Bitcoin Forum

Hi everyone,
This should be an easy question for experienced traders, if you would like to help please of course:) Because I spent hours searching for the answer and there is none! And it should be a very basic issue for futures trading.

I am a new crypto investor (so not a trader), and there is one altcoin that I would like to buy but I don't have the cash right now:(
So I want to buy a futures contract, let's say, with a 20x leverage. So I will put 0.1 BTC, long my altcoin and wait for the 25 th of September at 2pm, the time of expiry, hopefully without being liquidated.
At that time, I will have 2 BTC. So on the 25 th of September I get to deposit these 2 BTC to buy my altcoins at the price of the contract? Surprisingly enough I cannot find any document that could explain this.

You can't buy a contract without money, there is no service who provided buying first then payed latte.

The money same as the collateral when you loan a money, if you don't have money then you cant buy the contract. They cannot take the word "You hoping not being liquidated" if some exchange provided this service, then all of them will be bankrupt. Asking some ID to take this service? ID verification was easy to buy on darknet, so if you looking some exchange provided this service will not really find it.

Amen for that.
About your question :
In legit exchange.
1, You need money to buy contract. Then your choice : want to "long" based on your previous plan, or do "short".
2. As retail trader, you can choose to receive profit in BTC or alts. Depends on agreement.
3. When everything works as your previous scenario. Price touched TP without expired. You got profit from your long position, rewards can be paid based on your agreement as mentioned in number 2.

throughout my experience, there are only 2 currencies offered when you make a profit. Both currencies are in BTC and/or Fiat. MAy i know what exchange did you will use?

Hi, thank you both for your posts.
But in fact the futures contract is a contract to buy a certain amount of altcoin (in this case ADA for me) in the future. It's on bitmex (all are settled in BTC)
Of course I need money. The money I put is like a "guarantee" for the exchange to put further money to buy the altcoin at the price predefined for the amount predefined, no? To avoid getting liquidated. Isn't this a futures contract?
If I put 0.1 BTC on a 20x leverage to buy 2 BTC worth of ADA at the time of the contract, then I'm supposed at expiry date to buy 2 BTC of ADA. For me this is what it means, now if things work differently, maybe I didn't understand it.

But if it's like your saying, you pay all at the beginning, then what's the difference with buying the asset in itself from the beginning.

I already did that once with a gold dealer. After we agreed on the price, I put 10% of the price. Then I went to pay the rest within the next 2 months. Once payment was completed he delivered. Now the risk is for me is if I don't complete payment I get liquidated in some sort that I loose the money I already paid. Because you can't do this in a speculative market. I don't see a problem with the principle but maybe this is not what future contracts are.

I found the answer, finally: it's here: https://www.youtube.com/watch?v=xVH8JeAnjbI

So it's not the way I thought it was