Cryptocurrency Trading Platform - Ethereum, Tron, Bitcoin Trade
What is cryptocurrency?
Cryptocurrencies are digital currencies. They are not issued by a centralized bank or government, and their value is not backed by any paper currency.
Each cryptocurrency is a token stored in a digital wallet. For example, if you use bitcoins, you can use the coins as a medium of exchange for several products and services.
Each of these transactions would be stored in a public ledger known as a blockchain. This creates a permanent record that cannot be altered or tampered with, making cryptocurrencies a truly unique asset class. Cryptocurrencies first caught the world's attention in 2009 when Bitcoin was first launched. Thanks to the success of Bitcoin, there are now more than 8,000 cryptocurrencies, most of which you can trade online.
The most common cryptocurrencies
As of January 2022, the capitalization (total value of all available on the market) of Bitcoin, the most popular cryptocurrency, is $ 796 billion, the current rate - $ 42 thousand per unit.
In total, there are about 2-3 thousand different cryptocurrencies in the world. Among the most popular also include:
- Etherium, capitalization - $374 billion, unit value - $3.1 thousand;
- BNB, capitalization - $78.9 billion, the value per unit - $475;
- Tether, capitalization - $78.3 billion, value fixed - $1;
- USD Coin, capitalization - $46 billion, value fixed - $1.
The first official state cryptocurrency was Petro. It was launched on February 20, 2018 by Venezuelan authorities due to the economic crisis and hyperinflation of the official currency, the bolivar. The value of Petro was linked to the price of a barrel of Venezuelan oil, but this cryptocurrency was not widely used, either in Venezuela or abroad.
Now that we have the basics, let's talk about buying and trading cryptocurrency.
What are the basics of cryptocurrency trading?
Cryptocurrency trading revolves around speculation about the future price movement of the relevant digital coin. For example, when you trade Bitcoins - you try to predict whether the coin's price will rise or fall in the open market.
You place a buy or sell order based on your assumptions, hoping to make a profit in the process.
How to trade cryptocurrency: short-term or long-term?
When you first learn how to trade cryptocurrency, you should consider your financial goals. For example, do you want to invest in cryptocurrency over several years or trade on a day trading / swing trading strategy?
Let's take a look at what each option entails and what financial tools are available to do so.
The most popular way to engage in short-term cryptocurrency trading is through CFDs. As we mentioned earlier, CFDs allow you to trade cryptocurrencies without taking possession of the underlying asset.
In other words, you don't have to worry about storing your cryptocurrency in a digital wallet or the security of your digital funds. CFD simply reflects the price of the cryptocurrency and gives you the ability to profit from both falling and rising markets.
For example, if you think the price of a cryptocurrency is about to rise, you can open a long position and place a buy order. Once the price rises, you would create a sell order to cash out, in turn making a profit.
Conversely, if you think the value of the cryptocurrency will fall, you can open a short position by initially placing a sell order. If your assumptions are correct, you will place a buy order to cash out and thus make a profit.
Let's demonstrate how crypto CFDs work in practice with an example:
- The price of DASH / USD is valued at $120.
- This means that the DASH CFD will also be worth $120.
- If you assume that the price of DASH will fall, you will create a sell order.
- If you assume that the price of DASH is about to rise, you will create a buy order.
- If the price of DASH moves in the direction you predicted, you will make a profit.
- Rarely do short-term CFD traders keep their positions open longer than a few days or weeks.This is because leveraged CFD products also come with a one-day funding fee.
This means that every night that you keep your cryptocurrency CFD position open, you will have to pay a commission to your broker. The amount you have to pay depends on the platform you choose and how much you bet on the trade.
How to buy cryptocurrency?
There are several legal options for purchasing digital currencies. The most popular are:
- Trading on a cryptocurrency exchange;
- Purchase in an online exchange;
- Personal meeting between the seller and the buyer.
Buying on the exchange is the safest and most profitable way in terms of exchange rate and minimal commissions for input-exchange withdrawal. But before you start trading, you will have to confirm your identity by going through several stages of KYC and AML verification. Then you need to create an order to buy the selected currency and wait for it to execute. It is better to choose large cryptocurrency trading platforms with good liquidity, then transactions are made within a few minutes. Also, there will be no problems with deposit and withdrawal of funds from the exchange account, if it is a trust platform.
