Multi-asset provider Global CFD has rolled out a new contracts-for-difference (CFDs) offering, focusing on cryptocurrencies. The new instrument allows clients to tap into crypto exposure, given the recent increase in the viability of digital currencies.
This addition strengthens Global CFD’s core offering of forex, precious metals, and other indices. Allowing clients to tap into cryptocurrencies through their existing accounts is a new and growing trend in the industry.
Clients pining for cryptocurrency exposure
Brokers have been increasingly warming to cryptocurrency CFDs in recent months, with Bitcoin and Ethereum each recently trading at record highs. Other industry players such as Admiral Markets and ADS Securities are making inroads into this area, following demand from their respective client bases.
However, with prices operating near peaks, Global CFD will allow clients to also short Bitcoin using a BTC-denominated CFD with up to 50:1 leverage. Additionally, clients can also swap rates that are more in line with traditional CFD products, also garnering spreads and depth of market that retail FX traders are more acclimated to.
The embrace of cryptocurrency CFDs was echoed by Global CFD’s CEO Andre Cheung. He believes that the cryptocurrency trading offered by other FX firms is not adequate, and is packaged in such a way as to discourage speculation customer profit.
For this reason, Global CFD has opted to offer cryptocurrency trading as a commission free CFD and cash settled product. The offering is devoid of wallets or any other special technical requirements as well, further simplifying the instrument for traders.