CFDs, or Contracts for Differences, are derivative products enabling you to trade the price movements of assets like cryptocurrencies.

You buy and sell CFDs as you would an underlying asset; however, you don’t own the asset but are getting exposure to its price movement. For example, if you think ETH’s price will rise, you could buy an ETH CFD as you would buy 1 ETH.

CFDs allow you to access leverage, which means you only have to deposit a fraction of your position’s full value to trade. For example, to trade an ETH CFD worth $1,000 with 5x leverage, you only need to deposit $200.

While trading with leverage amplifies your potential profit, it can be risky as your potential losses are also amplified. Both profit and loss are calculated on your full position size, not just the deposit amount.

To learn more about CFDs, check out our University article.

All the supported underlying assets and contract specifications can be found here.

CFD trading is available 24/7 in the Crypto.com App.

CFD trading is not available in the following jurisdictions:

Afghanistan

Algeria

Bangladesh

Belarus

Bolivia

Burundi

Central Africa Republic

China

Congo, Dem. Rep.

Cuba

Eritrea

Guinea

Guinea-Bissau

Haiti

Iran

Iraq

Kyrgyzstan

Lebanon

Libya

Mali

Myanmar

Namibia

Nepal

North Korea

Palau

Russia

Somalia

South Sudan

Sudan

Syria

Ukraine - Crimea Region

Ukraine - Donetsk Region

Ukraine - Kherson Region

Ukraine - Luhansk/Lugansk Region

Ukraine - Zaporizhzhia Region

Venezuela

Yemen

Zimbabwe

Follow these steps to set up a CFD Wallet:

You can access and manage your CFD Wallet in two ways:

2. From the Account tab on the bottom navigation bar:

To start trading, first fund your CFD Wallet using your USD Fiat Wallet by following these steps:

Note: Please ensure you have sufficient funds in your USD Fiat Wallet before making transfers to your CFD Wallet.

Please note that your CFD Wallet is subject to a Maximum Withdrawal Amount, which is calculated using the Margin Balance required to support your open positions.

Follow these steps to withdraw funds from your CFD Wallet:

Note: Withdrawals are restricted if your CFD Wallet is on Margin Call or in Liquidation.

Your Account Leverage is the maximum amount of leverage you can access for a trade. It is important that your selected leverage aligns with your personal risk appetite.

You can choose from 2x, 3x, 5x, 10x, and 20x leverage. The default is 5x if none is selected.

The margin required is only a fraction of your positions’ exposure. For more information, see ‘What is margin?’.

Follow these steps to select your Account Leverage:

Account Leverage can only be adjusted when you have no open positions.

Margin is the amount of funds required to open and maintain your CFD positions.

As CFDs are traded with leverage, the margin required is only a fraction of your positions’ exposure.

For example, to trade an ETH CFD worth $1,000 with 5x leverage, you would only need to deposit $200 as margin.

It is important to familiarise yourself with the following terms before trading CFDs:

Margin Balance

The total USD collateral balance in your CFD Wallet to trade and support your CFD position risks, as calculated by:

Margin Balance = CFD Wallet + Unrealised PnL - Fee Reserves

Unrealised PnL = Open Position Quantity ✕ (Latest Sell ÷ Buy Price - Average Entry Price)

Fee Reserves = Additional buffer reserved to account for liquidation risk and the potential liquidation fees incurred

Available Margin

The remaining balance you have in your CFD Wallet for placing additional CFD orders, as calculated by:

Margin Balance - Used Margin = Available Margin

Used Margin

The collateral balance that is withheld for open positions. When your Margin Balance falls below this amount, you will receive a Margin Call.

Maintenance Balance

The minimum Margin Balance to avoid liquidation. It is 50% of your Used Margin.

When your Margin Balance falls below this amount, the assets and positions in your CFD Wallet will be progressively liquidated until it reaches the Used Margin.

Margin Health is a measure of how “healthy” your trading account is in terms of having enough funds or margin to keep your CFD positions open and your risk of liquidation.

The better your Margin Health, the safer your account is from unexpected losses or forced liquidation. It is calculated based on how much Margin Balance you have against the required Maintenance Balance.

