Playing with spot and contract trading are two different trading methods, and their main differences are as follows:

1. Different Objects of Trade: • Spot trading involves the trading of the goods themselves, with samples and physical items. [^0^] • Contract trading involves standardized contracts, which contain agreed trading varieties, trading times, trading prices, quantities, and other standardized information. [^1^]

2. Different Trading Scope: • The scope of spot trading encompasses all tradable goods; while contract trading mainly involves bulk physical goods (such as agricultural products, energy products, metals, etc.) and some financial products (such as stocks, securities, etc.). [^2^]

3. Different Trading Rules: • Spot trading is cash on delivery, and regardless of the time taken, it is settled in one or multiple transactions. In contrast, contract trading involves delivery at a future specified time. [^3^]

4. Different Trading Purposes: • The purpose of spot trading is to transfer ownership of goods; whereas the purpose of contract trading is not only to deliver physical goods at expiration but also to transfer the uncertainty risk brought about by price changes in the spot market or to profit from price fluctuations in the contract market. [^4^]

5. Capital Threshold and Leverage: • The capital threshold for spot trading is relatively high, with no leverage and relatively low risk. • The capital threshold for contract trading is low, typically using a margin system, which allows for increased capital utilization for trading, but with relatively higher risk.

6. Trading Direction: • Spot trading typically allows only one-way operations, meaning you can only buy. [^5^] • Contract trading allows for two-way operations, meaning you can buy or sell, and there are opportunities to profit regardless of market conditions.

7. Level of Risk: • The risk of spot trading is relatively low, but it is also affected by market supply and demand and price fluctuations. • The risk of contract trading is relatively high because price fluctuations can lead to significant profit and loss.

8. Market Characteristics: • The price in the spot market usually directly reflects the market supply and demand for goods, with the trading price being the current market price. [^6^] • The price in the contract market may differ slightly from the spot market due to influences from supply and demand in the contract market, leverage use, and market sentiment. [^7^] In summary, spot trading is suitable for investors with lower risk tolerance who seek stable holdings, while contract trading is suitable for investors with higher risk tolerance who seek high returns and can withstand larger fluctuations.#亚马逊股东提议比特币投资 #APT、ADA、ENA大额解锁 #Cardano基金会推特被盗 #puppies