Margin Trade and Spot Trade

[Rick00]

Hello Everyone i want know that what is the Difference between Margin Trading and Spot Trading. I don’t know anything about Margin and Spot Trading.         

[Evgenklm]

For spot trading, I think it is not necessary to explain, this is a traditional type of trading, but margin trading is also trading in cryptocurrency, but using borrowed funds by a third party, and the third party is the exchange, this is in simple words.

[monig18]

Spot trading is a traditional way of trading. in this way you can trade with your own capital.Profit is yours and loss is yours. But in margin trading you borrow some money according to leverage from third party. And the third party share the profit and loss .

[Kitaiev]

If you do not go into details. Trading on margin allows you to make more money but at the same time you risk losing more.
Margin trading is similar to a casino in that you run the risk of losing everything if you are not in control and have no action plan.

[mohdelayo]

Hi OP, Spot is simply buying and selling, you know buying low and selling high kind of thing. While Margin involves quite a number of features which includes;
1. You're trading with a borrowed money
2. There's leverage (kind of a multiplier)
3. Very high risk and reward tendency

People whom are highly professional in trading earn a lot from margin trading but i will tell you its the fastest way for a nob to get completely rekt, especially when you dont know what you're doing.

[Duckenth]

Hello Everyone i want know that what is the Difference between Margin Trading and Spot Trading. I don’t know anything about Margin and Spot Trading.       

So far I have used spot trading and have not dared to trade on a margin system.  Margin trading carries a very high risk, if we predict wrongly, it is not our asset value that will decrease, but our assets will actually be depleted.

[kulkhan]

I love spot trading, Because i am familiar with this trading. Spot trading is General trading. Normally anyone can trade here easily. Anyone can diposit any Exchanger and can trade though spot wallet. On the otherhand Margin is occared by thard party lone balance. I never use it. So i have no huge experience about it.

[Paglamon]

Spot trading is certainly important. Because now everyone is benefiting by spot. I use spot. I think it is definitely convenient for trading. Not every margin trading matters. Investors take different paths to choose the easy ones. So easy ways to invest are popular.

[Nikawe]

Hello Everyone i want know that what is the Difference between Margin Trading and Spot Trading. I don’t know anything about Margin and Spot Trading.       

Spot trading is a systematic approach of trading which you generally trade in any exchange. Margin trading a trade that you borrow from sources.

[Churphans]

I have binance exchange account and always see many options above the exchange heading line , spot trading, margin trading, savings account, etc but I only familiar with spot trading. Spot trading is the general trading which can trade anytime if you have enough money or liquidities.

[aarif123]

Spot trading is normal trading where you deposit funds and start trading but in Margin trading you borrow funds from exchange in order to make your money double or triple or as per your requirement.

[Lanirex]

Margin trading is certainly a lot more profitable when compared to spot trading, however Margin trading also carries a higher risk.  Therefore, beginners should be careful if they want to trade this way.

[EAA-ALLAH]

Margin trading is certainly a lot more profitable when compared to spot trading, however Margin trading also carries a higher risk.  Therefore, beginners should be careful if they want to trade this way.

Spot trading systematic trading system in any account without any lending or borrowing money from others sources. Margin means borrow or lending money . So margin trade means 5*, 10* trading with multiply.

[Lanirex]

Spot trading systematic trading system in any account without any lending or borrowing money from others sources. Margin means borrow or lending money . So margin trade means 5*, 10* trading with multiply.

Yes, I understand that, what I mean is when we trade spot and we predict wrongly, our token price goes down, our token will not disappear, but only the value will decrease.  But if we trade with the Margin system, then we predict the wrong price of the coins we hold and if we get liquid, our tokens will run out.

[Anonylz]

Spot trading is certainly important. Because now everyone is benefiting by spot. I use spot. I think it is definitely convenient for trading. Not every margin trading matters. Investors take different paths to choose the easy ones. So easy ways to invest are popular.

I would say, spot trading is convenient as in, you might not have to worry even if the market goes against you because you can still hold you coins/token till the price recovers even if it has to be over some years and that is why I do spot trading for now though still currently learning margin trading which I believe when you understand it and know how to trade in futures, you can make more profits in futures margin trading than sport plus you can make profits both ways, whether market going up or down.