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Academy Blockchain Glossary Article

Leverage

2019.11.21 limin.zhang

Leverage, in Physics, allows us to use less force to lift or move objects. In crypto market, it refers to Margin trading. It means traders and investors could borrow capital from others to invest more than what he/she can afford on his/her own. Leverage can increase ROI, but also can cause more lost. This is an investment strategy that deserves your careful consideration.

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Disclaimer: This material should not be taken as the basis for making investment decisions, nor be construed as a recommendation to engage in investment transactions. Trading digital assets involve significant risk and can result in the loss of your invested capital. You should ensure that you fully understand the risk involved and take into consideration your level of experience, investment objectives and seek independent financial advice if necessary.

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