Cryptocurrency Trading in the UAE

The crypto market is never risk-free. The opportunity to make a profit is equalled by the potential to make a loss. But this in itself shouldn't put you off trading crypto in the UAE. As long as you’re aware of the risks, you can make cryptocurrency trading work for you.

It's worth bearing in mind that there are some risks that are unique to the crypto market.

• Digital: Cryptocurrencies exist solely in the form of digital codes and there are no tangible assets to own. The foundation of these currencies are types of database called blockchain. Encryption offers a significant amount of protection, but security threats remain.
• Regulation: As crypto trading grows in popularity, regulation has struggled to keep pace. Many countries don't regulate their use or consider them to be legal tender. In the UK, the FCA has deemed crypto products as being only suitable for professional clients – not retail clients.
• Volatility: The crypto market is arguably the most volatile market and fluctuations in price from one moment to the next can be sudden and dramatic. This can magnify your profits, but it can also have the same effect on your losses.

Yes.

The likes of Bitcoin and Litecoin provide a digital alternative to fiat – or payment – currencies. Others, such as Ethereum, are 'altcoins'. Rather than being used as a way to pay for things, it's a platform on which you can create blockchain apps or new tokens.

Other cryptocurrency types can help users exchange crypto assets or manage personal data.

With FXOpen, you can trade more than 40 cryptocurrency CFDs. Bitcoin and other options such as Litecoin or Ethereum are perhaps the best known, but our crypto trading platform also offers pairs including EOS, Ripple (XRP), and Dash.

Open a crypto trader account

Traders are increasingly looking towards the crypto market due to is the volatility. Fluctuations can be sudden and dramatic, offering the chance to make big gains on an initial investment. It does, however, mean there is an increased risk.

Liquidity is another reason to trade crypto with FXOpen using CFDs. Our crypto trading platform takes its prices from numerous exchanges. As such, we can offer competitive spreads and quick execution. For traders looking for rapid gains, that can make all the difference.
Don't forget, as a crypto trader in the UAE with FXOpen, you can access the markets all day, every day. With the MT4 platform, you can do that on any device and from any location too.

No market is immune to internal and external forces. The factors that can influence the crypto market include:

• Supply and demand: The price of cryptocurrency can rise sharply if demand outstrips supply. If there is a surplus supply, the price will fall.
• Regulatory decisions: Countries are still grappling with how to regulate crypto. Some are even banning it outright.
• Fiat currency markets: Much like some fiat currencies can impact the value of others, they can also drive the price of crypto up or down.
• Press and media: News reports can heavily influence confidence in crypto, whether it's positive or negative.
• Technology and infrastructure: It's not all about the security of crypto exchanges. As crypto integrates with more payment systems, its value will increase.

The most successful crypto traders understand what they're trading and how it works. It's essential to have a strategy that sets out what you want to achieve and the best way to reach those objectives. By having a plan in place, you're well-placed to make a profit.

After opening your cryptocurrency trading account, it's time to choose the trades you want to make. With a range of tools and features at your fingertips, you'll have the best information to hand. You might look to capitalise on a booming cryptocurrency, or you could be simply looking for quick-return opportunities. With us, you'll find them.

Other factors that can help you succeed as a crypto trader in the UAE include the timing of your transactions and keeping track of your current open positions. You should always be 100% sure what your current exposure is. Otherwise, a small loss could soon start to accumulate.

With our cryptocurrency trading app, there's a small commission to pay as you open and close positions. Our commissions are 0.5% half-turn, with a minimum 0.01 lot transaction size.

For more details, consult our Knowledge Base.

A swap charge is applied on crypto trading accounts for clients who move their positions to the next trading session. This is 10% per annum of the value of the open position.

At FXOpen, we're always here if you need further support – feel free to contact us with any queries or concerns you have. Our live chat service is open from 6am to 6pm, five days a week too.