ZBG crypto futures
What is ZBG?
ZBG is a subsidiary of the digital exchange giant ZB.com, which has been in the market since 2013 and has a reputation for being one of the most reliable trading platforms. After registering on the ZBG website, you can link your account with the ZB.com exchange. That is, to have 1 account on the 2 largest world exchanges at once.
The ZBG exchange provides an opportunity to trade cryptocurrencies (spot market) and derivatives (perpetual futures). ZBG Exchange was founded in 2018 and is registered in Hong Kong. Has an extensive client base of over 1.8 million users in over 100 countries and regions around the world.
ZBG currently offers trading over 100 cryptocurrencies, including Bitcoin, Litecoin and Ethereum (the list is regularly updated) and 130 trading pairs.
ZBG has its own native token, namely ZBG Token (ZT), which was launched in 2018. The maximum ZT supply is fixed and limited.
ZT is built on the Ethereum blockchain and is an ERC20 token. ZT can be used to purchase VIP membership on the exchange with a multi-level discount scheme for trading commissions, to participate in IEO projects on ZBG and trade with other cryptocurrencies on the ZBG platform. The platform regularly buys coins and burns them, thereby ensuring the stability (and growth in the future) of the value.
What are crypto derivatives?
In addition to the usual asset trading, there is an opportunity to use various financial instruments on the crypto market. One of them is crypto derivatives, which are essentially an agreement between a buyer and a seller for the future value of a digital asset. The participants in this transaction do not own the underlying asset for which the contract was drawn up. In this case, the subject of the transaction is the right to perform the contract.
With the help of crypto derivatives, it is possible to invest in cryptocurrency, bypassing its direct purchase.
In other words, the buyer and the platform on which crypto derivatives are traded enter into an agreement to buy or sell an asset under certain conditions. All details of the transaction are recorded in the contract.
A whole group of financial instruments with their own characteristics is hidden under the term crypto derivatives. They are united by a common principle - the formation of agreements on a deal, which, in fact, will take place in the future.
After the expiration of the agreement, the difference between the purchase price and the current value of the cryptocurrency is income.
What is a crypto derivatives exchange?
ZBG derivatives trading is provided by a crypto derivatives exchange.
ZBG is known as an exchange that quickly introduces new products and features.
Like the best crypto exchanges, ZBG focuses on maintaining a high level of security for user accounts with a set of safeguards. ZBG can be used through a web browser. IOS and Android apps are in beta testing since December 2021.
The ZBG exchange provides a multilingual trading service for trading digital assets BTC, ETH, EOS and other major cryptocurrencies, and also supports hundreds of new and innovative tokens, which makes users' investment choices more flexible.
ZBG offers digital asset exchange, OTC service, IEO platform, Rocket program for listing new tokens, perpetual contract trading and other services for users from all over the world.
The ZBG exchange is part of the ZB Group - one of the largest blockchain companies in the world, which includes trading platforms, mining, finance, application development, wallets, venture capital and research institutions.
ZBG cryptocurrency derivatives trading
The derivatives market has grown significantly over the past few years.
Derivatives are a financial derivative whose value is determined by the price of the underlying asset. In the case of cryptocurrencies, the underlying asset is ZBG Token ZT. Derivatives give traders the opportunity to minimize risk while increasing profits.
Initially, derivatives were developed to minimize risk when trading volatile assets, but later became an effective tool for speculating in digital currency as well.
The ZBG derivatives trading process involves placing a trade, which can be long or short, depending on the forecast of the future price. If the forecast turns out to be correct, then the trader makes a profit; otherwise, he suffers losses.
Rates can be increased significantly when traders use leverage on their positions, known as margin trading, which has a multiplier effect. Consequently, traders can place an order for a size several times larger than the amount of funds available in their account. For example, if a trader has $ 1000 in his account, then with leverage he can place an order for $ 100000.
ZBG derivatives in Malaysia have been gaining momentum in recent years and the trading volume is currently 10-20 times that of the spot market. As a result, more and more platforms are emerging, in particular the ZBG derivatives trading platform, to meet this increased demand.
How to Trade ZBG Derivatives in Malaysia?
Having entered the website of the ZBG cryptocurrency derivatives trading platform, you can go through the registration process, which will take a couple of minutes. The main functions of the platform are available through the main menu. There you will find sections such as Exchange, Futures, Fiat (a platform for transactions from fiat to cryptocurrency and vice versa), Savings, Cloud Mining and much more (Discount and other services). On the Exchange tab, you will see a regular candlestick chart, order book, charts, and other elements of a typical crypto exchange interface.
In the Fiat section, you can buy or sell cryptocurrency with a card through the p2p trading platform. You can choose offers from ZBG brokers and make deals with them.
In the Savings section, you have the opportunity to passively earn money from your savings. ZBG Savings was officially launched on the ZBG.com crypto exchange in January 2021, the service is available in the ZBG web version and in the ZBG mobile application. The ZBG Savings feature includes fixed and floating rate crypto deposits. You deposit and subscribe to certain digital assets to generate income consistent with maturity and yield.
Cloud mining is the rent of computing power for mining cryptocurrencies. You pay once to get paid in installments over a long period, a kind of investment. To this day, such platforms exist and continue to attract new investors. ZBG offers rewards in USD.
Trading with ZBG cryptocurrency
The main page "Exchange" is a trading section (selection of a currency pair, information on the rate of a selected pair, a chart of the rate of a selected trading pair, an order book - open sell (red) / buy (green) orders, trading history, a form of sale or purchase, your open orders, your trading history.
To buy cryptocurrency, you need to follow 3 simple steps:
- Select a trading pair. To do this, on the left side of the bidding page, select one of the offered pairs.
- Set a price. There is only one order for a deal on the ZBG exchange - this is the Limit price. You set the price for the coin, that is, the order with the price you set will be in open orders until the market price rises to its level and someone executes the order. You can set a higher price if you are sure that the rate of the sold currency will rise. In this case, it is beneficial, since you can set the price and leave to go about your business and not follow the state of affairs on the market.
- Fill out the "Buy" form.
After creating an order for a deal, it remains to wait for its execution.
To sell cryptocurrency, you need to do the same as when buying coins, that is, fill in the "Sell" table. The only difference will be the price: to buy coins it is more profitable to set a lower price, and to sell a higher one.
After filling in the form column, press “Sell” - simultaneously an order for a deal is created.
The ZBG trading platform is one of hundreds of cryptocurrency exchanges on the market. However, it is also an additional ZBG marketplace for trading new currencies.
If you liked the platform interface, you have an account on ZBG, you want to buy a new coin, which is only here, then register on the ZBG exchange right now.
Popular cryptocurrency derivatives ZBG
There are various types of cryptocurrency derivatives in the digital asset market. Let's take a look at the most popular ones.
Cryptocurrency futures are contracts that contain obligations to sell or buy an asset in a predetermined volume at a specific price. A financial instrument allows you to protect investors from the negative consequences of fluctuations in the exchange rate of the asset of interest. There are many varieties of crypto futures.
Many market participants view cryptocurrency futures as a tool for predicting the future behavior of asset prices.
An option is a contract that gives the buyer the right to purchase (call option) or sell (put option) cryptocurrency in a predetermined time period at a certain price. It is possible to make money on cryptocurrency options if the rate of the asset to which they are tied moves in the direction predicted by the buyer.
Exchange Traded Funds (ETFs) Based on Cryptocurrency
ETF is an exchange traded fund. This is how it works:
- An Exchange Traded Fund purchases a specific cryptocurrency.
- The current price of the assets controlled by the fund will determine its value.
- The fund invites investors to buy their shares. Thus, market participants get the opportunity to indirectly invest in cryptocurrency.
There are other less popular crypto derivatives including swaps, forwards, and CFDs.
ZBG crypto futures trading principle
A new trend breaks into the crypto market every year. Soon, futures contracts are undoubtedly one of the trends.
The complexities of cryptocurrency futures trading require diligent learning of the fundamentals, including the mechanisms of influence on each trade.To become experts in cryptocurrency futures trading, it is imperative for potential traders to become familiar with the basic concepts of the market. Only having received this knowledge, you can approach the status of a professional trader.
Leverage makes the futures market so attractive to traders. Leverage allows you to use capital in the futures market with maximum efficiency. A futures contract will allow you to open a futures position by paying only a fraction of the cost. This is only possible when using leverage. The higher the leverage, the less money you need to invest in a position. Leverage is not available in spot trading.
An initial margin is required to enter a position in the market. This means that opening another position will require an appropriate margin. In turn, the maintenance margin is the minimum amount required by an investor to maintain a trading position open. The maintenance margin is monitored on an ongoing basis, which helps to keep track of the use of collateral. If the trader reaches the maintenance margin limit, his position will be liquidated.
The settlement of cryptocurrency futures is different from traditional futures contracts. Therefore, exchanges need a system that can ensure that index and futures prices converge on a regular basis. This mechanism is called the funding rate. Funding rates are calculated based on the price difference between the spot and futures markets. Investors pay or receive funding for funding based on open market positions.
Funding rates can cause negative consequences for traders. For example, the funding rate may rise in an overheated bull market, making it too expensive for traders to hold long positions.
ZBG crypto futures in Malaysia
Derivatives, including futures, allow traders to speculate on future asset prices. Many exchanges today allow you to trade futures, and knowing the basics of futures exchanges will help you make significant progress in this direction. Futures trading can be profitable if you have the right knowledge and risk management strategies to prevent serious losses. Therefore, before trading futures, you need to develop a detailed strategy, conduct a thorough analysis, and understand the benefits and risks of this instrument.