It is not that contracts are not worth playing. It is not necessarily that contracts have high risks. Spot trading is not high.
It’s just that it’s not recommended for novices to play with contracts. Novices are not trained in this market and have no measures to deal with losses, so they will just hold on.
First of all, you have to understand that the way the world works is that there are surprises in the world. This surprise is the uncertainty of the world.
For example, you are on a plane and it falls down, you are struck by lightning when you go out, you are hit by a car while driving, you find a girlfriend and she betrays you and embezzles your assets. The child you raised with so much difficulty may become a scum, a criminal, or a vampire who sucks your blood.
These are relatively bad probabilistic events. As long as a person's life is long enough and they do it often enough, they will encounter such things.
And it's certain that you will encounter it. Of course, many people haven't taken a few flights and may not encounter it in their lifetime. But if you assume your lifespan is infinite, you will encounter it.
I've digressed again. What I really want to express is that contracts have a liquidation mechanism, which is the biggest risk.
And other coins, even air coins, while there is a risk of running away or going to zero, do not have a liquidation mechanism.
The only risk of contracts is the possibility of liquidation.
For example, if you are right about the general direction but get liquidated first before it goes up or down.
Look back at TRB and you'll know. A guy got liquidated for 500,000 U because he wanted to earn funding rates, just to gain a mere 2%.
He never thought about doing contracts; he just wanted to earn the fees, and as a result, he got liquidated. Let alone those who are doing contracts.
If you want to do contracts, you must have the chips in your hands. If you control 90% of the chips, then the market can be played with as you wish. But you don't have that strength.
You are going to do contracts again. Isn't that seeking death?
You might say, I only do Bitcoin and Ethereum. Then the question arises, contracts have funding rates, while spot has no costs.
If you dare to leverage 3 times, then you have a chance of getting liquidated. If you leverage 10%, what is the point of the contract? Still have to pay for the funding rates.
So contracts are not suitable for beginners; contracts are a temporary profit tool for experts, and in the long run, they will all return to zero.
The market will occasionally initiate a silent purge, allowing the profits of these people to return to the market.
Once you come in, no one can escape. It's not that you're making a profit, but rather that you're not playing.
So stop playing, stock up on spot assets properly.
I've finished writing, keep it up! I am Brother Ling, sincerely wishing you to get rich in the crypto world as an old investor.
Still, the same saying: if you don't know how to operate in a bull market, click on my avatar, follow me, for bull market spot planning, contract secrets, and free sharing.
I need fans, and you need references. Guessing randomly is not as good as following.
