Difference between spot trading and futures trading in crypto.
Go Back🕒 12:53 AM
📅 May 06, 2025
✍️ By Chetampro
A lot of newbies in crypto space who have come across this two crypto term spot and futures, will wonder around in confusion and not been able to differentiate both and might not know the meaning of either.
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Spot trading is a type of trading that let's allows you buy or sell a coin.
Future trading is a type of trading where trader's buy or sell contracts that promise to deliver a specific amount at a predetermined future date and price.
Unlike spot where your trade makes you a holder of a coin, futures makes you hold unto contact.
Comparison of spot trading and futures trading in crypto
Spot trading is simple, low-risk, and ideal for short-term traders. Futures trading is more complex, higher-risk, and suitable for long-term traders and those who want to hedge their positions. Traders should consider their goals, risk tolerance, and time horizon before making a choice.