Post
Topic
Board Altcoin Discussion
Re: Don't let Margin Trading make you poor!
by
tenakha
on 30/10/2019, 14:04:39 UTC
So Binance introduced margin trading up to x125! Great for some, horrible for most. Why? Because this is an open market and people without experience can actually go ahead and borrow Bitcoin without knowing half of what's going on.

For that reason, I wrote an article to give a good introduction to margin trading, Bitcoin lending, as well as Bitcoin borrowing (if you wanna make some passive income). It's by no means that the best post on the topic, but it does give a really good overview.

You can read it here and decide if going down the margin road is the best thing you can do: https://paybis.com/blog/bitcoin-lending/
Margin trading requires long-term experience and large amount of money. If you trade a small amount of money with 125x leverage, the reverse operation will immediately reduce your balance to zero. An inexperienced person should not take this risk and give superiority to learning. The 125x is so big and not appropirate for this kind of volatile market.