IG is a contracts for difference (CFDs) broker which facilitates trading in a number of different products including cryptocurrencies. IG is a public company which is listed on the FTSE 250. CFDs enable traders to speculate on an asset without actually owning the underlying asset. CFDs allow traders to apply large amounts of leverage and also to take short positions. This is a benefit as most cryptocurrency trading services do not enable traders to take short positions.
IG offers a number of different cryptocurrencies CFD products but fewer amount than main competitors such as eToro and IQ Option. The products include Ripple, Bitcoin, Litecoin, Ethereum, NEO, Stellar, and EOS. However, they can be traded against a number of fiat currencies including EUR, GBP, and USD.
The fees vary per product but the spreads are more generally more liquid than competitors products with many spreads being in the range of 0.5%. Competitors such as IQ Option have spreads above 10%. Nightly financing fees are applied which are relatively low compared to competitors. The fees vary per product. For Bitcoin, the nightly financing fee is close to 0.05%. Margin requirements are different for professionals and non-professionals. Non-professionals have to put up a margin of 50% the position value. Professionals can apply more leverage with the capability to put up less margin. The minimum margin for professionals varies per product. For bitcoin, the margin for professionals is 13.5%. Professionals are professional clients of IG.
- Offers a variety of cryptocurrency CFDs
- Fees are lower than competitors
- More liquid than competitors with smaller spreads
- Short positions can be taken
- Professional clients can apply more leverage
- IG is a FTSE 250 listed company
- Not as wide of a variety of products as investors
- Can’t apply as much leverage as competitors with strict margin requirements of 50% for non-professionals
- Fees vary per product which can be difficult to keep track of