Malta-based OKEx, one of the largest crypto exchanges by volume, is increasing its margin trading leverage level from 3x to 5x for Bitcoin, Ethereum, Bitcoin Cash, Litecoin and EOS.

The exchange says it will use its risk management system to power higher trading volumes and to allow the leverage level increase.

Trading pairs offering 5x margin trading leverage 

BTC/USDT
ETH/USDT
ETH/BTC
LTC/USDT
LTC/BTC
ETC/USDT
ETC/BTC
EOS/USDT
EOS/BTC

By volume, OKEx is currently the second largest crypto exchange for spot trading, eclipsed only by Binance, according to data compiled by CoinMarketCap.

Top 100 Cryptocurrency Exchanges by Trade Volume

OKEx first launched spot margin trading last February for ETH/BTC, BTC/USDT and XRP/USDT.

Margin trading allows users to leverage their position and create a short position by borrowing tokens. While the practice is a boon for traders, it can lead to sharp losses.

Says Lennix Lai, financial market director of OKEx,

“The beauty of margin trading is to use debt to maximize the potential return. Yet, I would like to remind our users to trade margin with caution. Because margin would as well exaggerate your losses.”

The increasing number of spot margin trading options demonstrates how much crypto trading platforms are starting to resemble traditional brokerages where margin trading is the norm. A number of popular crypto trading platforms offer margin trading, including eToro, Kraken and Bitfinex.

Last year Poloniex removed margin trading for US-based customers.

BitMEX is the biggest crypto derivatives exchange, offering leverage up to 100x on its daily Bitcoin/JPY futures contract and the perpetual Bitcoin/USD perpetual contract.

Spot margin trading, however, is not currently supported by Binance or Coinbase Pro, two of the largest crypto exchanges.

Join us on Telegram 
Follow us on Twitter


Check Out the Latest Headlines



Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

(Excerpt) Read more Here | 2019-02-26 20:20:24
Image credit: source

LEAVE A REPLY

Please enter your comment!
Please enter your name here