If you’ve traded crypto before, you may be familiar with Exchange Trading, available on most exchanges — including Coinmetro. But did you know Coinmetro also offers Margin Trading?
Here’s everything you need to know about the differences between the two.
⚙️ Key Differences Between Exchange and Margin Trading
Feature | Exchange Trading | Margin Trading |
Do account balances update immediately after an order is filled? | ✅ Yes | ❌ No – an open position is created, showing floating profit/loss (P/L) as market prices change |
Can leverage be used? | ❌ No | ✅ Yes – up to 5:1 leverage to amplify gains and losses |
Can trade value exceed available funds? | ❌ No | ✅ Yes |
Can you sell (short) an asset you don’t own? | ❌ No | ✅ Yes |
Maximum trade size | Available balance of the asset being sold | Free margin × leverage equivalent value |
When do account balances update? | Once the order is filled | Once the position is closed |
For which assets do balances update? | The assets being exchanged | The settlement currency (Coinmetro: your primary collateral currency) |
Can I withdraw bought assets to an external wallet? | ✅ Yes | ✅ Settled profits can be withdrawn; other assets in open positions cannot |
📝 Summary
Margin Trading is ideal if you want more flexibility, leverage, and the ability to profit from both rising and falling markets.
Exchange Trading is better suited for buy-and-hold strategies or trading without added risk.
Both trading types can be practiced safely on Coinmetro’s Demo Platform, which is perfect for learning without risking real funds.
⚠️ Note: This article is for educational purposes only and is not financial advice.
FAQs
💸 Can I use leverage with Exchange Trading?
No — leverage is only available on Coinmetro’s Margin Trading platform.
📊 Can I short sell an asset I don’t own?
Only in Margin Trading. Exchange Trading does not allow shorting.
🔄 When do my wallet balances update in Margin Trading?
Wallet balances update only when the position is closed, not immediately after opening a trade.
🧪 Can I practice these trading methods without risk?
Yes! Use the Demo Platform to practice Exchange and Margin Trading safely.
⚠️ Is Margin Trading riskier than Exchange Trading?
Yes. Using leverage and shorting can amplify both gains and losses, so it’s recommended for experienced traders or with demo practice first. Risks of Margin Trading