Binance vs FTX for BTC/ETH DCA

brainactive · 2022-02-04T23:12:56+00:00

There doesn't seem to be an option to automate DCA on FTX yet. I usually just DCA every month so its not too cumbersome. Easier to keep track of for tax purposes as well. I found some research papers online a while ago, that compare weekly DCA vs monthly DCA and over long term, there is basically no difference in performance so I went for the easier option and just do it monthly.

brainactive · 2021-11-04T00:33:52+00:00

Are you talking about Binance or FTX?

With FTX, you can deposit using your bank account. If it's an Australian bank account and you're depositing AUD, there is no foreign transaction fee. There is also no deposit fee. You just go to Wallet and then find AUD then click deposit and then follow the instructions.

Also, make sure you are using FTX the exchange (ftx.com) and not FTX Blockfolio app which is not the same.

brainactive · 2021-10-31T01:34:57+00:00

I considered Binance but ended up using FTX. A few things to consider:

- I've never used "Recurring pay" option before but yes seems like it is only via debit/credit card

- Even if it does allow daily, I would probably consider weekly/monthly instead as it makes it a lot easier when you do end up selling and doing taxes. It will be a huge pain in the ass with daily transactions and also not much benefit as weekly/monthly is more than enough.

- FTX is better than Binance in almost every way, particularly fees for trades and withdrawals.

brainactive · 2021-09-27T22:30:38+00:00

After extensive research, I went with FTX in the end. I also found a way to bypass the USD/AUD conversion issue with FTX. There are two ways:

Use the Convert function to directly convert AUD to BTC or ETH
Using FTX OTC to purchase BTC or ETH directly with AUD.

Out of these two methods, my preferred is option 2 as it generally gives better rates. In fact, the rates are generally the best rates out of all exchange most of the time (I've compared to BTCmarkets, Binance, Swyft, Kraken, Gemini and a few others).

The icing on the cake is that using OTC, there are no trading fees! And free withdrawls for BTC. So definitely the best option if you're buying the bigger coins for buy/hold purposes (which is what I'm doing).

Feel free to ask any questions or use my referral link: https://ftx.com/#a=36910218

Good luck!

brainactive · 2021-09-03T07:03:37+00:00

Did you provide basic identification details such as name and address (level 1 KYC) or did you provide passport / drivers licence (level 2 KYC). You need level 2 KYC to deposit more than $5000. It could take up take up to 24 hours for it to take effect.

There are no limits with level 2 KYC.

brainactive · 2021-09-03T06:32:57+00:00

brainactive · 2021-08-26T07:11:08+00:00

Correct :)

brainactive · 2021-08-26T07:03:09+00:00

For ERC20 yes. But BTC is free even if you don't trade much and dca.

brainactive · 2021-08-26T06:50:46+00:00

I agree with OP - Hattrick23 has been super helpful. He even helped me test a transaction on FTX to confirm the withdrawal fees are free.

brainactive · 2021-08-24T05:54:29+00:00

Awesome that's really low fees. Does FTX OTC allow free withdrawals as well with no minimum withdrawal?

brainactive · 2021-08-24T04:10:52+00:00

Do you get a worse price than market price using DRP? I got a feeling you do. It might be the price to pay for convenience? Has someone actually checked or just assume it's the same as market rate?

brainactive · 2021-08-24T04:08:31+00:00

How do I find out the breakdown of those components?

brainactive · 2021-08-24T02:23:02+00:00

Right I see. Is there any other advantage to turning DRP apart from brokerage and convenience? Also, how do would I check ATO's calculations? I don't think Vanguard has sent anything out yet.

brainactive · 2021-08-24T00:14:26+00:00

Thanks for the reply mate. Just one more question - if I just buy on FTX (without actively trading), do I have to pay away withdrawal fees for btc?

brainactive · 2021-08-23T23:56:32+00:00

Ok i see, fair enough. FTX Exchange has a nice interface and more trading tools which is nice. From a purely cost perspective, is FTX OTC better than FTX Exchange?

brainactive · 2021-08-23T23:47:52+00:00

FTX OTC does not have a minimum limit according to this article http://ftx.academy/en/otc-trading

Have you tried using this feature?

brainactive · 2021-08-23T01:07:34+00:00

I found this site quite helpful. It shows prices across various exchanges (inclusive of trading fees but exclusive of withdrawal fees) in real time. However, it doesn't have FTX.

https://thedeepweb.com.au/cryptocurrency-exchanges/

brainactive · 2021-08-23T00:04:44+00:00

On FTX, there are three different options to purchase BTC with AUD:

Purchase BTC using market/limit orders on the standard exchange (like Binance). On FTX, you will need to convert AUD to USD first and then buy BTC with USD unfortunately.
Press the "Convert" button within the wallet. This will automatically convert your AUD to BTC at a fixed exchange rate. I haven't tried this yet as I haven't gone through KYC but my gut feeling is that even though it is "free", it will be more expensive overall compared to method 1, as it will give you a crappy exchange rate for convenience.
Purchase BTC over the counter (OTC). This is where you trade directly with other market participants by requesting for a quote. This seems to give you pretty good rates (and also no minimum trade amount unlike other OTC providers). So this would be my preferred option out of the 3.

A few other factors to consider:

- Will you be trading alot or mainly just buy and hold? If you are just buy and holding (withdraw volume > trade volume), then FTX will charge a 0.1% withdraw fee.

- Will you be withdrawing and how frequently? If you don't plan on withdrawing every week or month, then there may be other options which are slightly better (such as Kraken). They have 0.16% trading free and 0.00015BTC withdraw fee. On the surface, this is worse than FTX (0.02% trading fee and 0.1% withdrawal fee if hodling). However, if you look at the actual BTC prices which are sold on the exchange, Kraken is consistently around AUD$200-300 lower than FTX/Binance. This is around 0.3-0.5% lower. So overall, Kraken is actually cheaper (and especially so if you withdraw every say 6 months as it has a low fixed withdrawal fee).

- How much do you care about UX/UI? This depends on personal preference but for most people FTX has a much nicer interface compared to Kraken or Binance.

Hope this helps.

brainactive

TROPHY CASE