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However, WhiteBIT has recently launched trading perpetual futures contracts to enable its users to make predictions about the assets’ future price and make a profit from it. In this article, we will determine futures trading, discuss its advantages, particularly on the WhiteBIT exchange, and provide step-by-step instructions on how to start trading futures on WhiteBIT.
What is futures trading on WhiteBIT?
If you’re involved in futures trading, you don’t trade the asset itself (like dollars, Bitcoin, gold, or any other commodity). You trade a contract. Let’s clarify what classical futures contact is. A classical futures contract is an agreement between the parties to buy or sell a commodity at a predetermined price at an exact moment in the future. It is a popular way to make a guess on the future price movement and make a deal based on your prediction. The same mechanism works for cryptocurrencies too.
If you think you can predict the price of BTC USDT or other cryptos, you can make a deal with the conditions that suit you.
For example, if you believe BTC’s price will increase by the end of the month, you will open a long position, and if the price decreases, you will go short. At the end of the contract period, both parties will settle on the conditions of the agreement.
 
 
WhiteBIT offers trading perpetual futures contacts. Those are the contracts with no expiry date. The tool is suitable for all investors that want to stay flexible and have no limits as to the end date of the contract. The most important part of perpetual contracts is the mechanism of funding, which makes it possible for the contracts to stay as close as possible to the spot prices. Traders pay one another based on their positions. The positive funding rate makes the traders in long positions pay those with the short position and vice versa.
Advantages of the Futures trading on WhiteBIT
WhiteBIT currently offers trading USDT(S) Bitcoin futures. USDT(S)-M perpetual futures contract means that USDT is the currency for settlement, and there is a possibility to use leverage. There is several advantages that attract traders to narrow their options on futures to perpetual futures on WhiteBIT.
- Low fees. The fees on futures trading are significantly lower than those for the spot market.
- Risk management. Trading futures is a perfect way to secure your portfolio in volatile times on the market.
- Profit potential. Trading perpetual futures enables you to increase your capital by using 20x leverage.
- Earning under any market circumstances. Futures trading is a perfect tool for earning on the rise and well on asset prices fall.
A step-by-step guide to futures trading
To purchase a perpetual futures contract on WhiteBIT, do the following:
- choose the Futures section in the upper right corner of the exchange menu;
- open the Buy BTC tab;
- choose the type of order, the amount of BTC you want to buy, and the leverage;
- press “Buy”.
Do the same to sell a futures contract, but in the Sell BTC tab. The funding rate and the countdown to its accrual can be found in the upper right corner.
Wrapping up
Futures trading is a great tool to earn on price movements under any market condition, hedge risks, and increase a profit by trading with leverage. WhiteBIT allows trading perpetual futures contracts, a distinct feature of which is the absence of an end date.
Source: https://zycrypto.com/futures-trading-on-whitebit-complete-guide/