What is Margin Trading Cryptocurrency?

2 years ago
13

What is Margin Trading Cryptocurrency?

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Margin trading in cryptocurrency is a method of increasing the risk of your trades in exchange for bigger potential earnings. Naturally, it might also increase your losses dramatically.
Unlike conventional transactions, margin trading allows you to open larger positions by borrowing money from a third party (a broker or other platform users aka margin lenders). Leveraged transactions are extremely dangerous because they can magnify both your wins and losses.

🕒 Timestamps 🕒
00:00 Introduction
00:54 What is Crypto Margin Trading?
03:10 How Crypto Margin Trading Works?
04:30 Going Short Vs. Going Long
05:28 Understanding Margin Calls & Liquidation
06:51 Why Margin Trade?
07:28 Final Thought

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