🔍 Let me explain it simply: SPOT, MARGIN, and FUTURES on Binance
Confused with so many options to trade on Binance? Here’s how I’d explain it to a friend:
💸 1. SPOT – Direct purchase
➡️ It's like going to the supermarket: you buy a crypto and it’s yours instantly.
✅ No debts, no extra risks.
🔁 For example: You buy 100 USDT of BTC, and that’s what you have.
⚖️ 2. MARGIN – Borrowing to trade
➡️ You use your cryptos as collateral and borrow to buy more.
📈 Profits can be higher, but so can losses.
💥 WARNING: If the price drops too much, you could be liquidated (lose everything).
📉 3. FUTURES – Betting on the price (up or down)
➡️ You don’t buy the actual crypto, you just bet on whether the price goes up or down.
💰 You can use leverage (e.g., 10x) to multiply profits… or losses.
🚨 This is for more advanced users; there’s a lot of risk if you don’t know what you’re doing.
All this is important in this world; any help is useful. KEEP GOING GURU 🚀