Crypto Futures Test

1. What is a funding rate?

A periodic payment between long and short traders in perpetual futures A staking reward always paid by the exchange A fixed tax rate A bank loan rate only

2. What is trading volume?

A funding payment The number of contracts traded during a period The exchange’s profit only The number of wallets created

3. What does going short mean in crypto futures?

Mining Bitcoin Holding only stablecoins Buying a contract expecting price to rise Selling a contract expecting the crypto price to fall

4. Who pays funding when the funding rate is positive?

Shorts always pay longs No one pays Longs usually pay shorts The government pays traders

5. What is initial margin?

A trading fee only The amount needed to open a futures position A wallet recovery phrase The final profit

6. What can rising open interest suggest?

Guaranteed price increase Guaranteed price decrease More money or participation entering the futures market No market activity

7. What is overleveraging?

Using too much leverage for account size or risk level Using no leverage Using a cold wallet Buying spot crypto only

8. What is the last price?

A guaranteed settlement price A funding fee A wallet password The most recent traded price

9. What is maintenance margin?

A guaranteed profit level The minimum margin required to keep a position open A crypto mining fee A tax document

10. What is the best description of crypto futures trading?

A risk-free income method A guaranteed way to double money The same as holding spot crypto A high-risk leveraged market requiring education, risk control, and discipline

11. Why should traders pay attention to funding rates?

Funding guarantees profit Funding can affect the cost of holding a position Funding removes liquidation risk Funding replaces stop losses

12. Why is liquidation dangerous?

It removes risk It guarantees a better entry It creates free profit A trader can lose most or all margin in the position

13. What is slippage?

When the execution price differs from the expected price A tax refund A guaranteed profit A blockchain wallet

14. Which is generally riskier?

No position Low leverage High leverage Using a demo account

15. What is liquidation in crypto futures?

When a trader receives a dividend When Bitcoin is mined When spot crypto is transferred When the exchange automatically closes a position because losses are too high

16. 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

17. What are crypto futures?

Physical Bitcoin coins Bank savings accounts Stock dividends Contracts that allow traders to speculate on crypto prices without owning the actual crypto

18. Why should traders monitor both volume and open interest?

They prevent liquidation They guarantee profits They remove leverage risk They help show participation, liquidity, and market activity

19. What is a limit order in crypto futures?

An order to buy or sell at a specific price or better A blockchain transfer An order that guarantees a winning trade A liquidation notice

20. Can crypto futures traders profit when prices fall?

Yes, by shorting Only miners can profit Only spot traders can profit No, crypto only goes up

21. Why is position sizing important in crypto futures?

It guarantees profits It makes funding free It controls risk and helps avoid large losses It removes liquidation risk completely

22. Why is emotional discipline important in crypto futures?

It prevents price movement It guarantees every trade wins Fast price movement and leverage can cause emotional mistakes It removes funding fees

23. What is reduce-only order?

An order that opens a new position only A wallet security tool An order that only reduces or closes an existing position An order that increases leverage

24. What is position size?

The number of exchanges used A blockchain fee A seed phrase length The total size of the trade exposure

25. What is risk-to-reward ratio?

A wallet recovery phrase A comparison of potential loss to potential gain The price of Bitcoin only A funding rate schedule