Market Cap: $3.0368T 2.840%
Volume(24h): $187.313B -14.990%
Fear & Greed Index:

85 - Extreme Greed

Market Cap: $3.0368T 3.08%
Volume(24h): $187.313B 3.08%
  • Market Cap: $3.0368T 2.840%
  • Volume(24h): $187.313B -14.990%
  • Fear & Greed Index:
  • Market Cap: $3.0368T 2.840%

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The difference between BitFlyer leverage and contract

BitFlyer's leverage trading amplifies profits and losses by borrowing exchange funds, while contract trading allows speculation on future asset prices without ownership.

Nov 08, 2024 at 02:22 pm

The Difference Between BitFlyer Leverage and Contract

BitFlyer, a popular Japanese cryptocurrency exchange, offers both leverage and contract trading. While both types of trading allow users to increase their potential profits, there are some key differences between the two.

What is Leverage Trading?

Leverage trading is a type of margin trading that allows traders to borrow funds from the exchange to increase their trading position. This can amplify both profits and losses, so it is important to use leverage carefully.

How Does Leverage Trading Work on BitFlyer?

On BitFlyer, leverage trading is available for BTC/JPY, ETH/JPY, BCH/JPY, and LTC/JPY pairs. The maximum leverage available varies depending on the pair, but it can be as high as 10x.

To place a leveraged trade on BitFlyer, you will need to:

  1. Select the trading pair and leverage amount.
  2. Enter the order size.
  3. Click the "Buy" or "Sell" button.

What are the Risks of Leverage Trading?

The main risk of leverage trading is that you can lose more money than you deposited. If the market moves against you, your losses will be amplified by the leverage amount.

What is Contract Trading?

Contract trading is a type of derivative that allows traders to speculate on the future price of an asset without actually owning it. Contracts are typically settled in cash, so there is no need to worry about delivering or receiving the underlying asset.

How Does Contract Trading Work on BitFlyer?

On BitFlyer, contract trading is available for BTC/JPY, ETH/JPY, BCH/JPY, and LTC/JPY pairs. Contracts are traded in units of 10,000 of the base currency (e.g., 10,000 BTC for BTC/JPY contracts).

To place a contract trade on BitFlyer, you will need to:

  1. Select the trading pair and contract type (e.g., futures or options).
  2. Enter the order size.
  3. Click the "Buy" or "Sell" button.

What are the Risks of Contract Trading?

The main risk of contract trading is that you can lose more money than you deposited. If the market moves against you, your losses

Disclaimer:info@kdj.com

The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research!

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