#SpotVSFuturesStrategy The main difference between spot and futures trading lies in the timing of the transaction and the delivery of the asset. In spot trading, the transaction is executed immediately, and the delivery of the asset occurs within a few days. In futures trading, on the other hand, the transaction is made today, but the delivery of the asset takes place on a pre-agreed date in the future at a pre-established price.

Spot trading:

Immediate transaction:

The purchase and sale of the asset occurs at the current market price at the moment the transaction is made.

Immediate delivery:

Typically, the delivery of the asset takes place within two business days after the transaction is concluded.

Example:

Buying 1 BTC for 107,000 USDT today, with BTC received in the coming days.

Futures trading:

Future transaction:

Entering into a contract to buy or sell an asset in the future at a pre-established price.

Deferred delivery:

The delivery of the asset occurs on a specific date in the future, as stated in the contract.

Example:

Entering into a futures contract to buy 1 BTC for 109,000 USDT with a delivery date in a month.

Other important differences:

Leverage

Liquidity

Margin

We will discuss in the next post$BTC