Fast-Rising Japanese Crypto Firm, Liquid, to Roll out Both Cross and Isolated Margin Trading

Liquid, a Japanese cryptocurrency trading platform, is all set to “redefine and improve” the conventional crypto trading experience. It is now introducing both cross and isolated margin trading.

The reason behind this move, according to a statement from Liquid, is to enhance the typical trading experience. They will basically rely on the new experience to boost and help leverage traders in the now-volatile crypto market.

The statement acknowledged the fact that the markets are highly volatile and leveraged positions usually are susceptible to it. It further adds that because isolated margin mode tends to work well in speculative positions, the company is thus adopting it.

From Cross-Margin to Isolated Margin

Before Liquid chose to go down this path, it was only the Quoine subsidiary that had this cross-margin trading services, although theirs is unique. Ideally, margins in this subsidiary, are split between two open positions, although everything's subject to the wallet balance that the client has.

Liquid is confident that by introducing cross-margin trading, they will have significantly reduced the traders' risk of liquidation. How the strategy helps achieve this is interesting – any profits and losses gained from closed positions are further invested in the margin on

“open losing positions.”

Among those who will undoubtedly benefit from this margin, method are those who often hedge existing trading positions as well as arbitragers. Both will avoid getting exposed to one part of a trade in case of liquidation.

Isolated margin style of trading often involves having the margin in one isolated position, far from other positions. As per Liquid, the maximum that one stands to lose as a result of liquidation is only the margin placed on the position.

One distinctive aspect of it, therefore, concerns the whole issue of managing the risk in each position better. In it, you essentially modify the amount of margin for every position individually. This, of course, contrasts with what forms the heart and soul of the cross-margin method.

The good thing with someone proficient in both, however, is that Liquid will be offering both. This Japanese cryptocurrency startup recently earned the prestigious “Unicorn” status, a recognition which also frequently go hand-in-hand with over a billion in company valuation.

Meanwhile, Liquid is making an entry into the US market

Liquid, in the wake of this exciting news and the massive recognition, is casting its eyes on the rewarding American market. It already has a deal with Virtual Currency Partners and is both working towards launching a joint venture.

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Lillian Peter
Lillian Peter
Lillian P has a knack for anything that teases the mind, with a keen interest in the blockchain technology, cryptocurrencies, and anything in between. Can bring to life the most difficult and boring concepts in the blockchain space. Lillian is a brilliant writer working with various publications.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


Please enter your comment!
Please enter your name here


Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Bitcoin Will Emerge Stronger Out of the Ongoing Crisis: Congressman Tom Emmer

It is the fact that no one has centralized control over Bitcoin that makes it stand out in comparison to fiat currencies that are...

Coca-Cola to Utilize Baseline Protocol For Supply Chain Tracking with Exposure to DeFi

Coke One North America (CONA) has partnered with Provide and Unibright to streamline the supply chain of the largest coca-cola bottlers in the region...

USD-Pegged Cryptos & BTC Continue to Rise in Contradiction to the Falling US Dollar

The US dollar is not having a good start in the second half of 2020. The dollar index, which measures the greenback against a basket...

Coinbase Wallet Integrates Unstoppable Domains; Send Payments Via .Crypto Addresses

Coinbase Wallet, a service rendered by US based Coinbase crypto exchange is extending its support for Unstoppable Domains according to an announcement made by...

Mad Rush to BTC Coming Soon as Barstool Sports' Dave Portnoy Declares ‘I Want to Buy All the Bitcoins'

Dave Portnoy, the founder of Barstool Sports, has now turned his attention to Bitcoin as he said, "I want to buy all the bitcoins." Portnoy...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today