CFD on Cryptocurrency
Trading on the price movements of Bitcoin and Etherium
BlueOrange Bank provides leveraged CFD trading on price movements of cryptocurrencies
Unlike traditional purchase of cryptocurrencies trading cryptocurrency CFDs allow speculative operations without maintaining a digital wallet. There is no need to own cryptocurrency coins eliminating cyber security risks.
Due to the leverage provided on trading accounts the client can hold cryptocurrency CFD positions exceeding amount of your own funds on trading account.
Similar to other CFDs and FX instruments, cryptocurrency CFD can be either short or long, therefore a client can benefit from price movements in both directions, up and down.
Please be aware that opened CFD position does not presume owning an underlying asset and the pricing of cryptocurrency CFD varies significantly across different cryptocurrency exchanges. Although the price of the CFD usually reflects the price of the underlying asset, this is not necessarily the case.
Features of Crypto trading
Trade on both rising and falling markets - same as Forex trading, CFD trading enables you to buy (go long) if you believe market prices will rise, or sell (go short) if you believe market prices will fall.
Efficient use of your capital with leverage – CFDs are traded on leverage, meaning you need only a small deposit to open your position rather than having to invest the full value of an asset.
Hedging possibilities – if you expect your existing cryptocurrency portfolio may lose some of its value in a short term, you can use CFDs to cover this loss by short selling.
Trade safely – you don't need to store cryptocurrency in a digital wallet. From time to time crypto-currency exchanges and digital wallets are subject to attacks and hacking. You will be protected against associated risks. Сlient funds are protected in the amount of EUR 20'000.
|Bitcoin vs. US Dollar||BTC/USD||200||0.2||30 000 USD||0.1||1 USD||50% (1:2)|
|Etherium vs. US Dollar||ETH/USD||15||1||30 000 USD||0.1||1 USD||50% (1:2)|
* point equals the first digit after the decimal point (0.1) in a CFD's price quote
We offer a commission, which is calculated depending on the trade turnover. Clients receives floating spreads from $0.10 and pays fixed commission $112.5 per 1 million U.S. dollars traded (0.01125%). Collected in proportion to each trading operation performed.
CFDs on cryptocurrencies are traded on a 24 hour basis without interruption, from Sunday, 21:00 GMT during Summer Time (22:00 GMT during Winter Time) until Friday, 20:00 GMT during Summer Time/ Winter Time.
BlueOrange Bank does not provide quotes on cryptocurrencies on weekends. To avoid weekend gaps all client positions of cryptocurrencies are closed every Friday at 20:00 GMT Winter/ Summer Time.
Due to limited ability to hedge its positions with external counterparties BlueOrange does not permanently guarantee trade execution during trading hours. In such cases where client is willing to close exposure he is required to call support.
CFDs trading on cryptocurrencies offered by BlueOrange Bank will not be possible from Friday, 20:00 GMT during Summer Time/ Winter Time until Sunday, 21:00 GMT during Summer Time (22:00 GMT during Winter Time). Pending orders, margin cut trades and other orders will not be triggered, no execution is done during above mentioned time.
BlueOrange Bank's CFDs prices on cryptocurrencies are unique and based on its ability to hedge BlueOrange positions with external counterparties. Each client is able to affect the price and liquidity by placing his own BIDs and OFFERs. BlueOrange Bank is counterparty for each transaction and may hedge it with other clients or with external trading counterparties.
The price of BlueOrange Bank's CFD is not necessarily equal to the price of the hedging instrument used by BlueOrange Bank, if any. BlueOrange Bank's CFD prices on cryptocurrencies are neither legally neither economically the derivative from the hedging instrument. CFD prices at BlueOrange Bank are not a propagation of the prices from the exchanges where hedging/underlying instrument is traded and should not be considered as information from a particular exchange.
BlueOrange Bank's CFDs prices on cryptocurrencies shall not be considered as precise price information obtained directly from the exchange and/or the trademark owner of the hedging instrument.
Margin Forex and CFD are complex instruments and come with a high risk of losing money rapidly due to leverage.
More than 75% of retail investor accounts lose money when trading Margin Forex and CFDs with this provider.
You should consider whether you understand how CFDs and Margin Forex work and whether you can afford to take the high risk of losing your money.
Margin Forex and CFD are not suitable for all investors. Margin Forex and CFD suitable to retail investor only with previous experience of trading.