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With so many crypto exchanges like Coinbase and Binance trading tens of billions of US Dollars every day, it is difficult to notice some of the most promising exchange platforms in the market like AAX Exchange.
With little over $80 million in daily trading volume at the time of this writing, AAX is not even in the industry’s first 100 crypto exchanges. However, with high-security features, backing from a prestigious stock exchange, and no-KYC registration, this platform looks like one of the most appealing exchanges out there.
In less than a year of existence, AAX has managed to develop at a remarkable speed, adding new features every month and culminating with the release of its deflationary AAB token. Today, we take a closer look at its progress and determine whether it’s worth trading here.
What is AAX Exchange?
AAX is a centralized crypto exchange aiming to develop a secure, future-proof trading platform that can support traditional financial and cryptocurrency markets.
The name AAX is short for Atom Asset Exchange. The platform is a project of ATOM International Technology Ltd., a global fintech company with offices in Europe, North America, and Asia.
AAX also claims to support the London Stock Exchange Group, which would make it the only crypto exchange in the world powered by a traditional stock exchange and financial information company.
Since its inception in September 2019, AAX has pleaded for much wider digital assets access for the traditional retail investor. The project developers talk about an exchange fueled by integrity, performance, and security values in its creed.
Who is behind the AAX Exchange?
According to its website, AAX is run by a team of crypto enthusiasts who are highly-experienced in everything from blockchain technology to trading and marketing, including journalism and even the Hong Kong Police.
This eclectic band’s CEO and leader are Thor Chan, an IT architect with experience building global order management systems, global settlement systems, and low-latency trading platforms for professional traders. Thor has previously held roles at Microsoft and HSBC, among others.
While the parent company, ATOM International Technology LTD., is registered in Hong Kong, the AAX crypto exchange is registered in Malta, the European haven of most crypto platforms in Asia. Thanks to its Maltese connection, AAX doesn’t require passport verification for its registered users unless they want to withdraw more than 2 Bitcoin (BTC) per day.
AAX Exchange Safety and Restrictions
AAX aims to stay true to its promises of security and integrity, so it provides top-level protection for digital assets, most of which are in cold, multi-sig wallets. The exchange has a risk consulting firm Kroll as a security advisor and even offers custodian services at request.
AAX plans to provide scalable crypto exchange services on a global scale. However, at the moment, it has a long list of countries, territories, and jurisdictions whose citizens are not allowed to operate on the AAX platform.
Nevertheless, for clients from the rest of the world, AAX offers protection against money-laundering. It is one of the few exchanges for digital assets that use a third-party software company like Solidus Labs to prevent market manipulation.
AAX Exchange Features Explained
Now that we have a better understanding of what AAX is and who works on the project, it’s time to break down the many AAX features that came out in the past year.
AAX LSEG Technology
Straight from the start, AAX differs from every other cryptocurrency exchange out there thanks to the support it gets from the London Stock Exchange Group’s LSEG Technology, which enables it to register as many as 100k transactions per second.
AAX Exchange Trading Fees
AAX employs a simple and transparent fee scheme for both trading and withdrawals. In terms of future trading, the fees remain the same regardless of the trading pair that a participant uses.
AAX KYC Policy
The AAX exchange provides its users with a three-level membership, ranging from 0 to 2, and comes with various benefits.
On Level 0, users can register without KYC, but they cannot withdraw large assets (max. 2BTC/day), and they do not have access to weekly sales and giveaways.
On Level 1, users have to provide authentication documents like a passport or a driver’s license. In return, they are eligible for sales, giveaways, and other promotions. They also can withdraw as many as 5 Bitcoins every day.
On Level 2, users must provide facial recognition data for authentication. The only extra benefit that they get compared with Level 1 users is that they can withdraw up to 10 BTC per day.
AAX Exchange Fiat Withdrawals and Deposits
Users can purchase cryptocurrency on AAX through bank transfers or credit/debit card payments. Traders can buy up to $300 without providing Know Your Customer (KYC) details. Unfortunately, AAX does not allow withdrawals in fiat currencies.
