Futures

Futures contracts are derived from securities or commodities and establish an arrangement for the purchase or sale of the underlying asset at a predetermined price on a specified future date. Upon the expiration of the futures contract, the buyer is bound to acquire the asset, while the seller is obligated to deliver it. These contracts derive their value from a range of assets, including commodities, currencies, indexes, or stocks. Traded on exchanges, futures contracts serve various purposes such as income generation, hedging, speculation, and more. Their applications extend to the cryptocurrency market as well, with examples like bitcoin (BTC) futures representing agreements for future trades involving BTC.