BIT Crypto Exchange Review: Features, Risks, and Who It’s Really For

• DATE: 16 11 24
• BY: Stellan Marwick

When you hear BIT crypto exchange, you might think of a flashy platform with big numbers and celebrity founders. And you’d be right-sort of. BIT.com isn’t just another crypto exchange. It’s a derivatives powerhouse built by Jihan Wu, co-founder of Bitmain, and backed by Matrixport, a $1 billion fintech firm. But behind the tech and the trading volume lies a complicated picture: massive liquidity, advanced tools, and serious red flags that could cost you more than just a few coins.

What BIT.com Actually Offers

BIT.com doesn’t just let you buy Bitcoin and wait. It’s built for traders who want to go deeper. The platform supports spot trading, futures, perpetual contracts, and-most notably-Bitcoin options. As of 2025, it offers 65 spot pairs and over 110 futures pairs. If you’re trading Bitcoin, Ethereum, or even lesser-known altcoins like ETC or DASH, you’ll find markets here.

The real standout? Bitcoin options. In 2021, BIT.com hit $6 billion in daily options volume, making it the second-largest Bitcoin options exchange in the world. That’s not a fluke. It’s the result of deep infrastructure and smart product design. The exchange offers Portfolio Margin, a tool that uses scenario-based risk modeling to let you trade larger positions with less capital. This isn’t for beginners. It’s for people who understand how volatility can wipe out accounts-or multiply them.

Levage is aggressive. For futures, you can go up to 1:100. Spot trading lets you borrow up to 1:7.69. That’s high, even by crypto standards. And the fees? Low. Spot trades cost between 0.04% and 0.06%. Futures? As low as 0.01%. If you’re a high-volume trader, you’ll drop into VIP tiers and pay even less. The system rewards activity, not just deposits.

Deposit and Withdrawal Rules

BIT.com doesn’t handle fiat directly. You can’t deposit USD, EUR, or SGD with a bank transfer. Instead, you need to buy crypto elsewhere-like a peer-to-peer platform or another exchange-and send it over. Minimum deposit is $20 in crypto. That’s low enough for most people to get started.

Withdrawals are capped at $10 minimum per coin. That’s fine for BTC or ETH, but if you’re trading smaller coins like LTC or ETC, you need to know the exact minimums: 0.001 LTC, 0.01 ETC, 0.0005 ETH. Miss that, and your withdrawal gets rejected. No warning. No refund. Just silence.

There’s no direct fiat on-ramp. No credit card buys. No PayPal. No bank links. If you’re new to crypto and expecting to buy Bitcoin with your debit card, you’ll be stuck. You need to already own crypto before you can even start trading on BIT.com.

Security and Risk Management

BIT.com claims strong security. It uses a two-tier system: a proprietary liquidation engine that closes losing positions before they blow up, and an insurance fund to cover the rest. As of 2025, that fund holds over 200 BTC. That’s worth around $12 million at current prices. That’s a lot of protection.

But here’s the problem: security isn’t just about insurance funds. It’s about transparency, regulation, and accountability. And BIT.com doesn’t check those boxes.

Traders Union, an independent rating agency, gave BIT.com a 2.61 out of 10. That’s one of the lowest scores in the industry. Why? Because the exchange doesn’t operate under any major financial regulator. No SEC. No FCA. No MAS. It’s based in Singapore, but it doesn’t hold a license there. It’s legally unregulated in every major market. That means if something goes wrong-hacking, insider theft, platform failure-you have zero legal recourse.

And the platform doesn’t publish regular audits. No proof of reserves. No third-party verification. You’re trusting a private company with your assets, and there’s no public way to verify if they’re holding what they say they are.

Who Can’t Use BIT.com

BIT.com bans users from more than 20 countries and territories. That includes the United States, Canada, Japan, Singapore, Hong Kong, Iran, Cuba, and even American Samoa. If you’re in any of those places, you can’t sign up. Even if you try to use a VPN, your account will likely be frozen-or worse, permanently banned.

Why so many restrictions? Because BIT.com doesn’t want to deal with compliance. It’s easier to block entire countries than to build KYC systems that meet U.S. or EU standards. That’s a business decision. But for users, it’s a warning sign. If a platform is afraid to serve major economies, what else is it hiding?

Copy Trading and Affiliate Programs

BIT.com tries to keep users hooked with incentives. The copy trading feature lets you follow professional traders and automatically mirror their trades. Managers can earn up to 15% of their followers’ profits. That sounds great-if you’re a pro. But if you’re just copying someone you found on Telegram, you’re gambling with someone else’s strategy, not your own research.

The affiliate program is even more aggressive. Referrers can earn up to 80% of the trading fees generated by their referrals. That’s not normal. Most exchanges pay 20-40%. BIT.com’s model encourages users to recruit, not trade. It turns the platform into a pyramid-like structure where the real money isn’t in trading-it’s in bringing in new people.

That’s not necessarily a scam. But it’s a red flag. When the biggest incentive isn’t the product, but the referral system, you should ask: Is this platform built to serve traders-or to grow a user base at all costs?

Is BIT.com Right for You?

BIT.com isn’t for everyone. If you’re a casual investor who wants to buy Bitcoin and hold it, skip it. You’ll be overwhelmed by the interface, the leverage options, and the lack of fiat support.

But if you’re an experienced trader who:

• Understands derivatives and options
• Trades high volumes
• Already owns crypto and can deposit easily
• Lives outside the banned countries
• Accepts the risk of trading on an unregulated platform

-then BIT.com gives you tools few others can match. The Bitcoin options market here is deep, the fees are low, and the infrastructure is solid.

But you’re trading on a platform that operates in the shadows. No regulators. No audits. No legal protection. The insurance fund is big, but it’s not a guarantee. If Matrixport ever collapses-or if Jihan Wu decides to pivot-BIT.com could vanish overnight.

Alternatives to Consider

If BIT.com feels too risky, here are three regulated alternatives with similar features:

• Bybit - Offers Bitcoin options, 1:100 leverage, and is licensed in multiple jurisdictions. No U.S. access, but better transparency than BIT.com.
• OKX - Strong derivatives market, regular audits, and supports fiat on-ramps in many countries.
• Binance - The largest exchange globally. Offers options and futures, but has faced regulatory pressure in the U.S. and EU.

None of these are perfect. But they all have some form of regulatory oversight, public audits, or clearer user protections.

Final Thoughts

BIT.com is a technical marvel. It’s built by one of the most respected names in crypto. The trading tools are advanced. The liquidity is deep. The fees are low.

But it’s also a black box. No licenses. No audits. No legal safety net. The platform works-but it doesn’t play by the rules. And in crypto, that’s the most dangerous combination.

If you’re willing to take that risk, go ahead. But don’t trade more than you can afford to lose. And never forget: when a platform bans entire countries, it’s not because it’s too good for them. It’s because it doesn’t want them to look too closely.