AAX Exchange Available Cryptocurrencies
As of November 2020, AAX supports more than 40 different digital assets. Among them are popular cryptocurrencies like Bitcoin, Ethereum, and XRP and newcomers to the DeFi sector, including UMA and YFI.
AAX Exchange Rewards and Promotions
The exchange uses its native, deflationary token AAB to provide AAX users with a wide range of rewards and accessible promotions.
Every week, AAX hosts an AAB Flash Sale, enabling 1,000 users to purchase nearly 1000 AAB tokens at a time-limited discount price. As part of the same event, no less than 500 users will receive a random number of AAB tokens for free. All participants must be at least Level 1 AAX users.
Additionally, finishing all the AAX Reward Hub activities will reward a user with 45 AAB tokens. Rewards are also available for inviting friends on the platform.
The AAX Tribe is the affiliate program available on the platform where users can gain a fraction of the trading fees from other users that they referred to on the exchange.
AAX Exchange Spot Trading
AAX provides over 50 market pairs for Spot Trading. The most active ones are ETH/USDT and BTC/USDT. All of these pairs vary in terms of liquidity and daily activity.
AAX Exchange Futures Trading
There are seven futures trading pairs on AAX, and they include BTC/USDT, BTC/USD, ETH/USDT, ETH/USD, BCH/USDT, COMP/USDT, and LINK/USDT.
AAX Exchange Savings
There are various crypto savings account options on AAX, some of which can offer more than 6% APY. Only Level 1 and 2 users can access them and deposit assets like BTC, ETH, XRP, BCH, EOS, and AAB.
AAX Mobile App
Users can access AAX both on a desktop computer and on smartphones through its native mobile app that works on Android and iOS devices.
AAX Exchange Academy
Like the Binance Academy, the AAX Academy provides users with a plethora of information, guides, and tutorials.
What is the AAX Token (AAB)?
The AAX token, better known as AAB, is a deflationary ERC-20 token on the AAX crypto exchange that gives users access to a wide range of benefits. Token holders can use it in trading signals or to access trading bots, among others.
Initially, AAX minted a fixed supply of 50 million to be released over five years. However, already on October 23, 2020, the exchange bought and subsequently burned 25 million AAB by using its futures market’s trading fees.
AAX hosted three Initial Exchange Offering (IEO) events in April 2020. All the AAX users with at least Level 1 were eligible for the event in three rounds and ended up selling 10 million AAB tokens and raising 9.5 million USD.
The distribution of the AAB’s total supply of 50 million tokens went like this:
- 10 million AAB tokens went to the three IEO rounds.
- 5 million AAB tokens were set aside as risk reserves.
- 5 million AAB tokens went to fund business development activities.
- 10 million AAB tokens were redirected as liquidity for AAB market pairs on the AAX exchange.
- 5 million AAB tokens went to the fund brand ambassadors and affiliates of the AAX exchange.
- 10 million AAB tokens went to the founders and the development team.
- 5 million AAB tokens were allocated to funding marketing activities for the AAX exchange.
According to Etherscan, AAX holds nearly 86% of the entire amount of 25 million AAB tokens left after the October burning.
If you want to add AAB tokens to your portfolio, you can only buy them from the AAX exchange. Because it is an ERC-20 token, you can store AAB on any Ethereum-compatible wallet, such as Ledger Nano S or the Atomic Wallet.
At the time of this writing, AAB had a market capitalization of $464,805. One AAB token was selling for $0.132, and over 3.5 million units were in circulation.
The Bottom Line – The Ultimate AAX Exchange Review
AAX has some impressive features, and it is evolving at a rapid pace, even for a platform as complex as a cryptocurrency exchange. New and seasoned traders will find it extremely easy to create an account and start operating with digital assets.
The lack of KYC rules for entry-level users makes trading cryptocurrencies available on a large scale to small investors who have watched from the sidelines until now.
AAX is a refreshing presence in the market of crypto exchanges. It has solid backing from prestigious entities in traditional financial markets and the modern sector of digital assets. Furthermore, it spews out new, exciting features almost every month. If it stays true to its pledge of ensuring integrity, performance, and security, it will become an industry-leading platform in no time.