Tortola, British Virgin Islands, March 12, 2021 (GLOBE NEWSWIRE) — A state-of-the-art crypto futures investment fund with a unique AI-based technology helping investors gain steady income on a daily basis. (AMLP)
Since crypto futures have been around for a while already, there are many traders that have tested their skills in this risky business, mostly with disappointing results. Indeed, this highly manipulative and volatile market leaves small chances for a fair game and makes even the most stubborn players eventually give up. If this is your case, Fiibot may change your attitude by offering an innovative solution to avoid all these pitfalls.
What are crypto futures?
Just like the futures in the traditional stock markets, crypto futures are derivative products. They represent a contract between two parties obliging them to buy or sell a given cryptocurrency on a predefined date at a predefined price, regardless of what the market state will be that day.
In their essence, crypto futures are a bet, as one may never be 100% sure about what the price of an asset will be, especially on such a volatile market. Also, some platforms offer crypto futures with leverage. In this case, instead of funding a trade upfront, investors borrow funds that make up just a small portion of the whole sum. If their bet wins, they get the full sum. Otherwise, they lose only the small part that they have funded.
Apart from potentially high profits, crypto futures bear another advantage as they may be a good solution for those who want to diversify their investment portfolio. However, there’s another side of the coin as well.
Top 5 problems in crypto futures trading
There are a number of typical problems that traders and investors regularly come across when trading crypto futures. Among them are the following:
With the current level of volatility and unpredictability of the crypto market, crypto futures represent one of the riskiest tools that traders get exposure to. The dramatic statistics show that more than 90% of all traders lose the lion’s share of their deposits in the first year.
The opacity of centralized trading platforms
Although centralized cryptocurrency exchanges offering futures among other products operate with blockchain-based assets, they lack the transparency offered by this exquisite technology. Traders have no means to verify the asset prices which leaves a lot of room for dark manipulations.
High diversity of the market.
CoinMarketCap lists more than 8k of different cryptocurrencies already, and their number constantly keeps growing. Spotting an opportunity in the conditions of such high diversity is a really difficult task.
No convenient way to track historical data
Since the number of platforms is also huge, investors simply don’t have the technical capabilities to track the historical prices of all assets and see the whole picture. This prevents them from making weighted decisions and makes them fall short…