Risk Disclosure
Last updated: 4 August 2024
Trading leveraged cryptocurrency carries a high risk of losing money quickly. This page states those risks plainly. Read it before you place your first trade.
You can lose the entire amount you commit to a position, and you can lose it in minutes. Only trade with money you can afford to lose completely without affecting your standard of living.
1. Leverage multiplies losses as well as gains
Leverage of up to 100× is available on this platform. At 100× leverage, a 1% move against your position wipes out your entire margin. The higher the leverage, the smaller the price move needed to lose everything you committed.
Worked example: you open a $100 position at 50× leverage. Your exposure is $5,000. If the market moves 2% against you, that is a $100 loss — your whole margin.
2. Positions are closed automatically — and you may not be watching
When a position’s loss reaches 95% of the margin you committed, the system closes it automatically. This is a liquidation. It happens without asking you and it happens whether or not you are logged in — including overnight and while you sleep.
The order ticket shows an approximate liquidation price before you confirm. It is an estimate. In a fast market the actual execution can be worse than that estimate.
3. Crypto markets are volatile and never close
Cryptocurrency prices can move by double-digit percentages within a single day, in either direction, with no warning and no circuit breaker. Markets run 24 hours a day, every day, so a position can be liquidated at any hour.
4. Prices come from third-party feeds
Market data is sourced from public exchange feeds. Those feeds can be delayed, briefly interrupted, or wrong. The price you see when you submit an order may not be the price at which it executes.
5. Technology can fail
Internet connections drop, browsers crash, phones lose signal, and platforms have outages. You may be unable to open, modify or close a position at the moment you most want to. Stop-loss and take-profit orders reduce that exposure but do not eliminate it, and they are not guaranteed to execute at the exact level you set.
6. Fees reduce your return
A fee is charged on the notional value of a position when it opens and again when it closes. Because the fee is calculated on your leveraged exposure rather than your margin, it is proportionally larger at higher leverage. Frequent trading compounds this cost, and a strategy that looks profitable before fees can lose money after them.
7. This is not advice
Nothing on this platform — no chart, indicator, figure, list, ranking or message — is investment advice or a recommendation to buy or sell anything. We do not assess whether any product is suitable for you, your finances or your goals. If you are unsure, take independent professional advice before trading.
8. Past performance means nothing
Historical charts, previous returns and any performance figures shown in your dashboard describe what already happened. They are not an indication of what will happen next.
9. Regulatory and tax risk
The rules covering cryptocurrency differ by country and change frequently. A change in law where you live may restrict your access to these services or alter their tax treatment. You are responsible for meeting your own tax obligations.
10. Withdrawals can be paused
We are required to verify identity and to investigate suspicious activity. A withdrawal may be held while those checks are completed. Blockchain transfers, once sent, cannot be reversed by us.
Before you trade, be honest with yourself
- Can you afford to lose this entire amount without it affecting your life?
- Do you understand what leverage does to a small adverse move?
- Do you know where your position gets liquidated?
- Are you trading with your own money, not borrowed money?
If the answer to any of these is no, do not place the trade.
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