Crypto CFD Trading To Hedge The Hodling


When trading crypto CFDs, you are speculating on whether your chosen asset will rise or fall in value. You will not be taking any form of ownership of the digital asset. Libertex, a multi-awarded online broker, recently announced that it has completely slashed fees on all crypto CFDs to zero in terms of commission, swap, and exchange fees.

It means that when deciding to trade with the Libertex platform if you deposit €100 in your trading account, you can use that entire balance to trade crypto CFDs with. So you will not be wasting a big portion of that on fees.

Here are some of the benefits of trading the exciting cryptocurrency market via CFDs:

The large market moves: High volatility

Even though the cryptocurrency market is well within its infancy, there is a significant amount of volatility, with so much interest and activity continuing to grow day in and day out. The sheer size of movements that can be observed in a daily session is what makes this market so thrilling.

These rapid intraday movements in asset prices can provide several opportunities for traders to go long or short; however, that does come with increased risk. Therefore, it is crucial that if you decide to dive into the cryptocurrency market, be sure to have done proper research and have a good risk management plan in place.

Crypto does not sleep: 24/7

The cryptocurrency market is typically available to trade 24 hours a day, seven days a week because there isn’t any centralized governance of this market. Instead, transactions via cryptocurrency take place directly between individuals on cryptocurrency exchanges across the globe.

Faster transaction times: Improved liquidity

Generally speaking, the cryptocurrency market is much less liquid than other asset classes, given its infancy. Liquidity is measured by the speed and how easy it is for a cryptocurrency to be converted into cash without impacting the market price.

Liquidity is important because it allows for better pricing and faster transaction times. Also good for higher accuracy when conducting technical analysis. As the market continues to grow, then these conditions improve for traders.

When trading cryptocurrency CFDs with Libertex, you get access to good liquidity because it sources prices from multiple sources on the trader’s behalf. It means that the trades are more likely to be executed at a lower cost and faster.

Greater exposure: Use of leverage

Crypto CFDs are a leveraged product, enabling traders to open positions on what’s known as margin. It is a deposit worth just a fraction of the full value of the trade taken. So essentially, you can gain a larger exposure to the cryptocurrency market while only needing to tie up a relatively nominal amount of your capital. 

In terms of the profit and loss on these crypto CFD trades, they will be reflecting the full value of the position at the point of it being closed, so you do have the opportunity to make larger profits from a relatively smaller investment potentially.

However, do, of course, note that on the flip side, it can also amplify any losses, which can exceed your initial deposit. Therefore, it is vital to have a proper risk plan, including stops and targets on these trades.

Trade for More: Libertex

Part of the Libertex Group, Libertex is a Broker regulated by the Cyprus Securities and Exchange Commission, offering tradable CFDs with underlying assets being commodities, Forex, ETFs, cryptocurrencies and other. Libertex also offers commission-free investments of real stocks.

Over the years, Libertex has received more than 40 prestigious international awards and recognitions, including “The Most Trusted Broker in Europe” (Ultimate Fintech Awards, 2021). Libertex is the Official Trading Partner of Tottenham Hotspur FC bringing the exciting worlds of football and trading together.

Since founded in 1997 the Libertex Group has grown into a diverse group of companies, serving millions of clients from several countries all over the world.

For more information about Libertex visit their website.

* 75.3% of retail investor accounts lose money. Zero Commission fees on crypto CFDs are available for retail clients on the Libertex Trading Platform. Cryptocurrency instruments are not available to retail clients in the UK.


All the information contained on our website is published in good faith and for general information purposes only. Any action the reader takes upon the information found on our website is strictly at their own risk.

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