1. Spot Trading
Spot trading is the direct buying and selling of cryptocurrencies with each other (e.g., BTC/USDT, ETH/BTC...) without using leverage.
Advantages: Suitable for beginners, simple, low transaction fees.
Disadvantages: Profits depend entirely on the price volatility of the asset.
2. Futures Trading
This is a form of trading based on the future price of an asset without needing to own that asset. Binance supports high leverage (up to 125x with BTCUSDT Perpetual). Futures come in two types: Perpetual Futures and Delivery Futures.
Advantages: High profits when using leverage, can profit from both rising and falling trends.
Disadvantages: High risk, easy to have accounts liquidated if capital is not managed well.
3. Margin Trading
This trading form allows borrowing money to trade with a larger capital than one's own. There are two main types: Isolated Margin and Cross Margin.
Advantages: Increases profit potential, especially suitable for traders looking to take advantage of short-term market opportunities.
Disadvantages: Risk of losing the entire capital when the market moves in the opposite direction.
4. P2P Trading
This form allows users to buy and sell cryptocurrencies directly with each other. Binance acts only as an intermediary to ensure safe transactions.
Advantages: Low transaction fees, many payment methods.
Disadvantages: Transaction processing time depends on the trading partner.
5. Options Trading
Options trading allows the purchase or sale of an asset at a fixed price in the future or receiving the difference if not executed. Users can buy Call Options or Put Options. Advantages: High profit potential, risk is limited to the fees paid. Disadvantages: Requires good technical analysis knowledge, option fees can be high.
6. Discount Trading (Convert & OTC)
Convert is a quick switch between coins without needing the order book. OTC (Over-The-Counter) is a form of large transactions (whales) that do not affect market prices.
Advantages: Fast, unaffected by the liquidity of the order book.
Disadvantages: Not suitable for those who want to trade small amounts.
7. Other tools
Staking: Locking cryptocurrencies to receive rewards.
Launchpad & Launchpool: Investing in new projects.
Copy Trading: Copying the trades of professional traders.
Grid Trading: Automating trading by placing buy/sell orders at fixed price levels.
