How much does it cost to short a digital currency?

3 answers

• Nov 25, 2021 · 3 years ago
  Shorting a digital currency involves borrowing the currency from a broker and selling it on the market with the expectation that its price will decrease. The cost associated with shorting a digital currency includes the interest charged by the broker for borrowing the currency, transaction fees, and any additional costs imposed by the exchange. It's important to carefully consider these costs before engaging in short selling to ensure it aligns with your investment strategy.
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• Nov 25, 2021 · 3 years ago
  Shorting a digital currency can be a profitable strategy if executed correctly. The cost of shorting a digital currency typically includes borrowing fees, margin interest, and transaction fees. These costs can vary depending on the exchange and the specific currency being shorted. It's important to research and compare the costs across different platforms to find the most cost-effective option for shorting digital currencies.
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• Nov 25, 2021 · 3 years ago
  When shorting a digital currency on BYDFi, the cost will depend on various factors such as the specific currency being shorted, the amount being borrowed, and the duration of the short position. BYDFi charges a borrowing fee and a daily interest rate for short positions. It's important to carefully consider these costs and factor them into your trading strategy. Additionally, transaction fees may apply when opening or closing a short position on BYDFi or any other exchange.
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