Do you want to enable Spot Margin Trading on Binance or FTX?
If your answer is YES then look no further as we have a guide explaining the same in the simplest way possible.
Apart from explaining how to enable Margin Trading on FTX and Binance, this post will also explain what Margin Trading is and how it works.
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Without any further ado, let’s get started:
What is Margin Trading?
Margin Trading is nothing but a kind of trading asset wherein you borrow funds from a third party to perform leveraged trading, which amplifies both loss and profits.
Margin Trading is massively popular in low-volatility markets such as Forex markets, Storck, Commodity and Cryptocurrency Markets.
For the uninformed, in traditional markets, the borrowed money is usually given by an investment broker.
In Cryptocurrency Market, the funds are usually given by other traders.
There are some Cryptocurrency exchanges like Binance and FTX that provide Margin Trading.
If you are here to learn how to enable Spot Margin Trading on Binance, FTX and other Cryptocurrency exchanges then keep reading this guide.
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How to Enable Margin Trading On Binance?
The process of enabling Margin Trading on Binance is pretty simple.
However, if you are new to Binance and don’t know how to enable it then follow the steps written below:
First, visit the official website of Binance.
Once you are on the site, log in and complete the verification process.
Once you have successfully logged in, click on the ‘Trade’ tab located at the top of the screen.
When you do so, a drop-down window will appear on the screen.
From the drop-down window, select ‘Margin’.
When you do so, you will be asked to complete the Binance Margin Quiz’, which consists of seven questions.
Once you have successfully completed the Binance Margin Quiz, you will have a Margin account opened on Binance.
Once your Margin account is opened on Binance, you can transfer funds to your account and start trading.
To know more about Spot Margin Trading, click on this link.
How to Enable Margin Account on FTX?
To enable Magin Trading and Borrowing on FTX, you will need to visit its official website.
Once you are on the site, create an account if you have not already.
If you want to get additional benefits, make sure to create an FTX account by clicking on this link.
Once logged in, click on your profile icon located at the top right corner of the screen.
Doing this will show you a drop-down menu. When it appears, select ‘Settings’.
Once you are in the Settings window, select Margin from the side panel.
That’s it.
How to Disable Spot Margin On FTX Exchange?
To disable or turn off Spot Margin on FTX exchange, you will need to follow a few simple steps:
First, visit the official website of FTX.
Once you are on the site, click on your profile icon located at the top right corner of the screen and select ‘Settings’.
In the Settings window, you will have to find the ‘Margin‘ option in the Subaccount section.
Once you get there, click on the ‘Disable’ Spot Margin Trading button.
That’s it.
Frequently Asked Questions (FAQs)
Q1. Does FTX Allow Margin Trading?
Ans: Yes, FTX US support Margin Trading in its spot markets for qualified users.
Q2. Is FTX Better Than Binance?
Ans: There is no denying that both FTX and Binance are better platforms and have their advantages or disadvantages.
However, when it comes to staking rewards, Binance is way better than FTX.
For the uninformed, FTX does not provide staking on its platforms, which gives crypto investors an opportunity to earn income for supporting a coin as a part of the verification process.
Q3. How to Open Margin Account on Binance?
Ans: To open a Margin Account on Binance, you will need to visit its official website and click on the ‘Trade’ tab.
From the drop-down menu, select ‘Margin’. When you do so, you will be asked to complete the Binance Margin quiz.
Once it is done, your Binance Margin account will be opened.