Online exchangers do not require verification. All you have to do is to create an account, choose deposit method, specify public address of your cryptocurrency wallet and type of coins (BTC, ETH, LTC, etc.).
Finding a seller or buyer for a personal meeting is most convenient on peer-to-peer trading platforms for buying and selling Bitcoin. Previously, this method was regulated only by reviews and rating of sellers and buyers. Now, to improve transaction security, the site also verifies the identity of registered users.
The fourth option to buy cryptocurrency is to use a specialized ATM. But this method has serious disadvantages:
- Unprofitable exchange rate;
- Crediting the cryptocurrency to the purse of the buyer takes from several hours to several days (during this time, the rate may change significantly);
- If there are technical problems, it is difficult to return the funds, because there is no customer support.
TRONIX (TRX) trading on a cryptocurrency trading platform
What is TRON? TRON is a decentralized blockchain-based protocol that aims to create an international free entertainment platform. Thanks to the technology, all entertainment content (online games, casinos, videos, etc.) will be stored in a distributed way. The protocol allows users to publish, store content, and implement the ability to subscribe to it. Users can create their own digital assets. All this should form a decentralized entertainment ecosystem, where people can provide or receive content that interests them. Thanks to decentralization and the p2p principle of direct interaction between providers and users, content providers will not have to pay for the expensive publication of content on centralized platforms such as the App Store and Google Play. In addition, blockchain technology will clearly identify the owner of any content. In addition to content, users will become members of a social network with the ability to communicate, use tokens, etc. The first TRON-compatible product will be the Piewo APP (a real-time audio streaming application with over 10 million users).
At the moment, the entertainment content market is steadily growing and changing due to the emergence of new technologies and trends towards the creation of aggregator platforms, where the user can get everything he or she needs in one place. From this point of view, TRON platform solves many problems of users, such as registration of a large number of accounts on a variety of resources, insecurity of content storage, the need to buy digital tokens of different games/resources, etc. In case of successful development of the project users will get a convenient entertainment platform, which, among other things, is decentralized, and decentralized both in terms of data storage and in terms of system management. The idea of the freedom to create and distribute content has a wide resonance with users.
Possible scenarios for using the platform include:
- The creation of online gambling games that would be equipped with native digital currency;
- Creation of entertainment online applications;
- Dating apps with online chat capabilities, including audio and video;
- Filesharing for entertainment content, etc.
Buying and trading cryptocurrency on IQ Option: the advantages
The brokerage company was founded in 2013 in Cyprus, and in 9 years it has won many awards. For example, in 2016, the company's application was recognized as the best in the category among mobile applications, and experts have repeatedly called IQ Option the most reliable broker, аlso the Communicator Awards' highest honor, which recognizes those who raise the industry standard for quality and achievement.
First of all, IQ Option attracts customers with a variety of investment options that will suit even the most fickle traders. Here you will find margin trading, CFDs on stocks, commodities, forex, cryptocurrencies, ETF funds, binary options, i.e. everything on which today you can really earn.
A great advantage of the platform is that it can work in "demo" mode, allowing players to make transactions on the real market situation with virtual money. When registering, any user's account is credited with 10000 USD, which can be renewed after spending. It is also possible to use the demo account after depositing money to the trading account.
Among the advantages of the trading platform IQ Option аrе:
- Availability - a low deposit to start working - only 10 dollars;
- The minimum expiration period - one minute, the maximum - a month;
- In the transaction can be used up to 92% of the deposit amount;
- Wide set of indicators and other trading tools;
- No slippage;
- Possibility of hedging - conclusion of two transactions, going "on each other", to minimize the risk;
- Convenience of setting stop-losses and take-profits - pending orders;
- Bonus accruals to the account;
- Tournaments with prizes.
Cryptocurrency trading: where to start?
You can become a client of the company by filling out a short registration form, for this, follow the link below. After that, all you need to do is fund your account in the "Deposit" section of your personal account. There are classic and VIP accounts.
You can deposit funds in almost any way - for example, by plastic cards, as well as using payment systems. In addition, bank transfer is available.
Before you make your first withdrawal, you will need to be verified by submitting your identity documents. This will allow you to protect your money and your data.
Just start your trading journey with this platform and you will never be disappointed!