If you're new to the world of cryptocurrency, you should understand this difference well to protect your portfolio:
1. Spot trading: You buy and own the actual currency. If the price drops, you don't lose your coins; you can wait for the market to rebound and then sell at a profit. The risk here is low to moderate.
2. Futures trading: You trade contracts based on whether the currency's price will rise or fall, using leverage. Profits can be multiplied, but the risk of losing all your capital (0.00) is very high.
We always recommend that beginners start with spot trading as a safe way to learn how the market moves.