Why You Should Trade Crypto With Leverage in South Africa

Times have been tough this year, and the need to embark on a side hustle has greatly increased. As 2020 draws to a close, the time has never been better to delve into margin trading. Here is why you should trade crypto with leverage in South Africa to increase your income and broaden your trading horizons.

What is Trading Crypto With Leverage?
Leverage trading, also known as margin trading, is when a trading platform allows you to increase your capital through borrowed funds and leverage your trade. As companies use investments to build their businesses, you can too claim an “investment” to help increase your returns. Some platforms allow you to leverage your trades between 10x to 100x, either way the funds are borrowed at an agreed interest rate and you can use them to boost your trade and increase profits. Should the trade be unsuccessful, a stop loss mechanism is put into place (known as a margin call) and you will need to pay back the funds.

The Advantages Of Trading Crypto With Leverage
Here are a few of the reasons why you should trade crypto with leverage in South Africa.

• Increased Capital
  By increasing your capital you can significantly increase your earning potential, and take on trades that you otherwise would not have been able to make.

• Increased Profits
  If you make 10x on a trade, imagine if you had leveraged that by 100x, you’d take home 1,000x your initial investment.

• Trading Flexibility
  Leverage trading allows traders to take advantage of timely market opportunities even if they have limited cash at the time.

• Diversified Portfolio
  Traders can further diversify their portfolio by spreading their initial capital across several investments and leverage them through margin trading.

• Less Risk Than Holding Actual Crypto
  Instead of worrying about the security and origins of where your cryptocurrency might have been, with margin trading you are trading on contracts and do not need to get wrapped up in the intricacies and legalities of holding the actual cryptocurrency.

• Faster Trades
  Margin trading contracts are processed at a fraction of the time than that of actual cryptocurrencies, as sometimes the network can get congested and transactions take longer to fulfil.

Crypto Margin Trading With SnapEx
One of the top crypto leverage trading platforms in South Africa is SnapEx, the platform offers a reliable and user-friendly platform for traders to take their skills to new levels. In 2019 alone, the platform’s daily active users increased by 900% while their trading volume experienced an increase of 600%.

Traders not only enjoy competitive trading fees, they also have access to a number of crypto markets, namely Bitcoin
(BTC), Cardano (ADA), Ethereum (ETH), Litecoin (LTC), Ripple (XRP), EOS, Bitcoin Cash (BCH), and Ethereum Classic (ETC). All of these assets are crossed with Tether (USDT). SnapEx only charges fees for opening positions, and does not charge additional fees for when you close a position. The current rate is 0.1% with the option to reduce fees by using SNAP points.The platform does not charge any hidden fees.

With no order book, this modern approach to margin trading also ensures that trades do not incur price slippages. SnapEx also uses the isolated margin method, meaning that only a certain percentage of the trade is up for liquidation if the markets move against you.

Get Margin Trading And Leverage Those Returns
To help you along, SnapEx offers traders demo accounts that are funded with 10,000 USDT of practice funds. The platform is well suited to newbies who would prefer to test the market, and seasoned traders who are ready to jump right in. The incredible returns on a few key investments is why you should trade crypto with leverage in South Africa this summer. What are you waiting for?