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What is a Bitcoin futures exchange?

If you’ve been researching Bitcoin trading and ways to make money with cryptocurrency, you’ve almost certainly stumbled upon something called Bitcoin futures. In a few places, they explain well what the business consists of; that’s why few people take the initiative to join Bitcoin futures exchanges.

For you to know what this business consists of, in the following paragraphs, we will explain what a Bitcoin futures exchange is and how it works. In addition, we will demonstrate that other mode of marketing with 비트코인선물 exist and where you can exchange Bitcoin futures.

What is a Bitcoin futures exchange?

Bitcoin futures exchanges (mostly known as futures contracts) are legal agreements allowing you to sell and buy Bitcoin at a specific price on a particular date. This business has been implemented in most exchanges dedicated to futures trading.

Here are some of the futures trading exchanges that are working with the Bitcoin futures exchange:

  • BitMEX
  • Huobi
  • Deribit
  • Chicago Mercantile

Whoever buys the crypto BTC receives the amount of money specified in the contract by obligation. In addition, you can sell them whenever you want and make a profit depending on the amount the cryptocurrency has raised.

How does a Bitcoin futures exchange work?

In regular trading, people sell and buy cryptos when their value drops and rises again. The Bitcoin futures exchange consists of directly selling contracts to whoever is interested. Most of these contracts can be settled in Fiat money, although it is not a fundamental option to invest in contracts again when trading.

Once the contract expires, the current bearer will collect the amount indicated within the agreement he had purchased. That’s how this whole Bitcoin futures exchange works.

Are different Bitcoin futures trading modalities there?

For crypto exchanges, users are available to three different modalities; we have already explained how the first works. See how the other three work:

Perpetual futures

It consists of a financing fee that is gradually canceled with periodic operator payments. That way, the value of the contract approaches the current price of Bitcoin, and neither party loses out. When the value is quoted below what the agreement indicates, its financing rate will be negative.

The same will happen when the financing rate is higher than indicated in the contract, but on the contrary, the profits will be higher.

Options contracts

They give the option to take possession of money both in the long and short term. They grant put rights and these grant permissions to sell contracts; it is also not a mandatory option that each user needs. The times when people make use of the vote is when they know that crypto will have a long-lasting slump.

The place where you can trade Bitcoin futures

로그비트 is one of the best platforms there is to make exchanges of Bitcoin futures and other cryptocurrencies. It works specifically with 코인선물 which is why its performance is so good and the commission fee is minimal.

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