#TradingTypes101 In essence:

•  Spot trading is like buying a car with cash. You own it outright, and your risk is limited to the price you paid.

•  Margin trading is like buying a house with a mortgage. You control a larger asset with less of your own money, but you owe interest and risk foreclosure if the price drops too much.

Which is right for you?

•  Spot trading is suitable for beginners and those with a lower risk tolerance.

•  Margin trading is for experienced traders who understand leverage and risk management. It's crucial to have a solid trading strategy and be prepared to manage potential losses.