The major difference is that with Real accounts you will trade with real funds, while Demo accounts use virtual money with no real value to trade.

Other than that, the market conditions for Demo accounts are exactly the same as they are for Real accounts, making them ideal for practicing your strategies. Further, they are available for every account type other than Standard Cent.

If you would like to try a Demo account for yourself, sign up and get virtual money (USD 10,000) to practice with, instantly.