What is Trade Concentration?
As mandated by Canadian regulations, Bitbuy must collect information from you during account opening related to your risk and financial profile, to calculate an appropriate Trade Concentration Limit, and to warn you when the total amount of cryptocurrencies you've purchased have exceeded this limit.
How is the limit calculated?
The Trade Concentration Limit is calculated based on the responses you provided to us during account opening, pertaining to your risk profile and financial situation, using a formula based approach.
Why am I seeing a warning when trading?
Once you cross the Trade Concentration Limit, we must prompt you with a warning, to inform you about being heavily concentrated into a highly volatile asset class. This warning is for your own protection and to provide you with the awareness to assess the risks before making additional purchases.
Can I still place orders?
While you may proceed with an order that is deemed unsuitable in certain circumstances, Bitbuy reserves the right to not process orders deemed unsuitable and will advise you to carefully consider whether further purchases are advisable based on your own risk profile and financial situation.