How to trade cryptocurrency using the CoinJar Exchange trading platform
CoinJar Exchange is an advanced digital currency exchange, facilitating trading between CoinJar Exchange members in an open market. This means you have more control over your orders, including the ability to set the price you would like to buy or sell cryptocurrency at.
Buying and selling on CoinJar Exchange can be a little bit like an auction where the value of the currency you wish to trade at the time is directly influenced by the price other users are willing to pay for it. Whereas on CoinJar you can buy and sell instantly at a set price as it is an over-the-counter exchange. CoinJar provides simple tools to manage cryptocurrencies. CoinJar exchange is designed for more experienced traders, offering a dedicated trading API and providing insights into liquidity and current market value.
Here’s how to start trading cryptocurrency on CoinJar Exchange.
Sign up to CoinJar
Signing up for CoinJar provides you with the ability to buy, sell and trade with cryptocurrencies.
If you don’t already have a CoinJar account and need some help getting started just visit our Knowledge Base article on signing up to CoinJar.
To trade on CoinJar Exchange, you need to become ID verified. Digital iD is currently used for identity verification, in most cases, you can get verified in under 10 minutes. If you encounter any troubles completing the ID verification process, please reach out to our Support Team.
Move funds between CoinJar and CoinJar Exchange
To begin trading cryptocurrency on CoinJar Exchange, you need to first have funds available in the currency accounts you wish to place orders with (Bitcoin, Ethereum, Litecoin, and Ripple). CoinJar Exchange is directly linked to your CoinJar, allowing you to send funds between CoinJar and CoinJar Exchange with ease.
If you wish to transfer funds out of your CoinJar Exchange to your CoinJar or an external digital currency address, you’ll first need to transfer those funds from CoinJar Exchange. You can make a new transfer from CoinJar Exchange to your CoinJar, then make a new payment from there.
- Once signed in to CoinJar Exchange, navigate to your Settings page. Select the Settings icon or the ‘View Accounts’ link at the bottom left of the CoinJar Exchange interface.
- Along the left-hand side, select the Transfers tab.
- Under ‘New Transfer’, you’ll be able to choose the account you wish to send to, and the account you wish to send from. It’s only possible to send to an account of the same currency type.
- Enter the amount you wish to transfer, and select ‘Review and Confirm’.
The transferred funds will now be available in the respective account. Records of your previous transfers are stored under ‘History’ in the Transfers section of your CoinJar Exchange.
Trading cryptocurrency on CoinJar Exchange
All buys, sells and currency conversions on CoinJar Exchange are completed by placing orders. These buy and sell orders are the precursor to trades between yourself and other CoinJar Exchange members, so the current price of the digital currencies on offer is determined by how much other users are willing to trade for. Most of your time will be spent on the Trade section.
Buying vs. Selling
With funds available in your CoinJar Exchange, you can choose to either buy a cryptocurrency using a portion of your available balance or sell that currency for another. You can switch between buying or selling by selecting the buy/sell toggle or clicking a particular side of the orderbook.
There are two types of orders that can be placed – ‘Limit‘ orders and ‘Market‘ orders.
- Limit orders are the default selection when trading on CoinJar Exchange. They allow traders to specify the amount and price of a buy or sell they would like to make. Once submitted, the order will enter the Order Book, and remain there until filled.
- Market orders are a request to buy or sell immediately at the best price available. Once placed, existing orders in the Order Book are filled until your entire order is filled or there are no more offers on the Order Book. Before placing a Market order, you’ll be provided with an ‘Estimated Total’ – an approximate price of the entire trade, taking into account the multiple price points that your order may need to be filled at.
Additionally, under Advanced Options in the Trade section, CoinJar Exchange also supports Immediate or Cancel, or Maker or Cancel.
- Good Till Cancelled (GTC): This will cause your order to remain active until another order is placed to fill it.
- Immediate Or Cancel (IOC): This will only place your order if it can be filled with the existing trades available at the time
- Maker Or Cancel (MOC): This will cancel an order if it would immediately fill another order on the Order Book.
By default, CoinJar Exchange creates orders marked as Good til Cancel. For more details, please refer to the CoinJar Exchange Documentation Trading Rules.
To place a new order, sign in to your CoinJar Exchange and focus on the Trade section in the top left. The details you provide within the Trade section will determine the type of order you’ll place, your trading pair (e.g. BTC/AUD), the size and price of the trade, as well as other parameters such as the type of order.
Placing your order
Once you have selected your order details, your order can be submitted by selecting Place Order at the bottom of the Trade section.
NOTE: A confirmation is not requested once ‘Place Order’ has been selected regardless of the order type.
Once an order is submitted, it is listed in the Order History module. This tracks the time, amount, price and status of the order. If an order is completely or partially filled, the trade will then be listed in the Fills module.
If submitting a Market order, please note that several order entries may be generated to completely fulfill the order amount.
To cancel an order that has not yet been filled, hover over a particular order in Order History. Next to the order’s ‘Status’ a small cross will appear. Selecting this cross will update the order to “Cancelled”, removing it from the Order Book.
For further information on CoinJar Exchange please visit our knowledge base article
Over-the-counter exchange: An exchange where the buy and sell price are fixed and you can only purchase from the exchange. CoinJar is an example of an over-the-counter cryptocurrency exchange.
Orderbook exchange: An exchange where traders can propose buy and sell orders on the market. These orders are displayed in the ‘orderbook’. CoinJar Exchange is an example of an orderbook exchange.
Longing: Buying or betting that the price of an asset will go up.
Shorting: Selling or betting that the price of an asset will go down.
Trading pair: The two assets being traded against each other. When you are buying or selling Bitcoin for Australian dollars, the trading pair will typically be listed as ‘BTC / AUD’.
Order: A proposal to buy or sell a currency in a given market.
Fill: When a buy and sell order match, executing the exchange of currency between the two traders.
Volume: The amount of currency exchanged over a given period.
Liquidity: Another word for volume. The higher the liquidity, the easier a trader will be able to sell or buy currency on the market.
Leverage: Taking on increased risk so profit/losses on your trade or multiplied.
Derivative: A financial contract that allows you to take on a virtual position in a market.
Market: People trade financial securities, commodities, and value at low transaction costs and at prices that reflect supply and demand. Securities include stocks and bonds, and commodities include precious metals or agricultural products.
Limit: Placing an order at a given price.
Maker: A trader that submits orders to the orderbook, introducing liquidity to the market.
Taker: A trader that accepts existing orders on the orderbook, removing liquidity from the market. Taking rather than making an order is often subject to higher fees.