Crypto exchange Binance has just made a huge move in the space after confirming its decision to launch a margin trade service. Interestingly, the announcement was made after the company accidentally posted images on Twitter seemingly suggesting that the service was in indeed development. Here is everything about it in a nutshell.
Introducing A Margin Trading Service
The aforementioned image weres first noticed by users on the social media platform earlier on Friday. At that time, Binance tweeted screenshots of its platform featuring both dark and light modes. Apparently, they asked people which one they would prefer over the other.
The screenshots reportedly contained a dedicated tab titled called “Margin” alongside a message that says margin trading is carrying a “higher potential profit,” while somehow suggesting as well that it comes with “greater risks.” Basically, margin trading refers to the act of using borrowed funds – sourced either from an exchange or a broker – in an attempt to trade an asset.
According to official reports released on Friday, it looks like Binance have already introduced the highly talked about service in beta, although the access was only made possible to “selected users.” Interestingly, a representative of the digital currency exchange confirmed the news and said that margin trading will “soon become” available on the company’s official website.
It is worth noting that other crypto exchanges are already offering the same type of services. This includes, but not limited to, Coinbase’s GDAX, Poloniex, Kraken, Huobi, and OKCoin.
Expanding Its Reach
The margin offering is without a doubt the latest service Binance is developing. The company, on the other hand, is deemed to be the second largest crypto exchange in the world adjusted volume, according to the data in recent months courtesy of CoinMarketCap.
Moreover, the company has been introducing a deluge of features and services, a move in its attempt to expand the business. The most recent launch it did involve Binance DEX, which is basically a decentralized exchange. The company also added a fiat-to-digital currency exchange in Singapore. Its latest move is unveiled a new Australian-based platform that is capable of allowing users to purchase Bitcoin using cash from newsagents.
Binance has also busy trying to ramp everything up when it comes to regulatory compliance efforts. For starters, it already collaborated with a good number of security and analytics startups. Among the names included in the joint initiative are IdentityMind, Elliptic, and Chainalysis.