CRYPTOCURRENCIES

What are Cryptocurrencies?

Cryptocurrencies are virtual or digital currencies that are not linked to any government or central bank, but can still be traded just like any physical currency. The term ‘crypto’ means that cryptography or encryption techniques are used to regulate use.

There are many cryptocurrencies available, but some of the most important ones other than Bitcoin are Litecoin, Ethereum, Ripple and Dash.

Just as with any forex trade, you can speculate on the price of your favorite cryptocurrency such as bitcoin, against any major global currency.

Are Cryptos really a currency?

The acceptance of a currency as a form of payment depends on its value, but unlike currencies that are tied to the performance of a national economy, and are regulated by central bank, Cryptocurrencies have more in common with commodities.

They are only valuable because people agree that it should be so. Their value comes from being treated as an investment, the return from which results from public speculation on their rising and falling value.

Benefits of trading cryptocurrencies

Volatility

Volatility is what makes great trading because price movement whether up or down offer trading opportunities. No trading can be done if prices are flat.

Leverage

Trade cryptocurrencies without investing a big sum of money.

Currency pairs

Just as with any forex trade, you can speculate on the price of your favorite cryptocurrency such as bitcoin, against any major global currency.

Security

Trade with the confidence of an established broker.