Leading the daily trading volume of the cryptocurrency exchange Binance can provide retail investors with tools for margin trading. While the initiative is at an early stage of development, according to The Block, citing informed sources.
As the newspaper notes, in Binance discuss the scenario in which traders have to hold the steak in Binance Coin (BNB) to trade with leverage.
Many market observers are convinced that the launch of margin trading for retail investors is associated with high regulatory risk, as regulatory authorities in different countries can see this as a threat. Especially in the case if users begin to lose significant funds and to send complaints to governmental agencies.
At the same time, according to the publication, Binance involved the practice of regulatory arbitrage, moving from one jurisdiction to another to bypass various barriers.
It can be assumed that the new product will increase the gap between the Binance that had already established control over a significant share of the market, and other trading platforms.
Recall that in early February the bitcoin exchange Kraken has acquired a trading platform for cryptocurrency Crypto Facilities derivatives and the volume of trading on the last rose 500%.
Meanwhile, in Japan, intends to oblige the exchange to limit the size of leverage for margin trading cryptocurrencies to x4.
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