Crypto Trading Types and CFDs
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Questions and Answers

What is CFD trading?

  • A type of cryptocurrency
  • A type of derivative (correct)
  • A type of contract
  • A type of exchange

What is a centralized crypto exchange?

  • A type of cryptocurrency
  • A type of derivative
  • A company-owned and operated exchange (correct)
  • A type of contract

What type of trading speculates on the price movements of any given cryptocurrency?

  • CFD trading (correct)
  • Exchange trading
  • Derivative trading
  • Contract trading

Which of these is not a type of crypto trading?

<p>Stock trading (D)</p> Signup and view all the answers

What type of account do you need for CFD trading?

<p>A contract for difference account (B)</p> Signup and view all the answers

What is the advantage of CFD trading?

<p>You can bet on the price changes without possessing the underlying currency (B)</p> Signup and view all the answers

What type of exchange is considered centralized?

<p>A company-owned and operated exchange (A)</p> Signup and view all the answers

What is the disadvantage of a centralized crypto exchange?

<p>The company sets the rules and fees (A)</p> Signup and view all the answers

What type of trading does not require you to own the underlying currency?

<p>CFD trading (C)</p> Signup and view all the answers

What type of account do you need for buying and selling the underlying coins?

<p>An exchange account (D)</p> Signup and view all the answers

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