The Binance Exchange launches version 2.0 of its platform by officially introducing margin trading. Contrary to previous rumors, the amount that can be borrowed is only 3 times the amount of the guarantee.
Binance officially launches the margin trading option
“Your wallet balance determines the amount of funds you can borrow for margin trading at a fixed rate of 3: 1 (3x). So if you have 1 BTC, you can borrow 2 more,
explains Binance in a tutorial.
In order to use the service, traders must have passed an identity check and must have two-factor authentication enabled.
Margin trading involves a 0.02% commission for Bitcoin (BTC), ethereum (ETH), XRP, Tron (TRX), and Tether (USDT) initially. For the BNB, the commission will be 0.01%.
Bitcoin fluctuates by almost $ 2,000 in 24 hours
The Bitcoin price reached $ 13,130 yesterday, down to $ 11,350. Overall, analysts are not worried about this evolution, as it is a signal of market interest. Currently, BTC has begun to recover the loss by trading in the $ 11,700.
The rest of the cripto market recorded significant drops of between 10 and 20%. However, the total market valuation is about 318 billion dollars.
New rules for cryptos exchanges operating in Canada
Canada has updated its money-laundering prevention rules by making changes that will affect the crypto exchange in the country. These regulations will come into effect from June 2020.
The rules now classify payment platforms as payment service providers and must “fulfill all obligations, including through the implementation of a full compliance program and registration with FINTRAC.”
In addition, any transaction that exceeds $ 10,000 – whether it’s a deposit or a payment – must be recorded and reported.
Coinbase plans to set up an insurance company for cryptomonas
Coinbase confirmed that it has talks with Aon to set up a regulated insurance firm. The Exchange wants to have a way to protect its clients from hacking and unexpected loss of funds.
Coinbase and Aon see this structure as a potential solution to the lack of insurance services available for the crypto market. Currently, many exchanges self-assure themselves by creating internal funds to cover potential losses.
The problem with this approach is the lack of formal structure, generating the temptation to access funds for other purposes.