Now the trade in tokens is mainly conducted on cryptocurrency websites. However, there are a few more places where cryptocurrency trading is even more profitable. The investor has the opportunity to buy bitcoins as CFD contracts, or as securities of various funds.
With the usual purchase of a cryptocurrency, a trader is forced to perform several service operations. At least, he will have to exchange fiat money for tokens and then do a reverse transaction when withdrawing funds.
Therefore, brokerage companies offer a different solution to the problem. They allow you to buy not the asset itself, but the financial CFD contract. Such cryptotrading occurs on the exchange, for which the token is not the main asset. That is, it turns into one of many instruments. As a result, the trader’s possibilities are significantly expanded:
Economically, CFD trading turns out to be much easier to buy coins and transfer them to a cryptocurrency wallet. As a result, much more profitable. Increased security is an additional advantage.
Do not forget about the fact that not everyone can deal with the storage device for tokens. Although it is considered that it is not difficult to start a wallet, the trader already has many different concerns. An additional advantage of working with financial contracts was the use of leverage. Now marginal trading of bitcoin on the cryptoexcahnge is carried out without the use of a wallet.
However, it should be recognized that this method is more suitable for small and medium investors. Larger players do not yet have reliable and cheap ways to trade in financial contracts for crypt.
A complex situation has developed in most financial markets. Usually, any instrument was initially available to institutional investors, and only then was offered to the rest of the traders.
However, cryptotrading and its derivatives on the stock exchange went according to another scenario. Until now, American and European funds do not have the financial instrument for the crypt. The US Securities and Exchange Commission has several times filed an application for the resolution of the turnover of Bitcoin-ETF funds. So far a positive decision has not been made.
In the summer of 2018, the SEC rejected the application of the Winklevoss Foundation, and he did not have a single chance. At the end of 2018, VanEck and SolidX companies also expected a positive decision, but they did not wait for it. This time the businessmen have done a tremendous job. To meet the requirements of the SEC, they even created a custodial service.
The market expected that the regulator will not be able to refuse this request. The fact is that VanEck and SolidX came up with a very interesting scheme for trading cryptocurrencies.
According to their idea, the buyer acquired Bitcoin futures at the market price. If the transaction did not close in a day, the owner of the financial contract received a “wallet”, to which the purchased coins were transferred. That is, his rights were protected through the transfer of the asset itself. However, the SEC postponed the decision until the last moment. Then Donald Trump announced the shutdown, and government agencies suspended work. In fact, the regulator did not have time to consider the application in due time. However, since he had already postponed the decision making twice, trading in a bitcoin ETF cryptocurrency would be allowed. However, the business decided not to confront the authorities, but withdrew the claim.