What is Bybit? The World's Premier Derivatives Exchange
Bybit stands as one of the most influential forces in cryptocurrency trading, consistently ranking among the top three global exchanges by derivatives volume. Founded in March 2018 by CEO Ben Zhou, Bybit has evolved from a derivatives-focused platform into a comprehensive trading ecosystem serving over 30 million users across 180+ countries.
What distinguishes Bybit from competitors is its unwavering focus on derivatives infrastructure. While many exchanges diversify across DeFi, NFTs, and other sectors, Bybit maintains laser focus on providing institutional-grade derivatives execution, resulting in exceptional liquidity depth and reliability that professional traders demand.
Key Metrics (January 2026):
- Global Rank: #2-3 by Derivatives Volume
- 24h Derivatives Volume: ~$24.7 Billion
- Open Interest: ~$16.0 Billion
- BTC/ETH OI Share: 18-20% of Global Market
- Total Users: 30+ Million
- Perpetual Pairs: 800+
- Maximum Leverage: 125x
Why Bybit Dominates Professional Trading
The perpetual futures market demands three essential qualities: liquidity, reliability, and sophisticated tools. Bybit excels in all three:
- Unmatched Liquidity: With approximately 18-20% of global BTC and ETH futures open interest, Bybit provides the depth needed for large positions with minimal slippage.
- Zero Cut System: Bybit's negative balance protection ensures traders never owe more than their marginโa critical safety feature for leveraged trading.
- Unified Trading Account: One account for spot, derivatives, and options with cross-margin capabilities and portfolio margin modes.
- Copy Trading Ecosystem: Follow profitable traders automatically, perfect for those learning or seeking passive exposure.
Bybit's Trading Infrastructure
Understanding Bybit's system architecture explains why it handles enormous trading volumes without execution issues.
Unified Trading Account:
- Spot: 650+ coins
- Futures: 800+ perpetuals
- Options: USDC settled
Margin Modes:
- Isolated Margin
- Cross Margin
- Portfolio Margin (Advanced)
Contract Types:
- USDT-Margined Perpetuals
- USDC-Margined Perpetuals
- Inverse Perpetuals (Coin-Margined)
- USDC Options (European-style, Cash-settled)
Contract Specifications
- BTCUSDT: Up to 100x leverage under lowest risk tier
- Selected USDC perpetuals: Up to 125x leverage
- 800+ perpetual contracts across 2,200+ assets
- Advanced features: Smart Leverage, portfolio margin, bots
Complete Registration Guide
Step 1: Create Your Account
- Visit Bybit Official Website
- Click "Sign Up" in the top right corner
- Enter your email address or phone number
- Create a strong password
- Enter the verification code sent to your email/phone
- Complete the registration
Step 2: Enable Two-Factor Authentication (2FA)
Security is paramount on any exchange. Enable 2FA immediately:
- Go to Account Security settings
- Click "Enable" next to Google Authenticator
- Scan the QR code with your authenticator app
- Enter the 6-digit code to confirm
- Save your backup codes securely
Step 3: Complete Identity Verification (KYC)
โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ BYBIT KYC LEVELS โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโฃ โ โ โ LEVEL 1 - BASIC VERIFICATION โ โ โโ Required: Basic personal information โ โ โโ Enables: Limited deposits and trading โ โ โโ Time: Instant approval โ โ โ โ LEVEL 2 - FULL VERIFICATION โ โ โโ Required: Government ID + Facial recognition โ โ โโ Enables: Unlimited withdrawals, full features โ โ โโ Time: Usually under 15 minutes โ โ โ โ IMPORTANT: KYC Level 1 minimum required for trading โ โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ
Depositing Funds
Bybit supports multiple deposit methods for maximum flexibility.
Cryptocurrency Deposits
- Navigate to "Assets" then "Deposit"
- Select the cryptocurrency you wish to deposit
- Choose the correct network (critical step)
- Copy the deposit address
- Send funds from your external wallet
Recommended Deposit Options
- USDT via TRC20: Low fees, widely supported
- XRP: Very fast confirmation times
- ETH via Arbitrum: Lower gas costs than mainnet
- USDC: Stable, widely accepted
Fiat On-Ramps
Bybit supports direct fiat purchases via:
- Credit/Debit cards
- Bank transfers (select regions)
- P2P trading platform
- Third-party payment providers
Trading on Bybit
Perpetual Futures Trading
- Navigate to "Derivatives" then "USDT Perpetual"
- Select your trading pair (e.g., BTCUSDT)
- Set your leverage (use conservative levels)
- Choose order type:
- Limit Order: Set your entry price
- Market Order: Immediate execution
- Conditional: Trigger-based orders
- Enter position size
- Set stop-loss and take-profit
- Confirm and execute
Order Types Explained
โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ BYBIT ORDER TYPES โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโฃ โ โ โ LIMIT ORDER โ โ โโ Execute only at specified price or better โ โ โ โ MARKET ORDER โ โ โโ Immediate execution at best available price โ โ โ โ CONDITIONAL ORDER โ โ โโ Stop Market: Market order triggered at price โ โ โโ Stop Limit: Limit order triggered at price โ โ โโ Take Profit/Stop Loss: Built-in risk management โ โ โ โ ADVANCED ORDERS โ โ โโ Trailing Stop: Dynamic stop that follows price โ โ โโ Iceberg: Large orders broken into smaller chunks โ โ โโ TWAP: Time-weighted average price execution โ โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ
Fee Structure
Bybit maintains competitive fees, especially for active traders.
โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ BYBIT FEE SCHEDULE โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโฃ โ โ โ PERPETUAL FUTURES (Base Rates): โ โ โโ Taker Fee: 0.055% โ โ โโ Maker Fee: 0.020% โ โ โโ Funding: Every 8 hours (variable to 4h) โ โ โ โ VIP TIERS (30-day Volume Based): โ โ โโ VIP 1: Maker 0.018% / Taker 0.050% โ โ โโ VIP 2: Maker 0.015% / Taker 0.045% โ โ โโ VIP 3: Maker 0.012% / Taker 0.040% โ โ โโ Supreme: Maker 0.000% / Taker 0.045% โ โ โ โ SPOT TRADING: โ โ โโ Taker Fee: 0.10% โ โ โโ Maker Fee: 0.10% โ โ โ โ OPTIONS: โ โ โโ Taker Fee: 0.02% โ โ โ โ MNT FEE DISCOUNT: โ โ โโ Spot: 25% additional discount โ โ โโ Futures: 10% additional discount โ โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ
Fee Comparison
- Bybit: 0.055% taker / 0.020% maker
- Binance: 0.040% taker / 0.020% maker
- OKX: 0.050% taker / 0.020% maker
While slightly higher than Binance at base tier, Bybit's liquidity depth often results in better effective execution for larger orders.
Copy Trading: Follow the Experts
Bybit's copy trading ecosystem connects retail traders with proven "Master Traders" whose strategies can be automatically replicated.
โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ COPY TRADING SYSTEM โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโฃ โ โ โ MASTER TRADER โ โ (Proven track record) โ โ โ โ โ โ Opens position โ โ โผ โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ โ โ COPY TRADING ENGINE โ โ โ โ โ โ โ โ โโโโโโโโโโโโโโโ โโโโโโโโโโโโโโโโโโโโโโโโโโโ โ โ โ โ โ Position โ โ Risk Controls โ โ โ โ โ โ Replication โ โ - Max allocation โ โ โ โ โ โ โ โ - Drawdown limits โ โ โ โ โ โ โ โ - Margin health โ โ โ โ โ โโโโโโโโโโโโโโโ โโโโโโโโโโโโโโโโโโโโโโโโโโโ โ โ โ โ โ โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ โ โ โ โ โผ โ โ YOUR ACCOUNT โ โ (Positions automatically mirrored) โ โ โ โ FEATURES: โ โ โ Spot and Futures copy trading โ โ โ Bot strategy copying โ โ โ Pro mode with drawdown alerts โ โ โ Customizable position sizing โ โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ
How to Start Copy Trading
- Navigate to "Copy Trading" section
- Browse Master Traders by performance, risk level, and strategy
- Review detailed statistics (win rate, ROI, drawdown history)
- Set your allocation amount and risk parameters
- Click "Copy" to begin following their trades
Copy Trading Best Practices
- Diversify across multiple traders
- Set strict allocation limits (never over-concentrate)
- Monitor drawdown alerts in Pro mode
- Understand each trader's strategy before copying
Trading Bots
Bybit offers sophisticated automated trading tools.
Available Bot Types
- Spot Grid Bot: Profit from range-bound markets
- Futures Grid Bot: Grid strategy with leverage
- DCA Bot: Dollar-cost averaging automation
- Martingale Bot: Advanced averaging strategy
Bot Features
- Pre-built templates for beginners
- Backtesting functionality
- Customizable parameters
- Real-time performance tracking
Bybit Earn: Passive Income Options
โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ BYBIT EARN PRODUCTS โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโฃ โ โ โ FLEXIBLE SAVINGS โ โ โโ Withdraw anytime โ โ โโ Competitive APY โ โ โโ Multiple assets supported โ โ โ โ FIXED SAVINGS โ โ โโ Lock period: 7-90 days โ โ โโ Higher APY than flexible โ โ โโ Principal guaranteed โ โ โ โ LAUNCHPOOL โ โ โโ Stake MNT or USDT โ โ โโ Earn new token allocations โ โ โโ No principal risk โ โ โ โ DUAL ASSET โ โ โโ Yield enhancement product โ โ โโ Linked to price movement โ โ โโ Higher APY, settlement risk โ โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ
Funding Rate Mechanism
Bybit uses variable funding intervals to maintain perpetual contract prices aligned with spot markets.
