[Pump 83]

Quick question y’all — does the pattern day trading rule hit crypto too or nah?

I’ve been trading stocks on and off, and I keep running into the PDT rule. Super frustrating, they flag you and restrict you unless you meet the 25k threshold. Not exactly for beginners.

Now I’m looking into crypto, and I’ve heard that you can day trade it without running into the same kind of rules. Is that actually true? Like, can I make multiple trades a day with a small account and not get hit with any limitations?

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[Joey]

Hi mate, I don’t think crypto falls under the pattern day trading regs because it’s not a properly regulated activity. I know firms like Coinbase and Kraken don’t enforce it.

The catch is that crypto trading is obviously higher risk because it’s not properly regulated but I’m sure you already know that…

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[Steve]

It shouldn’t do. The PDT rule is about stock and options trading in margin accounts. General consensus elsewhere online is that it doesn’t as well.

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[ABTrading 87]

No you’re good. But if you’re trading crypto through a broker that also offers stocks like Robinhood, double-check how they handle day trading – some of these platforms still have restrictions based on account type.

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[Pump 83]

Great stuff, thanks everyone!

 

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[Oliver]

It should be in my book.

Crypto is 24/7 and so volatile, which then encourages compulsive and sometimes even revenge trading. A PDT style rule would force traders to be more selective, which then encouraging longer term thinking and careful planning.

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[Author]

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