Legitimate Crypto Trading Is A Myth Or Reality?

Crypto trading has become very popular in recent times. Some people have seen an opportunity to make money by buying and selling at the right time, which is why so many people are making fortunes in cryptocurrency these days.

However, legitimate crypto trading is not always actual. It is something that many people have been led to misbelieve, so they can lose money on what could have been legitimate investments that could have made them and others a lot of money. Only the leverage you get with this kind of trading can be a dangerous thing.

Would you like to learn how to trade crypto legally? Do you want to know where you can trade on decentralized exchanges? This guide will help you find out everything you need to know.

What is a legitimate cryptocurrency trading market?

A legitimate cryptocurrency trading market is where people can buy and sell cryptocurrencies as they see fit, without any intermediaries helping them. However, in the current state of the crypto world, this is difficult to achieve. This is because there are so many middlemen involved in the current trading market, which makes it a lot harder for legitimate traders to get their hands on crucial markets they need to trade on an actual and genuine level.

For people to trade crypto legitimately, they have to make sure that they deal with specific platforms that offer what is known as a decentralized exchange or DEX. These platforms exist off blockchain and do not require a third party to run the platform for it to work. This is what makes them decentralized and removes many of the problems that have been associated with centralized trading platforms.

What is a decentralized exchange?

A decentralized exchange (DEX) works much like regular exchanges, but with one significant difference: There is no third-party intermediary. Instead, the platform exists on top of an Ethereum blockchain. The platform manages all transactions for traders who want to use the system.

This means that no fees or commissions are passed on to traders; they get all of their profits from fees collected from market makers and ICO projects who want to list their tokens on the platform. By using a DEX, traders can participate in what is called a genuinely democratic cryptocurrency trading system.

How does it work?

A DEX uses smart contracts and a distributed ledger not controlled by any major party. The platform monitors the state of the Ethereum blockchain to make sure that trades are executed in an efficient manner, which is why people who use this kind of platform can trade so quickly and without any issue.

As long as there are no major changes to the rules governing how specific tokens can be traded on the platform, things should work very smoothly. Trading is fast, easy, and secure because there are no central authorities or third-party intermediaries involved. Instead, all trades are carried out by the people who run a platform.

What are crypto tokens?

Crypto tokens are new to exchange, and no one knows what they do yet. They seem to be created just for trading, but as more and more people discover these new digital coins, they will most likely find their way into other industries. While not all tokens are created equal, there are certain aspects in which all tokens have in common. These aspects include the following:

• They allow users to own goods and services without significant ownership rights.
• They can be used to make payments anonymously, as dictated by the user.
• The token may even be considered fungible if they all have the same characteristics, such as integrated into other systems.

The INX, for example, provides a reliable crypto trading platform, which you can find here, that is made specifically for trading crypto tokens with no third-party intervention. To understand how profit-sharing works on a decentralized exchange, you need to know the profit-sharing scheme. Some platforms use what is known as volume-based trading strategies, while other platforms want their traders to opt for fixed trades that guarantee profits throughout the whole year.

Here is a list of the most common profit-sharing strategies that the platform offer:

1. Trading volume-based strategies. These involve traders making their trades on an exchange by calculating their profits and giving the profits to traders who have made trades before them, depending on how much they have traded.
2. Running fixed time trades and getting paid quarterly. This way, you can trade crypto tokens and get paid at least one time during every quarter without having to worry about losing any part of your profits. You get paid as long as you trade like clockwork, which is a good thing when you look at it from the point of view of your broker’s profit.
3. Direct profitability. If you are looking to trade more directly, this is the way to go. You will be able to see your profits as soon as you trade and will be able to make many trades per day without having to pay for them with the traditional loss of profits on account of your broker.

Conclusion

The main thing you need to know about trading on any platform is that this will not happen with other platforms. You do not have anyone to look up to, as the only reason you make money on a platform of this kind is that you take your chances in the market.

Better still, if you are very good at trading and have a good sense of what the market wants, even when it comes to new products and services that are just entering the market, you will be able to see positive results very quickly. This is especially important if you trade tokens on the decentralized platforms.

We hope that you have enjoyed our article and that you are now confident in trading. Remember that the more trades you make, the more money you will make. After all, trading is all about making the most amount of money possible with the least amount of effort possible.