Virtual trading: 
It is the practice of trading using funds borrowed from a third party, usually the platform itself. This allows traders to open positions larger than their actual capital. The goal of borrowing trading is to increase purchasing power and achieve greater profits through the use of leverage. Traders can borrow money in order to purchase digital assets, and they must return the borrowed money plus interest. Leverage trading allows the use of different ratios of leverage, which means that large profits (or losses) can be made based on price movements, but liquidation risk is the greatest risk while if the market moves against the trader's position, the position may be automatically liquidated if the trader cannot In addition, the trader must pay interest on the borrowed money, which increases trading costs.
: Futures trading
It involves buying and selling contracts that represent a commitment to buy or sell an asset at a future date at a predetermined price. The goal of trading futures is to profit from future price movements of the asset. Traders can profit from rising or falling prices, depending on the direction they take. Traders trade contracts that represent... assets rather than actual assets, and futures trading does not require owning physical assets. Futures trading is similar to leverage trading in that leverage is used, but leverage ratios in futures are usually higher. Using leverage can result in very large losses if the market moves against the trader's position, and futures trading certainly requires a deep understanding of the markets and advanced trading strategies.
What are the differences between leverage trading and futures trading?
1. Trading market
Put trading: Buying or selling digital assets in the spot trading market. Here, put orders are matched with spot orders.
Futures trading: Buying or selling contracts in the derivatives market.
2. Financial leverage
Leverage Trading: Typically offers 3x to 10x leverage.
Futures Trading: Can offer much higher leverage, up to 125x. Choosing a higher leverage increases the risk of the trade being liquidated. Please trade responsibly based on your risk tolerance and trading strategy.
3. Warranty
On Binance, leveraged trading and futures trading allow traders to switch between isolated leveraged trading mode and mutual leveraged trading mode.
Borrowing Trading: You can borrow money while opening a trade. Please ensure that there is sufficient balance in your loan trading portfolio to repay the loan.
Futures Trading: Futures use leveraged trading as collateral, which means there is no repayment. Please ensure that there is a sufficient balance of collateral assets in your futures portfolio.
4. Trading fees
Binance charges trading fees for both borrowing and futures trading. Traders can get a 25% discount on borrowing trading fees or a 10% discount on futures trading fees when using BNB to pay trading fees.
Borrowing Trading: Trading fees are similar to spot trading fees.
Futures trading:
Specific trading fees for COIN-M and USDâ-M futures
Perpetual futures contracts involve financing fees that are paid between buying and selling traders
