Margin

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When trading on margin, one borrows money from the bank or a lending platform inexchange for collatoral. Margin trading can be very profitable, but is also considered to be highly risky. Especially in a highly volatile market such as crypto. In margin trading one differenciates in Isolated Margin and Cross Margin. Cross margin uses all of your crypto assets accross the platform as collateral while isolated margin only uses the collateral that you select. Platforms to use for margin trading are Binance and ByBit.

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