Binance, the world's largest cryptocurrency exchange by trading volume, announced that it has added two new assets for margin trading. Per the announcement, the exchange added CTSI as a new loanable asset to Cross Margin and USDP to Isolated Margin.
Binance Adds CTSI to Cross Margin and USDP to Isolated Margin
Cross Margin is a margin trading mode that allows traders to use all their available funds as margin, while Isolated Margin reduces liquidation risk by allowing traders to isolate their margins for each trading pair.
CTSI is a decentralized platform that aims to bring traditional programming to the blockchain.
It uses sidechains to run computations off-chain, allowing developers to build complex and scalable decentralized applications.
The addition of CTSI to loanable assets on Cross Margin means investors can now use the token as collateral to borrow other cryptocurrencies.
On the other hand, USDP is a stablecoin pegged to the value of the US dollar. Adding it to the Isolated Margin means that traders can now trade with leverage using USDP as collateral.
This allows investors to potentially increase their profits, but also increases their risk of loss.
Binance has rapidly expanded its margin trading offerings in recent months, adding new assets and trading pairs.
Margin trading allows investors to borrow funds to trade with leverage, potentially increasing their profits but also increasing their risk of losses.
As with all margin trading, traders should be careful and only trade funds they can afford to lose. It is also important to thoroughly understand the risks and mechanics of margin trading before getting started.
*Not investment advice.