Lessons › Trading foundations
Trading foundations · Lesson 1 of 3
Spot vs futures
Spot trading means you buy the coin itself. If the price falls, you still own the coin.
Futures are contracts that follow the price. With leverage you can open a position bigger than your money — 10× leverage turns $100 into a $1,000 position.
Leverage cuts both ways. At 10×, a 10% move against you can wipe out the whole position. This is called liquidation.
Key points
- Spot = you own the coin
- Futures = contract on the price
- Higher leverage, faster liquidation
Education only, not financial advice. Crypto is risky — only use money you can afford to lose, and check it’s legal where you live.