The widescale popularity of cryptocurrency is bringing forward advanced trading options like crypto CFDs to the new-age trader, states the PayBito CEO
Noted blockchain pioneer and PayBito chief Raj Chowdhury states that the explosive growth of cryptocurrency following its legalization across several nations will continue to attract new-age traders into the low margin, high leverage trading options usually reserved for experienced traders, especially CFDs.
Contract for Difference or CFDs features an agreement between the trader and trade facilitator(crypto exchanges in case of cryptocurrencies). The trader allocates an opening and closing position for an asset with the exchange through the agreement. The difference between them is incurred as profit or loss. The exchange pays the trader in case of profits, while the trader returns the difference in case of a loss. CFDs feature margin trading for traders to maximize gains and safeguard assets with the exchange.
Latest Fintech News: Sovereign X Platform Releases Public Beta
The PayBito chief offered his views on the existing trends, stating “High growth in the expanding crypto markets will sustain in the long run with the integration of conventional stock and forex trading features like CFD, futures, derivatives, trading pairs, and more. The associated trade risks are not deterring new traders as evident from rising demands for crypto CFDs.”
It is important to note that CFDs with all their merits are not without risks. Experienced traders acknowledge margin trading options will not always result in profits and people with low-stress tolerance for losses may avoid it. Willing investors should always opt for reliable service providers and consider risk factors such as fluctuating markets, liquidity, hedging, and gapping.
“Proper analysis of asset valuations and performance indicators are essential for institutions and investors planning to venture into crypto CFDs. However, the most important factor is the selection of an exchange with trustworthy credentials,” explains Chowdhury.
Latest Fintech News: Zwipe’s Biometric Payment Card Platform Selected by Placard in Australia
PayBito, the crypto exchange led by Chowdhury, operates on a global scale, providing cutting-edge trading and security features including data metrics for modern investors. The exchange started the year with multiple upgrades adding 23 new digital assets and scheduling an IEO hosting session for at least 3 new DeFi products. PayBito also offers crypto collateralized lending and a native white label crypto exchange solution for enterprises willing to incorporate crypto trading services into their business portfolio.
Global trading markets have evolved significantly in recent years. From the trader’s perspective, integration of advanced trading options such as futures, derivatives, and CFDs into crypto exchanges provides scope for higher gains, owing to the high-swinging volatility of digital asset valuations.
Latest Fintech News: Open Banking Fintech Koxa Announces Caroline Broder as Newest Board Member
[To share your insights with us, please write to sghosh@martechseries.com]
