How can you leverage greater benefits with lower cost in the bull market of the crypto industry?

Many people think contract trading and leveraged trading make for good choices, but high returns come with high risks. Is there a product in the market that is suitable for investors with a low-risk appetite that also provides leverage to amplify their returns? 

The latest Leveraged Token (ETF) on KuCoin is a product with such features, which not only helps to magnify a user’s profit, but also protects users from bearing the risk of being liquidated.

What exactly are KuCoin Leveraged Tokens?

What are the unique advantages of KuCoin Leveraged Tokens?

How can you buy/sell Leveraged Tokens on KuCoin?

Don't worry, this KuCoin blog will guide you through the ins and outs of KuCoin Leveraged Tokens.

01 What are KuCoin Leveraged Tokens (ETF)?

Leveraged Tokens are essentially Spot tokens with an in-built leverage mechanism. All Leveraged Tokens have corresponding coins and can be traded in the Spot market. 

KuCoin Leveraged Tokens are named using the underlying coin + multiple + long or short direction. For example, BTC3L means 3 times bullish on BTC, while L is the abbreviation for long. When the Bitcoin price increases, the profit gained by BTC3L is multiplied by three, which means the investor gets 3 times more return than normal BTC Spot trading. 

02  The features of KuCoin Leveraged Tokens (ETF)

They never liquidate the position, and the risk is relatively small.

Although Leveraged Tokens have leverage features, these are essentially Spot transactions. Therefore, no matter how fast the price of the corresponding coin fluctuates, the price of Leveraged Tokens will never reach zero, and thus will not cause the risk of being liquidated.

KuCoin Leveraged Tokens (ETF) are easy to operate and more user-friendly for newbies.

Unlike leveraged trading and contract trading which require users to pay deposits, KuCoin Leveraged Tokens basically operate in the same way as Spot trading, which is much more friendly to new investors. Users only need to choose the type of leveraged token, whether they’re bullish or bearish, and then buy or sell in the Leveraged Tokens trading market on KuCoin.

03 How to use KuCoin Leveraged Tokens (ETF)

First, log in to your account on the KuCoin App. If you don't have a KuCoin account, click here to register;

Next, tap “ETF” at the homepage of the KuCoin App;

Then, choose the Leveraged Token you want to buy and click the “Buy” button.

For example, BTC3S is 3 times bearish on BTC. You should buy BTC3S if you expect the price of BTC will decrease.

Lastly, if you want to sell the Leveraged Tokens you hold, just tap the “Sell” button.

PS: Users can check their held assets in 【Assets】 >> 【Trading】

04 In Conclusion

KuCoin Leveraged Tokens are an innovative crypto financial derivative. They have leverage features, zero margins, and come without the risk of forced liquidation. It is suitable for most crypto investors, especially those who desire a profit from market volatility without taking the risk of being liquidated. 

At present, KuCoin Leveraged Tokens offer the trading pairs BTC3L/USDT, BTC3S/USDT, ETH3L/USDT, and ETH3S/USDT. In the future, more mainstream currencies such as LTC will be supported. Click here to trade KuCoin Leveraged Tokens.