Trading

Trading as a business

Singapore’s largest commercial bank reportedly launching crypto trading
Crypto News, Trading

Singapore’s largest commercial bank reportedly launching crypto trading

DBS, Singapore’s largest retail and commercial bank, seems to be entering the cryptocurrency space with three new offerings. According to a description of the platform shared with Cointelegraph, DBS’s upcoming crypto service — the DBS Digital Exchange — will support four major cryptocurrencies including Bitcoin (BTC), Ether (ETH), XRP, Bitcoin Cash (BCH) and Ethereum Classic (ETC). The list of supported fiat currencies includes the United States dollar, the Singapore dollar, the Hong Kong dollar, and the Japanese yen. The DBS Digital Exchange will also allow small and medium-sized enterprises as well as large corporations to issue security tokens. In the prospectus, DBS Bank said that digital assets are set to play a crucial role in the global economy. As a company regulated by the ...
Kraken’s Cryptowatch ships desktop trading terminal for expert traders
Crypto News, Trading

Kraken’s Cryptowatch ships desktop trading terminal for expert traders

The Cryptowatch platform, a subsidiary of the Kraken exchange, announced on Tuesday the release of its desktop-based trading app. Cryptowatch is a trading terminal that aims to group most market data and exchanges under one roof. Traders using the platform are able to connect their accounts across many popular exchanges and place orders on all of them through a single interface. Up until now, the platform could only be accessed through a web browser. The launch of Cryptowatch Desktop, an application for Windows, MacOS and Linux, aims to provide a similar experience while benefiting from faster native performance. In a demonstration shown to Cointelegraph, the platform appeared fluid and responsive even as the panes with live market data were resized on-the-fly. Tests made by the team ...
Top traders go long after Bitcoin price rallies to key $11.5K resistance
Crypto News, Trading

Top traders go long after Bitcoin price rallies to key $11.5K resistance

On Oct. 7 Cointelegraph reported that top crypto traders had kept a bearish stance since mid-September and at the time the Bitcoin (BTC) long-to-short ratio had reached its lowest level in 10 weeks. All of this changed in a matter of hours as soon as BTC broke through the $11,000 resistance. Whenever Bitcoin's volatility gets too low, it usually signals that traders became too complacent. Naturally, there will be periods of range trading, but short-term unpredictability is Bitcoin's defining characteristic. For pro traders, implied volatility is commonly known as a fear index because it measures the average premium being paid in the options market. Any unexpected substantial price movement (both negative and positive) will cause the indicator to increase sharply. Bitcoin 3-month implie...
Malaysian SC Shariah Advisory Council praises crypto’s ‘great potential’
Crypto News, Trading

Malaysian SC Shariah Advisory Council praises crypto’s ‘great potential’

Just three months after a landmark decision declaring digital assets trading is permissible under Islamic law, and religious scholars in Malaysia say crypto is looking bullish as an investment. The Malaysian Reserve reported Dr. Modh Daud Bakar, the Securities Commission Malaysia (SC) Shariah Advisory Council chairman, as saying that crypto has great potential but adoption in the country faced challenges from a lack of understanding about the asset class. Speaking at the SCxSC Fintech Conference 2020 in Kuala Lumpur on Oct. 6, he said that only 2% of Malaysians have any knowledge about cryptocurrencies. Bakar said because crypto was not considered legal tender under religious law, it can be treated as a commodity, provided it isn’t backed by “ribawi items” — substances that must be exc...
CFTC charges crypto futures trading platform for failure to register in the US
Crypto News, Trading

CFTC charges crypto futures trading platform for failure to register in the US

On Monday, the Commodity Futures Trading Commission filed charges against Laino Group for soliciting U.S. investors to trade in futures on commodities including Ether, Litecoin and Bitcoin without registering with the commission. Per the CFTC's complaint the St. Vincent-registered Laino Group, doing business as PaxForex, used a network of U.S.-based affiliates to solicit American retail investors. In doing so, Laino Group violated the Commodity Exchange Act. The CFTC did not specify the extent of Laino Group's activities. The commission's request for relief indeed suggest that they themselves don't know how much the trading platform took in without registering. In addition to calling for full return of all funds accumulated, the CFTC's complaint asks for: An order directing that Defen...
Most crypto exchanges are vulnerable by design, says Bybit CEO
Crypto News, Trading

