This is the very important question we ask in Trading Preschool Lesson 2. If you know the why, you can endure any how.
There are many benefits and advantages of trading Bitcoin. Here are just a few reasons why so many people are choosing this market:
Decentralized Valuations: Bitcoin is unique. In that, it is the only currency not issued by a central bank. So there is no central authority to manipulate its value. This can make it quite volatile. But, because it is free from central manipulation, its price can be considered more fair in many respects. Besides, volatility is the friend of any trader looking for greater profits, faster.
Low Transaction Costs: Moving bitcoins from one place, to another, is very cheap and quick, relative to other forex trading. There are no clearing agencies, or banks involved. So, the associated costs are eliminated. Further, iceCUBED does not charge any deposit and withdrawal fees. Bitcoin, and similar digital currencies, are by far the most cost effective to move around for trading. This improves trading profits dramatically.
Low Trading Costs/Fees: At iceCUBED we keep trading costs very low. When compared with usual forex trading accounts, the trading fees are incredibly low. Specifically, there are NO Deposit or Withdrawal fees for digital currency transactions. There are NO Deposit or Withdrawal fees for Naira transactions. FIAT (ZAR) carries a small R10 withdrawal fee, per withdrawal, to cover bank charges. For individual traders the commission is between 0.8% – 1.5% per trade. So if you deposit R100.00 and you place a buy order, the maximum amount you will be able to BUY bitcoin for is R99.00 assuming you pay 1% commission. For high volume traders the trading commission is between 0.5% – 0.8% per trade. So if you deposit R100.00 and you place a buy order, the maximum amount you will be able to BUY bitcoin for is R99.50 assuming you pay 0.5% commission
Low Required Deposit: You can start trading Bitcoin and cryptocurrencies with as little as ZAR 10 with iceCUBED. Again, a figure that low cannot be achieved trading any other forex, currencies or commodities.
No Global Boundaries: The Bitcoin network is global decentralised and runs 24/7. There are no global boundaries. Anyone, from anywhere, can trade at any time. With Bitcoin, a South African trader can Africa can make a trade with a London based Broker, for example, on a Sunday at 5 in the evening. Kingdom. If both parties are willing to transact, the boundaries are eliminated. There is no opening or closing, unlike other forex markets, digital currency markets trade 24/7.
Arbitrage Opportunities: Digital currency trades across multiple exchanges, all around the world. The different types of cryptocurrencies (Bitcoin, Litecoin, etc) all have strong similarities and move between each other fluidly, quickly and easily. Because these are a new assets class, they are young and relatively thinly traded. This provides an exciting opportunity, across multiple exchanges. Exchange rates can vary between exchanges significantly. So arbitrage trading is possible, quite simple and can be very profitable.
We hope Trading Preschool Lesson 2 was of some assistance.
Cryptocurrencies represent a new, exciting and unique asset class. Forex trading with digital currency like bitcoin provides both new opportunities and risks. Consult with the support staff at iceCUBED for any specific questions you may have about trading with us.
Our help desk is one of the best in the industry. We provide ourselves on the assistance we provide to you, the client.
And remember, only even use a locally regulated forex exchange, like iceCUBED.