The bitcoin margin trading scene has gotten more interesting in 2020, with various new trading platforms for users to choose from. In this article, we compare PrimeXBT and TradeConnect.
Although PrimeXBT has been around longer, TradeConnect is a strong contender in the crypto margin trading industry due to its low fees and transparent central limit order book model.
With that said, both margin trading platforms provide the basics every trader will need to execute trades at the highest level with some noticeable differences in important areas that set them apart.
At A Glance: TradeConnect vs PrimeXBT
|No. of Financial Assets||50+ assets to trade||30+ assets to trade|
|Highest Leverage||Yes (100x)||Yes (1000x)|
|Transparent Order Book||Yes||No|
|Device/Platform||IOS mobile||IOS, Android & Desktop|
PrimeXBT is a margin trading platform that has been around since 2018. It allows you to trade over 30 financial assets with BTC as its base wallet currency. It is known for its intuitive UI and wide-range of trading features. There is no order book on the platform and instead, it uses a dealer desk model to execute each trade placed by traders on their platform.
TradeConnect is a new leverage trading platform that supports over 50 financial assets with BTC, ETH, and TCO as base wallet currencies. TradeConnect has low trading fees and a $100 million insurance policy to protect its traders via BitGo. It uses a transparent central limit order book execution engine to ensure that you can see all trades executed on the platform between traders however it is only available on IOS at the moment.
Let’s take a closer look…
Trading Fee Comparison
Margin trading can be very profitable. Therefore, your trading fees are extremely important as you don’t want to lose your money on hidden fees before you even start.
On PrimeXBT, you pay a trading fee of 0.05% on all crypto CFD trades, irrespective of the crypto trading pair. This fee is applicable to both Makers and Takers. Forex fees are as low as 0.001%.
TradeConnect, in comparison, offers 0.004% crypto trading fees as you only pay a ‘Connect Fee’ to open and close a position. These are the lowest in the industry. On TradeConnect there is also a daily 75% fee rebate for active Makers and Takers.
Both platforms also charge Swap fees for holding positions overnight.
Leverage & Trading Assets Comparison
Leverage is a key feature of a margin trading platform as it allows you to acquire more exposure to an asset than you have put down in funds. PrimeXBT and TradeConnect both offer their traders a high level of leverage which you can use to margin trade.
PrimeXBT has 30 different assets that you can trade and provide leverage of 1000x or 100x depending on the trading pair.
TradeConnect offers 50 different financial assets that you can trade with a maximum leverage of 100x.
Leverage is an interesting thing to consider as some claim that lower leverage encourages more responsible trading whereas others may prefer a high level of leverage as they want to take more risk in their trades.
Another important factor to look at when selecting one of these platforms is liquidity. At the time of writing, PrimeXBT has more liquidity mostly because it has been in operation for long and has 12 liquidity providers fulfilling each trade. The downside to this, however, is that by using liquidity providers without an open order book, you never know if fees are added into the BID and ASK spread on PrimeXBT.
TradeConnect looks promising as it begins to take shape and onboard users. It has guaranteed deep liquidity due to its partnership with Tier 1 globally regulated firms and its central limit order book lets you see the available liquidity for each asset type.
Trading Platform Comparison
PrimeXBT uses DevExperts as its trading interface and therefore it is an out of the box solution that is available on Desktop, IOS, and Android.
In contrast, at the time of writing, TradeConnect is available on iOS only, however they have recently opened up the Android waiting list so that looks to be the next device available.
Both platforms match up in terms of technical analysis and charting tools available alongside several indicators for all markets.
Order Book Comparison
When trading on any exchange, the platform’s order book gives you important data that allows you to trade effectively.
PrimeXBT uses liquidity providers in the backend to fulfill each trade. This is not ideal for traders since fees can be hidden in the fulfillment of each trade by the liquidity providers.
In comparison, TradeConnect uses a 100% transparent, real-time order book that lets you see all trades on the platform and you are able to place your trade at the best price and time according to your individual trading strategy.
Base Currency, Deposit Limits & Options
PrimeXBT is a bitcoin-based platform which means that you can use bitcoin as your currency for trading.
TradeConnect, has three base wallet currencies including bitcoin (BTC), Ethereum (ETH), and their native platform token, TCO.
Additional base currencies allow traders to make fast deposits in situations where the bitcoin network is stagnant, or transaction fees are high.
TCO also offers more utility for crypto traders who hold it, such as trading fee rebates and the ability to stake it for rewards, which is also an excellent way to build passive income.
PrimeXBT charges 0.0005 BTC for withdrawals and there are no fees for deposits. There are no deposit or withdrawal fees on TradeConnect.
Security Features Comparison
Security has generally improved on online trading platforms over the years. TradeConnect and PrimeXBT provide good security for traders.
PrimeXBT has DDOS protection, encrypted SSL, 2FA (Google Authenticator) and bitcoin whitelisting for withdrawals.
Similarly, TradeConnect has cold storage with multi-sig technology, DDOS protection, encrypted SSL and it also announced recently that it has partnered with BitGo as its custodian and insurance provider with a policy that sets aside $100 Million dollars in the case of third-party hacks, or theft/loss of private keys.
Customer Support Options
Customer support might not seem like a big deal until you need answers quickly or have issues with your account that could affect your trade.
A responsive customer support should be available on various mediums to make it easier for traders to get help. Both platforms provide timely responses on support tickets, email and chat.
TradeConnect also has a large, active Telegram community that you can join in order to discuss trading their platform token, TCO.
PrimeXBT vs TradeConnect: Conclusion
When it comes to choosing the right crypto margin trading platform, your final decision should be based on identifying the most critical areas that make trading more comfortable and more profitable for your independent trading strategy.
Features such as low trading fees, a transparent order book model, and powerful technical analysis tools set trading platforms apart in terms of quality and usability.
PrimeXBT, has an intuitive trading platform that can be used on various devices. This makes it accessible to all. They do, however, have a non-transparent order book which means that you are never trading against other traders and always betting against the platform.
TradeConnect is a viable trading option due to its transparent central limit order book, low trading fees, and instant withdrawals. We will be keeping an eye on the launch of their Android and Desktop trading platforms in the coming weeks.