How Do Margins Work?

How Do Margins Work?

Margins are the difference between your offer price relative to the Bitcoin market price. It determines how much you stand to earn or lose in a trade.

What are margins? 

Margins are a way to set your offer price above or below the market price. They allow users to add a type of sellers’ or buyers’ “fee” when making a trade. 

How do margins relate to selling crypto?

When selling crypto, a positive margin (+) gives you profit since you are asking a trader to buy your crypto at a higher price than the current market price. When you sell crypto at a negative margin (-), this will lower your profit since you are asking to sell your crypto at a rate lower than the market price. 

How do margins relate to buying crypto?

When buying crypto, a positive margin (+) means that you’re buying crypto at a price higher than the market price, and a negative margin (-) means that you’re buying crypto at a lower price than the market. Buying crypto with a negative margin (-) typically means you save money. 

What are margin limits?

Noones has margin limits for offers to maintain trade balance on the marketplace and prevent market manipulations.
These limits apply for offers to both buy and sell cryptocurrency. Limits differ for payment groups as well as specific payment methods.
We have divided the limits into 2 tiers. Trader Program badge owners have access to higher margin limits.

How it works:

  1. Start by creating an offer by clicking on the Create an Offer button at the top of the page. 

  2. After you decide to sell or buy crypto, and after you select a payment method, go to the trade pricing section.

  3. When setting up your trade, you will see a section called Offer Margin

    Note:

    Offer Margins are done in percentages not in specific currency amounts.

  4. You can make your Offer Margin either a positive (+) or negative (-)  percentage. 

  5. There are two options when making your Offer Margin. The first is the basic version - Market price, where you only decide on your percent Offer Margin. The other option is Fixed price version, where you lock price and we it will not change with the market price.

  6. After you complete the above steps, that’s it! You’ve successfully finished making your Offer Margin. You can continue filling out the rest of your offer like you normally would.
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