Margin Trading
By CoinGecko | Updated on Mar 03, 2020
It is a way of investing by borrowing money from a broker (or in crypto, an exchange or platform) to trade. The borrowing requires you to collateralize a minimum value of your own assets. If during the trade, the market moves negatively to your trade, a margin call will takes place so that your trade account retains the ratio of your borrowed funds to the collateralized assets.
Related Terms
Hey Hey Hey
A term made popular by Carlos Matos who was the spokesperson for the Bitconnect Ponzi. He used it frequently during Bitconnect events to rile up the crowd.
State Channel
Secondary payment channel occuring off-chain
Second-Layer Solutions
Secondary network or framework built atop an existing blockchain to address transaction speed and scalability issues.
Cold Storage
Offline storage of cryptocurrencies which is arguably safer as they also require physical access (eg. hardware wallet, paper wallets)
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