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Crypto Glossary

Confused about crypto terms? We got you covered!

L

Leverage

In traditional financial markets, using “leverage” means “borrowing funds.” In derivative financial markets, using leverage means putting up only a small portion of the value of a contract to obtain full exposure.  However, unlike with traditional financial markets and products no third party is putting up the balance of the value so there is no deemed borrowing; the leverage comes from the terms of the product.

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