The crypto market, which has long been considered highly volatile, is defying the odds of most skeptics as it continues to grow and present more profit-making opportunities. As of press time, this market is well over $300 billion in capitalization following the bulls that have recently been pushing crypto prices up. Bitcoin rose to break past $11,000 on July 28, marking a new ATH since we began the year.
Notably, this volatility has excited crypto traders given the opportunity to make a kill from margin trading. The increase in income could be as much as five times on a platform like crypto exchange WhiteBIT, whose margin trading provides for a leverage of 5x the initial deposit. Ideally, with only 1 BTC, traders could enter into a position, where the required margin balance is 5 BTC based on the extended leverage.
WhiteBIT’s margin trading terminal is set to integrate high liquidity pairs against top crypto assets in the market during its initial stages. Some of pairs that will be featured in this pool are the Russian Ruble (RUB), Turkish Lira (TL), Euro (EUR) and the Ukrainian Hryvnia (UAH). Over time, the margin trading leverage will be increased to 25x in an effort to provide more exposure to its traders.
Looking at the market, only a few exchanges including BitMEX, Bitfinex, Bybit and FTX have also integrated fully-fledged marginal trading terminals. It is, therefore, not surprising that WhiteBIT that falls in the same category has attracted over 180,000 users since its first debut back in 2018. The crypto-to-fiat exchange, whose presence is mainly in Europe and the Commonwealth of Independent States (CIS), is gradually taking a lead position given its competitive margin trading terminal for these markets.
Based on its experience, WhiteBIT is optimistic about scaling its products including margin trading beyond the European market. The company which is FATF compliant, however, requires a stricter level of KYC verification as per the guidelines of recommendation 16 which introduced the ‘Travel Rule’ for Virtual Asset Service Providers (VASPs). While decentralization die-hards may be opposed to this directive, they have reinforced the trust placed in crypto exchanges like WhiteBIT.
More Income Up for Grabs in Staking Interest
Other than trading contracts for differences, crypto traders can also increase their income by staking digital assets in return for interest. This initiative has particularly driven growth in Decentralized Finance (DeFi), where the total locked value (TVL) is well over $3.6 billion today. In this market, annual ROI could go as high as 100% when combined with token rewards that have emerged as incentives to attract network contributors.
Going by these trends, the lucrative staking arena has since attracted not only DeFi’s built on Ethereum but also crypto exchanges such as WhiteBIT. This platform’s annual interest for HODLing crypto assets could yield as much as 9% in the case of USDT stablecoin. On a normal day, such gains are rarely accumulated, especially if the underlying asset is considered to be relatively stable compared to a peer asset class or commodity.
With so much at stake in terms of storing the digital assets, WhiteBIT leverages cold wallets as part of eliminating the risk of being hacked. Consequently, over 95% of the digital assets entrusted to WhiteBIT are kept in cold storage. The platform also pegs its efficiency to over 100 blockchain developers that are part of the WhiteBIT exchange team.
The crypto market has shown no sign of slowing down despite a number of bumps since it last rallied to its ATH towards the end of 2017. On the contrary, it has been a period of fundamental advancements with some stakeholders being dropped after their projects proved to be of little or no value. Well, recent price movements now signal that the technical price outlook might finally be catching up with the development that has happened since 2017.
As this takes place, there are numerous opportunities to open and close positions before the market consolidates. However, they can only be capitalized through features such as margin trading and staking initiatives, which have proven to be worthwhile in liquidity creation and market gains for traders. In addition to this, traders can further participate in referral programs such as WhiteBIT’s, which offers 40% in rewards from the referred friend’s trading fees. These money-making avenues in crypto markets are only the beginning of an ecosystem where real-world opportunities will be replicated in the token economy.