Cryptocurrencies
It is a relatively new financial innovation that is a decentralized system in which transactions can be carried out without the involvement of intermediaries.
What are cryptocurrencies?
Cryptocurrencies have been a hot topic of discussion lately, but what exactly is this phenomenon? Let’s find out!
Transactions are conducted without the intervention of central authorities or financial institutions. Since cryptocurrencies are virtual, they are not backed by tangible assets or controlled by a central bank, although their value may be denominated in traditional currencies like the US dollar. Cryptocurrencies, like stocks or currencies, are subject to supply and demand. As such, their value fluctuates depending on how many people want to buy or sell them at any given time. Cryptocurrencies are rapidly evolving as blockchain networks open up new horizons every day. Join the world of cryptocurrencies and start trading CFDs on popular coins like Bitcoin, Ethereum, Litecoin, Cardano, Ripple, Stellar, Chainlink, Solana, and EOS!
How to trade cryptocurrencies?
The value of cryptocurrencies is largely dependent on how widely they are accepted. Due to the decentralized nature of the market, cryptocurrencies are not subject to the economic and political factors that typically affect traditional currencies. When a trader trades CFDs on cryptocurrencies, they are speculating on the price movement of the asset without actually purchasing the asset. Cryptocurrencies are considered highly volatile assets due to the large number of short-term speculative interests, so it is essential to properly assess and manage risks.