The official launch of the margin trading service on the Binance – Binance 2.0 cryptocurrency exchange took place.
Despite the fact that margin trading represents a significant risk of losing money, many cryptobirds have already launched such services.
As reported by Binance on July 11, crypto traders on this platform now also have access to the margin trading function in the recently launched Binance 2.0 trading hub:
Margin trading is a form of trading in which traders can borrow funds from the exchange to increase working capital. However, this is associated with greater risk due to the significant price volatility in the cryptocurrency market.
Speaking about the new margin trading function, Changpen Zhao said:
“This is another step in providing an integrated cryptocurrency trading platform to meet the needs of both institutional and retail traders under one roof.”
The Binance community has been looking forward to this event. In Binance 2.0, an “advanced trading mechanism for coordinating orders and indices for calculating the margin level” is implemented. The report also says that for the margin trading, the exchange launched a special wallet without commissions, which allows you to send funds to the main wallet Binance.
For margin trading, you can use :
- Bitcoin (BTC),
- Ethereum (ETH),
- Ripple (XRP),
- Binance Coin (BNB),
- Tron (TRX),
- Tether (USDT).
Earlier, CZ reacted to the rumors about margin trading, explaining that the function would be launched only for large Binance clients. However, the latest report states that trading is conducted in real time and is available to all users who meet the requirements.
Warning about the risks of margin trading, Binance co-founder Yi Hye said:
“Although the current market for cryptocurrency and traditional platforms for margin trading represent both great risk and benefits, we are confident that such a platform, combined with proper risk management, will help to get big benefits in the long term.”
Publication date 12/07/2019
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