de | cn | ru

Brokers News Offers Bitcoin Spread Betting

A new service has just been launched on the financial scene, available only to a few selected people for beta testing: The service advertises “long and short leveraged bitcoin position trading”, which I read as simple bitcoin spread betting. 
Now, this is no longer a unique thing – IG Group already offers spread betting on bitcoin, with Plus500 you can trade the Bitcoin/USD currency pair as a CFD, and AnyOption offer binary options on the virtual currency. What's supposed to set apart is the fact that the platform will operate in bitcoin and bitcoin alone – meaning that your account balance will be in the virtual currency, rather than in USD or any other traditional form of payment. 
Trading will be done with a leverage of 1:100, which is way higher than the one offered by Plus500 (1:5), and as you might have guessed, bitcoin will be the only instrument available for betting on.
Personally I don't think a leverage that high on bitcoin is a good idea – the cryptocurrency is an extremely volatile instrument, carrying a high degree of risk; the high leverage only amplifies this risk, preventing traders from proper risk/money management – keep that in mind if you decided to try out 
The trading platform that the company offers is a proprietary one and was designed by Joe Lee, the owner of He coded his own algorithmic trading bots from scratch, and apparently when these proved to be profitable, he decided to share it with the bitcoin traders worldwide in order to “improve the bitcoin ecosystem through injecting more liquidity into the global bitcoin space”. 
Here is what I got to know about the platform after playing with it for a while (I got my beta access, yay!): it's quite basic. There's a simple tab-organized menu on the left, where you can fund your account and edit your profile info, and on the right there are the buy and sell buttons. That's all – no unnecessary clutter. A chart of the bitcoin price movement would have been really useful but I guess Lee thought we can do without it. 
Positions can be kept open overnight (a daily fee will be charged on such positions); and positions are automatically closed if the trader's equity can't sustain the loss of an unprofitable position. Something you should keep in mind is that a maximum of two potisions can be opened in both directions (long and short) at the same time.
Safety-wise, Lee promises advanced security measures. Traders' logins will be protected by two-factor authentication, all funds will be kept in an offline vault, and no private keys will be held on the servers.
Withdrawals from will be processed within 24 hours and this will be done manually for additional security. 
Currently, is backed by a private capital of $150,000 but Lee is seeking for other investors who would be interested in the project. Considering the high level of interest venture capitals express in bitcoin, I am guessing he'll have no troubles finding investors. 


TAGS: bitcoin  forex  forex trading  Plus500  forex broker  forex spread  forex volatility  spread betting  forex leverage  binary options 
Broker Country Regulation Platform Min Deposit Review
Cyprus CySec, FCA MT4, MT5, Web $5 Review Website
Cyprus, Australia CySec, ASIC MT4, Web $100 Review Website
UK, Cyprus, Hong Kong FCA, CySEC, SFC MT4, Web,
$100 Review Website
UK, Cyprus FCA, CySec MT4, MT5 $5 Review Website
UK, Australia FCA, ASIC MT4, Trading
$50 Review Website
UK, Cyprus, UAE, South Africa FCA, CySEC, DFSA, FSB MT4, MT5, FxPro
$100 Review Website
Cyprus CySEC MT4, MT5, Web $1 Review Website
Belize IFSC MT4, MT5 $100 Review Website
Cyprus CySEC in-house mobile
$50 Review Website
Seychelles FinaCom MT4, Web $10 Review Website

More Forex Brokers News

etoro launches trading in Stellar lumens

Feb 15 2018 11:14:23

  eToro, a forex broker and social trading platform, announced it is expanding its cryptocurencies poirtfolio with Stellar lumens (XLM). Read more

Oanda lowers spreads on major indices

Feb 14 2018 07:45:14

 Major global multi-asset brokerage Oanda announced it is lowering the spreads on some of the major indices in its portfolio in order to reduce the price for trading in indices for its clients. Read more

Admiral Markets expands crypto CFD offering with Dash, Monero, Zcash

Feb 12 2018 08:13:07

Admiral Markets, a European forex and CFD broker, announced it is expanding its portfolio of cryptocurrency CFDs with Dash, Monero and Zcash. Read more

XM lowers Zero Account commission

Feb 09 2018 08:06:41

Leading EU forex and CFD broker XM announced it is lowering the commissions on its popular Zero Account. Starting from February 12, 2018 the broker will charge $3.5 per $100 000 traded (one lot), instead of $5 per lot. Read more

Plus500 sets up new subsidiary, gets South African Authorized FSP license

Feb 08 2018 08:05:35

Plus500, one of the major global forex and CFD brokerages has obtained an Authorized Financial Service Provider (FSP) license from South Africa’s Financial Services Board (FSB) through its newly created subsidiary Plus500SA Pty Ltd., the company said. Read more

CySEC fines EUR 30 000 owner of iTrader forex broker

Feb 07 2018 08:43:11

The Cyprus Securities and Exchange Commission (CySEC) said it has fined EUR 30 000 the owner of theiTrader forex and CFD broker – Hoch Capital Ltd. Read more

Forex broker Fullerton Markets adds Bitcoin as payment option

Feb 06 2018 09:24:11

New Zealand-regulated forex and CFD broker Fullerton Markets said it is adding Bitcoin as a payment option for its clients. According to the company CEO Mario Singh, the decision was driven by a large number of client requests to do so. Read more

FXTM gets FCA license

Feb 05 2018 10:50:34

 Global forex broker FXTM  announced it has obtained a license from UK’s Financial Conduct Authority (FCA) through its London-based unit Forextime UK Limited. Read more

FCA slaps GBP 1 mln fine on Interactive Brokers UK

Feb 02 2018 10:22:20

 UK’s financial services regulator, the Financial Conduct Authority (FCA), has fined the UK branch of the US brokerage Interactive Brokers (IBUK) GBP 1,049,412, the watchdog said. Read more

HYCM expands CFD portfolio with Ripple, Bitcoin Cash

Jan 25 2018 15:23:57

 HYCM, a leading provider of online FX and CFD trading services, announced this week it is expanding its CFD cryptocurrency portfolio with the addition of Ripple and Bitcoin Cash.   The CFDs are on the XRP/USD and BCH/USD pairs. Read more

de | cn | ru