- What is Futures trading?
- Difference between Spot and Futures trading
- What is Perpetual Contracts?
- Benefits of BiKi Perpetual Contracts
- What is Leverage?
- How does BiKi Perpetual Contracts work?
- How to start BiKi Perpetual Contracts
- Step by Step Beginner’s Guide to BiKi Perpectual Contracts
1. What is Futures Trading?
Futures also know as Futures Contracts is an obligation agreement between the parties to transact an asset at a predetermined future date and price.
Example: (source: https://grainphd.com/education/how-do-i-use-the-futures-market/ )
On 1 March, Justin locks in a futures contract to sell to Bianca 1 Bitcoin at $60,000 with 1 May as expiry date. On 1 May, Bitcoin price became $50,000, Bianca got to buy 1 Bitcoin at $60,000 instead of $50,000 and suffered an opportunity cost of $10,000. Justin made an extra of $10,000.
If on 1 March, Bitcoin price became $65,000, Bianca still got to buy 1 Bitcoin at $60,000 instead of $65,000.
2. Difference between Spot and Futured Trading
Spot is an immediate transaction of assets and cash but Futures will settle the transaction on the specific date in the future stated in the contract.
3. What is Perpetual Contracts?
Perpetual Contracts are futures contracts without any expiry and settlement time. Traders will be able to hold their position perpetually so long as the initial margin as deposit is sufficient.
Read more about “What is USDT Perpetual Contracts” here
4. Benefits of BiKi Perpetual Contracts
- Up to 125x Leverage
- Maker Fee 0.04% and Take Fee 0.06%
- Immediate opening and closing position
- Highly Liquid
5. What is Leverage?
Leverage is borrowed funds that increase a trader’s position size. For example: Sam uses $100 to open a position with 100x leverage, so his position size became $10,000.
Sam’s $100 is also known as the “margin” and used as collateral if the asset’s market price moves in opposite direction from Sam’s position.
The most that Sam can lose in this leverage trade is the margin he placed which is $100, please note that users will NEVER and will NOT lose more than the margin you placed, in other words, you will not turn to a position of losing more than what you have.
Read more about “What is Leverage” here
6. So how does BiKi Perpetual Contracts work?
There would be a Step by Step Guide below
Step 1: Register a BiKi account here: https://bit.ly/3mz5dyw
Step 2: No KYC is required for withdrawals of less than 5,000 USDT
Step 3: Place a deposit into your own USDT deposit address, you can find it via the steps below:
Step 4: Go to Balances and click on “Exchange Account”
Step 5: Go to USDT section and click “Deposit”
Step 6: Click on the copy button
Step 7: After a few moments, the transaction will be confirmed and the USDT will be reflected in your account
Step 8: Next step would be to transfer it to your Contracts account:
Go to https://futures.biki.cc/en_US/ and click “Transfer”
Step 9: Enter the amount you want and click “Confirm”
And you are ready to make your first trade!