In May, Dukascopy Bank increased leverage from 1:3 to 1:5 on BTC/USD, ETH/USD, and LTC/USD.
Dukascopy has expanded its list of cryptocurrencies for MT4 trading accounts with four new instruments: DSH/USD (Dashcoin), EOS/USD (EOS), TRX/USD (TRON), and XMR/USD (Monero).
The new instruments are already available for trading on Demo and Live accounts and were added to the existing crypto portfolio at Dukascopy, which incudes BTC/USD (Bitcoin), ETH/USD (Ethereum), LTC/USD (Litecoin), BCH/USD (Bitcoin Cash) and XLM/USD (Stellar).
In May, Dukascopy Bank increased leverage from 1:3 to 1:5 on BTC/USD, ETH/USD, and LTC/USD with immediate effect, the company announced.
The bank implicitly justified the leverage boost with having “mastered successfully” the recent rise in volatility and the crash of cryptocurrencies on 18th of May 2021.
Based on “efficient and reliable risk management”, the margins needed to trade crypto can be reduced and the maximum net exposure is increased for Dukascopy Bank and Dukascopy Europe clients:
100 000 USD exposure limit on BTC/USD, ETH/USD
50 000 USD exposure limit on LTC/USD
BTC/USD, ETH/USD, LTC/USD are traded non-stop 7 days a week
Dukascopy has substantially invested in diversifying its range of products in recent years. Besides its traditional core business, the trading activity, Dukascopy has developed issuance, custody and exchange infrastructure for cryptocurrencies as well as retail mobile banking services including instant payments and card operations. All such investments amounted to nearly CHF 6 million in revenues per year.
The broker has also strengthened its crypto offering by allowing clients to deposit and withdraw funds in digital coins, as well as enabling free internal crypto-transfers between users of mobile banking. In 2020, it has become the first regulated bank to launch its own cryptocurrency – Dukascoin.
In August, the Geneva-based Retail FX broker has reported financials for H1 2021. The group managed to achieve CHF 1.4 million ($1.5 million) in net profit compared to CHF 12.7 million for the same period in 2020.
The sluggish performance came as Dukascopy’s revenues from trading operations nearly halved from a year earlier. Specifically, the forex bank made CHF 11.4 million ($11.47 million) in H1 revenue, down 55 percent from CHF 25.4 million ($28 million) in 2020.
In terms of operating expenses, the figure was reported at CHF 10.08 million in the six months through June 2021. This is down 8 percent from nearly CHF 11 million in the first half of 2020.
Buoyed by intense trading activity on the back of Coronavirus-spurred volatility, Dukascopy turned record financial and operational metrics in 2020. Proceeds from trading operations also soared and was three times higher than the counterpart figures of 2019.
