While more than four out of five serious regular crypto traders are making money in the markets, one in six are losing it, research from blockchain-based derivatives trading platform CloseCross claims. Its study among crypto traders across six major economies who stake at least $5,000 a month, found 83 per cent say they make money on their trading with 28 per cent saying they have made a lot.
The research, which covered the US, UK, France, Germany, India, and Canada, found average profits are more than $25,000 with 13 per cent claiming to have made more than $50,000 trading in digital assets. On average the crypto traders surveyed stake $7,570 a month in the markets and estimate they have traded cryptocurrencies worth around $69,650 in the past year.
Around 17 per cent say they have more or less broken even from their crypto trades or have lost money, with three per cent admitting to losses of between $5,000 and $50,000.
“Some crypto traders are seeing strong returns from their activity in the crypto markets with 28 per cent claiming to have made a lot of money,” CloseCross CEO Vaibhav Kadikar said.“Volatility is however a major issue and potentially people can lose all their money which is demonstrated by the numbers who have ended up breaking even or losing money with some reporting losses of up to $50,000.
“Our platform offers CloseCross Crowd Wisdom which provides real-time data on the views and investments of other traders enabling investors to make a more informed forecast based on increased transparency. People can choose to follow the crowd or go on their own views.”
CloseCross is regulated under MIFID II rules and charges no participation fees. Money placed on incorrect predictions is lost, but participants never lose more than they put in as there is no leverage needed or possible on the platform. Users pay facilitation fees only on their winning trades.
The platform also provides real-time data on the predictions of other traders enabling investors to make a more informed forecast based on increased transparency. People can choose to follow the crowd or go on their own views.