Binance Futures is Binance's futures trading platform, which allows speculation on the future price of cryptocurrencies, with leverage.
Here are the key points to remember:
1. Principle
You do not actually own the crypto: you exchange a contract based on its price.
You can take a long (buy) or short (sell) position.
2. Types of contracts
USDT-Margined Futures: margin in USDT or USDC.
Coin-Margined Futures: margin in crypto (e.g., BTC, ETH).
Perpetual: no expiration date.
Delivery: fixed expiration date.
3. Leverage
Up to x125 on certain pairs (but be careful of the risk).
The higher the leverage, the faster the liquidation risk.
4. Important tools
Stop Loss: limits losses.
Take Profit: locks in gains.
Limit and market orders: to enter or exit a position.
Hedge Mode: allows opening both long and short positions on the same pair simultaneously.
5. Risks
Highly speculative: you can lose faster than on spot trading.
Understand the mechanisms well before trading real (use Mock Trading to practice).