Some spot service providers or futures companies with spot business combine futures with spot. For some traders with particularly large inventory, the financial pressure of hedging is very great. Once the market develops in an unfavorable direction, they will face the risk of additional margin. Stimulated by such demand, pallet service came into being.
Traders use their own spot inventory as collateral, and the pallet party hedges the traders' funds and charges a certain percentage of service fees, and the profits and losses are borne by the traders.