Leverage Trading

[SirLancelot]

...As much as money lost, there are money earned as well. Maybe there are 1 million people who wagered 1 dollars each versus one guy with one million dollars and just one person won and 1 million people lost. It is not as clear as that usually, but the winner people could be less than losers, but they are still there.

Not only individual traders earn money on the cryptocurrency market, but also exchanges, regardless of whether they are centralized or decentralized. I personally think that exchanges earn much more by manipulations that lead to the elimination of margin positions.

But I think centralized exchanges earns more money compare to the decentralized exchanges because more people uses them daily although with the huge traffic that they get, this can also cause their site to malfunction sometimes so they still use some of their money for the site's maintenance. Other than exchanges we also have wallets, cryptocurrency itself, and so on. The one that develops or maintains them do earn too.

@OP
Yes, there is a major difference because one is 5 usd and the other is 100 usd, the leverage multiplier that each of them use are also not the same. One is 1x and the other is 50x. Is there anything you want to know? or you are confuse if what to choose? I believe that the higher the leverage multiplier the higher the risk, also risk depends on the funds that you're going to use.

[Mahanton]

...As much as money lost, there are money earned as well. Maybe there are 1 million people who wagered 1 dollars each versus one guy with one million dollars and just one person won and 1 million people lost. It is not as clear as that usually, but the winner people could be less than losers, but they are still there.

Not only individual traders earn money on the cryptocurrency market, but also exchanges, regardless of whether they are centralized or decentralized. I personally think that exchanges earn much more by manipulations that lead to the elimination of margin positions.

Of course, aside on taking up some profits from those trading fees and other sources then they are really making out something in behind the curtains but its sure that it wont really be that noticeable
because if it does then its game over for their business once they had been caught on being that manipulative which it isnt really that easy for them to do so because it does have particular risks
but if not caught then they would really be enjoying for more revenue.We are seeing that these platforms are indeed making that much.

[LUCKMCFLY]

Margin trading is dangerous for beginners and for those who do not comply with risk management. The leverage provided by the exchange will help you to operate with a larger amount in the transaction, and will also allow you to open a short position, which is impossible to do with spot trading.

You are right, when a person is starting in the world of trading, it is necessary for him to know that there is margin trading, but that is not recommended from the start, because it is very easy for his position to be liquidated and he will be left without funds, and that It is not what you are looking for, in part a beginner trader before doing real trading it is necessary to trade with fictitious money, only with fictitious money you test your strategy and also learn to know the tools of the exchange, for that it is an advantage .

[hashrateproducts]

Margin trading is dangerous for beginners and for those who do not comply with risk management. The leverage provided by the exchange will help you to operate with a larger amount in the transaction, and will also allow you to open a short position, which is impossible to do with spot trading.

Margin trading is complex and at the same time, it's simple. If you don't understand, you would lose all your funds. Leverage is the gift of futures trading, and it's the only difference between spot and futures trading. Mind you, the higher your leverage, the higher your risks of liquidation and the lower your leverage the lower your risks of liquidation. Newbies are advised to start with a demo account and spot trading before going into margins and futures trading. Leverage depends on the trading Exchange you used. For me, I used Binance to trade futures and set my margins to Isolated which means my trade are isolated from themselves, which means liquidation in one trade, it will not take up the funds in others. It's mostly recommendable for beginners

[Oshosondy]

Not only individual traders earn money on the cryptocurrency market, but also exchanges, regardless of whether they are centralized or decentralized. I personally think that exchanges earn much more by manipulations that lead to the elimination of margin positions.

I do not think exchanges (trustworthy exchanges) are manipulating the market, the future derivatives market can be very volaltile at times which can be very significant than the spot market but this is not common but it can happen at anytime especially if massive bull run is very near or during the time in a way some people (traders on a particular exchange) will want to manipulate the price to favor them, this is never an exchange ways of making money, the profit earned by exchanges are the margin fee which is usually higher than that of spot trading.