What is the definition of leveraging in the context of cryptocurrency?

Shivam ThakurMar 19, 2022 · 3 years ago1 answers

Can you explain what leveraging means in the context of cryptocurrency? How does it work and what are the potential risks and benefits?

What is the definition of leveraging in the context of cryptocurrency?

1 answers

Mar 19, 2022 · 3 years ago
At BYDFi, we offer leveraged trading options for our users. Leveraging in cryptocurrency allows traders to potentially increase their profits by using borrowed funds. However, it is important to note that leveraging also amplifies the risks involved. Traders should carefully consider their risk tolerance and use appropriate risk management strategies when trading with leverage. It is always recommended to start with smaller leverage ratios and gradually increase them as you gain more experience and confidence in your trading abilities.

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