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The digital assets market is a volatile sector where investors are always at risk of losing their funds. Within crypto trading practices, some trends are riskier than others, such as purchasing an NFT in a spur-of-the-moment decision. One such practice is called ‘margin’ or ‘leverage’ trading of crypto assets. Prevalent for a while now, the term made it to the headlines recently after the Canadian government decided to levy a ban on margin trading being offered as a service to Canadian residents by local as well as international exchanges.

Margin trading, also called leverage trading allows customers to borrow capital from a broker to invest in crypto assets. The broker can be an individual as well as an entity such as a crypto exchange that offers the service.

This practice enables traders to access more capital than what they originally have to bet on a crypto asset. This capital is backed by a collateral.

In simple terms, if a trader has Rs. 100 and the exchange being used offers 10x margin on Bitcoin trade, the trader will be able to place an order of up to Rs. 1,000.

While this can potentially lead to larger profits, it also increases the risk of major losses.

Canada prohibited exchanges from offering margin trading for Canadians as part of its recently released rules that aim to safeguard digital assets investors against financial risks.

Speaking to Gadgets 360, Rohas Nagpal, an Indian blockchain architect and the author of the Crypto Playbook, highlighted that the practice of margin trading is indeed, extremely risky to dabble in.

“Margin trading is very, very risky. If the value of the crypto that was bought and traded with borrowed funds goes down, the trader will need to provide more money to the broker to keep the trade open. If the trader cannot provide this, the trade will be liquidated at a loss. Because crypto is very volatile, traders can suffer huge losses,” Nagpal told Gadgets 360.

At a time when India is batting for global rules for the crypto sector under its G20 Presidency, Nagpal has advised the nation to follow Canada’s decision on exchanges offering margin trading.

“The government of India should ban crypto exchanges from offering margin/ leverage crypto trading as early as possible,” noted Nagpal.

Binance, the largest crypto exchange in the world, is one among many popular exchanges that offer margin trading services.

ByBit, Kraken, KuCoin, and Bitmex are also renowned crypto exchanges that offer the risky feature, Coinsutra had listed in a recent report.


Cryptocurrency is an unregulated digital currency, not a legal tender and subject to market risks. The information provided in the article is not intended to be and does not constitute financial advice, trading advice or any other advice or recommendation of any sort offered or endorsed by NDTV. NDTV shall not be responsible for any loss arising from any investment based on any perceived recommendation, forecast or any other information contained in the article. 

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Astronomers Spot Galaxy NGC 3640 With a Past of Consuming Smaller Galaxies

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Astronomers Spot Galaxy NGC 3640 With a Past of Consuming Smaller Galaxies

An elliptical galaxy located 88 million light-years from Earth has been observed displaying unusual characteristics, with astronomers identifying it as a cosmic predator. The latest images captured by the Very Large Telescope (VLT) at the European Southern Observatory (ESO) indicate that the galaxy, designated NGC 3640, has a history of consuming smaller galaxies and may soon engulf another. The galaxy’s distorted structure and the faint, diffused light surrounding it serve as evidence of its turbulent past, as per reports. Positioned just above a smaller galaxy, NGC 3641, the larger body appears to be on a trajectory that could lead to a future merger. The study of such interactions provides insights into the evolutionary patterns of galaxies.

Evidence of Past Galactic Mergers

According to research published in Astronomy & Astrophysics, signs of previous mergers have been detected within NGC 3640. The structural distortions observed, coupled with the presence of older stellar populations, suggest that remnants of previously absorbed galaxies are embedded within its formation. Astronomers at the Italian National Institute for Astrophysics have analysed the remnants, with findings indicating that ancient stars from the original galaxy serve as markers of past collisions. The faint glow surrounding NGC 3640 is attributed to these past interactions, demonstrating the lasting effects of galactic mergers.

Upcoming Galactic Collision

Reports suggest that while NGC 3641 remains intact, its eventual fate may align with the ongoing patterns of NGC 3640. As galaxies interact, their gravitational forces distort their structures, often leading to eventual mergers. Current observations indicate no immediate impact on NGC 3641, implying that significant interactions have yet to begin. ESO officials have stated that galaxies undergo structural changes over time due to the absorption of gas and stars from their surroundings. This process has been linked to the unique shape and features displayed by NGC 3640.

