If you are looking for the best crypto leverage futures crypto exchange in order to increase your trading power, then you are in luck! Here are some of the best crypto exchanges you can leverage your trading power on. The list below is a list of the top crypto exchanges. Binance, Coinbase, Kraken, and so many other crypto platforms are included in this list…
It is my pleasure to present you with an exhaustive list of the 5 best crypto leverage futures crypto exchanges out there that you can use to trade crypto.
To begin with, it’s essential to understand what leverage trading is and why it is beneficial before moving on to the list itself.
What is Leverage Trading?
If you wish to trade larger amounts than your own funds allow you to, then you can utilize your own funds as collateral to participate in leverage trading. The word leverage refers to increased trading power. In a nutshell, leverage trading enables you to trade crypto in a larger amount by borrowing funds in the form of leverage.
It gets much more complicated than that, of course.
The ratios of leverage range from 3x (1:3) to 20x (1:20), 100x (1:100), and so on. Leverage refers to the number of times your original capital multiplies by. Let’s say, for example, that you want to open a BTC position worth $2,000, but you only have $100 worth. In this case, a 20x leverage would be required.
While leverage trading can be referred to as margin trading, please do not confuse it with this term. In spite of the fact that these two concepts are inseparable, they cannot be used interchangeably. As a matter of fact, you should consider margin trading to be a form of leverage trading rather than a synonym for that.
A number of different types of leveraged trading exist. Among the most popular are margin trading, leveraged tokens, and futures contracts, which are all forms of leveraged trading.
Why Use Leverage Trading?
First, it’s a sure way to maximize your profits over what you’d be able to make on your own. Furthermore, some traders utilize it to increase the liquidity of their funds. While they leverage a portion of their funds, they can utilize the remaining portion for other profit-generating activities.
The prospect of increased profits and fund liquidity certainly sounds great, but be aware that leverage trading is not without its risks. Even though it may bring high profits, it could also bring high losses. Besides, since the crypto market is unexpectedly volatile, leveraged positions are likely to be forced to liquidate. The higher your leverage ratio, the greater the risk you face.
As the saying goes, don’t bite off more than you can chew when it comes to leverage or other types of high-risk investments.
Having said that, let’s move on to our list of the best crypto leverage trading exchanges!
1, BTCC
BTCC is a cryptocurrency exchange that was established in June 2011 with the mission to make crypto trading reliable and accessible for users worldwide. The platform holds crypto licenses in multiple countries, including the US, Canada and Europe, ensuring legal compliance and security for its users. BTCC has been providing secure trading services for over a decade using advanced technology to navigate through various market cycles. As the world’s oldest crypto exchange, BTCC emphasizes constant improvement in every aspect of trading to provide a fair environment for all crypto enthusiasts around the globe. In summary, BTCC is a trusted and innovative platform committed to delivering excellent crypto trading services to its users.
2, Huobi
Website: https://www.huobi.com/
Certainly, Huobi is one of the most popular crypto exchanges out there. It provides a variety of earning opportunities, as well as learning materials for users. In addition to that, it offers a variety of trading options, such as spot trading, margin trading, future trading, etc. This makes it the best crypto leverage trading platform on this list.
On Huobi, you can choose between cross-margin trading and isolated margin trading. Cross-margin trading allows you to choose up to 3x leverage, while isolated margin trading allows you to choose up to 5x leverage.
There are two different types of margin trading fees – normal and professional. Additionally, each type has different fee levels based on trade volume, interest rates, and HT holdings (Huobi’s native token).
Aside from margin trading, Huobi also offers futures trading, which is similar to margin trading. The company provides users with a variety of futures products, which include USDT-marginated futures, Coin-marginated futures, as well as options.
Huobi usually allows futures trading with up to 100x leverage, but for contracts based on Bitcoin and Ethereum, the maximum leverage has been increased to 200x.
3, Bitfinex
Website: https://www.bitfinex.com/
There is no doubt that Bitfinex deserves a spot among the best crypto leverage trading platforms worldwide. Whether you are looking for the best crypto leverage trading platform in the USA or Europe, Bitfinex is a great choice.
Among the leverage trading options that Bitfinex offers are the ability to trade with up to 10x leverage. Using Bitfinex, you can trade long-term or short-term positions with a low interest rate. Speaking of fees, margin traders on Bitfinex are required to pay an interest rate that is determined by the trader or by Bitfinex’s finance matching system.
In addition, it is worth noting that you can participate in margin funding by lending your funds to margin traders in order to generate returns. Margin funding is available at various rates and for different periods.
Furthermore, Bitfinex provides its users with the option to trade futures on the exchange as well. The maximum leverage users can choose when trading futures on Bitfinex is 100x. However, it should be noted that only intermediate and higher-level verified users are able to trade futures on Bitfinex.
4, Kucoin
Website: https://www.kucoin.com/
KuCoin is a crypto trading platform that offers several trading, earning, and learning opportunities as well as leverage trading options, so it certainly deserves to be included on this list of best crypto leverage trading platforms.
For starters, KuCoin offers margin trading as one of its leverage trading options. There are two types of margin trading modes in this system: cross margin and isolated margin. In cross margin mode, all assets in the margin account are used as collateral, while in isolated margin mode, each trading pair has its own margin account.
In Kucoin, cross margin allows for up to five times leverage, while isolated margin allows for up to ten times leverage. Margin trading fees depend on the level of the user’s trading fee. Based on the maker-taker model, the level is determined by holding KCS tokens (the native KuCoin token), analyzing the asset and trading volume.
Besides that, KuCoin also offers a futures trading option, but users can only trade BTC and ETH through future contracts. Still, this makes KuCoin one of the best Bitcoin leverage trading platforms.
5, Bbit
Website: https://www.bybit.com/
Among the largest crypto derivatives exchanges, ByBit deserves to be included in our best crypto leverage trading platform list because it offers all the tools and services a trader might need. In addition to a quick buy/sell feature, there are many trading options, useful trading tools, and even Web3.
In terms of leverage options, it offers all the essentials. Firstly, it allows users to participate in spot margin trading with up to 5x leverage. Users can also choose the cross and isolated margin option.
Therefore, if you’re searching for the best Bitcoin leverage trading platform, Bybit surely deserves your attention. Trading pairs include BTC/USDT, BTC/DAI, ETH/USDT, and so on.
There are three types of margin trading fees charged by Bybit. In addition to spot trading fees, Bybit also charges interest fees, which are calculated based on the amount of interest you earn. Last but not least, Bybit charges liquidation fees of 2% (which are deposited into margin insurance funds).
