Binance/Crypto Futures allow you to predict the future value of a cryptocurrency (e.g. Bitcoin).
By going long or short on a futures contract, you may participate in market moves and make a profit in futures trading.
For example, a trader who goes long buys a futures contract with the idea that its value will climb in the future.
On the other hand, a trader sells a futures contract to go short—betting that prices will fall in the future.
On Binance Futures, you can go long or short (with leverage) to decrease your risk and increase your profits in a volatile market.
Before you can start trading Futures, you need to complete the Binance Futures quiz.
In this guide, we’ll use the desktop version of Binance (binance.com) to access the quiz.
Get started on Binance here: https://www.binance.com/en/register?ref=73583477 or use “73583477” as the referral code.
Note: Please use the desktop version of Binance (binance.com) to access this quiz (not the Binance mobile app).
Below are the Binance Futures quiz answers.
1. What is the maximum loss that may occur when engaging in futures trading?
Choices:
- All futures wallet balance
- Half of my futures wallet balance
- I will not lose money
Answer: All futures wallet balance
2. When futures balance is liquidated, what price is it based on?
Choices:
- Latest Price
- Last Hour Price
- Mark Price
Answer: Mark Price
3. Are you aware that after the future is forcedly liquidated, in addition to the loss of the position, Insurance Clear Fee (= Position nominal value * Liquidation fee rate) will occur, which may decrease your futures wallet balance to zero?
Choices:
- No, I don’t know the calculation of the Insurance Clear Fee.
- Yes, I am aware of the existence and calculation of the Insurance Clear Fee and the risks that may cause the balance to return to zero.
- No, I don’t know the liquidation can cause the futures wallet balance to return to zero.
Answer: Yes, I am aware of the existence and calculation of the Insurance Clear Fee and the risks that may cause the balance to return to zero.
4. There is a maximum number of orders for each future. Which action should I take?
Choices:
- Once the maximum quantity limit is reached, the order will fail. An error will be reported. At this time, I should continue trying to place the order with the same quantity and blame the Binance platform if the system continues reporting errors.
- Once the maximum quantity limit is reached, the order will fail, and an error will be reported, but I believe the order will be placed successfully if I try as many times as I can.
- Once the maximum quantity limit is reached, the order will fail, and an error will be reported. At this time, I should divide the order into several smaller quantities.
Answer: Once the maximum quantity limit is reached, the order will fail, and an error will be reported. At this time, I should divide the order into several smaller quantities.
5. Which of the following apply when using a stop-market order?
Choices:
- The transaction price must be similar to the trigger price.
- After the stop-profit and stop-loss price is triggered, the transaction will be executed immediately at the market price, and the transaction price may not be equal to the trigger price.
- The transaction price must be greater than the trigger price.
Answer: After the stop-profit and stop-loss price is triggered, the transaction will be executed immediately at the market price, and the transaction price may not be equal to the trigger price.
6. Which of the following is correct to use Stop-Limit Order?
Choices:
- After the stop-profit and stop-loss price is triggered, the order will be placed at the limit price immediately, but the limit order may not necessarily be filled because the price has moved away.
- The limit order will be executed after it is listed.
- The limit order will not be executed after it is listed.
Answer: After the stop-profit and stop-loss price is triggered, the order will be placed at the limit price immediately, but the limit order may not necessarily be filled because the price has moved away.
7. What kind of behavior should I avoid when engaging in futures transactions?
Choices:
- Strict discipline, good stop loss, reasonable profit and loss, including winning or losing at my own risk.
- Learn the basics of futures trading and read related articles on the Binance website.
- Strong gambling, trading addictions, continuous losses, and blaming others.
Answer: Strong gambling, trading addictions, continuous losses, and blaming others.
8. To continue trading on the futures, I have:
Choices:
- not yet understood the rules and risks of engaging in futures trading. I am not suitable for trading futures. I should learn more basic knowledge of futures trading.
- understood the rules and risks of engaging in futures transactions, and I agree that any loss incurred in the transaction is my responsibility regardless of the platform.
- not yet understood the rules and risks of engaging in futures trading. I am not suitable for trading futures. But I am convinced that as long as I follow the investment advice on the Internet, I can make a profit.
Answer: understood the rules and risks of engaging in futures transactions, and I agree that any loss incurred in the transaction is my responsibility regardless of the platform.
9. Due to network delays, system failures and other possible factors which may lead to suspension or deviation of Binance Futures service execution, Binance will use commercially reasonable efforts to ensure but not promise that Binance Futures service system runs effectively. Binance shall not be liable for the final execution results due to the above factors.
Choices:
- Agree
- Disagree
Answer: Agree
10. Profit and loss (PnL) in futures are calculated by:
Choices:
- Trading in futures will only make a profit, no losses incur.
- Unrealized gains and losses, gains and losses of my orders.
- After closing a position, according to the opening price and closing price to calculate actual profit and loss.
Answer: After closing a position, according to the opening price and closing price to calculate actual profit and loss.
11. When you encounter a failure to trade constantly, you must:
Choices:
- Repeat attempts of the original operation.
- Check the network and retain information for customer service.
- Follow the suggestions made by netizens on the Internet or in the group.
Answer: Check the network and retain information for customer service.
12. Futures fees include:
Choices:
- The same as spot, only transaction fees are required.
- In addition to the order commission, positions also produce capital expenses and liquidation expenses.
- The same as P2P, only transaction fees are required.
Answer: In addition to the order commission, positions also produce capital expenses and liquidation expenses.
13. In Coin-margined futures trading, what kind of currency can be used as margin:
Choices:
- The currency of the USDT-margined wallet.
- The currency of this future.
- The currency of the Coin-margined wallet.
Answer: The currency of this future.
14. In the event of a service disruption on Binance Futures, you may use the “close all positions” function to cancel all orders and close all open positions. However, due to unpredictable factors, the final execution result of this function might deviate from your expectations, and Binance shall not be liable for the final results.
Choices:
- Agree
- Disagree
Answer: Agree
Conclusion
The questions and answers above are from the desktop version of Binance (binance.com).
If you’re using the Binance mobile app, the questions will be different.
Hence, you need to use the desktop version of Binance instead of the Binance mobile app.
Keep in mind that the crypto market is highly volatile.
In addition, trading Futures are very risky due to high leverage.
If you’re a novice trader, you need to have a risk management strategy before you start trading.
