"Bian" (变) is a character that frequently appears as a candidate in Chinese input methods when typing "bian." What people are actually searching for is Binance's futures trading. Futures are an advanced feature, so before diving in, please register on Binance to open an account and download the Binance APP to familiarize yourself with the basic interface before deciding whether to participate.
What Is Futures Trading
In simple terms, futures trading is betting on whether the price of a cryptocurrency will go up or down. You do not need to actually own a particular coin—you only need to predict whether its price will rise or fall:
- If you think it will rise, "go long"—you profit when it goes up
- If you think it will fall, "go short"—you profit when it goes down
- If your prediction is wrong, you lose money
The biggest difference from spot trading is that futures allow short selling and leverage.
Types of Futures on Binance
USDT-Margined Perpetual Futures
Uses USDT as margin, with profits and losses also settled in USDT. This is the most mainstream type of futures. Most users trade this type.
Coin-Margined Perpetual Futures
Uses the corresponding cryptocurrency as margin. For example, BTC futures use BTC as margin. This is suitable for those who already hold large amounts of a particular coin.
Delivery Futures
Futures with an expiration date that are automatically settled upon maturity. More suitable for traders with specific time-based expectations.
How to Activate Futures Trading
- Open the Binance APP and go to the "Futures" page
- The system prompts you to activate futures trading
- Read the risk disclosure and confirm
- Complete a simple knowledge quiz
- Activation successful
After activation, you need to transfer funds from your spot account to your futures account to start trading.
How to Place Your First Futures Trade
Select a Trading Pair
For example, select the BTCUSDT perpetual futures—this is the most liquid instrument.
Set Leverage
Beginners should absolutely start with low leverage—2x to 5x is recommended. The higher the leverage, the greater the amplification of both profits and losses, and the higher the liquidation risk.
Place an Order
- Choose the direction: long or short
- Choose market order or limit order
- Enter the position size
- Confirm the order
Set Take-Profit and Stop-Loss
Immediately after opening a position, set take-profit and stop-loss prices. Take-profit locks in gains, stop-loss controls losses. Never skip this step.
What Is Leverage Exactly
Suppose you have 100 USDT and use 10x leverage—you can control a position worth 1,000 USDT. If the price moves 1% in your predicted direction, you earn 10%. But if it moves 1% against you, you also lose 10%. A 10% adverse move results in liquidation, and your margin goes to zero.
Important Advice for Beginners
- Do not use real money at first—Binance offers a demo trading feature for practice
- When trading with real money, use small positions and low leverage
- Always set a stop-loss for every trade—never gamble on hope
- Do not put all your funds into futures—only use money you can afford to lose
- When experiencing consecutive losses, stop and reflect rather than chasing recovery
- Futures trading can result in the total loss of your principal—approach with caution
Futures Trading Fees
Futures trading has two fee rates: Maker (limit orders) and Taker (market orders). There is also a funding rate settled every 8 hours—the longer you hold a position, the more you pay. Specific rates can be found on the fee schedule page in the APP.