The Survival Kit Series
If youāre new to crypto, chances are youāve been here before:
š Open the Binance app
š See Spot
š See Futures
š Brain processing for 3 secondsā¦
š āSo⦠which one wonāt make me lose money?ā š
Relax. Everyone has been there. Letās break down Spot vs Futures in a way thatās simple, fun, and doesnāt require a finance degree.
Spot ā Buy it⦠and just hold
Spot is like going to the market:
⢠You have money ā you buy coins
⢠You buy ā the coins stay in your wallet
⢠Price goes up ā happy
⢠Price goes down ā sad
⢠No liquidation (this part matters š)
Example:
You buy BTC at $80
ā BTC goes to $85k ā profit
ā BTC drops to $60k ā you still own BTC, just⦠emotionally damaged
š Spot = slow and steady, perfect for:
⢠Beginners
⢠People who value sleep
⢠Anyone who doesnāt want a heart rate of 120 bpm
Futures ā Where emotions move faster than prices
Futures is a different story. Think roller coaster
⢠Uses leverage (x5, x10, x20ā¦)
⢠You can Long (price up) or Short (price down)
⢠Profits come fast
⢠Losses come faster
⢠And thereās a scary word called Liquidation š
Example:
You Long BTC with x10 leverage
ā Price goes up 5% ā your account smiles
ā Price drops 5% ā your account⦠stops smiling
š Futures is better for:
⢠Experienced traders
⢠People with strong emotional control
⢠Those who accept āquick gains or quick lessonsā
š¤ So what should beginners choose?
Short answer:
š Spot first, Futures later
Longer answer:
⢠Spot helps you understand the market
⢠Understand coins, prices, and psychology
⢠Once youāre comfortable ā then consider Futures
⢠Donāt enter Futures with the mindset: āJust trying it outā
Final thoughts
⢠Spot teaches you how to survive
⢠Futures teaches you how to endure
⢠Crypto wonāt make you rich overnight
⢠But Futures can wake you up very fast
š Follow for the next post in the Crypto for Beginners Series
Next topic might be:
āWhat Is Leverage and Why Beginners Get Liquidated So Easily?ā š
#CryptoForBeginners #SpotVsFutures #BinanceSquare #CryptoEducationš”š #learncrypto $BTC $ETH $BNB