CFD (Contract for Difference) trading lets you speculate on the price movement of assets—like crypto, forex, or stocks—without actually owning them. You go long if you think the price will rise, or short if you think it’ll fall. Profits (or losses) come from the difference in entry and exit prices.
CFD trading is restricted in the U.S. for retail traders, but it's widely available and legal in regions like the UK, EU, Australia, and many parts of Asia. Always check your local regulations before opening a CFD account.
Yes, many platforms offer crypto CFDs, allowing you to trade Bitcoin, Ethereum, and other digital assets with leverage—without needing a crypto wallet.
Leverage lets you control a larger position with a smaller amount of capital. For example, with 10x leverage, you can trade $10,000 worth of an asset using just $1,000. It boosts both your potential gains and your risk.
Not traditionally, but DeFi protocols are starting to offer decentralized forex trading through synthetic assets and stablecoin pairs. It’s still early but growing fast.
While leverage can amplify profits, it also increases losses. Price swings in volatile markets like crypto or forex can quickly wipe out your margin if you’re not careful. Choose platforms with built-in risk tools like stop-loss and liquidation protection.
DeFi trading is decentralized—meaning no middleman, no KYC, and full control of your funds via smart contracts. Centralized CFD platforms often offer faster execution and more assets but require account registration and may hold your funds.
Slippage happens when your trade executes at a different price than expected, usually in fast-moving or low-liquidity markets. It’s common in both CFD and DeFi trading, especially during high volatility.
Many modern platforms offer zero commissions, but there may still be spreads (the difference between buy and sell prices) and overnight funding fees for holding positions long-term. Always read the fee structure before trading.
Yes! Many platforms now support AI-driven bots or allow you to plug in trading algorithms via APIs. In DeFi, you can also use smart contract-based strategies or DEX aggregators to automate trades across multiple protocols.