What Is Futures Trading?
45sClear, high-impact explanation of futures vs spot trading with a concrete 100% profit example that hooks beginners.
▶ Play Clip"The title promises a tutorial on Binance futures, and it delivers, but the heavy promotion of BingX and the lack of advanced details make it slightly oversell."
This video is a beginner-friendly tutorial on how to trade futures on Binance, covering the basics of leverage, margin, order types, and risk management. The creator also compares Binance with BingX, recommending the latter for futures trading due to lower commissions and additional features like copy trading and bots.
Futures allow trading with more money than you have, using leverage. For example, with 2x leverage and $100, you trade with $200; with 10x, you trade with $1,000.
Binance offers USD futures, Coin futures, and options. The creator recommends USD futures (using USDT or USDC) for simplicity.
Transfer funds from Spot to USD futures wallet via the 'Transfer' button. The creator transfers $129 as an example.
The interface shows leverage (e.g., 20x), order types (limit/market), and options for isolated or cross margin. The creator recommends isolated margin to limit losses to the trade only.
Market orders execute at current price; limit orders wait for a specific price. Example: setting a limit order at $92,000 for Bitcoin.
Leverage can be set from 1x to 125x. With 100x leverage, a 1% drop liquidates the trade. Higher leverage amplifies both profits and losses.
Take Profit closes the trade at a target price (e.g., $7,000 for Bitcoin). Stop Loss closes the trade if it goes against you (e.g., at $93,500).
The creator places a long position with $50 margin and 20x leverage, resulting in a notional value of $1,000. The margin used is $48.44.
The creator prefers BingX for futures, copy trading, and bots due to lower commissions and subsidy coupons. Binance is recommended for spot trading.
Deposit USDT on BingX using BNB network (zero fees), then withdraw from Binance to the BingX address.
BingX offers standard futures and perpetual futures with dollar margin. The interface allows setting leverage and notional value, with options for long/short positions.
BingX provides bonuses (e.g., $30 with 5x leverage) that can be used for trading, allowing profits without using your own money.
The video provides a solid foundation for beginners to start trading futures on Binance, emphasizing the importance of understanding leverage, risk, and using tools like take profit and stop loss. The creator also suggests BingX as a preferred platform for futures due to better features and incentives.
What is the main advantage of futures trading over spot trading?
Futures allow you to trade with more money than you have, using leverage.
00:15
What are the three types of futures on Binance?
USD futures, Coin futures, and options.
01:48
What is the difference between isolated and cross margin?
Isolated margin limits losses to the trade, while cross margin uses the entire account balance, risking the whole futures account.
03:21
What happens if you use 100x leverage and the price drops 1%?
The trade is automatically liquidated and you lose your money.
05:23
What is the purpose of a Take Profit order?
It closes the trade when the price reaches a target level to lock in profits.
05:38
What is the purpose of a Stop Loss order?
It closes the trade if the price moves against you to limit losses.
05:38
What is notional value in futures trading?
It is the total value of the position, calculated as leverage multiplied by the margin.
07:41
Why does the creator recommend BingX for futures trading?
Because it offers lower commissions, subsidy coupons, and better features for copy trading and bots.
08:23
What network does the creator use to transfer USDT to BingX?
BNB network, because it has no commissions.
09:02
How can you earn money using bonuses on BingX?
Bonuses can be used for trading, and any profits are yours without using your own money.
11:04
Leverage Explained
Clearly explains how leverage multiplies trading power, a core concept for futures.
00:15Isolated vs Cross Margin
Crucial risk management distinction that can prevent account liquidation.
03:21Liquidation Risk
Highlights the danger of high leverage with a concrete example (1% drop at 100x).
05:23BingX Recommendation
Provides a practical comparison between exchanges, helping traders choose the right platform.
