Margin Trading for Cryptocurrency Exchange

Trading in cryptocurrency is one of the most profitable ventures but requires funds to accomplish it. To tackle this issue of funding, different exchanges provide margin money for day-trading to the crypto traders.

Although margin trading is very risky but higher risks gives higher profits. It should be done carefully and you should have the technical competency to accomplish higher profits using margin trading in the crypto market.


What is Margin Trading?

Margin trading is the form of trading in which the traders get margin money in proportion to the money they already have for trading.

For example, if you have $10 available for trading, then for margin trading you can borrow $100 for trading on this existing $10. This is known as leverage.


Best Exchanges for Margin trading

  1. Poloniex

Poloniex is a US-based exchanged founded by TristanD’Agosta in 2014. It is a leading exchange and provides trading discounts for its regular users and margin trading for advanced users.

The maximum margin is 2.5X BTC on Poloniex.


  1. BitMEX

BitMEX is one of the most reliable product in the crypto market because of its highly qualified team of economists, traders and developers. It provides 2FA (two-factor authorisation) to its traders and margin trading for 6 different cryptocurrencies.

The maximum leverage is 100x for XBT (Bitcoin) and 20x and 50x for other cryptocurrencies.

  1. Kraken

Kraken is one of the largest US-based cryptocurrency exchanges which provides margin trading for both Bitcoins and Altcoins. It provides different fiat currencies like EUR, USD, CAD, GBP etc.

Kraken provides margin trading with 6 cryptocurrencies and fiat and you can leverage according to 16 different pairs.

  1. Huobi Pro

Huobi Pro is one of the leading exchange and known for its multi-language support in the international market since 2013. It provides margin trading for a number of different cryptocurrencies with a maximum of 5X in BTC.

It is to be kept in mind that margin trading is very risky and not recommended for beginners. Even experienced traders incur heavy losses in margin trading, so it is recommended only for those who are experienced and good at day trading and understand the intricacies of the function room well.