#SpotVSFuturesStrategy Spot Trading:

1. You buy the asset directly and actually own it

2. There is no or very limited leverage, which reduces the potential loss size

3. Less risky compared to futures contracts, as you do not lose more than you invested

4. Profit is slower but more stable

5. No risk of forced liquidation

🔹Futures Contracts:

1. You do not own the asset, but bet on the price rising or falling in the future

2. Uses leverage (sometimes 10x, 50x, or even 100x), exposing you to quick losses

3. Highly risky, and you could lose your entire capital within minutes

4. Potential profit is fast and high, but it is fraught with risks

5. Possibility of forced liquidation when the market moves against you, even without losing all your capital

From a religious perspective:

🔹Spot Trading:

1. Permissible by most scholars as long as immediate settlement is achieved

2. Does not involve usurious interest or gambling practices

3. Considered more compliant with Islamic legal regulations

4. Suspicions can be easily avoided by choosing permissible currencies and not using leverage

🔹Futures Contracts:

1. Prohibited by the majority of scholars due to the presence of uncertainty, gambling, and short selling

2. No real ownership of the currency or traded asset

3. Closer to gambling than to investing, due to betting solely on price fluctuations

4. Contains high legal suspicions and significant financial risk