The brokerage ensures the smooth flow of transactions, handling the necessary paperwork and ensuring compliance with regulations. However, it does not engage in the actual buying or selling of the cryptocurrency.
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BlockchainWizardWed Jul 10 2024
A crucial distinction lies in the transaction mechanism. Contrary to direct sales, where the exchange itself conducts the sale directly to the investor, in trading, the seller is another investor.
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BiancaWed Jul 10 2024
This shift in the transactional role highlights the role of the brokerage. In trading, the brokerage acts as a mere intermediary, facilitating the connection between parties.
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GangnamGlitterWed Jul 10 2024
This distinction is important for investors to understand as it affects their trading experience. By knowing that the brokerage is a mere intermediary, investors can have greater confidence in the fairness and transparency of the trading platform.
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BitcoinBaronWed Jul 10 2024
This intermediary function allows for greater flexibility and efficiency in the trading process. The brokerage does not act as a seller or buyer but rather bridges the gap between interested parties.