Revenue principle of bitcoin contract

Similar to futures contract, it is a trading method proposed by bitstar

the leverage of bitcoin virtual contract is shown as the leverage stability of the revenue level of legal currency: if you invest US $100, the revenue you can get = US $100 * the rise and fall of bitcoin * the fixed leverage ratio

assuming that the current price is 500usd / BTC, an investor can buy a BTC at the current price, and the principal is 500usd. At this time, the investor can make 50 more BTC virtual contracts

at this time, if the price of BTC rises to US $750, or 50%, the investor's contract income is 3.3333 BTCs, which can be sold at the current price to get us $2500, and the income is five times of the principal investment

bitcoin futures provided by bitcoin exchanges are usually traded in bitcoin. Futures is opposite to spot. Spot is a commodity that can be paid and delivered at the same time. In fact, futures is not "goods", but an agreement (contract) - futures contract that promises to deliver "goods" (subject matter) at a future time

extended data:

futures contract is an agreement that the buyer agrees to receive certain assets at a specific price after a specified period of time, and the Seller agrees to deliver certain assets at a specific price after a specified period of time. The price that both parties agree to use in future trading is called futures price

the specified date on which both parties must conct transactions in the future is called settlement date or delivery date. The assets agreed to be exchanged by both parties are called "subject matter". If an investor gains a position in the market by buying a futures contract (i.e. agreeing to buy at a future date), it is called long position or long in futures

the basis of bitcoin contract

bitcoin contract refers to a contract that can be traded without actually owning bitcoin. It is very different from the currency transaction which can only be carried out with the actual holding of digital currency

bitcoin contracts enable you to predict the price trend of bitcoin and hedge risks. This way of trading means that you are investing in price trends, not the assets themselves

when trading bitcoin contracts, you can decide whether to be short or long. Choosing long means that you expect the price of bitcoin to rise. On the other hand, choosing to short means that you expect prices to fall

leveraged trading

one of the characteristics of bitcoin contracts is that it can choose to trade with high leverage ratio. Using leverage means that you don't have to invest 100% of the transaction amount in a contract transaction. Instead, you only need to deposit the initial margin, which is only a small part of the total contract value

leveraged trading allows you to have a large exposure with a small amount of funds while managing risks

perpetual contracts

although there are many different types of contracts, this paper mainly focuses on perpetual contracts. As the name suggests, these contracts have no expiration date. Traders who are long or short with perpetual contracts can hold positions indefinitely unless the contract bursts, which means that they will not suffer more losses than the initial margin

in the perpetual contract, the pricing of bitcoin is based on a specific index price. The index price is based on the average price of bitcoin in multiple currency markets

bitcoin contract has become a very popular trading tool. Many traditional investors are not ready to allocate their money to digital assets, but still want to benefit from attractive price fluctuations, and contract trading opens the door for them

if you want to open bitcoin contract trading, you need to find the exchange that provides contract trading. AAX platform provides you with bitcoin contract trading services in a compliant and secure environment

bitcoin is actually an e-coin data coin proced by P2P batch software, which belongs to a network virtual asset so bitcoin is also called bitcoin. It is generated by a set of cipher codes through complex algorithms. This rule is not interfered by any person or organization. Anyone can download, run or participate in the manufacture of bitcoin. One of the biggest characteristics of bitcoin is that it cannot be forged< you can make money in the bitcoin market by investing time and money
when you spend time on websites, you can visit these websites every few minutes to get a small amount of bitcoin. Therefore, we can do this if we have time. If you want to earn more, you should invest money in the early stage. Bitcoin also has a special casino, so you can earn more by luck

Token Network Forum provides: if you want to short, you also need to have the corresponding capital. At present, as a new player, it is difficult to buy a large number of bitcoin. And because most people are in the holding state, it is difficult to make bitcoin circulate with each other

buy a lot of bitcoin and let it continue to buy high and sell low. If you can hold on, bitcoin may be short
as long as you can continue to spread the shortcomings of bitcoin and rece the number of people who hold bitcoin, it will basically affect the operation of the exchange. If bitcoin can't be traded in circulation, there will be only some learning

the principle of bitcoin shorting:

this shorting is to convert your money into more bitcoins. However, in order to make money, after you get more bitcoins, you can only make money if bitcoin rises. Like China's stock market, there is a reason to increase positions when it falls. But what I want to tell you is that short selling can't make money

different from the short principle of spot market, the short principle of spot market can make money when it falls, and the position in hand is unchanged. But bitcoin changes your position. In the same way, China's stock market falls more and more, sharing the cost of building positions equally, and then waiting to rise

after understanding the principle of bitcoin shorting, we get the answer: in short, this kind of shorting is actually false