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Trading cryptocurrencies is a hot trend. That’s a given. Though being so highly-demanded, cryptocurrencies still carry a veil of the unknown. However, more and more people today are trying to get a grasp on it and at least try to use the enormous opportunities, offered by digital currencies, to their own profit.
Trading real cryptocurrencies may bring some challenges, especially if you’re a crypto newbie. You should read a pile of controversial data, find a reliable playground, choose the cryptocurrency that seems attractive and complies with your needs, find a proper wallet to store and manage your coins and, of course, have enough money to buy and trade them.
Well, I guess it may sound rather complicated. But the good news for the lazybones, like most of us, is that there is a much easier way to benefit from cryptocurrencies: just choose a smart mobile trading app, supporting crypto trading.
CFD trading app: your best trading buddy
In a world, where we spend half of our life staring at our smartphones, the best choice is to spend this time profitably. In order to join the financial markets, all you need today is a bit of time, a smartphone and a desire to become financially literate and make your money work for you.
Modern trading apps, like Capital.com, represent a new generation of ultimate and easy-to-use reliable CFD trading platforms, suitable for both, experienced traders and trading novices.
One of the primary advantages of trading CFDs is that you actually don’t need to buy the real assets. The very essence of trading Contracts for Difference is that you only speculate on the market’s price fluctuations, without the need to spend huge amounts of money on the underlying assets. Another significant advantage of CFDs is that you don’t need to use only your own money to make a trade. You can trade on leverage, which provides you with a much larger range of opportunities.
Trading CFDs is also very flexible and often provides an extensive choice of available markets to trade, including shares, commodities, indices, Forex and, of course, cryptocurrencies.
Benefits of trading CFDs on crypto
To cut this long story short, let’s specify the basic advantages of trading CFDs on cryptocurrencies compared to real coins. Here are the key differences:
- With CFDs you speculate on the price movement, possessing only the right to earn the difference between the current and future value of an underlying asset.
- With real cryptocurrencies you actually buy and own the coins.
- With CFDs you can trade on leverage, i.e. using only a portion of your own money and covering the rest value with leverage, provided by your broker. The maximum leverage, provided by all the European CySEC regulated brokers is 5:1. It means you can make more money even with small price movements.
- With real cryptocurrencies, no leverage, only your own money.
- Storage and management
- No coins, no problems. Speculating on the price difference you don’t own the coins, therefore there is no need to have a special storage place.
- Before trading crypto you should choose a proper wallet to store and manage your coins securely.
- CFD trading is considered more suitable for day trading. Remember that brokers usually charge a fee for holding a position overnight.
- Cryptocurrency exchanges do not charge overnight fees, so when buying a crypto you can hold it as long as you like.
- Customer support
- High-quality CFD trading services providers always offer a customer support service that can answer your questions anytime and help to configure your account or execute a trade. Though the customer support specialists will never give you any trading advice, they can still help to solve a lot of issues, such as depositing or withdrawing your funds, etc.
- The majority of cryptocurrency exchanges do not have any customer support, so you’re all alone with your trading experience.
- Education and Information
- Modern CFD trading apps often serve as a good source of qualitative financial information. You can track the latest news, follow the most recent trends and get cryptocurrencies’ forecasts at your fingertips.
- Cryptocurrency exchanges don’t teach. You have to search for necessary information and knowledge by yourself.
Today, notions that one day were so far from ordinary people’s lives, like trading, cryptocurrencies, blockchain, CFDs, artificial intelligence, and more, disseminate all over the world, connecting people of different age, profession and lifestyle. Financial literacy has become a common trend and cryptocurrencies can’t be ignored any more. CFD trading apps make trading available for everyone. Try your skills, choose the app you trust and enter the exciting world of crypto markets.
Remember that trading is risky and you may lose your capital.