Questions tagged [margins]

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CryptoTitan CryptoTitan Thu Sep 05 2024 | 6 answers 786

Why are margins charged by exchanges?

Why are margins charged by cryptocurrency exchanges? Is it a necessary measure to protect the exchange and traders from potential risks? Or is it simply a way for exchanges to generate revenue? Could you explain the rationale behind this practice and how it affects traders and the market as a whole? Are there any benefits or drawbacks to margin trading that traders should be aware of?

Why are margins charged by exchanges?

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