Cryptocurrency CFD trading

How can I trade CFDs on cryptocurrencies?

There are two ways to deal cryptocurrencies: buy them in the hope of selling them on at a profit, or speculate on their value without owning them via CFD trading. Find out more about the differences between buying and trading cryptocurrencies.

To trade CFDs on cryptocurrencies, you’ll need to:

1. Create an account  
   As a CFD trader, you won’t need an account with a cryptocurrency exchange, or a wallet to store your tokens. Just an account with a leverage provider.
2. Do your research
   Cryptocurrencies may be free from many of the factors that influence traditional currencies, but you need to make sure you know your market. 
3. Apply your strategy
   Settling on a trading strategy depends on your goals and preferences, and deciding which is right for you is key to your long and short-term success.
4. Place a trade
   Enter your position size, define your close conditions and click ‘buy’ if you think the cryptocurrency will rise in value, or ‘sell’ if you think it will fall. 
5. Close your position
   Once you’ve reached your target – or decided it’s time to cut your losses – you’ll close out your position by reversing your original action: so if you bought, you sell, and vice versa. 

Keep in mind that as CFDs are leveraged products, you’ll only ever need to put down a small deposit to gain exposure to the full value of the trade. This means your capital goes further, but you also stand to lose more than your initial outlay.