There are over 500 different crypto platforms on the Internet. Each of them offers various tools for traders and the number of traded pairs, as well as commission policy and the level of protection. In this article, we will find out the best crypto futures exchange. First, let’s find out what are futures in crypto.
Crypto futures are financial instruments that enable traders to purchase or sell a certain cryptocurrency asset at a predetermined price and date in the future. This type of trading is analogous to conventional futures trading, but with digital currencies as the underlying asset. By engaging in futures contracts, traders can make bets on the future price of a cryptocurrency as well as secure an agreed-upon rate for either selling or buying that asset at any given point later down the line. This provides them with the means to capitalize off long or short market trends depending upon their outlook regarding pricing shifts.
Criteria for Choosing Crypto Futures Exchanges
Deciding on the ideal crypto futures exchange is a crucial move in crypto investments futures trading. Here are some components to assess as you weigh your options:
- Reputation and security. If you want your funds to be safe, then it is imperative that you select an exchange with a good standing and secure background. Research any major security breaches in the past of the exchange, and ensure they have reliable safety practices like two-factor authentication as well as offline funds storage.
- Available assets. Carefully evaluate the list of available assets before creating an account. It is essential to remember that not all exchanges offer future trading for each digital currency on the market.
- Fees. Look for an exchange with reasonable trading fees. You need to compare the costs between different exchanges because they may vary drastically.
- User Interface. Select an exchange with a visually appealing and intuitive interface, along with necessary trading instruments. The user experience should be seamless so you can effortlessly find real-time market data and graphical representations of your trades.
- Prioritize those platforms with sufficient customer support. It is essential to have a team that can promptly answer all questions and solves potential issues quickly.
- High liquidity signifies that there are a lot of trades taking place on the platform, meaning it will be less difficult to buy and sell futures contracts at reasonable market prices.
- To safeguard your funds and personal data, you should give serious consideration to utilizing an exchange that’s regulated in compliance with local laws. These exchanges are typically subject to stricter security provisions and regulatory adherence, which can provide a level of protection for traders.
The WhiteBIT crypto platform suits all the mentioned criteria, plus it offers perpetual futures agreements, which have no expiration date. Another advantage is demo account allows traders to try different leverage ratios before starting to trade on the real market. Check out the WhiteBIT blog – it gives comprehensive answers to what is crypto futures and guides on how to trade efficiently.