Funding Rate Schedule
- Standard: Every 8 hours (00:00, 08:00, 16:00 UTC)
- High Volatility: Can reduce to every 4 hours
- Dynamic adjustment based on market conditions
How Funding Works
- Positive rate: Longs pay shorts (perpetual premium to spot)
- Negative rate: Shorts pay longs (perpetual discount to spot)
- Fees exchanged directly between traders (not collected by Bybit)
Check Bybit Real-time Funding Rates โ
Security Features
Bybit implements comprehensive security measures:
Account Security
- Two-Factor Authentication (Google Authenticator)
- Anti-phishing code
- Withdrawal whitelist
- Fund password
- Session management
Platform Security
- Cold wallet storage (majority of funds)
- Multi-signature requirements
- Regular security audits
- Insurance fund for liquidation events
Security Best Practices
- Enable all available 2FA options
- Set up withdrawal address whitelist
- Use unique, strong password
- Verify you're on the official domain: bybit.com
- Never share API keys with full permissions
Risk Management
Leverage Guidelines
โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ LEVERAGE RECOMMENDATIONS โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโฃ โ โ โ EXPERIENCE LEVEL RECOMMENDED MAX LEVERAGE โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ โ Beginner 5x - 10x โ โ Intermediate 10x - 25x โ โ Advanced 25x - 50x โ โ Professional 50x+ (with strict risk mgmt) โ โ โ โ KEY PRINCIPLES: โ โ โ Never risk more than 1-2% of capital per trade โ โ โ Always use stop-loss orders โ โ โ Higher leverage = tighter stop required โ โ โ Zero cut protects from negative balance, NOT losses โ โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ
Zero Cut System Explained
Bybit's zero cut (negative balance protection) ensures you never owe money beyond your margin. However, remember:
- Your entire margin can still be liquidated
- Stop losses can gap through in extreme volatility
- Zero cut is a safety net, not a trading strategy
Regional Availability
Restricted Jurisdictions
Bybit is NOT available in:
- United States
- United Kingdom
- Canada
- Certain other jurisdictions
Important Notice for Japan Residents
As of late 2025, new registrations from Japan residents have been suspended. Existing users may continue using the platform, but should monitor regulatory developments.
Bybit vs. Competitors
โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ EXCHANGE COMPARISON โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโฃ โ โ โ Feature Bybit Binance OKX โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ โ โ Derivatives Vol ~$24.7B ~$35B ~$15B โ โ Perpetual Pairs 800+ 350+ 450+ โ โ Max Leverage 125x 125x 125x โ โ Taker Fee 0.055% 0.040% 0.050% โ โ Maker Fee 0.020% 0.020% 0.020% โ โ Copy Trading Yes No Yes โ โ Funding Interval 8h (var) 8h 8h โ โ Mobile App Excellent Excellent Excellent โ โ โ โโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโโ
When to Choose Bybit
- Derivatives-focused trading
- Copy trading functionality needed
- Deep liquidity for large positions
- Advanced bot trading features
When to Choose Alternatives
- Lowest possible fees (Binance)
- Maximum coin selection (Binance, MEXC)
- US or UK resident (neither Bybit nor Binance)
Conclusion: Is Bybit Right for You?
Bybit has earned its position as a top-tier derivatives exchange through relentless focus on liquidity, execution quality, and professional trading tools. Its copy trading ecosystem and bot capabilities make sophisticated strategies accessible to retail traders.
Ideal for Traders Who:
- Prioritize liquidity depth and execution reliability
- Want copy trading or bot automation
- Trade derivatives as primary activity
- Value comprehensive mobile app experience
- Seek institutional-grade infrastructure
Consider Alternatives If You:
- Located in restricted jurisdictions (US, UK, Canada)
- Seek lowest possible base fees
- Primarily trade spot with minimal derivatives
- Want maximum altcoin selection
For professional derivatives traders, Bybit remains one of the strongest choices available. Its combination of liquidity, features, and reliability justifies its position among the global top three exchanges.
Delta-Neutral Strategy Impact
Bybit's variable funding intervals (4-8 hours) and exceptional liquidity make it well-suited for delta-neutral strategies requiring large position sizes. The zero cut system provides downside protection, while the 18-20% share of global BTC/ETH open interest ensures minimal slippage on position entry and exit. Copy trading functionality allows passive exposure to delta-neutral strategies executed by experienced traders. However, note that new registrations from Japan have been suspended since late 2025.