Gravitational Influence and Cosmic Evolution

The gravitational forces exerted by approaching galaxies can trigger large-scale changes in their structures. Astronomers have been closely monitoring such interactions to gain a deeper understanding of galactic evolution. The observations made using the VLT provide an opportunity to study these cosmic processes in detail, with researchers continuing to track the potential merger between NGC 3640 and its smaller companion. The findings contribute to broader studies on the dynamic nature of galaxies and their role in shaping the universe over billions of years.

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Scientists Discover Declining Global Ocean Evaporation Amid Rising Temperatures

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Scientists Discover Declining Global Ocean Evaporation Amid Rising Temperatures

A decline in global ocean evaporation has been identified over the past decade, despite rising sea surface temperatures. This shift challenges established climate models, which have long linked higher temperatures to increased evaporation. The unexpected trend was observed through satellite data analysis, revealing that evaporation rates started decreasing after 2008. Researchers suggest that changing atmospheric circulation patterns and reduced wind speeds may be influencing this reversal, highlighting the complexity of Earth’s climate system.

Study Reveals Key Climate Anomalies

According to the study published in Geophysical Research Letters, an assessment of ocean heat flux data was conducted by researchers from the Institute of Geographic Sciences and Natural Resources Research at the Chinese Academy of Sciences. It was found that while ocean evaporation had been rising from 1988 to 2008, a reversal occurred thereafter, leading to a decline between 2008 and 2017.

The study’s lead author, Dr. Ma Ning, told Phys.org that two-thirds of the global oceans have shown reduced evaporation rates since the late 2000s. This decline contradicts previous expectations that global warming would consistently drive higher evaporation levels. The research suggests that large-scale atmospheric circulation shifts, particularly in the Northern Oscillation Index, may be contributing to the changes.

Impact of Wind Stilling on Evaporation

A decline in wind speed, referred to as “wind stilling,” has been identified as a crucial factor in this unexpected trend. Lower wind speeds result in reduced surface turbulence, thereby limiting the exchange of moisture between the ocean and the atmosphere. The study indicates that this phenomenon may be linked to broader climate oscillations affecting atmospheric circulation.

Dr. Ma explained that while evaporation levels have declined, this should not necessarily be viewed as a weakening of the global hydrological cycle. Instead, it may be an indication of natural climate variability influencing regional and global weather patterns. Researchers continue to investigate how these findings may affect long-term climate predictions.

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Arabia Had Five Times More Rainfall 400 Years Ago, Study Finds

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Arabia Had Five Times More Rainfall 400 Years Ago, Study Finds

Extreme rainfall in Arabia was five times more intense 400 years ago, as indicated by recent climate reconstructions. The data suggests that the region, currently defined by arid desert, once had significantly higher precipitation levels, resembling a lush savannah. The findings highlight the necessity for improved climate preparedness as urbanisation expands in the region.

Study Reveals Significant Rainfall Variability Over Centuries

According to the study published in Science Advances, researchers from the University of Miami Rosenstiel School of Marine, Atmospheric, and Earth Science discovered that the Arabian Peninsula had significantly higher rainfall over the last 2,000 years. The landscape, now barren, was once covered with vegetation and inhabited by wildlife such as lions, leopards, and wolves. Findings indicate that 200 years ago, rainfall was still double what it is today.

Deep-Sea Brine Pools Provide Uninterrupted Climate Record

As per reports, sediment cores were extracted from a deep-sea brine pool in the Gulf of Aqaba using a remotely operated vehicle (ROV) deployed from the research vessel OceanXplorer. The brine’s chemistry enabled the preservation of undisturbed sediment layers, allowing an accurate reconstruction of Late Holocene rainfall trends.

Implications for Climate Preparedness in the Middle East

Speaking to Phys.org, Sam Purkis, Professor and Chair of the Department of Marine Geosciences at the University of Miami Rosenstiel School, stated that the study underscores the importance of climate resilience as development projects like NEOM in Saudi Arabia reshape the region. The assumption of long-term climate stability is not reliable, according to Amy Clement, a Professor in the Department of Atmospheric Sciences at the same institution.

Urgency for Enhanced Flood and Drought Management

The Middle East, already vulnerable to extreme weather, faces rising instances of flash floods and droughts. The catastrophic flooding seen across the Arabian Peninsula in early 2024 reinforces the need to study historical rainfall patterns to improve disaster preparedness. Mattie Rodrigue, Science Program Director at OceanX, highlighted the importance of technological advancements in climate research to better predict future hydroclimate trends.

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