1. What is Futures Trading?
Futures trading is a type of cryptocurrency derivative. Users do not need to actually hold the underlying asset; instead, they can profit by buying or selling futures contracts, with the ability to go long or short.
2. What is the difference between Futures Trading, Spot Trading, and Margin Trading?
- Compared with Spot Trading: Futures trading does not involve physical asset settlement. Users only trade on price movements.
- Compared with Margin Trading: Futures contracts usually include a funding rate mechanism, offer more mature risk control, and support two-way trading.
3. Which cryptocurrencies/pairs are supported?
The platform generally supports BTC, ETH, and other major and highly liquid cryptocurrencies. Please check the trading page for available pairs.
4. Is KYC required to use Futures Trading?
In some regions, users must complete identity verification (KYC) before opening a futures account and transferring funds.
5. What leverage ratios are supported?
Leverage depends on the trading pair, typically ranging from 1x to 125x.
6. What are Isolated Margin and Cross Margin?
- Isolated Margin: Only the margin allocated to a specific position is at risk.
- Cross Margin: All available balance in the account can be used as collateral, which increases exposure and may lead to faster liquidation.
7. How do I open and close positions?
Choose a trading pair, leverage ratio, and direction (long or short), then place an order to open a position. To close, you may use a limit order or a market order.
8. What is the funding rate?
The funding rate is a periodic settlement mechanism to keep futures contract prices close to spot market prices. Long and short positions exchange funding payments, usually every 8 hours.
9. What is forced liquidation (margin call)?
When the margin is insufficient to cover losses, the system will automatically close the position to prevent negative equity.
10. How can I avoid forced liquidation?
Use leverage wisely, top up margin in time, set stop-loss orders, and avoid going all-in.
11. How are trading fees calculated?
Futures trading fees are usually divided into Maker fees (for adding liquidity) and Taker fees (for taking liquidity). Please refer to the Fee Schedule for details.
12. How often is the funding rate settled?
Typically once every 8 hours. Depending on your position, you may either pay or receive funding fees.
13. What risks are involved in Futures Trading?
- High volatility may cause rapid liquidation
- The higher the leverage, the higher the risk
- Liquidity issues may lead to slippage
14. How can I reduce risk?
- Set stop-loss and take-profit orders
- Use isolated margin mode
- Build positions gradually, avoid all-in trades
- Control leverage strictly
15. Does Futures Trading support stop-loss and take-profit?
Yes, users can set stop-loss and take-profit orders when placing or managing positions.
16. Does Futures Trading support one-click full position liquidation?
Yes, users can quickly close all positions to reduce exposure in extreme market conditions.
17. Does Futures Trading support demo trading?
Yes, the platform provides a demo environment for users to practice before trading live.
18. How does the platform ensure fund security?
The platform uses cold and hot wallet separation, multi-signature, and real-time risk monitoring to safeguard user funds.
19. What happens in extreme market conditions?
The platform has a risk management system in place, including circuit breakers and Auto-Deleveraging (ADL), to avoid systemic risks.
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