It's the job of those banks to stabilize the value of their currencies and keep them stable.  For comparison, the value of global stock trading is estimated at only a few hundred billion dollars per day. In addition to these differences, experts like Investopedia recommend trading bitcoin at a regulated cryptocurrency exchange, such as Gemini Trust, rather than a traditional forex exchange, because cryptocurrency exchanges understand the market and security requirements better than forex markets. Before you consider whether to trade forex using bitcoin, it's helpful to understand how a conventional forex trade works. Unlike tourists who exchange their home currency for local spending money, forex traders are trying to make money off the continual fluctuations in the real value of one currency against another. Most forex trading is conducted in a decentralized fashion via over-the-counter markets. Another key difference is that the IRS treats bitcoin as property, not currency, for tax purposes, so the tax consequences of bitcoin trading may be different from trading fiat currencies.  Bitcoin, a type of cryptocurrency, has piqued the interest of so many people. But the tradeoff is essentially adding a third currency to what was a trading pair. Forex is far-and-away the world’s largest market, with daily trading volumes around $6.6 trillion, according to the  Before you even start trading, don’t use all of your savings to trade Bitcoin.can i buy bitcoin with debit card It's the job of those banks to stabilize the value of their currencies and keep them stable.  For comparison, the value of global stock trading is estimated at only a few hundred billion dollars per day. But the tradeoff is essentially adding a third currency to what was a trading pair. Taking away the thought of losing all of your savings will make you a better trader by preventing you from “panic selling.”  So, today, it’s better to think of more simply: it’s like buying an asset, watching its price rise or fall, and choosing to hold or sell it at a later time. Unlike tourists who exchange their home currency for local spending money, forex traders are trying to make money off the continual fluctuations in the real value of one currency against another. Most forex trading is conducted in a decentralized fashion via over-the-counter markets. A forex trade is simply an exchange of one currency for another at its current rate. Because of the popularity of cryptocurrency, a market was born to specifically trade cryptocurrency. Because of this, you must only trade an amount that you’ll be comfortable losing. If you want to become a trader as well, here are some Bitcoin trading tips you need to consider in order to be successful.  However, the fact that the forex market is decentralized and that bitcoin is considered to be a decentralized digital currency does not mean that the two are equivalent. The key distinction is that, though forex exchanges might be decentralized, the currencies themselves are backed by central banks in the countries that issue them.