Margin trading allows cryptocurrency traders to open positions larger than what they fund by using leverage. Traders can borrow additional funds from exchanges to multiply gains but also increase losses if the market moves against their position. While margin trading is exciting due to potential for high returns, it also carries risks like liquidation of positions if the market moves past a certain threshold. The presentation introduces margin trading and where to learn more about it risk-free.

2. • No matter the market, whether it’s up or down, people love to trade.
• One of the most booming parts of the crypto market is trading.
• People love to make money.
• It’s not easy to make money by trading cryptos.
• It requires hard work.
• For people, who don’t start with large cash positions, margin trading
allows the trading with leverage so profit is magnified. This
presentation will introduce you to crypto margin trading.

3. So what exactly is margin trading?
• Margin trading allows a trader to open a position with leverage.
• Margin trading allows users to trade with money they don’t own by
leveraging their position with borrowed money. For example, if we
had an open position at 2X leverage with $100 of your own money,
we would also trade with another $100 from a “lender” off the
platform totalling $200
• In some exchanges, like Poloniex, users provide the loans for the
margin markets. In others, the exchange provides them. For example,
in the Poloniex exchange, anyone can lend their cryptocurrencies
earn from interest on the loan.

4. The risk and reward of crypto margin trading
• There’s always a cost when entering a margin position such as paying the
interest for the borrowed capital and fees for opening a position
• The more leverage the more money you can make. Your gains are
increased. At the same time, losses are magnified too.
• The maximum that can be lost is the amount you invested in opening the
position.
• This level is called the liquidation value. The liquidation value is the value
where the exchange automatically closes the position.
• We can lose 100% of the initial starting capital. On the other had, we can
make 1000s % profit.
• This is why margin trading is exhilarating.

5. If you want to find out more
about crypto margin
trading and
where you can
learn risk free check out –
what is crypto margin trading