Skip to main content
All CollectionsTrading basics
What is spot margin trading?
What is spot margin trading?
Primex Finance avatar
Written by Primex Finance
Updated over a week ago

Spot margin trading refers to the practice of trading assets on an exchange using borrowed funds (leverage). In spot margin trading, traders can borrow funds from the exchange or other parties to increase their trading power and potentially amplify their profits. Traders can take advantage of spot margin trading to open positions that exceed their available capital. However, it's crucial to understand that this approach carries an increased risk of potential losses, as losses can be amplified just like potential profits.

Did this answer your question?