#BinanceFutures
Binance Futures Rules:
Futures contracts are agreements to buy or sell a specific asset at a predetermined price on a future date, allowing you to take advantage of price fluctuations whether they are upward or downward. When trading futures on Binance, there are a set of basic rules:
1. Margin: An initial margin must be provided to cover trades, and you can use leverage to increase your trading volume.
2. Leverage: Binance offers leverage up to 125x, but the higher the leverage, the greater the risks.
3. Funding Fee: Some futures contracts require the payment or receipt of periodic funding fees between the parties involved in the trade.
4. Risk Management: Use Stop Loss and Take Profit orders to reduce risks.
5. Expiry & Settlement: Some contracts have a specified expiration date, while others are perpetual without expiration, with periodic settlement.
6. Liquidation: If your losses reach the minimum margin requirement, the position will be automatically closed to avoid further losses