08:23[00:01] channel! First of all, Happy New Year to everyone! I hope you had a fabulous start to 2025, that you had a great 2024, and that this new year is much better than the last. I hope you had a wonderful Christmas and
[00:15] New Year's holiday season, and that this new year brings you much success and prosperity. Now let's get to what we came here to talk about. This video is called "How to Trade Futures on Binance." We all know how to wait for what would be the spot market, or at least
[00:28] sell. If you don't know how to do it, I have several videos on my YouTube channel where you start trading, you start buying Bitcoin, you start buying Ethereum. But you do it have. If you have $100, you can buy up to $100 worth, and if you want 100%, you earn
[00:42] double, you earn another $100. In futures, we'll be able to trade contracts, but the fantastic thing about futures, and the reason most people get into it, is that it has trade with more money than we actually have. For example... If you're using
[00:56] 2x leverage and you're trading with $100, multiplying by two means you're trading with $200. In that case, you have a 100% profit. It's on the you have a 100% profit. It's on the $200. So you'd be earning $200, a 2% return on
[01:08] your capital. On the other hand, you can use 10x leverage. If you have $100, you'd be trading with $1,000. If the asset rises 100%, you earn 100% on that $1,000, making you another $1,000, giving you a 100% return. In
[01:23] simple tutorial on how to trade futures. If you don't have an account (which leave a link in the description so you can get commission discounts. Then I'll show you the best way to trade futures so you pay
[01:36] lower commissions, find better opportunities, and obviously get all this, I recommend you like and subscribe. And you stay in the video. Once we already have our Binance account, we already know
[01:48] how to deposit. How to trade in spot trading, which is precisely what spot trading is, and cryptocurrency. We have the other sector, which is futures. In this case, there are several USD futures, Coin futures, and options. Coin futures are for
[02:02] trade Bitcoin, the one most people use, the one I recommend, is to use USD futures, which in this case will use USDT or USDC to make your operations simpler. And obviously, you can trade
[02:15] anywhere: Bitcoin, Ethereum, Solana, Dogecoin, anything. But let's do it know that futures and USD futures are here, we wallet section, which in this case I'm covering with my camera, to transfer
[02:27] the wallet, and we have to use the transfer button that we always use. In this case, here I see the amount of dollars and coins that I have, and we click this transfer button here from Fiat Spot instead of going to Funds
[02:40] As we always do, if we want to sell via P2P trading, click and transfer it to USD futures. In this case, we need to transfer USD, and I'm going to transfer 129 that I have lying around. Confirm, and that's it, I've transferred it to
[02:53] USD futures. Okay, I have the money in that wallet, and I can we've transferred the money, we can go to futures and USD futures. Now is when things get interesting, and where we're going to
[03:07] start trading. In this case, it opens the basic Bitcoin USDT, and in this case, around $5,000. But the most interesting part isn't there; it's over here where we can open a limit trade. Here it says
[03:21] isolated or cross. Here it shows the leverage, in this case, it's at 20x. The stop limit is the amount of USD we want to use, the take profit, and the stop loss. And obviously, if you want to trade both long and short,
[03:34] first choose isolated or cross. In this case, I recommend using isolated so that you... The 100% you'll lose will be 100% of the trade, not 100% of the account. When you trade in isolation, each trade is
[03:46] isolated, and if that trade goes badly, you lose 100% of that trade, stop-loss order (which I obviously recommend). as it says here, in cross mode, all cross orders of the same asset on the
[03:59] margin will have the same cross margin balance. That is, in case of entire margin balance on those assets. In other words, if you most what you're trading, you could lose your entire futures account. So, as
[04:13] always, leave it aside; it's not a big deal, and you can sleep soundly. Later, we have the choice between Market or Limit. Market is very simple: the price at which the limit order is set is automatically set. This is in case you're
[04:26] waiting for it to reach a certain price and want to open it at that moment. For example, let's say Bitcoin reaches we set 92,000 to open this trade,
[04:41] and then we enter the dollar amount and so on. The trade won't open until Bitcoin actually touches 92,000. If it never touches trade won't open. Then, obviously, we have
[04:55] 2x, but you can set it to 1x, 2x, or 1x if you want. That is, of money you put in, no more, no less. And then you can increase it up to 125x. For example, if you use 100x leverage and you
[05:08] 're using $100, you would be trading with $10,000. This is impressive; obviously, you can get a lot of returns, but if it against you, it will automatically liquidate your trade. For example, if
[05:23] you trade with 100x leverage, a 1% drop will close the trade and you'll lose your money. It 're shorting, meaning the market is going to fall. Then, of course, we have the Take Profit and Stop Loss. The Take Profit would
[05:38] close the trade if Bitcoin reaches $7,000, and you'll receive your money. The Stop Loss is set if the trade doesn't go as planned. For example, if we set it at $93,500, and it trade closes and you stop losing money. It's very basic and
[05:52] show you. For example, let's put in $50 with leverage of, let's choose one, 1x, or 20x. case, we'd be trading with 50, leveraged by 20. The amount of money
[06:07] we'll use will be $1,000, so keep that in mind. Interestingly, in this case, we're not going to do anything. It's going to be like going from red to analysis. If you want a video analysis, I'm talking with some
[06:19] traders to make a completely free course. I don't want to sell you anything at all. It's not going to be 2, 3, or 4 hours long, extensive, cool, and just happen to Also, if you want more help and such, I'll leave a link in the
[06:34] description to my Telegram group where I don't sell you anything there either. trading community where the followers and other people help each other. Hey, I'm just starting out, I have this information, I'm a little more experienced, I can explain
[06:47] shared information with each other, and I think that adds a lot of value. So in this case, nothing, 50 leveraged by 20 isolated. I'm not going to put a Take Profit or quickly, and we're going to put... well, as you can see here, I got a small error that I
[07:01] I don't usually trade on Binance; I usually trade on another exchange that I'm going to tell you about now. n't say the minimum amount is 190, but not $10 of our own money, but rather we will be leveraged by 20 so that we have to put 50 from our own pocket here.
