The four most famous international exchanges:

Binance INTL	OKX INTL	Gate.io INTL	Huobi INTL
China Line　APP DL	China Line　APP DL	China Line　APP DL	China Line　APP DL

Note: The above exchange logo is the official website registration link, and the text is the APP download link.

According to blockchain data, more and more people are investing in Bitcoin. There are mainly three types of investors. One is investing in Bitcoin futures, the other is investing in Bitcoin spot, and some investors are focusing on Mining to obtain Bitcoin, Bitcoin futures and spot are common ways to trade Bitcoin, but both the operation methods and the actual trading practices are different. So, what is the difference between Bitcoin futures and spot? Next, the editor of the currency circle will reveal the difference between Bitcoin futures and spot, for the reference of novices in the currency circle.

## Analyze the difference between Bitcoin futures and spot

1. Different attributes

Bitcoin spot trading, generally speaking, when newbies in the currency circle buy and sell digital currencies, their first transaction is almost always done. Generally, you need to exchange USDT, choose the currency you want to buy, such as Bitcoin, and then buy it at the "market price" or "limit price". After buying, the Bitcoin will arrive in your account in about a few seconds. This method is to buy Bitcoins immediately at the market's real-time transaction price. This type of transaction is called "spot trading". Simply put, it is a transaction where money is paid and delivered on the spot.

Futures are opposite to spot goods. Spot goods are real commodities that can be paid for and delivered in one hand. Futures are not actually "goods", but an agreement (contract) that promises to deliver "goods" (subject matter) at a time in the future. -Futures contracts. Bitcoin futures are usually standardized contracts based on the Bitcoin price index (such as the BraveNewCoin Global Bitcoin/USD Price Index used by 796 Exchange), and the Bitcoin futures provided are usually traded in Bitcoin.

2. Different margin ratios

The margin ratio in the futures market is around 5%-10%. The margin ratio is low and the leverage is large, which also magnifies the risks and returns of investment. The spot market margin is usually around 20%. In special circumstances (continuous price limit, near delivery, etc.) the margin will be increased. The leverage is moderate and the risk is moderate.

3. Different trading times

Bitcoin spot generally has 24/7 trading, while Bitcoin futures have fixed trading hours.

4. Different price limits

Bitcoin futures have price limits, but Bitcoin spot does not.

5. Transaction objects

The objects of Bitcoin spot trading are mainly physical commodities, while the objects of Bitcoin futures trading are standardized contracts. In this sense, futures are not goods, but contracts about a certain commodity.

6. Transaction purpose

The purpose of Bitcoin spot trading is to obtain or transfer ownership of Bitcoin and is a direct means to meet the needs of buyers and sellers.

The purpose of Bitcoin futures trading is generally not to obtain physical Bitcoins. The purpose of hedgers is to transfer the price risk of the spot market through Bitcoin futures trading, and the purpose of speculators is to obtain risk profits from price fluctuations in the futures market.

7. Settlement method

Bitcoin spot transactions mainly adopt the settlement method of one-time settlement at maturity, and there are also cash on delivery methods and installment payment methods in credit transactions.

Bitcoin futures trading implements a same-day debt-free settlement system. Both parties to the transaction must pay a certain amount of margin and always maintain a certain margin level during the transaction process.

Through the above introduction, I believe everyone already understands the difference between Bitcoin futures and spot. In fact, Bitcoin spot means that after a Bitcoin transaction, investors can get Bitcoin, while Bitcoin futures means that after a Bitcoin transaction, investors cannot get Bitcoin and can only buy up and down. However, no matter which one investors choose, they need to trade on a regular Bitcoin exchange, so as to avoid the exchange running away and causing investors losses.