and other parameters to suit their trading strategy.
The next step is enabling the tool, which will begin automating your trades according to your specified parameters. Monitor market conditions closely and continuously adjust your strategy to optimize your trading performance.
Spot Investment
Spot Investment is suitable for traders opting for a long-term investment strategy. The BYDFi trading tool allows traders to diversify investment risk by purchasing the same amount of investments at fixed intervals.
These traders can invest in cryptocurrencies like Bitcoin, XRP, and Solana using a Dollar-Cost Averaging (DCA) approach.
Why Choose Spot Investment?
Spot Investment has unique features that make it attractive to traders. For instance, the trading tool is a good choice for traders looking for a long-term investment strategy to escape the stress associated with short-term market volatility.
In addition, the DCA feature enables traders to invest a fixed amount of money at regular intervals, regardless of market conditions, thus reducing the risk of investing large amounts at a single price point.
Furthermore, traders can take advantage of the compound interest over time and get higher returns.
How to use Spot Investment:
Users must deposit funds to activate Spot Investment. Next, they can select their preferred crypto assets (up to 10 cryptocurrencies) and set their investment amount and interval.
After putting their investment settings in place, the user should review and confirm to initiate the investment process. Once underway, they can track your investment’s performance in real time while adjusting the settings to optimize results.
Additionally, users can maintain complete control over their funds by pausing, stopping, or withdrawing their investments, including any accrued interest, at any time, providing flexibility.
Spot Martingale
The Spot Martingale trading tool originated from a classic guessing game in which players double their bet after each loss until they win. This strategy was then incorporated into cryptocurrency trading, particularly in medium—and long-term oscillating markets.
By continuously buying during market declines, traders can batch bottom out and average down costs, ultimately profiting when the market rebounds.
Why Choose Spot Martingale?
The Spot Martingale tool offers unique features, making it attractive to traders, especially well-funded investors. For instance, it allows them to batch bottom out, thus capitalizing on market rebounds.
Additionally, the strategy is simple and efficient, requiring minimal rules and parameters such as initial order amount, trigger price, safety order amount, and take profit/stop loss, which can be personalized to optimize the strategy.
How to use Spot Martingale:
After creating an account, set your parameters to guide the strategy’s automated trades.
This includes the initial order amount, trigger price, safety order amount, and take profit/stop loss thresholds.
As the market declines, the strategy buys, averaging down costs. When the market rebounds, it sells, capturing profits. This automated process helps you profit from market fluctuations while minimizing emotional decision-making.
BYDFi Fees
BYDFi fees vary across different sectors. For instance, Spot Trading fees range from 0.1% to 0.3% for both makers and takers, while for perpetual contract fees, makers pay 0.02% and takers 0.06%.
Conversion fees range between 0.1% and 0.15%, and leveraged tokens charge 0.2% for transaction fees and 0.03% for daily management fees. Meanwhile, withdrawal fees may differ depending on the preferred crypto asset and network.
Is BYDFi Available in the UK?
There is no information on BYDFi restricting its services to UK citizens. It is worth noting that the crypto exchange has no official license from the UK’s Financial Conduct Authority (FCA) that permits its operation in the country. Still, UK users can access BYDFi’s services since the platform does not mandate users to undergo KYC assessment for transactions lesser than 6 BTC. Additionally, UK clients can execute trades using the country’s sovereign currency, GBP.
How to Buy Crypto on BYDFi
Purchasing cryptocurrency on BYDFi is a straightforward process designed to accommodate beginners and experienced traders. Follow these steps to buy crypto on the platform:
- Create and verify your account: Sign up on the BYDFi platform. Provide your email address or a mobile phone number and create a strong password.
- Set up Two-Factor Authentication (2FA): After logging into your account, head to the security settings and enable 2FA for advanced security.
- Choose a payment method: BYDFi supports various payment options, including bank transfers, credit/debit cards, and cryptocurrency transfers. Users can select the method that best suits their preferences and geographical locations.
- Navigate to the “Buy Crypto” section: Once your account is funded, click the “Buy Crypto” option in the main dashboard.
- Purchase the crypto: Choose the cryptocurrency you wish to purchase and the quantity you intend to acquire. Input your preferred payment details.
- Review the transaction details: Check the details of the transactions, including fees and the amount of cryptocurrency to be bought.
- Complete the transaction: Execute the trade after reviewing and confirming the details. You will receive the acquired crypto holdings instantly.
Is BYDFi Safe?
With a 7/10 trust score on the price tracking website CoinGecko and a 68/100 score from the blockchain security platform CertiK, BYDFi claims to be safe with no history of hacks or data breaches. Although BYDFi does not have a publicly accessible Proof of Reserves (PoR), it uses cold storage and has been operating since 2020.
To ensure users’ funds are safe, BYDFi urges its customers to implement a 2FA security and other security measures to downsize or eliminate the risk of susceptibility to malicious breaches.
Pros of BYDFi
- Low fees.
- Mobile app.
- No-KYC policy.
- 24/7 customer support.
- Diverse language support.
- Over 100 fiat currencies support.
- Supports over 800 crypto assets.
- Diverse supported payment methods.
Cons of BYDFi
- No support for crypto staking.
- The user interface may seem complex for newbies.
- Users must register to increase their transacting capacity.
Conclusion
BYDFi is one of the most sought-after crypto exchanges because of its no-KYC policy and trading capabilities. This article discussed the platform’s trading functionalities and automated trading tools. Understanding how each of them works will enable each user to know how to navigate the market and make the most out of their crypto trading activities.
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