Leverage Crypto Trading

[Krypto.Franz82]

Hi everyone,

I’m based in Germany and I’m trying to better understand how leverage trading with cryptocurrencies works here.

A few questions:

Are there any leverage limits or other restrictions for retail investors in Germany?
What are the main providers available to German users?
Which cryptocurrencies do these providers typically support for leveraged trading?

I would appreciate hearing from people who have experience with this topic, especially from a German perspective.

Thanks in advance.

[Oshosondy]

Leverage trading is available to the German people.

You can make use of sites like Bybit, Binance, Bitget for it. You can use noncustodial option like Hyperliquid.

You can read more about margin trading and derivative trading. Both make use of leverage but margin trading follow spot price while derivatives are derived prices.

Trading is very risky. Leverage trading is far riskier. Derivatives are the riskiest, but depending on the leverage used.

[Krypto.Franz82]

Thanks, that’s helpful.

I’ve seen Bybit, Binance and Hyperliquid mentioned quite often, but I’m a bit cautious about using offshore or non-EU platforms, especially from Germany.
Do you have any experience with regulated alternatives, for example Turbo or Knock-out products offered by my broker?
I just found examples of leverage over 20 even in Solana and Ripple.

[jossiel]

Based on quick researching, bison and bitcoin.de are the popular ones in your country. I'm not familiar with both of them so, you got to know more about it through your local community.

I just found examples of leverage over 20 even in Solana and Ripple.

That's quite high already.

Start it low. Maybe don't go over 3x to 5x and it's best for you to start in the spot rather than leverage.

[asriloni]

I’ve seen Bybit, Binance and Hyperliquid mentioned quite often, but I’m a bit cautious about using offshore or non-EU platforms, especially from Germany.
Do you have any experience with regulated alternatives, for example Turbo or Knock-out products offered by my broker?
I just found examples of leverage over 20 even in Solana and Ripple.

The better for you to never use those Global CEXs and DEXs. It's because they're all have no licensed issued by BaFIN. If you're doing trade there, your account potentially to be restricted due to this.

However, some sites listed above such as Bybit and Kraken has its EU version. So you can legally trade crypto with leverage in these exchange sites.

[shinratensei_]

You should adhere to your country's regulation especially in EU have leverage caps, try to use exchange that provide perpetual trading in your country, the one that's most used in there.
I heard that you need Professional Client status to break free from the retail protection caps.

[Krypto.Franz82]

Thanks shinratensei_ , very interesting.
yes, I am based in Germany and CMC for example is Bafin regulated. They have products on their page which don't seem to fall under the leverage cap restrictions for retail and products and are listed on an exchange in Stuttgart. Are they new? Does anyone have experience with them?