[07:16] We have to put 1000 because we are precisely leveraged by 20, so our margin that we are going to use will be precisely those 50. In fact, here it tells you the cost 48.48. So, now we can place the buy order and as you can see, we have
[07:28] our Long position open with a size of $49, but the margin, the money I am using from my own pocket, is precisely 48.44. So here we have to put what is called the
[07:41] notional value. In this case, I apologize because I can't do it on this exchange, but it is the leverage and with the amount of money you put in. Why? Because if we put, for example, one by two, in this case, if we
[07:54] put $200 here, we will be needing $100 to be able to open this in mind when figuring out how much money you have, what leverage you're going to use, and what risk you're willing to take. Here we have the operation:
[08:07] close at market, close at the limit because when it reaches the price, I think it closes In this case, I'm going to close it; we're going to earn 0%, practically you might be wondering, "Hey Lu, what exchange do you trade on? And why do you trade there?" In my
[08:23] personal opinion, Binance is one of the best exchanges for spot trading— everything related to buying, yield, and so on. But for futures, copy trading, and bots, I think BingX is much better. Obviously, if you do
[08:36] in the description. First, because you'll get a great discount on commissions for life. So, if you're already trading on Binance, the returns will be higher on BingX. And on the other hand, they'll give you subsidy coupons for copy
[08:48] trading and grid trading bots. These subsidy coupons, if you lose instead of being subtracted from your own money, go to you. Subtracting from that coupon, subtracting commissions will be much higher. Now, how does Camping X operate?
[09:02] We have to generate the asset deposit section, and here we do the usual: select currency, click USDT, select network, put BNB Binance network because it has no commissions. Click, we're going to copy this address and
[09:16] go to Binance. We go to our wallet first, we go to the home screen Now, once we're on Binance Normal, we go to the wallet and to withdraw our money, and we're going to do it very simply.
[09:30] currency, click US because we want to send dollars? We click on withdraw, paste this address here, and thing is, it's March. You put the amount of dollars you want to withdraw, for example, 50, and you
[09:43] withdraw it with a commission of 0. Once we have the dollars, now we go to what would be the section As you can see, we already beginner and want to make quick trades and close them from your phone, for
[09:56] If we go to standard futures, it's very simple and intuitive. First, click the leverage you want to use, for example, 50, 100, 10, 20, or 5x. Then, enter the amount of money you're going to use, the margin. In this
[10:11] case, it would be, for example, using $8 of our own money, but with using 243. That's what I was saying. If we put here that we want to use $50 with 2x leverage, we're trading with $1,000. We click
[10:24] long or short and open it. It's very simple. Then, if you want to add the here. But this is a bit more for beginners or people who are just starting out. I recommend that you directly learn what
[10:36] perpetual futures with dollar margin would be, exactly what they want to learn about standard futures, it's not bad at all. So, we're here with perpetual futures with dollar margin, and in this case, we have the same thing, but here it
[10:50] says notional value. We put the leverage here: can change it, and if we put, for example, a notional value of $1,000, we would be using a margin of $50. That's
[11:04] section for using bonuses where you can use bonuses but also to trade. For example, sometimes they give you a $30 bonus with 5x leverage, which would be $50. If you take, say, 10%, that would be $15, which you
[11:20] problems. It's free money that you're also earning without using any of your own money. As you can see, there's the notional value: $1,000. The margin we're going to use, as I said, is almost $50, and we can open long or short positions. In this case,
[11:32] we don't have any copied orders or positions. But if you've been following the weeks we've had some very good orders and profits: 100, 150, 200. Copy trading isn't going and obviously, if you want to stay informed about other ways to earn money
[11:47] about a lot of them, many of them free, like airdrops where we're reaching 100, 200, 30,000 completely free—the community... But yes, in the group, they're farming you all day long. If you want to learn more about that, obviously subscribe,
[12:00] much more than I do because they're constantly " tiki tiki tiki tiki." So anyway, I subscribe, and see you in the next video. Goodbye.
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