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Today the Bitfinex exchange announced the launch of margin trading for Polkadot (DOT) paired with Bitcoin (BTC).
This option has been available on the platform since January 25th at 10 AM CET.
Margin trading on Bitfinex
The DOT/BTC margin trading will have a leverage of 3.3x, with an initial margin of 30% and a maintenance margin of 15%.
For the unfamiliar, margin trading allows traders to borrow funds in order to increase leverage and thus potentially make more profit.
Of course, since this is leveraged trading, there are certain risks involved.
Polkadot and the DOT token
Polkadot is the first blockchain in terms of value locked in staking with its over USD 10 billion and continues to attract projects and developers. In addition, its DOT token has had an excellent 2020 in terms of price and has marked an increase of over 100% since the beginning of 2021, reaching almost $20.
It is perhaps for all these reasons that Bitfinex continues to add pairs and features for DOT enthusiast users. A few days ago, in fact, the exchange had also launched pair trading with BTC for this crypto, which currently stands at $14.
Since December 14th, Polkadot has also been listed on Bitfinex Borrow. Thanks to this feature, those who decide to lend out their crypto can get up to 70% of their DOT in the stablecoin Tether (USDt) or US Dollars (USD).
The latest news on Bitfinex
The exchange also launched trading for ETH 2.0 a few days ago, giving traders a new way to get in and out of Ethereum staking.
As we know, in fact, with Ethereum 2.0 users can stake their ETH to receive rewards based on the amount of the locked funds.
Thanks to Bitfinex, anyone wishing to trade with these ETH can do so by unlocking the crypto and using the platform.