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
Public Blockchain
An open sourced blockchain where participation is public and permissionless
Directed Acyclic Graph (DAG)
Directed acyclic graphs refers to a data structure that is built in one single direction, yet branches out and never repeats.
Mempool
It is the abbreviation of Memory Pool. Set of unconfirmed transactions in a blockchain
Validator
A block-signing participant of a Proof of Stake blockchain network, whom have significant tokens staked on the network.
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