Margin trading, one of the popular features on significant crypto exchanges, attracts a lot of users. Noticing the recent spike in the users of margin trading, Blockchain.com has introduced this feature in its platform.
With the recent announcement, the officials further stated that since the launch of their platform, there had been multiple requests from customers to integrate margin trading in the platform.
The officials have decided not to go all-in and just introduce the BTC/USD pair for the time being. Therefore, the users who prefer to engage in this type of trading activity would be able to do so at a 5x leverage. Leverage trading attracted a lot of attention but, financial regulations on such activities are also increasing.
Margin trading at Blockchain.com
There are multiple things that need to be noticed in the new announcement by Blockchain.com. Firstly, margin trading will only be used in around 150 nations. Users from nations like Japan, United States, Canada, France, Netherlands, Germany, and more won’t use this new platform feature.
Secondly, it is also important to note that the users of the Blockchain.com exchange platform who are verified and gold users are the only ones to which this feature will be accessible.
Another important note is the margin trading fees, which amount to a 0.12% one-day trading fee at open positions. In other words, the fees will be 0.02%/4-hours.
IPO plans in motion
During the month of August, Blockchain.com announced that it had already crossed 1 trillion USD in transactions. As a result, the platform is planning for an Initial Public Offering or IPO, ahead of the integration of margin trading.
It is clear that the firm will be following the footsteps left behind by Coinbase, and by 2023, we will see Blockchain.com listed after an IPO. After a series of funding rounds back in the first quarter of 2021, the firm achieved a valuation of 5.2 billion USD as of March.