KucCoin, Crypto exchange has announced the launch of margin trading for cryptoassets.
According to the news published on October 25th, KuCoin will give users access to margin trading beginning Oct. 31. With the new product, traders are enabled to leverage borrowed cryptoassets as principal in their transactions. Users will also be able to enact short positions by selling the lended crypto.
KuCoin is offering a 20% discount promotion for investors using KCS to pay for margin trading transaction fees. KucoinUpdates tweeted;
“KuCoin will release an all-new service on October 31, 2019 (UTC+8): Margin Trading.
Users will be able to enjoy a 20% discount in KCS when using it to pay the transaction fees generated in margin trading.”
The update also reminded users of the substantial risk involved in margin trading, even in comparison to tradition transactions,
Margin trading refers to the practice of borrowing funds with a relatively lower amount of capital to trade financial assets and obtain bigger profits. However, due to market risks, price fluctuations, and other factors, you are strongly recommended to be prudent about your investment actions
KuCoin will use a risk management system for individual tokens to ascertain the maximum amount of leverage that can be applied in transactions.