Spot contract refers to the contract signed for future delivery. The seller of the provided goods transfers the ownership of the goods to the buyer who pays the price of the goods, and finally completes the contents of the contract, and the spot contract is completed. The contract signed by the buyer and the seller generally includes the name, quantity, payment method, time and place of performance, etc. However, these transactions are all completed on the electronic trading platform.
The variety, quantity and grade of commodities in futures contracts are standardized, and only the price is variable. After a futures contract is signed, it must be bought and sold on a specific date or within a specific month, but with the change of the market, the price of the commodity may change. Futures contracts allow price changes, and futures contracts can obviously eliminate risks.
The contract for difference is a very common trading tool. The price at which investors buy and sell a commodity, but it does not involve the commodity itself. With the changes of these commodity prices, the difference between the settlement price and the contract price will be the final settlement method, such as stocks, futures and funds that we are familiar with. These are special commodities, and can only be traded after signing a contract for difference.
With the development and rise of blockchain technology, blockchain asset contracts have also appeared in front of investors. How to make good use of these contracts has become a hot topic of discussion.