**Understanding the Basics of Cryptocurrency Trading: From Spot to Derivatives**
Beginners often get confused by the terminology used on crypto exchanges. Let's clarify the key concepts necessary for successful trading.
**What are Spot and Contracts: Basic Division**
Spot trading is the simplest form of trading – you buy cryptocurrency at the current price and hold it, waiting for its value to increase. When the price rises, you sell and profit from the difference. It’s a straightforward strategy without debts or dependencies.
Contracts are a completely different instrument. They are derivativ
View OriginalBeginners often get confused by the terminology used on crypto exchanges. Let's clarify the key concepts necessary for successful trading.
**What are Spot and Contracts: Basic Division**
Spot trading is the simplest form of trading – you buy cryptocurrency at the current price and hold it, waiting for its value to increase. When the price rises, you sell and profit from the difference. It’s a straightforward strategy without debts or dependencies.
Contracts are a completely different instrument. They are derivativ