Trading instruments (cryptocurrencies)
When building a portfolio at Coinsquare one can include several assets, including some which are even more unusual than cryptocurrencies.
The digital assets include: Bitcoin, Bitcoin Cash, Ethereum, Dash, Dogecoin, Litecoin.
The fiat currencies available are: CAD, USD, EUR, GBP, AUD.
Additionally they allow trading in gold and silver Bars, as well as silver coins. These are traded differently than the spot pairs XAU/USD and XAG/USD, which forex traders are probably familiar with. We are not certain if the instruments offered by Coinsquare are only financial or feature physical delivery of the coins and bars upon request.
Minimum initial deposit
The minimum initial deposit at Coinsquare is $100. Given the Canadian focus of this company, we are not sure if this is measured in USD or CAD. This is a reasonable level of an initial investment, which is also required by a lot of forex brokers, like FxPro.
While one of the payment methods at Coinsquare has a lower minimum deposit, $100 is needed in order to confirm your bank account, which you will need in order to make a withdrawal. These details will be covered below.
Coinsquare does not currently support margin trading. This is expected, as the company is targeting beginners and allowing the creation of a more long-term portfolio. Other crypto-exchanges do offer margin trading for some coins.
That being said, some forex brokers, like FXTM offer another way of trading cryptocurrencies. They support CFDs on cryptocurrencies (most commonly Bitcoin), which are used as a speculative instrument. These derivatives carry a few specifics, like the ability to use leverage and the fact you don’t actually own the coins you speculate on.
The fee structure at Coinsquare Is transparent. The costs of making transaction on Coinsquare are in-line with the rest of the industry. They charge 0.10% for market makers (the traders who passively provide liquidity to the exchange) and 0.20% for market takers – the ones buying or selling directly at the best possible price. Nowadays some exchanges, like GDAX charge 0.25%.
Additionally a QuickTrade feature is available. It has slightly higher fees, which can go up to 0.4%, depending on the asset class.