A
crypto derivatives exchange allows traders to speculate on the future price movements of cryptocurrencies through contracts like futures and options. These platforms offer leveraged trading, enabling users to control larger positions with smaller capital outlays. By trading derivatives, investors can hedge against market volatility or amplify potential returns. However, these products come with higher risks, necessitating a solid understanding of the market and trading strategies. Popular derivatives exchanges include Binance Futures and BitMEX, catering to a diverse range of trading preferences.