Futures generally refers to futures contracts, which are standardized contracts formulated by futures exchanges and agreed to deliver a certain number of targets at a specific time and place in the future.

This topic can be commodities, financial instruments or financial indicators. The buyer of a futures contract is obliged to purchase the subject matter corresponding to the futures contract, if the contract is held until the expiration date; However, if the seller of a futures contract holds the contract until it expires, then the seller is obliged to sell the subject matter corresponding to the futures contract, and the trader of the futures contract can also choose to reverse the transaction before the contract expires to offset this obligation.

Usually what we call futures is actually a futures contract. According to this contract, the counterparty can buy or sell a certain number of commodities or gold financing rights at a specified price at a certain time in the future. Its main function is to guard against the risk of price changes, and it can also be used for speculative activities.