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Exchange Review
This exchange has been flagged as inactive. There are many reasons for being flagged as inactive. We recommend you read the text below to understand why Bitwells has received the inactive flag.

Bitwells

Exchange Fees

BTC Withdrawal Fee 0.0005 • Taker Fee 0.075% • Maker Fee 0.075%

Deposit Methods

No Wire Transfer No Credit Card

Cryptos (6)

XRP, Bitcoin, Tether, Litecoin, EOS Token and 1 more

UPDATE 23 March 2023: When trying to access the website of Bitwells today, we were unsuccessful. As far as we know, there have been no preceding messages on system maintenance or new websites or anything similar. 

Accordingly, we believe that this exchange has closed down and we have marked it as "dead" in our Exchange Graveyard. If the exchange's website would become accessible again and the error is just temporary, we will "revive" it and bring it back to our Exchange List.

To find a reliable exchange where you can start an account, just use our Exchange List and we'll help you find the right platform for you.

Bitwells is a cryptocurrency exchange registered in the United Kingdom. It has been active since March 2021, so a quite fresh addition to the list of crypto exchanges in the world.

On its website, Bitwells highlights the following factors as main advantages with its platform: fast execution of orders, the option of leveraged trading with professional market makers, and cold storage of user assets. These are all very helpful advantages.

Bitwells Advantages

Most crypto traders feel that desktop give the best conditions for their trading. The computer has a bigger screen, and on bigger screens, more of the crucial information that most traders base their trading decisions on can be viewed at the same time. The trading chart will also be easier to display. However, not all crypto investors require desktops for their trading. Some prefer to do their crypto trading via their mobile phone. If you are one of those traders, you’ll be happy to learn that Bitwells’ trading platform is also available as an app for iPhone and Android users.

Bitwells Mobile Support

This exchange is a so called derivatives exchange, meaning that they focus on derivatives trading (no spot trading is available at this platform today). A derivative is an instrument priced based on the value of another asset (normally stocks, bonds, commodities etc). In the cryptocurrency world, derivatives accordingly derive its values from the prices of specific cryptocurrencies. You can engage in derivatives trading connected to the following trading pairs here: BTC/USDT, ETH/USDT, LTC/USDT, EOS/USDT and XRP/USDT.

Bitwells also offers leveraged trading to its users. They only offer perpetuals (i.e., futures without expiry dates), and no futures with expiry dates. The maximum leverage level for their perpetuals is 100x. A word of caution might be useful for someone contemplating leveraged trading. Leveraged trading can lead to massive returns but – on the contrary – also to equally massive losses.

For instance, let’s say that you have 100 USD in your trading account and you bet this amount on BTC going long (i.e., going up in value). If BTC then increases in value with 10%, you would have earned 10 USD. If you had used 100x leverage, your initial 100 USD position becomes a 10,000 USD position so you instead earn an extra 1,000 USD (990 USD more than if you had not leveraged your deal). However, the more leverage you use, the smaller the distance to your liquidation price becomes. This means that if the price of BTC moves in the opposite direction (goes down for this example), then it only needs to go down a very small percentage for you to lose the entire 100 USD you started with. Again, the more leverage you use, the smaller the opposite price movement needs to be for you to lose your investment. So, as you might imagine, the balance between risk and reward in leveraged deals is quite fine-tuned (there are no risk free profits).

Every trading platform has a trading view. The trading view is the part of the exchange’s website where you can see the price chart of a certain cryptocurrency and what its current price is. There are normally also buy and sell boxes, where you can place orders with respect to the relevant crypto, and, at most platforms, you will also be able to see the order history (i.e., previous transactions involving the relevant crypto). Everything in the same view on your desktop. There are of course also variations to what we have now described.

This is the trading view at Bitwells:

Bitwells Trading View

It is up to you – and only you – to decide if the above trading view is suitable to you. Finally, there are usually many different ways in which you can change the settings to tailor the trading view after your very own preferences.

Every time you place an order, the exchange charges you a trading fee. The trading fee is normally a percentage of the value of the trade order. Many exchanges divide between takers and makers. Takers are the one who “take” an existing order from the order book. Makers are the ones who add orders to the order book, thereby making liquidity at the platform.

This platform doesn't have any spot trading, so the taker and maker fees we have listed in our database relates only to the contracts trading. Here, both takers and makers pay 0.075%.

According to the most extensive industry report ever prepared on contract trading average fees, the global average contracts trading taker fee and maker fee was 0.0591 for takers and 0.0215% for makers. Accordingly, Bitwells is substantially above average in both categories.

Withdrawal fees are usually fixed and vary from crypto-to-crypto. If you withdraw BTC, you pay a small amount of BTC for the withdrawal. If you withdraw ETH, you pay ETH. The last time we did an empirical study of the BTC-withdrawal fees in the crypto exchange market, we found that the average BTC-withdrawal fee was approx. 0.0005 BTC per BTC-withdrawal.

Bitwells charges 0.0005 BTC per BTC-withdrawal, which is below the global industry average (being 0.00053 BTC per BTC-withdrawal according to this report) and a quite competitive fee.

Bitwells Home Page

In order to trade here, you must have cryptocurrency to begin with. More specifically, you need to have BTC. The only asset class you can deposit to Bitwells is BTC. However, if you really like Bitwells but you don’t have any crypto yet, you can easily start an account with an exchange that has “fiat on-ramps” (an exchange where you can deposit regular cash), buy BTC there, and then transfer it from such exchange to this exchange. Use our Exchange Filters to easily see which platforms that allow wire transfer or credit card deposits.

Why do so many exchanges not allow US citizens to open accounts with them? The answer has only three letters. S, E and C (the Securities Exchange Commission). The reason the SEC is so scary is because the US does not allow foreign companies to solicit US investors, unless those foreign companies are also registered in the US (with the SEC). If foreign companies solicit US investors anyway, the SEC can sue them. There are many examples of when the SEC has sued crypto exchanges, one of which being when they sued EtherDelta for operating an unregistered exchange. Another example was when they sued Bitfinex and claimed that the stablecoin Tether (USDT) was misleading investors. It is very likely that more cases will follow.

According to information from Bitwells to us here at Cryptowisser.com, the platform does indeed allow US-investors on its exchange. So if you're from the US and looking for a platform to do some crypto derivatives trading, this platform could be the one for you!