When stepping into the crypto market, two popular ways to trade are Spot Trading and Futures Trading. Both can be profitable, but they work very differently. Let’s break it down:
🔹 Spot Trading
Definition: Buying or selling crypto directly at the current market price.
Ownership: You actually hold the asset in your wallet.
Risk Level: Lower risk compared to futures since you can only lose what you invest.
Example: Buying 1 $BTC at $60,000 means you own it, and if $BTC rises to $65,000, you gain $5,000.
🔹 Futures Trading
Definition: Trading contracts that predict the future price of crypto, without owning the actual asset.
Leverage: You can use borrowed funds to open bigger positions.
Risk Level: High risk–high reward. Profits can multiply, but so can losses.
Example: With 10x leverage, a $1,000 position acts like $10,000. A 10% price move can double your money—or wipe it out.
⚖️ Key Difference
Spot = Simpler, safer, good for long-term investors.
Futures = Complex, riskier, good for experienced traders who manage leverage carefully.
👉 Whether you’re holding for the long run or chasing short-term moves, understanding both will help you choose the strategy that fits your style.
#CryptoTrading #SpotVsFutures #BİNANCESQUARE 
