the definition of contract trading is that the two parties to the transaction conduct transactions on the exchange by signing a sales contract, and this contract stipulates that a specified quantity of goods must be bought and sold at a specific price at a certain time and place in the future. Contract trading is developed on the basis of spot trading. The difference between them is that spot trading is a commodity transaction that people can see and touch. At the time of signing the contract, you can't see the actual things, such as stocks, funds and securities. The types of contract transactions can be divided into spot contracts, futures contracts, contracts for differences and futures leveraged contracts.

a spot contract means a contract signed for goods to be delivered in the future. The seller of the provided goods transfers the ownership of the goods to the buyer who pays the value of the goods, and finally completes the content of the contract performance, and the spot contract is completed. The contract signed by the buyer and the seller generally includes the name, quantity, payment, time and place of performance and so on. However, these transactions are all completed on the electronic trading platform.

The varieties, quantities and grades of commodities in futures contracts are standardized, and only the prices are 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 prices to change, and futures contracts can obviously eliminate risks.

The contract for difference is a very common trading tool. Investors buy and sell the price of a commodity, but it doesn't involve the commodity itself. As the price of these commodities changes, the difference between the settlement price and the contract price will be used as the final settlement method, such as stocks, futures and funds that we are familiar with. These are special commodities that can only be traded after signing the contract for difference.

With the development and rise of blockchain technology, blockchain asset contracts have also appeared in front of investors, and how to make good use of these contracts has become a hot topic for discussion.