🔥 Spot vs Futures Trading — Full Breakdown (CryptoRampage Style)
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🧭 1. What is Spot Trading?
📌 Definition:
You buy the actual crypto asset and it gets stored in your wallet.
🧠 Example:
You buy 1 BTC at $30,000 → That 1 BTC is yours, you own it.
You can hold it, sell it, or transfer it anytime.
✅ Key Points:
You own the coin
No expiry — hold forever
No leverage
Only Buy low – Sell high
Risk is limited to what you buy
Great for beginners
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⚔️ 2. What is Futures Trading?
📌 Definition:
You don’t own the coin, you’re just trading on its price movement using a contract.
🧠 Example:
You think BTC will go up — so you open a long futures trade.
If price rises, you earn; if it falls, you lose — even though you never actually own BTC.
You can also short — bet on price going down.
⚠️ Key Points:
You trade with a contract, not the asset
Can use leverage (2x, 5x, up to 100x)
Can go Long (Buy) or Short (Sell)
Expiry depends: some are perpetual, some weekly/monthly
High profits possible — but risk of liquidation.