Crypto Futures Test Crypto Futures Trading Knowledge Test Instructions: Answer all 25 questions. Each question is worth 4 points. Total score: 100 points. Attempt Limit: You may take this test up to 3 times using the same email address. Student Name Student Email 1. What is reduce-only order? A wallet security tool An order that only reduces or closes an existing position An order that opens a new position only An order that increases leverage 2. Why should traders monitor both volume and open interest? They help show participation, liquidity, and market activity They prevent liquidation They remove leverage risk They guarantee profits 3. What is a stop-loss order? A staking deposit A wallet backup A guaranteed profit order An order designed to limit losses if price moves against the trade 4. What is risk-to-reward ratio? A wallet recovery phrase The price of Bitcoin only A funding rate schedule A comparison of potential loss to potential gain 5. Which margin mode can risk more of the account balance? No margin Cold wallet margin Cross margin Isolated margin 6. Why is emotional discipline important in crypto futures? It removes funding fees It prevents price movement Fast price movement and leverage can cause emotional mistakes It guarantees every trade wins 7. Why should traders pay attention to funding rates? Funding can affect the cost of holding a position Funding replaces stop losses Funding removes liquidation risk Funding guarantees profit 8. What is realized P&L? A wallet balance before trading Profit on an open position only Profit or loss after a position is closed A staking reward 9. What is trading volume? The number of wallets created The exchange’s profit only The number of contracts traded during a period A funding payment 10. What is a market order in crypto futures? A wallet recovery tool An order to buy or sell immediately at the best available price A staking reward An order that only fills at one exact price 11. If a trader uses 10x leverage, what does that mean? The exchange pays the trader 10% daily $1,000 becomes guaranteed profit $1,000 can control about $10,000 of exposure Risk disappears 12. What is the best description of crypto futures trading? A guaranteed way to double money A risk-free income method A high-risk leveraged market requiring education, risk control, and discipline The same as holding spot crypto 13. What happens if the market moves against a highly leveraged position? The position can be liquidated quickly The position cannot lose money The trade becomes risk-free The exchange refunds losses 14. What is a take-profit order? A blockchain confirmation An order designed to close a position at a target profit A tax payment A liquidation warning 15. What is a funding rate? A staking reward always paid by the exchange A bank loan rate only A fixed tax rate A periodic payment between long and short traders in perpetual futures 16. What is isolated margin? A staking method A wallet stored offline Margin limited to one specific position Margin shared across all positions 17. Why is leverage risky? It makes trades risk-free It amplifies both gains and losses It guarantees income It removes liquidation risk 18. What are crypto futures? Contracts that allow traders to speculate on crypto prices without owning the actual crypto Stock dividends Physical Bitcoin coins Bank savings accounts 19. What is the last price? A funding fee A wallet password A guaranteed settlement price The most recent traded price 20. Which is generally riskier? High leverage Low leverage No position Using a demo account 21. What is contract size in crypto futures? A tax bracket The size of a wallet seed phrase The amount of crypto exposure represented by a contract A mining difficulty level 22. What is liquidation in crypto futures? When Bitcoin is mined When a trader receives a dividend When spot crypto is transferred When the exchange automatically closes a position because losses are too high 23. What is revenge trading? Using a trading journal Taking profit at a planned target Trading emotionally after a loss to try to win money back quickly Reducing risk 24. What is liquidity in crypto futures? How many passwords are used How easily a contract can be bought or sold without major price impact How cold a wallet is How many social media followers a coin has 25. What is the main difference between spot crypto and crypto futures? Spot means owning crypto; futures means trading a contract Futures means owning physical Bitcoin Spot uses leverage only There is no difference Submit Test