Cryptocurrency derivatives differ from spot trading in that they are contracts that derive their value from an underlying asset, rather than the asset itself. In spot trading, an investor directly buys or sells the underlying asset, such as a cryptocurrency, at the current market price. In contrast, with derivatives, the investor is speculating on the future value of the underlying asset.
Upon expiration, your trades' profits will be credited into your USD $ wallet account.
TradeDigital uses enterprise grade security for all customer information, as well as for protecting assets held on behalf of clients. Customer funds will never be lent, commingled or used for TradeDigital's operational purposes.
A fork is a change to the software protocol of a blockchain network that creates a split in the main chain. The new branch of the blockchain contains the desired changes, but it is incompatible with the original chain. This results in the creation of two separate blockchain networks. In some cases, the changes made during a fork may be significant enough to create a new cryptocurrency on the forked chain. A hard fork is a type of fork that involves significant changes to the blockchain protocol, rendering the old and new chains incompatible.
Cryptocurrency derivatives are financial instruments that derive their value from a underlying cryptocurrency, such as Bitcoin or Ethereum. These derivatives can be traded on exchanges and are used to hedge risk, speculate on price movements, and manage portfolio exposures.
At this time there are several countries that are restricted, US citizens/residents are not able to transact.
There are several risks associated with trading cryptocurrency derivatives. One risk is that the value of the underlying asset may fluctuate significantly, which can lead to losses for the derivative holder. Another risk is that the derivative may be subject to counterparty risk, which means that the other party to the contract may not fulfill their obligations. Additionally, cryptocurrency derivatives are not regulated in the same way as traditional financial instruments, which may increase the risk of fraud or other types of financial misconduct.
Income generation
Options can be used to potentially generate income on stocks you own and stocks you would like to own.
Hedging
Options can be used to reduce the risk on an existing stock position.
Speculation
Options allow you to take a speculative market position using leverage. You can even create a position that potentially profits if the market stays neutral.
Now that you've identified your primary objective, what other characteristics of an option or underlying security are you looking for? Filtering the field based on price, strike price (ultimate goal price)or other parameters can narrow the universe of trades down to a manageable set of ideas.
Once your options position has been established (opened), it's wise to keep an eye on its value and trend to help know what to do as it approaches expiration.
Cryptocurrency options are contracts that give the holder the right, but not the obligation, to buy or sell a specific amount of a cryptocurrency at a predetermined price on or before a specified date in the future. They can be used to hedge against price movements or to speculate on the direction of the market.
95% of all crypto assets are held in cold storage offline.
TradeDigital will match your first deposit up to $100 USD. Meaning if you deposit $100 USD, TradeDigital will give you another $100 USD that could be used for buying options. The Bonus money cannot be withdrawn, it can only be used to buy options. The Bonus money will be used once your initial $100 USD deposit has been exhausted. Your Bonus balance can be seen on your Dashboard and in My Wallet. For deposits above $ 100 USD, your Bonus will be used from your orders amounting between $101 USD to $200 USD.
Both individuals and institutions can trade cryptocurrency derivatives on TradeDigital.com
Storing cryptocurrency safely is essential for any crypto investor. With the increasing popularity of digital assets, it's important to take the necessary steps to protect your investments. Here are some tips for storing your cryptocurrency safely:
Use a hardware wallet: A hardware wallet is a physical device that stores your cryptocurrency offline. These wallets provide an additional layer of security, as they are not connected to the internet and are therefore less susceptible to hacks. Some popular hardware wallet options include Trezor and Ledger Nano.
Enable two-factor authentication: Two-factor authentication (2FA) adds an extra layer of security to your accounts by requiring a second form of authentication, such as a code sent to your phone, in addition to your password. This helps to prevent unauthorized access to your accounts and protect your cryptocurrency.
Use a password manager: A password manager is a tool that helps you generate and store strong, unique passwords for all of your accounts. This is especially important for cryptocurrency accounts, as weak or reused passwords can make it easier for hackers to gain access to your funds.
Use a secure internet connection: It's important to make sure that you are using a secure internet connection, such as a VPN, when accessing your cryptocurrency accounts. This helps to protect your transactions and prevent any potential interception of sensitive information.
Keep your software and devices up to date: Keeping your software and devices up to date with the latest security patches and updates is crucial for protecting your cryptocurrency. This includes updating your operating system, antivirus software, and hardware wallet firmware.
By following these tips, you can help ensure that your cryptocurrency is stored safely and securely. Always be mindful of potential threats and take the necessary precautions to protect your investments.
TradeDigital HQ are in the Netherlands, and has operations in Panama and Hong Kong.
The price of a cryptocurrency derivative is typically based on the underlying asset's spot price, as well as factors such as the time remaining until the contract expires, the volatility of the underlying asset, and the cost of carry. The price of the derivative is determined by the market forces of supply and demand, and can fluctuate significantly over time.
Unlike buying crypto currencies at nominal prices on crypto exchanges, here on Trade Digital investors can buy efficiently priced options, that trade at a fraction of the full value of the underlying asset. This means, unlike spending for instance 18 000 USD spot for a single Bitcoin (BTC), investors can get the full Bitcoin exposure by buying an option at a fraction of that price. Trade Digital’s options are offered on various maturities, strikes and of course as PUT and CALL options. – Call Options being purchased by investors who rather believe in a rising market (bull market), while Put Options being purchased rather with expectations in a market decline (bear market).
It's a very easy process, click on Withdraw from your Wallet and select the type of funds you would like to withdraw
