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tommek4077yesterday at 11:24 AM1 replyview on HN

Future markets give traders leverage of 100x sometimes or more. Margin requirements are much lower than trading spot.


Replies

johnnienakedyesterday at 7:30 PM

Margin requirements for trading spot are zero, though initial capital requirements are obviously, well, whatever spot is.

Futures contracts aren't just pieces of paper traded between people, they are actual promises to pay for physical delivery of the underlying.

It's not surprising to me that crypto people consider them nothing more than leveraged gambling slips but that's really not how one should think about them. Personally I think crypto needs far heavier regulation than it gets.