eToro has just announced the launch of EOS trading on their platform. As of writing EOS is currently the 5th largest cryptocurrency by market cap. Over the past few months it has shot to popularity. And now it's supported by the worlds largest social trading platform.
If you haven't heard about EOS, read on to find out what the big deal is, and how you can trade it using eToro.
What is EOS?
EOS is a platform for building and hosting dApps (Distributed Apps). Using EOS, developers can build blockchain applications that are similar to web apps, but run distributed across the EOS network. Unlike Ethereum, EOS also includes tools for building interfaces, managing authentication and communication. Basically it makes building dApps much easier.
To build dApps, developers need to hold EOS tokens. These tokens allow you to use bandwidth on the network. It's a really clever concept.
So how is EOS different to Ethereum and other similar projects? Well EOS has focused on scalability and claims they can support hundreds of thousands of commercial grade applications. The way EOS utilizes tokens also encourages free usage. You don't need to pay gas fees like you do on Ethereum. You just need to hold onto some tokens.
How to trade EOS on eToro
EOS trading on eToro is very simple. Here's how it works:
- Create an eToro account – it's free to do so – Disclaimer: 67% of retail CFD accounts lose money
- Complete verification. This process is usually quick and painless
- Make a deposit. You can deposit using a credit card, bank deposit or PayPal! You can get started trading on eToro with as little as $200. Or you can skip this step and just practice trade.
- Open a long or short position 🙂
One big feature on eToro is copy trading – so if you're unsure of making trades on your own, you can copy the trades of pro traders on eToro. eToro gives you tools to search and find traders who trade Cryptocurrencies including EOS. When you copy one of these traders, when they make a trade, your account will make that trade too. If you're new to trading then I would recommend starting with copy trading.
Advantages of trading EOS on eToro
- Leverage – You can open positions with leverage to take advantage of market movements. However when it comes to crypto I would recommend not using leverage. Thankfully eToro also allows 1x positions (no leverage) which platforms such as Plus500 don't.
- Short or Long positions – You can open both Long (buy) and Short (sell) positions on eToro. This means you can profit when the market goes down with a short position.
- Withdraw to Fiat currency – eToro is a traditional broker that has Forex, Stocks and Commodities etc. And unlike cryptocurrency brokers, they are fully regulated. This means you can deposit and withdraw fiat.
- PayPal, Credit Cards and Bank transfers
Trading other cryptocurrencies on eToro
As well as EOS, you can also trade all the other popular cryptocurrencies on eToro. These include Bitcoin, Ethereum, Litecoin, Ripple and Dash. If you're looking for a more hands off approach to cryptocurrency investing, you can also invest in the Crypto CopyPortfolio on eToro. This fund invests in the top Cryptos and is automatically rebalanced for you.
Where else can you trade EOS
Being a popular Cryptocurrency, EOS is available to trade on most major exchanges. I recommend these exchanges:
Binance – popular exchange with a huge range of Cryptocurrencies and altcoins to trade. Has developed a good reputation and has a large userbase with excellent liquidity.
CoinSpot – for Australian's, I recommend CoinSpot. They allow you to make instant crypto buys using PoLi.
The Bottom Line
dApps are getting more and more popular. We are in the very early days of their history. Just like the internet in it's early days, dApps are popular among a small group of enthusiasts but have huge breakout potential. EOS could be the platform or one of the platforms (similar to how we have multiple operating systems or web browsers). Are you investing in EOS? Let me know your thoughts in the comments.