These are financial products with values based on another asset. Derivatives can be securities or contracts, deriving their values from traditional fiat currencies (FX), Digital currencies (Cryptocurrencies), commodities, bonds, interest rates, and the stock market, to mention a few.
Following the launch of the first successful crypto-asset Bitcoin BTC in 2009, crypto early adopters, enthusiasts, and traders saw an opportunity to buy into an increase in the asset’s value.
Cryptocurrency futures trading has greatly revolutionized how investors invest in cryptocurrencies. It has given investors the chance of investing in cryptocurrencies without the need to own the actual crypto coins/tokens. Also, investors can use crypto futures to hedge current spot positions without the need to invest cryptocurrencies.
Trading crypto is a big opportunity, and all you require is the right mindset and the correct timing. Most forex brokers provide crypto-assets as part of portfolio diversity.
So you want to trade Litecoin with Leverage? Well, first you have to understand how leverage and margin trading works, it’s pros and cons, and why you have to find a sweet spot to avoid the dreaded margin call.
Cryptocurrencies are successors of earlier digital currencies traded in exchange for other digital currencies or traditional fiat currencies by digital currency exchanges or crypto exchanges.
So you want to make money trading Bitcoin BTC futures? Let me guide you on how to do that on one of the pioneers and trusted crypto exchanges in the space, but let’s start with the basics.