Saxo Launches Crypto FX Trading in Singapore
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Saxo Markets customers in Singapore will be able to trade in major cryptocurrencies as FX spot pairs.
The online trading and investment platform’s new cryptocurrency offering enables customers to trade bitcoin, ethereum and litecoin against EUR, USD, and JPY from a single margin account, Saxo announced in a statement on Wednesday.
Clients can trade and hedge both long and short exposure in the three cryptocurrencies, which will be in the form of derivatives and not the actual coins.
Pairing cryptocurrencies with FX makes it more appealing to investors who are more active in the market as it offers a trusted and secure way to trade cryptos, Saxo said.
Trading via ETNs for example lets more investors access this product in a way that works for their portfolio and makes the most of its volatility. It’s also fundamentally less risky than using cryptocurrency wallets where access can, and has, been lost to dramatic effect, Adam Reynolds, Asia Pacific CEO, Saxo Markets, said in the announcement.
According to Saxo, its existing range of over 30 different cryptocurrency trackers and ETNs, which so far this year have seen trading volumes exceeding the entire turnover for the whole of 2020 – a year in which volumes surged 130 percent.
Questions & Answers
Q.Which specific cryptocurrencies can Saxo Markets customers trade as FX spot pairs?
Which specific cryptocurrencies can Saxo Markets customers trade as FX spot pairs?
Customers can trade bitcoin, ethereum, and litecoin. These are paired against EUR, USD, and JPY. The trades are managed from a single margin account.
Q.Will clients be trading the actual cryptocurrencies or a different form of asset?
Will clients be trading the actual cryptocurrencies or a different form of asset?
Clients will trade derivatives of the cryptocurrencies, not the actual coins themselves. This allows them to trade and hedge both long and short exposure.
Q.Why does Saxo believe pairing cryptocurrencies with FX makes this offering more appealing to investors?
Why does Saxo believe pairing cryptocurrencies with FX makes this offering more appealing to investors?
Saxo states that pairing cryptocurrencies with FX offers a trusted and secure way to trade cryptos. It aims to appeal to investors who are already active in the market.
Q.What volume growth has Saxo seen this year for its existing cryptocurrency trackers and ETNs?
What volume growth has Saxo seen this year for its existing cryptocurrency trackers and ETNs?
Trading volumes for Saxo's existing trackers and ETNs have already exceeded the entire turnover for 2020 this year. Volumes in 2020 had surged by 130 percent.
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