Futures trading is a dynamic, high-stakes segment of the cryptocurrency market, allowing traders to speculate on the future price of digital assets without ever owning them. SunCrypto, an exchange catering to the Indian market, has established a robust futures trading platform that empowers users to amplify their potential returns and profit from market movements in both directions.
This service is a crucial step up from spot trading, offering sophisticated tools and features tailored for the Indian investor, notably its support for INR-margined contracts.
Power of Futures Trading and 75x Leverage
A crypto futures contract is a legal agreement to buy or sell a specific cryptocurrency at a predetermined price at a specified time. However, the contracts offered on most platforms, including SunCrypto, are typically Perpetual Futures, meaning they have no expiration date, offering greater flexibility.
1. High Leverage for Amplified Returns
The core appeal of futures trading is leverage. SunCrypto provides significant leverage on its futures pairs, reportedly up to 75x.
Leverage Explained: With 75x leverage, a trader can control a position 75 times larger than their initial margin (collateral). For example, with just ₹1,000 in margin, a trader can control a position worth ₹75,000. While this amplifies potential profits, it equally magnifies the risk of loss.
2. Profit in Both Directions
Unlike spot trading, where you only profit when the price rises, futures trading allows for profit in any market condition:
- Going Long: Opening a position when you anticipate the asset’s price (e.g., BTC, ETH) will increase.
- Going Short: Opening a position when you anticipate the asset’s price will decrease. This is a powerful tool for hedging or capitalizing on bear markets.
SunCrypto’s Advantage – INR Margin and Asset Diversity
SunCrypto’s platform has tailored its futures trading experience specifically for the Indian market, overcoming common barriers.
A. INR Margin Trading
Traditionally, futures required stablecoin margin (like USDT). SunCrypto supports INR-margined futures contracts, allowing Indian traders to:
- Simplify Funding: Directly use their Indian Rupee balance as collateral, bypassing the need to first convert INR to stablecoins.
- Reduce Costs: Eliminate the extra conversion fees and potential slippage associated with buying and selling stablecoins for margin.
B. Vast Market Selection
SunCrypto offers a comprehensive selection of contracts, supporting hundreds of trading pairs in both INR and USDT. This ensures traders have ample opportunity to apply strategies across major cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH), as well as a wide variety of altcoins.
Essential Tools for Responsible Futures Trading
Given the heightened risk associated with leverage, SunCrypto’s platform is equipped with crucial risk management features:
- Stop Loss (SL) & Take Profit (TP): These orders are essential. A Stop Loss automatically closes a position when it hits a specified loss level, limiting capital erosion. A Take Profit automatically closes the position when a desired profit target is reached, locking in gains.
- Isolated Margin Mode: This mode ring-fences the risk of a specific position, ensuring that only the capital allocated as margin to that one trade is at risk of liquidation, protecting the rest of the funds in the account.
- Advanced Order Types: Access to Market, Limit, and advanced orders for precise entry and exit points.
- Competitive Fee Structure: SunCrypto highlights its competitive maker/taker fee structure, often providing fee reductions as traders climb VIP tiers, which directly enhances the profitability of high-volume futures trading.
Liquidation Risk in Futures Trading
The amplified profit potential of leverage is directly linked to the risk of liquidation.
Liquidation refers to the situation, If the market moves against a highly leveraged position to the point where the loss equals the initial margin collateral, the exchange will automatically and forcibly close the position. The trader loses their entire margin. The higher the leverage (e.g., 75x), the smaller the adverse price movement required to trigger liquidation.
Best Practice: Beginners should always start with very low leverage (e.g., 2x-5x) and never enter a trade without an immediate and tightly set Stop Loss order.
Disclaimer: Crypto products & NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions.