Futures trading with bitcoin and cryptocurrencies has become a popular way to trade in the market. Futures contracts give you advantages that you should not ignore, even in the midst of a bear market.
One of the most great features of futures trading is that you don’t have to own the asset, you just predict its price. Due to its attractiveness, platforms like KuCoin have a specific section on futures contracts.
KuCoin Futures is available in a large number of countries around the world, and contains useful tools for both beginners and professionals. If you are just starting out in futures trading, it is important that you do your research and make sure that you choose the platform that is best for you. You need to be aware that this type of trading has a high risk, as it involves leverage, i.e. debt.
So, is it worth trading KuCoin futures? In this review You will discover the pros and cons of this platform, as well as its most unique aspects. This will allow you to make a good decision when choosing an exchange to invest in bitcoin.
What is KuCoin Futures and how does it work?
KuCoin Futures is a trading platform for Financial derivatives. It was developed by KuCoin, a global exchange based in Seychelles that has been in the market since 2017. Currently, the exchange has more than 18 million users and around 700 digital assets for trading.
As for KuCoin Futures, it has a Lite version, which is specially designed for beginners, which is useful if you are taking your first steps. It also has the feature of Futures Brawl, which is a trial version where you can practice your strategies without risking any money.
And there is one important thing to remember: Futures trading is risky. It is true that you can magnify your profits, but also your losses. Before trading, you should do an analysis to understand the market and thus more accurately predict the price movement of Bitcoin or other cryptocurrencies. Until then, there are no guarantees.
At KuCoin Futures, the leverage is up to 100x, which is a fairly high level. If you are a beginner, it is recommended that you start with the lowest leverage levels. Otherwise, you can incur huge debts that are difficult to repay.
KuCoin . Futures get rid of stop loss, a function that you can activate to avoid forced liquidation in case the asset price does not behave as expected. But you are responsible for configuring this functionality, because the platform will not do it automatically for you.
This is Bitcoin futures trading at KuCoin
Like any futures trading platform, at KuCoin Futures you have two options: buy or sell. If you sell, you expect the price to go down, while if you buy, you expect it to go up. The platform contains more than 100 cryptocurrencies For you to trade, including the most popular ones like Bitcoin (BTC), ether (ETH), Tether (USDT) and XRP. KuCoin Futures supports perpetual contracts, USDT-Margin contracts and margin currency contracts.
Regarding the KuCoin registration process, it was smooth and simple, nothing different from the rest of the exchanges. You need an email or phone number, set a password and verify the account. it will be. To fund the account, there are several options, either transfer directly to the KuCoin wallet or purchase.
The exchange has points for all the payment methods it offers To buy bitcoin or altcoins. There are more than 70 methods, including bank transfer, Visa or MasterCard, PayPal and SEPA. But to buy cryptocurrencies with the national currency, you need to verify your identity.
After the general account is funded, it is necessary to transfer funds specifically to the futures account. Now you can start trading.
Place an order on KuCoin Futures
At first, interface KuCoin . Futures It can be a bit overwhelming, because there are a lot of details that you will see on the screen. However, there is no need to worry. KuCoin has several tutorials for you to learn how to use their platform in a matter of minutes.
Placing the order is not complicated, but keep an eye on the advanced settings. KuCoin allows you to place two types of orders: set price and stop. The options compared to other exchanges like Binance Futures are limited, including limit, market, stop limit, market stop, post only, trailing stop and TWAP orders.
The advantage of KuCoin Futures is: When placing an order, you have a profit calculatorThe liquidation price and the closing price. Also, you can set the risk limit to protect yourself. There you can set the maximum leverage, the amount and the current maintenance margin rate.
How is customer service?
KuCoin has a file Help Center For futures trading. There you will find guides for beginners and for advanced users. This center contains many articles that answer the most frequently asked questions, and they are organized in a logical and practical way.
Another alternative is to submit a request detailing your problem. You will receive the answer in your email. When one of these tickets was sent, the requested information was obtained, but it took a little longer than expected. The exchange has other means to help its customers, such as the email [email protected] and its social networks: Telegram, Reddit, Facebook, Instagram and YouTube.
Is the liquidity of KuCoin futures high?
Liquidity is an important factor to consider when it comes to stock exchanges. According to CoinMarketCap, KuCoin liquidity for BTC/USDT is 667/1000 At the time of writing. It’s a good average, so you won’t have a problem buying or selling bitcoin on this exchange.
As usual, the liquidity is lower for less popular cryptocurrencies such as Gary Network (GARI), Earbuds (1EARTH), deesse (LOVE) or everscale (EVER).
KuCoin Futures Trading Commissions
KuCoin has a scheme maker taker For futures trading commissions. The maker He is the one who opens an order, while Taking He is the one who closes it. Commissions vary depending on the type of contract. For permanent contracts, the rate is 0.06% for Taking and 0.02% for maker. The financing rate varies for each contract and there are no settlement fees.
The commission for delivery contracts is 0.06% for Taking and 0.02 for maker. The difference is in the liquidation fee, which is 0.025%, while in this case KuCoin does not charge commissions on the financing fee. To learn more about the exchange’s trading fees, visit their website.
If we compare the fees of KuCoin with other exchanges like Binance, it is slightly higher. In the case of Binance, the commission for trading USD-M futures is 0.02% for maker and 0.04% for Taking.
Is it safe to trade futures contracts on KuCoin?
KuCoin has several mechanisms in place to ensure that its users can trade cryptocurrencies without worry. One of the most notable among these is its reward system for detecting and reporting bugs. Anyone who contacts the exchange team and reports a vulnerability in the platform can receive KCS, the original token.
Other measures are Google’s two-factor authentication, which links the account to your mobile phone and the trading password, a digital key that is used specifically for making withdrawals, deposits and withdrawals.. The reputation of the exchange among the community is positive. In fact, CoinMarketCap places it at number 5 in its ranking of the best exchanges in the world.
KuCoin Futures is a futures trading platform perfectly suited to the needs of both novice and expert users. The platform has a simpler version called Lite, which is designed for beginners. And with Futures Brawl, you can practice your strategies without risk.
The exchange has leverages of up to 100x, but remember that it is not a good idea to trade that high if you are just starting out. Any investment, especially with cryptocurrencies, has risks. You should make sure that you know and understand the risks before anything else.
The interface design of KuCoin Futures is practical, and the liquidity is high. Of course, the trading commissions are higher than those of other platforms and there is not much variety in orders. However, This is a good exchange for trading bitcoin futures and cryptocurrencies.
- with advanced tools.
- Exchange with high liquidity.
- It has a lite version for beginners.
- Good reputation in the community.
- It includes a system to avoid forced liquidation.
- Commissions are slightly above average.
- Few types of requests.
Amount of cryptocurrency
easy to use