Your Margin Health is scored from 0 to >3.00:

Margin Call is triggered when your Margin Health falls below 2.0 but exceeds 1.0. In this case, the Margin Balance cannot support the required Used Margin.

If your CFD Wallet is on Margin Call, it is important that you reduce position risk or transfer in more funds so your Margin Balance exceeds your Used Margin again.

You will be notified via email and push notification when Margin Call is triggered, and the following will go into effect:

Restricted Actions:

Allowed Actions:

Additional Notes: The restrictions applied to your CFD Wallet during Margin Call will not affect your ability to trade with your Crypto Wallet and Fiat Wallet. The digital assets and funds in your Crypto Wallet and Fiat Wallet, respectively, cannot be used as margin for your CFD positions.

When your Margin Balance falls below your Maintenance Balance, your Margin Health will be lower than the minimum threshold of 1.0, triggering Liquidation.

In this scenario, all assets and positions in your CFD Wallet will be progressively liquidated until your Margin Balance exceeds your Used Margin again.

You will be notified via email and push notification when Liquidation begins, and the following will go into effect:

Restricted Actions:

Allowed Actions:

If you do not increase your Margin Balance during Liquidation and it is still negative after Liquidation is complete, you may benefit from Negative Balance Protection.

Additional Notes:

When trading with leverage, it is possible for a price movement against you to result in a negative balance, leading to losses beyond the assets in your CFD Wallet. In this scenario, we may waive our right to claim the deficit.

We will review your CFD Wallet balance hourly (in UTC) to check if it is still negative. If your account is eligible, Crypto.com will absorb the loss and reset your CFD Wallet balance to zero, as part of ‘Negative Balance Protection’.

Long Position:

When you predict the underlying asset's price will go up, you can buy a CFD to open a long position. To close your long position, you can sell the same CFD.

You will profit if you sell the CFD at a higher price than when you bought it.

Short Position:

When you predict the underlying asset's price will go down, you can sell the CFD to open a short position. To close your short position, you can buy the same CFD.

You will profit if you buy the CFD at a lower price than when you sold it.

Crypto.com offers CFD trading with Market Orders. Your trade is usually filled immediately at the best available price.

It can be filled in whole or in part, with any remaining quantity automatically cancelled. This is also known as a ‘partial fill’.

Your trade’s leverage is determined by your Account Leverage or the Instrument's Leverage, whichever is lower.

For example, if your Account Leverage is 5x and you are placing a trade for an instrument with an Instrument Leverage of 10x, your trade’s leverage will be 5x.

But if your Account Leverage is 20x and you are trading the same instrument with an Instrument Leverage of 10x, then your trade’s leverage will be 10x.

Follow these steps to open a CFD position:

If you have an open position for an instrument and you use the steps above to trade in the opposite direction, your earlier position will be closed.

For example, you have a long BTC CFD position for 0.3 contracts:

You can quickly close a position without having to submit an order manually by following these steps:

Follow these steps to close a part of your position:

Spread

Crypto.com does not charge any trading fees for CFDs. However, when you enter into a CFD position, we will charge a spread on the transaction, which is the difference between the ask price (the price at which you buy a CFD instrument) and the bid price (the price at which you sell the respective CFD instrument).

The spread might be different for each underlying digital asset. This includes Crypto.com’s spread and the market spread, and can vary depending on market conditions.

Funding Fee

Funding Fee is the amount you pay for keeping your CFD positions open. It is charged on an hourly basis and deducted from your CFD Wallet balance. Any positions open past the hourly cut-off time will incur a Funding Fee.

When placing a trade, the indicative funding rate will be displayed. The actual rate applied at the cut-off time may vary.

What’s the minimum amount I can trade?

The minimum amount varies depending on the instrument’s lot size. Refer to the Contract Specifications for details.

How do I view my transaction history?

Follow these steps to view your transaction history:

Why am I not able to access my CFD Wallet even after I have accepted the CFD Terms & Conditions?

Your CFD Wallet may take some time to create and you will see this message:

If it is not ready after one hour, please reach out to our Customer Support team.

What does the error ‘Outstanding trade processing’ mean?

This means that you have a trade that is still being executed. Once the trade is executed, you will be able to place another one.

If you see this error for an extended period of time, please reach out to our Customer Support team.