Cryptocurrencies, as volatile they are, have always offered great gains. If a trader studies the market and the technical indicators, a profitable investment is executed. Yet, like all investments, there are always chances that losses will occur. The negatives and positives of profitability vastly increase for traders when they use leveraged options. With many different exchanges offering anywhere from 5 times to more than a hundred folds on a funds through leverage, the lure becomes ever more tempting.
Leveraged Profits, Leveraged Losses
While leveraged products and derivatives offer traders to borrow crypto assets and increase their profitability, they are unfortunately left exposed to the same level and extremity in case of losses. A trader using, let’s say a 50x leverage product, stands to
gain 50 times the profit of the underlying asset. In case the original asset falls in value in the market, the derivative will also fall, but by 50 times.This can be problematic for traders, especially new ones who do not completely comprehend the ramifications. Exchanges are also at fault, offering highly risky products without properly informing their users on the potential losses they are being exposed to.
DueDEX: One Click Risk Management
DueDEX is crypto-derivatives exchange that is on a mission to provide the safest leveraged product service to traders all around the world. Using their trademarked DueDEX Risk Manager
™, traders can be shielded from the excessive losses through automated management for their assets. Users only need to define how much risk they are willing to take on their trades. The risk manager automatically sets the entry level, stop losses and the equity risk. For example, the lowest setting of a 0.25% means that a trader can withstand up to 20 different trade losses in continuity and still manage to part with 5% of the account equity.On the protection the Risk Manager offers to traders, CEO of DueDEX, Bo Wang said,
“This is exactly what the industry needs – more products to help users manage risk. The feedback has been sensational and the exchange results are exceptional. DueDEX traders risk less per trade and have become more profitable since the introduction of the tool.”
The DueDEX Risk Manager™ and other future services are aimed towards allowing new and less experienced traders enter the derivative market and take advantage of increasing their assets by giving them the same exposure to profitability, yet mitigating their losses. This and other protections offered to traders are crucial points in adoption of crypto markets for the new generation of traders. This is realized by DueDEX and Wang, who further stated;
“User experience is everything, and we expect to add more unique features and increase access to trading tools that assist traders in profitability and risk management in the future. We believe if we continue to deliver unique and high quality products the exchange will continue to grow and position as a market leader through 2020.”
The exchange is also offering up to USD 200 bonus on deposits. Trading on the DueDEX exchange is as easy as taking 30 seconds to sign up here and gaining a statistical edge today.
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