Remember we’ve been discussing the MEXC Crypto Futures bonus to start trading? Now I’ll tell you the main reasons why I choose futures instead of spot markets as the main trading instrument! It’s Owen82 and it’s my second MEXC Creators article!
Why did I choose crypto futures trading instead of spot markets?
A futures contract lets a trader guess the direction of a cryptocurrency’s price movement. If a trader bought a cryptocurrency future contract and its price rose above the original contract price at contract maturity, the trader will profit.The Main principle of Futures trading
The futures market is a strong derivative asset class that offers opportunities to add a wide variety to your cryptocurrency investments. Many investors show reluctance to trade in cryptocurrency futures due to some misconceptions.
Futures have their fair share of risks, but they are as risky as stocks, mutual funds, and ETFs. Every investment option holds its piece of risks and the positives associated with it. As investors, we need to research to decide the risk in crypto futures trading.
Investing in cryptocurrency futures requires less capital compared to other investment options. Cryptocurrency futures trading can be started with a minimum amount. Once this amount is deposited, a lesser amount is needed to meet the margin requirements.
This margin amount changes according to the cryptocurrency being traded. The amount invested depends on the strategy applied to the futures investments.
Additional Benefits of Trading in Crypto Futures
- Volatility Management
Future trading is made volatile due to the availability of easy leverage. The easy availability of leverage tempts unprepared investors to over-leverage weak trades, and they end up losing money and ending up in debt. If we ignore high leverage, the volatility of crypto futures is equivalent to regular cryptocurrency trading
- Increased exposure
Margin-based trading on futures means that investors can book exposures to a larger value of cryptocurrencies. This allows them to trade in greater numbers of the underlying cryptocurrency. This means that the probability of booking profit also rises with the exposure.
Roots of MEXC
MEXC was initiated in 2018 and swiftly became a cryptocurrency exchange of choice because of its high-performance and mammoth transaction processing capabilities. The project team at the exchange are some of the pioneers in DeFI and blockchain technology, giving them in-depth insight into the cryptocurrency and DeFi arena.
MEXC currently boasts over 6 million satisfied users in over 70 countries globally, and that’s only after three years of operation. This number of users and range is an outstanding accomplishment. MEXC aspires to be the platform of choice for both new traders in futures and experienced futures investors in their cryptocurrency investment journey.
Smooth experience with MEXC Crypto Futures
The exchange at MEXC runs on a high-powered exchange server. Specialists from the banking industry design this server. It is efficient enough to run 1.4 million transactions per second. This significant speed offers high efficiency and superior performance.
User security is a principal focus at MEXC, due to which their servers are held independently over multiple countries to guarantee peak data integrity and security.
MEXC got the “Best Crypto Exchange in Asia” award at the Crypto Expo Dubai held in Dubai on October 15, 2021. MEXC now holds 5 percent of the cryptocurrency digital trading market. It is one of the most open platforms for cryptocurrency trading options.
MEXC has swift responses and offers one-stop trading services for all things to do with cryptocurrency and bitcoin. Whether mining, stacking or trading spot, futures, margin, or ETF trading, MEXC is the platform with the most wide-ranging trading categories.
MEXC – one place for all crypto financial services
Whether you want to buy crypto for the first time or trade futures, it is a great decision to opt for MEXC options. MEXC has excellent options for cryptocurrency futures trading on its P2P platform. The exchange offers excellent arrangements for the contract settlement payment, fund withdrawal, and altcoin and cryptocurrency transaction options.
MEXC has the most efficient launch of new projects of any cryptocurrency exchange. Almost all projects popular now firstly were launched on MEXC.
The content of this webpage is not investment advice and does not constitute an offer or solicitation to offer or recommendation of any investment product. It is for general purposes only and does not take into account your individual needs, investment objectives, and specific financial circumstances. Investment involves risk.
This disclaimer informs readers that the MEXC Creator’s content, views, thoughts, and opinions expressed in the articles belong solely to the creators and authors, and not to MEXC itself. MEXC doesn’t give any investment recommendations or advice.