As we explained in the previous sections in this guide, an account is only able to send new orders as long as its Total Account Margin is higher than the Initial Margin required for all open positions and open orders. As soon as the Total Account Margin drops below the Initial Margin, the account can no longer send any new orders unless such order would reduce the existing position (e.g. a sell order, when the current position is long). To continue adding positions (e.g. add buy orders, when the current position is long), the trader will have to transfer additional funds that can be used for margin to their wallet, close open orders, or close open positions.
The massive rally in cryptocurrencies is almost unrecognizable from three years ago. When the Bitcoin (BTC) price marked its all-time high just shy of $20K in December 2017, it was exclusively retail-driven. Regulation was scant and insufficient; hacks, scams, and Ponzi schemes abounded; investors made (and lost) a lot of money overnight; and major financial institutions like JPMorgan were steadfast in calling BTC a "fraud" and a "bubble."
We believe the emergence of cryptocurrency derivatives is the inevitable evolution of the digital asset class and should contribute to reductions in volatility and enhancing market efficiency.
EQUOS today announces the launch of its EQUOS BTC Perpetual Futures (BTC/USDC (F)), the first in a suite of innovative derivative products that will later include options and dated futures. EQUOS is poised to be at the forefront of exponential growth expected in the crypto derivatives markets in the coming years.
What are derivatives? Derivatives have been around for millennia; their use can be traced back to ancient times when people bartered with one another to trade perishable goods such as grain and livestock. They gained widespread popularity during the rise of the financial services sector, when newer valuation techniques were created in the 1970s and rapidly developed the derivatives market. It is difficult to imagine modern finance without derivatives now.
Access is a digital asset trading tool from Diginex that has been built on top of existing institutional platforms. A future-proof, multi-asset class integrated solution for sales, trading, risk management, operations, and distribution across multiple venues. To request a demo, visit: https://www.diginex.com/diginex-acces...
Since 2011, there have been dozens of exchange hackings, resulting in the equivalent of billions of US dollars worth of stolen assets. In May 2019, Binance, one of the world’s largest crypto exchanges was notoriously hacked, resulting in a loss of 7,000 Bitcoin, worth in the region of $40 million at the time. It was a shocking development and served as a stark reminder to both current and prospective investors that even the industry’s largest players are not impervious to masterfully orchestrated attacks.
At the dawn of digital asset trading, there were few regulatory systems in place to control the type of traffic exchanges received. Because of hacks, ill-usage, and extensive anonymity, these early experiences contributed to a somewhat shady reputation the crypto world is still battling. As the industry has matured, industry players have developed infrastructure and protocols to reduce the prevalence and ease of criminal activity from occurring. In the recent years, more and more exchanges are investing more in the resources to support Know-Your-Customer (KYC) and Anti-Money Laundering (AML) policies and procedures.
USD Coin, known as USDC, is a US dollar-backed stablecoin created by Circle and Coinbase (the Centre Consortium) in 2018. It quickly became appealing as it is the only fully and publicly audited stablecoin currently available. Built on Ethereum, USDC is backed by industry giants such as Goldman Sachs and Silvergate. Unlike other stablecoins, USDC is verifiably fully collateralized. This means that for every USDC released, there is a US dollar deposited into a Centre Consortium bank account, which is heavily monitored and audited every month by Grant Thornton LLP as part of their emphasis on transparency.