The so-called spot warehouse receipt is the certificate that you can buy and sell the standard goods stipulated in the warehouse receipt at the designated warehouse now or in the future. Spot warehouse receipt transaction is to buy and sell spot warehouse receipts in the form of a certain margin. Spot warehouse receipt trading is very similar to futures trading, which is both a means of commodity trading and a means of financial investment.
The difference between its definition and futures trading is that the delivery time of the target goods in the designated warehouse can be a time period from holding the spot warehouse receipt to the last trading day of the spot warehouse receipt. Futures contracts have a clear delivery date for the underlying commodity.
Futures and spot are completely different. Spot is actually a tradable commodity. Futures are mainly not commodities, but standardized tradable contracts with some bulk products such as cotton, soybeans and oil and financial assets such as stocks and bonds as the targets. Therefore, the subject matter can be commodities (such as gold, crude oil and agricultural products) or financial instruments.