What is the difference between forex trading and crypto

The Forex and Crypto markets are the two largest financial markets in the world, where millions of traders and investors are engaged, and this has made these two markets a great place to make money. Each of these markets has its own unique and special attractions, and in this article, we intend to compare the Forex and cryptocurrency markets in a precise and comprehensive manner.

Liquidity

The difference between the forex and crypto markets in terms of the average volume of daily trades is also very large. The volume of daily transactions in the forex market is more than $7.5 trillion, while the average volume of cryptocurrency trades in these years has never exceeded $50 billion; this means that the daily trading volume of the forex market is at least 132 times that of the cryptocurrency market.

Market credibility

Another very important point to check is whether the Forex and Crypto markets are recognized by major countries and economies. The largest economies and banks in the world support the Forex market and have recognized this market since ancient times, but on the other hand, some countries do not recognize the Crypto market.

Governments and strong economies and banks, large financial institutions and the stock market and the capitalist system form the Forex market, but in the crypto market, governments and countries play a smaller role, but some banks are active in the crypto market and support it.

Why do banks and governments support the Forex market?

Governments and countries always support their economies, and their economies depend on the value of their currencies. The higher the value of a country’s currency and the more credit it has, the stronger its economy is, and the lower the value and credit of a country’s currency, the weaker its the country’s economy.

History of the Forex and Crypto Markets

We can consider the digital currency market to be an emerging market in comparison to the foreign exchange or FOREX market. , as the history of the Forex market and foreign currency trading goes back hundreds of years, but the modern Forex market, which we can access through the internet today, was formed in 1970.

On the other hand, after the 2008 economic crisis and the invention of bitcoin, the cryptocurrency market began to expand and over time found its current form.

We hope you enjoyed this article.