#SpotVSFuturesStrategy

In crypto trading, spot trading involves buying or selling digital assets for immediate delivery, ideal for long-term holders or simple buy-and-sell strategies. Futures trading, on the other hand, allows traders to speculate on price movements without owning the asset, using leverage to amplify gains—or losses. A common strategy is hedging: holding spot assets while using futures to protect against downside risk. Traders may also arbitrage between spot and futures prices. Spot trading is safer but slower; futures offer speed and profit potential but carry higher risk. Combining both enables flexible strategies across different market conditions.