#SpotVSFuturesStrategy A "spot vs. futures strategy" refers to trading or investing approaches that utilize the differences and relationships between spot markets and futures markets for a given asset.

Here's a breakdown:

Spot Trading: This involves buying or selling an asset (like a commodity, currency, or cryptocurrency) for immediate delivery at its current market price. You gain immediate ownership of the asset. It's generally considered simpler and less risky as it doesn't involve leverage, making it suitable for long-term investments or those who prefer direct ownership.

Futures Trading: This involves entering into a contract to buy or sell an asset at a predetermined price on a specific future date. There's no immediate exchange of the asset. Futures are often used for:

Speculation: Betting on the future price movement of an asset without actually owning it.

Hedging: Protecting against potential price fluctuations in an underlying asset.

Leverage: Futures trading often allows for high leverage, meaning you can control a larger position with a smaller amount of capital. While this can amplify profits, it also significantly amplifies losses