Margin trading for traders in cryptocurrency/ Forex /CFDs
Now that popular cryptocurrencies such as bitcoin, ether and ripple are in the mix, standard foreign exchange markets have begun integrating the currencies into their trading methods. Some of the best Forex traders can now buy and sell cryptocurrencies, the most popular being bitcoin, via an online Forex trading platform that acts as an intermediary between buyers and sellers. For bitcoin in particular, the ticker used is either BTC or XBT.
In order to incorporate cryptocurrencies into the foreign exchange market, a platform must be used. Let’s take bitcoin, for example – a bitcoin exchange platform matches buyers with sellers, where traders can opt to purchase and sell bitcoin via a market order or a limit order. Considering that 1 bitcoin is currently worth more than $ 6000, it’s clear why traders can see the currency to be a profitable move. Once a market order is selected, the trader will authorise the exchange to trade his/her coins for the most profitable price within the marketplace. Or, with a limit order, the trader can direct the exchange to trade coins, which is determined by the price below the asking price or above the current bid. Foreign exchange spreads prove to be very important within the trading and transaction process, as they depend on how liquid the bitcoin exchange is.
LH-CRYPTO is an online service for crypto-traders. The service is available to everyone, except for the citizens of particular countries and several categories of people listed in the License Agreement. LH-CRYPTO is a free software for making conversion operations with CFDs on various financial assets nominated in cryptocurrencies. This Platform use the most popular software for trading provided by the company MetaQuotes, it’s called MetaTrader5. All clients’ assets are safe under the security of MetaQuotes encryption. The LH-Crypto site itself provides two-factor authentification that ensures that no third parties get access to a trader’s account.
The project does not manage funds and does not guarantee profits. The project only offers a service that allows to make conversion operations with cryptocurrencies on a specially configured software.
All the settlements in this project are processed solely in cryptocurrencies. Conversion operations are processed on the terms of margin trading without a direct supply of underlying assets. According to the generally accepted term, these operations are called operations with OTC (over the counter) CFDs (contracts for difference).
Trading with OTC CFDs involves considerable risks. We recommend you pay the utmost attention to both theory and practice of margin trading before making any of such operations.
There are numerous options available to foreign exchange traders when it comes to trading cryptocurrencies, allowing many companies to be flexible with the procedures that they put in place. As bitcoin is the dominating digital currency, many foreign exchange markets will decide to trade that particular cryptocurrency, and will adopt several methods to do so.
In LH Crypto all traders are united into one trading network based on a unique traders rating.This network allows you to communicate with other traders, copy their deals and set individual settings for your profile.
The services type depends on the amount of your deposit. The Start service start from 10 EUR, Standard service is equivalent to 1’000 EUR and for Pro services you need the min deposit of 25’000 EUR. See more in Trading options section.
SWAP is an overnight fee. It is charged for every opened position once in 24 hours (except for crypto instruments). The SWAP for the night from Wednesday to Thursday is tripled, the charge for weekends is none.For Forex instruments with highest liquidity the fee is approximately 10 EUR per standard lot. All SWAPs are available in the trading terminal.
SWAP is never tripled for crypto instruments. The fee is not charged at midnight, instead it is charged for every opened position for a certain number of hours according to the list:
- < 24 hours: 0 EUR
- > 24 hours: 0,05%*contact size
- > 48 hours: 0,10%*contact size
- > 72 hours: 0,15%*contact size
- > 84 hours: 0,20%*contact size
- then for every 6 hours: 0,25%*contact size
Despite the rising popularity of cryptocurrencies in our economy, there are still many issues that need to be resolved. Otherwise, there will be many looming threats for all industries and markets that use them. Whilst cryptocurrencies appear beneficial to the foreign exchange market, this heavily depends on how strong the exchange rates are. In order to make a profitable trade, traders must ensure that they understand the cryptocurrency exchange rates that a Forex broker will be using. Plus, the fact that cryptocurrencies have only recently integrated into our economy means that they have their own valuation mechanisms. By trading Forex with bitcoins, a new intermediate currency is introduced, with the ability to impact profits and losses in unpredictable ways. To summarise, foreign exchange markets have clearly been experiencing the benefits of integrating cryptocurrencies into trading processes, however they do need to be careful. Whilst the advantages seem promising, the risks could completely destroy all benefits of using cryptocurrencies, so before relying on them completely, these black holes within the digital currency market need to dealt with.
For more information please visit links :
Website : https://www.lh-crypto.com/
Telegram : https://t.me/LHCrypto