Most crypto exchanges are vulnerable by design, says Bybit CEO

Crypto exchange security is once again in the news after hackers breached KuCoin. But this shouldn’t surprise people as exchanges are vulnerable by design, according to Bybit CEO Ben Zhou. Zhou told Cointelegraph that exchanges act as a single point of failure. As a centralized web application, exchanges are susceptible to the same security issues as all other websites. Security becomes even more important as investors and traders are increasingly taking exchanges to task to protect funds. The vast majority of crypto exchange servers and storage networks, Zhou said, keep digital currencies in hot wallets. If hot wallets are not properly protected, then this opens them up to theft. Zhou thinks that a cold wallet system is more secure since hot wallets are connected to the internet, mak...
Ethereum still not ready for DeFi, say some critics
Crypto News, Trading

Ethereum still not ready for DeFi, say some critics

As DeFi projects flock to Ethereum, experts warn the network is not yet ready to support the frenzy. Martin Froehler, a mathematician, former hedge fund manager, and founder of Austrian crypto trading platform Morpher, told Cointelegraph that although Ethereum is the “best thing [the blockchain industry] has” for DeFi, the current capabilities of the network are not enough: “Ethereum can only handle about 15 transactions per second and has a block-time of 15 seconds, which is an eternity in finance. By design everyone interacting with it needs Ether. That is a huge barrier to entry and mass adoption.” Froehler considers Ethereum the most decentralized smart contract platform. But because the network still has issues, developers have had to look for solutions to counter them.  ...
Why centralized exchanges will lead crypto to the future
Crypto News, Trading

Why centralized exchanges will lead crypto to the future

Decentralized exchanges are undoubtedly an exciting development in crypto. DEXs facilitate the trading of cryptocurrencies directly between users, without the need for a trusted intermediary. This, in turn, allows users to keep custody of their funds. However, while DEXs have their advantages, they still lack in terms of regulations and scalability, which are key considerations that could determine the future trajectory of the crypto industry. Centralized exchanges will continue to play a pivotal role in this ecosystem, providing the depth of liquidity needed to grow the wider crypto community. The benefits of centralized exchanges’ KYC for their users DEXs tend to not be regulated and not require their users to undergo Know Your Customer verification. DEXs may be peer-to-peer marketp...
Breaking free from global liquidity silos: New technology changes the game
Crypto News, Trading

Breaking free from global liquidity silos: New technology changes the game

Economists, pundits, institutions and investors often talk about the global financial system. When stocks go up and trade thrives, they applaud its contributions to prosperity; when the markets crash and stocks dip, they blame its inhuman scale or its untrustworthy manipulators. But anyone who has attempted to diversify their portfolio with foreign stocks or acquire another nation’s bonds quickly comes to the same conclusion: The global financial system isn’t a single entity. “The system,” singular, is really “The systems,” plural. How do the pieces of the global financial system interact? Not always as well as might be hoped, as exemplified by the economic uncertainty brought about by the COVID-19 pandemic. In times of flux, investors diversify their portfolios across different asset c...
The Art of  Strategy Design – In Theory
Trading

The Art of Strategy Design – In Theory

I have refined a standard procedure that I use to work my way through the process of creating a strategy. We will start with the big picture and make increasingly more detailed decisions about the strategy. We will begin with the major assessment of what type market action we want to trade and what kind of trader we want to be. We will end up with making decisions on exits, and how far away to put our money management stops Pick the Market Type Again, the first decision you must face is what type of market action you want to trade. Although on the surface this may look like an easy decision, in fact, it is a difficult judgment. The reason it is difficult is because most new traders only consider one aspect, profits. They simply try to pick the strategy that makes the most money. Unf...