00:00The biggest difference between a centralized futures exchange and a Peptix isn't just the chart, it's where the collateral sits,
00:08right?
00:08So today we're actually looking at a centralized futures index ranking 25 exchanges, right?
00:16So when it currently, when you look at centralized exchanges, right, your margin is ultimately a claim on the actual
00:22exchange that gives traders enormous advantages, right?
00:26So deep order books, portfolio margin, cross collateral, mature APIs, you've got block trading, fiat rails, customer support and so
00:35forth.
00:35But it also creates something Peptix traders don't face in quite the same way, right?
00:42So centralized counterparty risk is a real big issue.
00:46We've seen that with so many centralized exchange collapses from Mt. Gox to FTX, etc.
00:52So what we've done is actually built a centralized futures exchange index where we rank 25 centralized crypto futures exchanges
01:01across different metrics.
01:03We look at liquidity in depth, the open interest, the trading fees and also funding economics of those platforms.
01:10We also looked at some other things, including counterparty transparency, whether the platforms have proof of reserves and they publish
01:19them regularly.
01:20We also looked at the regulatory profile, the derivatives tooling and also the market breadth itself and the reliability of
01:30their APIs as well as just the overall UX for traders.
01:36And currently our top 10 consists of a Binance, which came out at a 9.8 rating out of 10.
01:44OKEx at 9.6, Bybit at 9.4, Gate.com 9.3, you've got BitGit at 9.2, MEXE scored
01:55a 9.1, DairyBit by Coinbase 9.1 as well as Kraken, which scored 9 out of 10.
02:06So the rankings aren't really the most interesting findings from what our research kind of showed us, right?
02:13We, you know, considered fees and we look at other centralized exchange platforms that didn't maybe make the top 10,
02:23but really are interesting.
02:24Case 6 currently, a zero maker and 0.01 taker fees.
02:29MEXE approximately zero makers, 0.02% on the taker on selected web and app markets as well.
02:37Well, Binance may charge more, but that doesn't make kind of platforms like, say, Case 6 or MEXE cheaper for
02:45a million dollar BTC trade.
02:47So it just depends on the volume as well, because at the end of the day, future fees, you know,
02:53it's not the same as kind of the total execution cost.
02:55And real costs are closer to so many other things combined when you think about the commission, the spreads, if
03:03you include things like slippage, or if you consider funding, liquidation mechanics, and also just the counterparty exposure.
03:10And what we then ended up doing throughout this process was to actually create this futures pathfinder, right?
03:18So it also has a counterparty exposure engine where you can enter simple things like the position size of the
03:26leverage, the maker taker.
03:27You can also input things like holding periods, funding assumptions, slippage, exchange balance, and your priority as well, right?
03:37And then the tool effectively calculates the estimated margin on those positions, the round-trip commissions that you have to
03:43make or pay, and then the funding, slippage, total cost, cost of the percentage of margin, and also the capital
03:50exposed to kind of exchange counterparty risk.
03:53And then it then all kind of pushes you to whatever recommendation for a venue that kind of suits your
04:01specific needs, right?
04:04So another major trend that also emerged is that centralized crypto exchanges are becoming globally kind of leveraged markets, not
04:12only for crypto, but for stocks, indices, FX, commodities, metals, pre-IPO exposures, right?
04:19So you've got Coinbase derivative consolidation, making it especially interesting, you know, and then you've got the long-term winner
04:26who may not simply be an exchange with the deepest BTC perp, right?
04:32But it could be the exchange that's offering the best cross-asset account on margin, maybe that has the institutional
04:39liquidity and the reserve transparency and APIs for autonomous agents as well.
04:44So we had to look at all of those factors because I think that's a much bigger battle.
04:49If you want to check out the full technical review, the link is in the description where you can check
04:54out all the platforms and also you can get the links to all the platforms recommended and you can get
05:01started trading and save on rebates and bonuses, etc.
05:05Let me know what your thoughts guys are when it comes to the best crypto futures platforms that are centralized,
05:11drop, you know, comment if you want and then kind of give a shout out to your favorite platform.
05:17Otherwise, go check out our reviews for each and every one of these platforms.
05:22Also on our main site, decentralized.news, like, share, subscribe, turn on the notifications.
05:27I'll see you guys in the next videos.
05:29Peace.
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