💼 Spot Trading
In spot trading, you buy the actual asset—that means you are the owner of the cryptocurrency, stock, or whatever you’re buying. It’s straightforward: you pay, you own it.
📈 Futures Trading
Here, you’re buying and selling contracts instead of the actual asset. The exchange provides these contracts (for a small fee), and their value follows the real asset’s price.
🔑 Main Differences Between Them
1️⃣ Ownership:
Spot: You own the asset.
Futures: You trade contracts, not the asset itself.
2️⃣ Trading Direction:
Spot: You can only trade when the price is expected to rise (buy low,
In spot trading, you buy the actual asset—that means you are the owner of the cryptocurrency, stock, or whatever you’re buying. It’s straightforward: you pay, you own it.
📈 Futures Trading
Here, you’re buying and selling contracts instead of the actual asset. The exchange provides these contracts (for a small fee), and their value follows the real asset’s price.
🔑 Main Differences Between Them
1️⃣ Ownership:
Spot: You own the asset.
Futures: You trade contracts, not the asset itself.
2️⃣ Trading Direction:
Spot: You can only trade when the price is expected to rise (buy low,
