For you to start trading Futures on Binance, there’s a requirement where you need to “activate” this option, namely you need to pass a test, devoted to the knowledge of Futures trading.
Following the link you can find a video, which covers all the steps to open a Futures wallet on Binance.
Below we shared the list of the steps in a written form.
Before you can start trading Futures, you need to complete the Binance Futures quiz.
In this guide, we’ll use the desktop version of Binance (binance.com) to access the quiz.
Get started on Binance here: https://accounts.binance.com/vi/register?ref=F0PKVLRP or use “F0PKVLRP” as the referral code.
What is binance futures quiz answers?
Binance futures quiz answers is a platform that allows you to trade futures contracts. Futures contracts are agreements to buy or sell an asset at a specific price on a specific date in the future. They allow investors to bet on the direction of the market without having to actually purchase the asset.
How does binance futures quiz answers work?
Binance futures quiz answers allows you to trade futures contracts by specifying the following:
The type of asset you want to trade
The expiration date of the contractThe amount you want to trade
You can then buy or sell contracts based on whether you think the price of the asset will go up or down. If you’re correct, you’ll earn a profit; if you’re wrong, you’ll lose money.
What are the benefits of binance futures quiz answers?
The main benefits of binance futures quiz answers are that it allows you to:
Trade without having to purchase the asset
Bet on the direction of the market
Earn a profit if you’re correct, or lose money if you’re wrong
See more: How To Close Crypto.com Account – Step by Step Guide
How risky is binance futures quiz answers?
Binance futures quiz answers is riskier than buying and selling assets outright, as there is the potential to lose more money. However, it also offers the potential for greater profits. It’s important to do your own research before investing in any type of financial product.
What are the risks of binance futures quiz answers?
The main risks of binance futures quiz answers are that you can lose money if you’re wrong about the direction of the market and that it’s a more risky investment than buying and selling assets outright. It’s important to do your own research before investing in any type of financial product.
Can I use binance futures quiz answers to hedge my portfolio?
It is possible to use binance futures quiz answers to hedge your portfolio, but it’s important to remember that it is a riskier investment than buying and selling assets outright. It’s important to do your own research before investing in any type of financial product.
What should I consider before using binance futures quiz answers?
Before using binance futures quiz answers, you should consider the following:
The risks involved
Your level of experience with financial products
The amount of money you’re willing to risk
The direction of the market
Whether you think the price of the asset will go up or down
It’s important to do your own research before investing in any type of financial product.
Binance Futures Quiz Answers 2023
1. In the menu choose Derivatives –> USDT-M Futures
2. On the right side of the opened section familiarise with the risks of Futures trading and proceed with an Open now button.
3. After a Futures trading menu is opened, click on either Buy/Long or Sell/Short.
4. In an opened window with the tutorial please click on Start Quiz.
5. To activate access to Futures trading, you need to give a correct answer to all the 12 question.
Below is the list with these questions and correct answers so that you can have a small practice.
Please note! Futures trading is a highly risky endeavor, with the potential for both great profits and significant losses. Please be aware that in the event of extreme price movement, there is a chance that all margin balance in your futures wallet may be liquidated. Futures trading is restricted for users from certain regions.
1. What is the maximum leverage available on Binance Futures？
Correct – 125x (answer #1)
2. Which wallet is not supported for trading on Binance Futures?
Correct – Margin wallet (answer #3)
3. Which of these is not the key difference between USDT-margined futures and coin-margined futures?
Correct – Leverage level (answer #3)
4. What can the maximum loss for trading in a futures contract be?
Correct – 100% of collateral (answer #1)
5. Which of these is not the key difference between perpetual futures and quarterly futures?
Correct – Trading method (answer #2)
6. If a user has open orders or position, which of the following can be done by the user?
Correct – Borrow by using cross collateral function (answer #3)
7. What is the reference price Binance Futures uses to determine if a position should be liquidated?
Correct – Mark price (answer #3)
8. When will a user receive margin calls? When his/her margin balance is lower than:
Correct – Maintenance margin (answer #3)
9. Can BNB in users’ USDT-margined wallets be used as margins to open new positions?
Correct – No, BNB in users’ USDT-margined wallets can only be used to pay commissions. (answer #2)
10. Can unrealized PNL be used as margins to open new positions?
Correct – Yes (answer #1)
11. Which one of the following actions is NOT recommended during drastic price movements?
Correct – Use market order to get in or get out (answer #3)
12. Should you take up a personal loan to trade futures?
Correct – No, I should trade within my financial means. (answer #2)
As soon as you are done answering the questions, click on Trade Futures. Should all the answers be correct, the interface of Futures trading will be activated.
