CoinCarp Blog

  What Is A Rug Pull? A lot of newbie in the crypto world may be heard of "Rug Pull" and have no idea what does this word mean. Just imagine that you are standing on a rug and someone pulls out of the rug off from you suddenly, certainly, you would fall on the floor! If you are holding something in your hands, it will also drop on the floor and you will lose everything. Similar to the scenes we describe, a crypto rug pull means the crypto project team ignores the project and runs away with the investors' assets. How Does Crypto Rug Pull Work? Basically, a crypto rug pull is orchestrated by a team with immoral intends. They will create a token and attract investors to buy in, while the investors have distributed certain amounts of capital, the creators will withdraw capital from the liquidity pool which makes the token price approximately zero. Generally, there are 3 types of rug pull: Stealing liquidity. In this type of rug pull, the scammers will create a liquidity pool

  DAO , or decentralized autonomous organization, is a blockchain-based form of limited liability company that is often governed by a native crypto token. Anyone who invest in these tokens has the power to vote on key DAO-related issues. A DAO basically operates itself. Based on a set of rules that are enacted at the time of its inception and then modified over time by either stakeholders or an algorithm. It completes tasks using a series of "smart contracts," which differ from typical legal contracts in that they exist and operate independently over the internet without requiring manual human intervention. Despite this autonomy, some tasks, such as interactions with the legal system, cannot be completed by a DAO on its own. Moreover, a DAO can function outside of a typical organization's administrative structure because of its autonomous activity. Instead of top-down administration, each member has an equal say in the organization's actions, or all management can be

  What Is Crypto Margin Trading? Margin trading is a trading strategy that trades with funds from a third party. Traders can borrow a great sum of assets to leverage their positions and largely amplify trading results to achieve large profits if the trade success. This strategy is quite popular in the traditional stock, international Forex, and commodity market. Now it is also widely used in cryptocurrency markets. In general, Crypto margin trading allows traders to borrow capital from other traders who earn interest from margin funds, or from the exchange(less common). How Does Crypto Margin Trading Work? When you went to make a crypto margin trade, you should deposit a small amount of capital, it is called "initial margin". A small amount of capital is used for borrowing a large capital to invest in the crypto market. So the "margin trading" also can be called "leverage trading". Leverage is defined as the ratio between browsing funds and margin. Differe

  What Is Crypto Arbitrage Trading? In general, crypto arbitrage trading is a trading technique that traders purchase one kind of cryptocurrency on one exchange and sell it on another simultaneously to earn profits. Because there are thousands of crypto assets listed on hundreds of exchanges, the price of the same crypto assets may differ on different exchanges. So the traders have the opportunity to generate profit. It is similar to the traditional financial "arbitrage" strategy that takes the opportunity of an asset is selling at a low price in one market but high in another market. The great challenge for arbitrage traders is they need to find out pricing differences and trade in a short time. Because the prices are changing quickly, so the chance of profitability usually ends very fast. However, since the prices have little difference, so the returns are generally low, which means they need to invest a large sum of money to make reasonable profits. How Many Types of Arbit

Dear Customers, We are happy to announce that the new version of CoinCarp.com has been released on Dec.03. New functions have been added to this update, including: Trending, Biggest Gainners, Recently Added Tokens, and Events Calendar have now been added to the homepage. New Function:Crypto Events Calendar. You can now "Share" with the world on cryptocurrencies page.