Contract trading, in simple terms, is a betting game about the rise and fall of prices. If you're optimistic, open a long position; if you're bearish, open a short position—you don't even need to actually buy coins, just rely on your judgment of market fluctuations to profit from the price difference.

Contracts are mainly divided into two categories. One is called perpetual contracts, which, as the name suggests, have no expiration date. Exchanges use funding rates to ensure that the price doesn't deviate too far from the spot price; the other is delivery contracts, which have specific settlement dates, and are settled at an agreed-upon price. Most beginners trade perpetual contracts.

But what can be truly deadly isn't these concepts, but whether you have a clear understanding of the following points—

Leverage is not an amplifier of ability; it's an amplifier of risk. 10x leverage sounds tempting, but in reality, a 10% move against your position will wipe out your margin. Profits and losses are magnified simultaneously—profits excite you, but losses can break your mindset.

Position management and stop-loss are your bottom line for survival. Before opening a position, you should ask yourself: What's the maximum loss I can accept? Then stick to it strictly—don't let luck or greed ruin everything.

Beginners should start practicing on mainstream coins. Major coins like BTC and ETH may also fluctuate, but compared to smaller or concept coins, their volatility is more predictable, liquidity is sufficient, and it's easier to understand the true temperament of the market.

Don't hold on stubbornly at night. During periods of low trading volume, price swings tend to become extreme, and beginners are very likely to get caught in traps in such environments.

Here's a heartfelt truth: Those who survive until the end in the contract market never rely on courage alone, but on stronger execution, stricter risk control, and a genuine respect for the market. To go further, remember this order—first learn not to lose money, then think about how to make money; first use small amounts to feel the market rhythm, then consider increasing positions. Treat contracts as a tool that demands respect, not as chips in a casino, and you'll be able to last longer in the crypto world.