6. To start trading Futures you need to transfer USDT from your spot wallet to Futures. When transferring no fees are charged by Binance. For that please simply click on the Transfer button in the right menu, enter the desired amount and proceed with the Confirm button.
FAQs
What is future contract in simple words?
Imagine you’re about to enter a business transaction with someone who is as serious and professional in their approach. The person on behalf of the firm first states what they would like for sale, then gives precise details around price – even including any possible discounts or incentives offered (easing fears). Next it’s time for me make my offer; I’ll do just that by offering up an amount lower than theirs if we can reach an agreement right away without further negotiations needed!
What is a contract in futures trading?
Imagine you’re about to enter a business transaction with someone who is as serious and professional in their approach. The person on behalf of the firm first states what they would like for sale, then gives precise details around price – even including any possible discounts or incentives offered (easing fears). Next it’s time for me make my offer; I’ll do just that by offering up an amount lower than theirs if we can reach an agreement right away without further negotiations needed!
How do you make money on futures contracts?
A trader who trades on a margin, or with borrowed money and leverage can obtain exponential returns. However, trading carries the special risk that you may lose all your investment if it goes against you when there is no way for them to get back what they lost in time before expiring at maturity date (10 percent minimum).
Are futures contracts binding?
A futures contract is a legally binding agreement to buy or sell an asset on a specific date, during the maturity period of which it can be delivered. This transaction takes place at one of several exchanges and hence through their mediation services in order for buyers and sellers who have not met yet (or need more time) -to complete trade deals with each other without relying solely upon word-of mouth referrals from family members friends coworkers etc…
How do I trade futures on Binance?
First, you need to sign up for a Binance account. Once you have registered and logged in, click on the “Futures” tab at the top of the page. You will then see a list of all the available futures contracts. To trade a futures contract, click on the “Trade” button next to it. This will open up a new window where you can enter your order details.
What are the margin requirements for trading futures on Binance?
The margin requirements vary depending on the contract, but typically range from 2-5%. You can view the exact margin requirements by clicking on the “Details” button next to each contract.
What happens if the margin requirements change while I am trading?
If the margin requirements for a particular contract change while you are trading, your position will be automatically liquidated.
Can I trade futures on Binance without using margin?
No, all futures contracts must be traded on margin.
What is the minimum order size for futures on Binance?
The minimum order size for futures contracts is 1 contract.
What is the maximum position size for futures on Binance?
There is no maximum position size for futures contracts on Binance. However, your margin may be insufficient to open a large position.
What happens if my position goes into negative territory?
If your position goes into negative territory, it will be automatically liquidated.
Can I short sell futures on Binance?
No, you cannot short sell futures contracts on Binance.
What happens if I want to close my position before the expiration date?
You can close your position at any time by clicking on the “Close” button next to it. This will automatically sell your contract and settle the position.
If you have any further questions, please contact us at support@binance.com. We will be happy to help!
What is the Binance Futures platform?
The Binance Futures platform is a blockchain-based derivatives trading platform. It allows users to trade futures contracts on various digital assets.
What assets can be traded on the Binance Futures platform?
The Binance Futures platform allows users to trade futures contracts on various digital assets, including Bitcoin (BTC), Ethereum (ETH), XRP, and Litecoin (LTC).
What are the benefits of using the Binance Futures platform?
Some of the benefits of using the Binance Futures platform include:
– Reduced risk: Trading futures contracts allows users to reduce their risk exposure by hedging against price fluctuations.
– Increased liquidity: The Binance Futures platform offers increased liquidity as it allows users to trade with other users around the world.
– Lower fees: The Binance Futures platform has lower fees than traditional futures exchanges.
– 24/7 trading: The Binance Futures platform offers 24/7 trading so users can trade at their convenience.
– User-friendly interface: The Binance Futures platform has a user-friendly interface that makes it easy for users to trade.
What are the risks of using the Binance Futures platform?
