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What is Futures ?

Futures is a kind of derivative market in which instead of buying and selling cryptocurrencies on the same day, buyers and sellers enter into a contract to buy and sell assets at a certain time in the future at a certain price.

Let’s understand this with an example. Let’s say, you have bought a futures contract of XRP/C2USD consisting of a lot of 100 XRP at Rs. 50 each expiring at a specific date. So the contract value of 1 lot is Rs. 5000. At the expiry of the contract, the buying price for you for those 1 lot size futures contracts will remain Rs.5000, irrespective of the current prevailing price. This means that even if the price of the contract goes up to Rs. 60/each, you will get a profit of Rs. (100*10)= Rs.1000 at the end of the expiration of the contract. If the price of the contract falls to Rs. 40/each, you will incur a loss of Rs. (100*10)= Rs.1000.

Futures contracts are exchange-traded, standardized contracts. This means that buyers and sellers have no right to create or modify contracts at their convenience. The exchange here plays the role of a third party to eliminate counterparty risks.

Benefits of Trading in PCEX Futures?

Futures trading is basically speculation of the future price movement of the asset and no one can say anything certain in which way the market will move. But, this does not mean that futures trading is not beneficial. Some of the benefits of futures trading include but not limited to just

  • Investors can predict the future price in the direction of the underlying asset price in the market.

  • Traders can book maximum profits by investing a little

  • Investors can save paying upfront by leveraging margin

Always keep in mind that the cryptocurrency futures market is highly volatile. Traders can end up with unlimited profit or loss.

How to Trade Futures on PCEX Member?

Before starting futures on PCEX Member, you need to have a regular account on PCEX Member. If you do not have one, you can visit PCEX Member to buy Bitcoin India at Futures market and click the Join Us button given on the right corner of your screen.

  • When you are ready click on the Next button.

  • You will receive a verification email shortly on your registered email ID. Click the verify your email button to complete your registration.

Next, login to your PCEX Member account using your credentials and you are now ready to trade in the PCEX futures.

Accept the terms and conditions and click on the confirm button to start your trading journey in the PCEX Futures market.

Start exploring the C2USD margined futures products.

If you don’t have C2USD in your PCEX Member wallet, buy C2USD in the INR market.

Once the INR gets deposited, select the contract you would like to buy in the futures market. Let’s take BTC/C2USD as an example.

Select the order type, number of lots you would like to buy, and the disclosed quantity, and click on the buy button.

Place your order by clicking on the confirm button. Once your order gets matched, your order will be successfully placed.


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