Gate expands TradFi features: ushering in a new era of seamless trading between crypto assets and traditional financial markets

This is about an innovative trading feature—Gate expands TradFi functionality. This feature allows users to use their held crypto assets as collateral to directly participate in trading traditional financial products such as global stocks, forex, and precious metals on the Gate App. It is not simply placing two markets side by side, but through the infrastructure of Gate SuperLink, achieving true value interoperability and credit conversion between two different asset types.

Industry Integration, Upgrading from “Single Platform” to “Value Network”

In the digital asset space, a long-standing pain point is that the crypto world and traditional finance (TradFi) develop in parallel but with high barriers. Users who want to participate in both markets often need to transfer funds across multiple platforms, which is inefficient and faces complex compliance and custody issues.

To address this core challenge, the leading global crypto asset trading platform Gate has proposed a systematic solution. Its introduced Gate SuperLink is defined as a “value network” public infrastructure aimed at connecting the flow of value among fiat currency, crypto assets, and TradFi. This grand concept consists of six core “links,” among which the one directly related to traders is the “TradFi Access” link. It targets users who hold crypto assets but wish to flexibly participate in traditional asset trading, with the core value of “leveraging crypto credit to deepen TradFi access.” This marks a profound transformation of the platform from offering a single crypto asset trading “platform” to providing a comprehensive financial service “value network” across asset classes.

Function Breakdown: How to Use Crypto Assets to Participate in Global Markets

Gate’s core mechanism for expanding TradFi features is clear and efficient. Users do not need to convert crypto assets into fiat nor open separate accounts with traditional brokers. The entire process can be completed within the Gate ecosystem.

First, crypto asset collateralization. Users pledge supported cryptocurrencies on the platform. The system calculates the available trading credit in real-time based on the market value of the asset multiplied by a discount factor. This margin addition and liquidation mechanism is similar to traditional derivatives markets, designed to effectively manage risks from market volatility.

Once the credit limit is obtained, users can directly trade traditional financial assets such as stocks, forex, and precious metals through Gate’s integrated broker or partner channels. This feature complements the recent comprehensive app upgrade aimed at enhancing user experience.

The updated app focuses on speed, clarity, and intelligent decision-making, with a more intuitive interface and smoother performance, enabling seamless and efficient transition from crypto asset analysis to TradFi trading.

Advantages Comparison: What Can TradFi Access Bring to Traders

Compared to traditional cross-platform operation modes, Gate’s TradFi access offers significant advantages across multiple dimensions. These benefits stem from its design that integrates two separate markets within a unified account system.

Trading efficiency and cost: It eliminates the cumbersome processes and time costs of transferring, converting, and re-opening accounts across platforms. Users can capitalize on crypto market gains and quickly convert profits into traditional asset investments or hedge reversely.

Strategic flexibility and capital efficiency: This is the most core advantage. Traditionally, funds used for crypto investment and traditional finance investment are isolated.

Now, users can use crypto assets as “interest-earning” collateral, unlocking liquidity without selling their crypto positions, and investing in stocks, indices, and other markets to maximize capital utilization. This aligns with the concept of the “GUSD & RWA interest-earning base” link in the SuperLink system, which “combines the ‘interest-earning base’ with ‘trading margin,’ significantly improving capital efficiency.”

Risk control and compliance certainty: Gate prioritized compliance and security in designing this feature, emphasizing adherence to regional and licensing restrictions. For users, this means safely accessing broader financial markets on a platform they are familiar with and trust, which has strict KYC/AML procedures, reducing compliance and counterparty risks associated with unfamiliar service providers.

Mechanism Differences: Understanding the Differences Between TradFi Contracts and Crypto Contracts

For users familiar with Gate’s perpetual contracts and other crypto derivatives, understanding the special mechanisms of TradFi contracts is crucial. There are fundamental differences in underlying logic.

Gate’s crypto perpetual contracts are derivatives without expiration dates, with prices anchored through a funding rate mechanism linked to spot markets, ensuring longs and shorts pay periodic fees to bring the contract price back to the index. In contrast, TradFi contracts (such as stocks, index CFDs) follow trading rules closer to their corresponding traditional spot markets. They usually have fixed trading hours (aligned with stock exchanges’ open hours) and market close periods, not 24/7 trading.

Additionally, TradFi contracts typically have fixed leverage levels and do not support users adjusting leverage freely like crypto contracts. Their margin models, profit and loss calculations (often based on counterparty prices), and overnight interest (holding overnight fees) strictly follow mainstream CFD market rules.

To clarify these differences, the following table compares core features of both contract types:

Feature Dimension Gate Crypto Perpetual Contracts Gate TradFi Contracts (CFDs)
Underlying Asset Bitcoin, Ethereum, etc. Stocks, Forex, Indices, Commodities
Trading Hours 24/7 nonstop Follow respective spot market hours, with close periods
Price Anchoring Funded rate mechanism anchoring to crypto spot index Tracking traditional financial market spot prices
Leverage Adjustable (e.g., 1-125x) Fixed (e.g., Forex up to 500x, stocks up to 5x)
Special Fees Funding fees (long/short funding) Overnight interest, spreads

Practical Guide: How to Start Your First TradFi Trade on Gate

For users interested in trying this new feature, initiating your first TradFi trade is a straightforward process. Here are steps to guide your operation:

Step 1: Complete account setup and identity verification. Ensure your Gate account has completed necessary KYC, which is fundamental for participating in any regulated financial service and part of Gate’s compliance framework.

Step 2: Learn about and sign up for experience activities. Gate often launches educational and experiential events for new features. Keep an eye on official announcements; participating may earn you demo funds and lower the barrier for initial attempts.

Step 3: Transfer and pledge crypto assets. In the Gate App, locate the TradFi feature entry (usually in derivatives or finance sections). Transfer your intended collateral crypto assets (e.g., USDT, BTC) to the relevant account. The system will display your available trading limit based on the collateral’s market value and discount factor.

Step 4: Select trading assets and place orders. From the list of TradFi products (covering popular US stocks, major global indices, forex pairs, gold, etc.), choose your target. Carefully review contract specifications, including leverage, spreads, overnight interest, then submit your trade.

Step 5: Monitor and manage positions continuously. Like traditional markets, keep close watch on market movements and margin ratios. Understand the forced liquidation rules of the products and practice risk management.

Market Reference: Observations Based on Platform Data

Market data provides key context for understanding financial product trends. For example, in the crypto market, the latest data shows Bitcoin (BTC) at approximately $95,496, up 4.62% in 24 hours, with a trading volume of $1.38 billion, a market cap around $1.9 trillion, and a market share close to 56%. In high volatility environments, Bitcoin’s rapid price changes highlight the importance of asset allocation and risk management. Based on this, Gate continues to expand TradFi-related features, offering users more diversified hedging options—when crypto markets become more volatile, users can hedge with traditional financial products less correlated with digital assets, optimizing overall investment stability.

The platform’s recent “VIP Super Friday” event also reflects its focus on enhancing overall trading experience. Tasks incentivize users to trade and manage assets, with rewards up to 888 USDT. Combining such activities with the new TradFi features encourages users to explore and utilize the platform’s diversified services.

Users do not need to convert Bitcoin into USD; simply pledge it on Gate, and the credit limit quietly points to a Nasdaq tech stock. The trading interface shows real-time crypto candlesticks on one side and global indices and forex rates on the other. On this “value highway,” there are no toll booths or border checks—only clear risk parameters and smooth order execution. The volatility of crypto assets is no longer a constraint but a capital that can be flexibly called upon.

GUSD-0,04%
RWA5,97%
BTC3,07%
ETH6,27%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)