Spot refers to physical objects, which can be used for shipment, storage and manufacturing. In spot transactions, the common way is cash on delivery. Futures and spot are completely different. Futures are mainly not commodities, but standardized tradable contracts with certain mass products such as cotton, soybeans and oil and financial assets such as stocks and bonds as the targets. The delivery date of futures can be one week later, one month later, three months later or even one year later.

The difference between the two:

1. The attributes are different, the spot is the actual commodity, and the futures is the non-existent commodity.

2. Different transactions: spot transactions include agricultural products, Chinese herbal medicines, metals and other basic supplies; Futures trading is partial to industrial materials and also has financial assets.

3. The margin ratio is different: the spot market margin is usually around 20%; The margin ratio in the futures market is about 5%- 10%.

4. The trading basis is different: the smallest unit of the spot electronic trading market is the batch, and each batch of contracts represents several kilograms to several hundred kilograms of goods; The smallest unit in the futures market is the hand. Generally speaking, each contract represents 10 tons or more of goods.

5. Different purposes: the purpose of spot trading is the transfer of commodity ownership, but futures are not. Some people want to speculate for profit, while others want to avoid price risk.

By the way, their connectivity. 1: all commodity transactions, currency rotation. 2. Everyone will bear certain trading risks. There are buyers and buyers, both of which can maximize the benefits.