3 Best Ways to Use Crypto Leverage and Shorting 
Leverage and shorting have long been used by stock and forex traders, and have only relatively recently become a big part of the cryptocurrency market.
There is a lot to be said for this change. Mainly it has to do with the ever increasing sophistication of crypto traders, who today are searching for more efficient and safe ways to generate profits in the markets.
Crypto leverage is the process of creating much larger crypto trades by borrowing funds from a broker.
As an example, I could have $500 called the “margin” which I use to secure the loan, then I am loaned 50 times more than my margin, meaning that the size of my position is now $25,000.
For every $1 I would have normally made, I will now make $50 instead.
Shorting is the process of borrowing funds from a broker and then selling those funds and waiting until the price is lower to rebuy the same amount.
When the rebuy is made, it will be cheaper than the original cost and so the difference between the cost of borrowing the funds originally and rebuying those same funds will be kept as profit.
Published at Mon, 13 Jan 2020 19:11:42 +0000