How Crypto Futures Trading Works
Learn how crypto futures trading works: going long or short, leverage, margin, liquidation and fees, explained simply.
What is a crypto futures contract?
A perpetual futures contract follows the price of a coin without you owning the coin. You can profit if the price goes up (long) or down (short). Perpetual contracts have no expiry date.
Leverage and margin
Leverage lets you open a position larger than your deposit, called margin. With 10x leverage, 100 USDT of margin controls a 1,000 USDT position. On UTS Exchange leverage goes up to 75x on all pairs.
Liquidation
Leverage magnifies losses as well as gains. If the price moves against you far enough, the position is closed automatically and your margin is lost. At 75x, a move of less than 1.3% can liquidate a position, so start small and use low leverage while you learn.
Fees
Futures on UTS Exchange have a standard fee of 0.04% of the position value. Moving USDT between your Spot and Futures wallets is free.
How to start
Create an account, transfer USDT to your Futures wallet, pick a pair, choose your leverage and margin, then tap Buy / Long or Sell / Short.