šĀ Spot vs. Futures on Binance ā What's the Difference?
If you're just getting started with crypto, understanding these two strategies is key to making smart moves. Letās break it down:
š°Ā Spot Trading
ā You buy actual crypto (like BTC, ETH) and own it
ā Best for long-term investing or holding
ā Lower risk, no leverage, no liquidation
ā You profit when the asset price goesĀ upĀ over time
ā”Ā Futures Trading
ā YouĀ donāt ownĀ the asset, you just trade its price
ā Allows you to useĀ leverageĀ (e.g., 10x your capital)
ā You can profit when the price goesĀ up or down
ā Higher risk: potential for bigger gains or losses
ā Not ideal for total beginners without proper risk management
š Start with what suits your goals and risk level.
Learning the difference can protect your portfolio and help you grow smarter.
Which side are YOU on?š