Crypto Basics

Trading crypto through the Bitsoft 360 App is easy and fun. However, you need to understand the crypto basics to get the best results out of our tools.

We have defined the key terms in crypto trading to get you started. Our team is working hard to add more content to this page.


Digital currencies are offered on a decentralized system. The decentralized platform is known as the blockchain. Cryptocurrencies are listed on specialized exchanges such as Coinbase, Kraken, Binance, etc.

Crypto derivatives

Financial instruments whose value is based on that of underlying crypto assets. Examples include crypto CFDs, futures, forwards and options. These derivatives are traded through financial brokers.

Crypto CFDs

These are the most traded crypto derivatives. A crypto CFD refers to a contract to buy or sell a given crypto asset at a given price in future. The profit or loss is determined by the difference between the current value of the crypto asset and its value at contract time.

Leveraged crypto trading

Margin/leveraged trading involves the application of debt capital in trading crypto. This debt capital is facilitated by an underlying broker. Leverage is provided in relation to the capital deposit. A leverage of 100:1 translates to a debt of $100 for every $1 of your capital.


These are the most popular trading systems. At least 80% of the brokers provide the MT4 alongside the cTrader or a proprietary trading system. These two systems come with a lot of features and are easily customizable to meet the trader’s needs.

News trading

This is a trading research approach that involves the study of news and its impact on asset volatility. A news trader places bets based on their prediction of the impact of a certain piece of news on volatility.