A Comparison of Crypto CFDs

There are plenty of forex and CFD brokers who offer cryptocurrency trading, but not all of them offer crypto trading via CFDs (contracts for difference). CFDs appeal to traders as they allow you to invest in a cryptocurrency, or other assets, using leverage, which means you can trade with more capital than you currently have available.

As you’re probably aware, when you trade CFDs, you’re actually speculating on the price movement of a particular asset, without ever actually taking ownership of the underlying asset. CFD trading is available for a wide range of instruments, but not all brokers offer crypto CFD trading, and those that do may offer fairly low levels of leverage. Today we’re taking a look at three popular online brokers, who offer crypto CFD trading: Plus500, Pepperstone and OctaFX.

Plus500 Crypto CFD’s

Plus500 offers a variety of cryptocurrencies for trade, including Bitcoin, Ethereum, Litecoin, NEO, Ripple, and IOTA. It also has a Crypto 10 Index, which follows the performance of the top 10 cryptocurrencies in the market. When you trade cryptocurrencies as CFDs, you’ll be offered leverage of up to 1:2. You can start with as little as £100, which means you will potentially be trading with up to £200 of capital.

Crypto CFD trading is available 7 days a week, 24 hours a day, and allows traders to trade in any direction, without the need to open an exchange account or online wallet (unless of course, you want to). It’s very quick and easy to get started trading cryptocurrencies with Plus500, and Plus500 offer a demo account, so you can get used to the platform and process, without risking real money.

Pepperstone Crypto CFD’s

Pepperstone currently offers a choice of five different cryptocurrencies for traders to buy and sell as CFDs. You can trade Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and Dash. Leverage is available, at up to 1:2, across all the Pepperstone trading platforms. There are no commission fees, and spreads are competitive. Pepperstone also offers crypto traders the ability to hedge on a single account, and the broker has no minimum deposit for this type of trading, so you can start as small as you want.

It only takes a few minutes to get started trading crypto CFDs with Pepperstone. Set up is very easy, and there is no need to create a digital wallet.  There is a demo account available, or you can jump right in to trading with real money.

OctaFX Crypto CFD’s

OctaFX is a well-respected forex broker that now offers three cryptocurrencies (Bitcoin, Ethereum and Litecoin) alongside its fiat currency forex offerings. Leverage is currently set at 1:2 for crypto trading, and the broker boasts very fast order execution, meaning that 97.5% of orders are completed without slippage. This is something worth considering when trading highly volatile assets such as cryptocurrencies.

Opening a trading account is quick and simple, and the broker is currently offering a 50% deposit bonus, along with the opportunity to trade micro-lots as small as 0.01 lot, meaning you can get started with a very low initial investment.