The risks of using the Binance Futures platform include:
– Price volatility: The prices of digital assets can be volatile and may move against the position of traders.
– Margin trading: Margin trading involves borrowing funds to trade, which can result in losses if the trade goes against the trader.
– Liquidity risk: The liquidity of digital assets may not be as high as traditional futures contracts, which could lead to orderBook imbalance and slippage.
– DDoS attacks: Binance Futures is a new platform and may be vulnerable to DDoS attacks.
– System failures: The Binance Futures platform is operated by Binance, which is a new company. As such, there is a risk that the platform may experience system failures.
How do I use the Binance Futures platform?
The Binance Futures platform can be used by downloading the Binance Futures app or through the web interface. To use the app, users need to create a Binance account and complete the verification process. Once verified, users can login and deposit funds into their account. To use the web interface, users need to register for a Binance account and complete the verification process. Once verified, users can login and place orders.
What is the maximum leverage available on Binance futures?
The maximum leverage available on Binance futures is 50x.
Can I short sell on Binance futures?
Yes, you can short sell on Binance futures.
What happens if I have a margin call on Binance futures?
If you experience a margin call on Binance futures, your position will be automatically liquidated.
How do I deposit money into my Binance futures account?
To deposit money into your Binance futures account, you can use either Bitcoin or Ethereum. You can also use Tether (USDT) to deposit money into your account, but note that USDT deposits are not supported for margin trading.
What is the minimum order size for Binance futures?
The minimum order size for Binance futures is 0.1 contracts.
What happens if I exceed my margin limit on Binance futures?
If you exceed your margin limit on Binance futures, your position will be automatically liquidated.
Can I use a stop loss order on Binance futures?
Yes, you can use stop loss orders on Binance futures.
What is the expiration date for Binance futures?
The expiration date for Binance futures is the 28th of the month. For example, if you purchase a contract on January 1st, it will expire on February 28th.
What happens to my position if the market moves in the opposite direction after I’ve sold a contract?
If the market moves in the opposite direction after you’ve sold a contract, your position will be automatically liquidated.
How is margin level calculated Binance quiz
Margin level is calculated by dividing the total value of a position by the maintenance margin. The maintenance margin is the percentage of the position’s value that must be maintained in order to keep the trade open. If the value of a position falls below the maintenance margin, then the trade will be automatically closed. Margin level is also used to calculate how much margin is required to open a new position. The higher the margin level, the less margin is required.
What are the different types of margin account?
There are three types of margin accounts: individual, joint, and corporate. An individual margin account is opened by one person and is only accessible by that person. A joint account is opened by two or more people and each person has access to the funds in the account. A corporate account is opened by a corporation or other legal entity and can have multiple users with different levels of access.
What is a futures contract?
A futures contract is a legally binding agreement to buy or sell a specific quantity of an asset at a predetermined price on a future date.
Why are futures contracts used?
Futures contracts are used as a way to hedge risk by locking in a price for an asset that may be affected by future events. For example, if you are concerned that the price of oil will rise in the future, you could buy a futures contract to protect yourself against that possibility.
How do futures contracts work?
When you buy a futures contract, you are agreeing to purchase the asset at the agreed-upon price on the given date. If you sell a futures contract, you are agreeing to sell the asset at the agreed-upon price on the given date.
What is the difference between a futures contract and a forward contract?
A futures contract is standardized, meaning that the terms of the contract are set by an exchange. A forward contract is not standardized, meaning that the terms of the contract are negotiated between the buyer and seller.
Are there any risks associated with futures contracts?
Yes, there are a few risks associated with futures contracts. One risk is that you may not be able to sell your contract before the expiration date, which could result in a loss. Additionally, if the price of the underlying asset moves dramatically against your position, you could suffer significant losses.
Conclusion
The Binance futures quiz is a great way to test your knowledge of how trading in the crypto world works. If you’re looking for an educational experience that will teach you about all aspects of cryptocurrency, this is it! Whether you want to learn more about what happens when Bitcoin reaches its hard cap or if Ethereum has any competition from other altcoins, our binance futures quiz can help. We have answers and explanations so that no matter where you are on your journey with cryptocurrencies, we can point out some things for you. What do you think? Have these questions been able to answer some of your own queries around digital currencies?