Binance Academy

As digital assets become a standard part of global finance, tax authorities are increasing their focus on crypto transactions. Whether you are an investor or a trader, understanding your tax obligations is essential to avoid penalties and manage your portfolio effectively.
Here are the key points from the latest Binance Academy report on how crypto is taxed:
🔸 When is a transaction taxable?
Tax is typically triggered by a "taxable event." It isn't just about cashing out to a bank account; it often includes:
Selling crypto for fiat currency.Exchanging one cryptocurrency for another (e.g., swapping BTC for ETH).Spending crypto on goods or services.Earning assets through staking, mining, or airdrops (often treated as income).
🔸 The Importance of Accurate Reporting
In many regions, tax forms now include a mandatory "Digital Asset Question." Answering this accurately is a legal requirement. Because tax authorities now use advanced blockchain analytics and receive direct reports from brokers, maintaining clear records of your cost basis and transaction dates is no longer optional.
🔸 Managing Your Liability
Understanding the rules can actually work in your favor. For example:
Capital Losses: In many countries, you can use losses to offset your gains, potentially lowering your total tax bill.Holding Periods: Some jurisdictions offer lower tax rates for assets held for more than a year.
🔸 Why you should read the full guide
Tax laws vary significantly by country, and the consequences of "tax evasion"—even if accidental—can be severe, ranging from heavy fines to legal action.
The full article covers the specific formulas used to calculate gains (like FIFO vs. Specific Identification) and explains how to prepare for future reporting requirements.
🔗 Explore the complete guide on Binance Academy

Disclaimer: This content is for educational purposes only. Products and services referred to here may not be available in your region.

Key Takeaways

Collect on Fanable is a platform that connects real-world collectibles (like Pokémon cards and comic books) with blockchain technology.

You can send your physical items to a secure vault, and the app gives you a digital version to trade instantly.

The COLLECT Token is the project's native cryptocurrency used for buying, selling, and governance.

What Is Fanable?

Collect on Fanable (often just called Fanable) is a marketplace that mixes the fun of collecting physical items with the speed of modern technology. It falls under the category of Real-World Assets (RWA), which refers to using the blockchain to track ownership of real, tangible things. Fanable was funded and supported by multiple companies, including Ripple, Polygon, Borderless Capital, and Morningstar Ventures.

How Does It Work?

The main idea behind Fanable is to make trading collectibles as fast as sending a text message, without the risk of mailing expensive items. Here is the step-by-step process:

1. Vaulting (Safe Storage)

Instead of keeping a rare card in your drawer, you ship it to Fanable. They use professional, insured vaults (managed by security firms like Brink’s) to store the item. They check the item to make sure it is authentic and grade it.

2. The Digital Twin

Once your item is safe in the vault, Fanable creates a "Digital Ownership Certificate" (DOC) on the blockchain. You can think of this like a digital deed or title. If you hold this digital certificate in your wallet, you legally own the physical item in the vault.

Source: fanable.io

3. Instant Trading

Now, if you want to sell that item, you don't need to go to the post office. You simply sell the digital certificate on the Fanable app. The ownership changes hands instantly. The physical item stays safe in the vault the whole time, so there is no risk of it getting damaged or lost in the mail.

If the new owner actually wants to hold the physical item, they can choose to "redeem" it. This burns (destroys) the digital certificate, and Fanable ships the real item to their house.

What Is the COLLECT Token?

The COLLECT token is the currency used inside the Fanable world. The token is used for:

Buying and selling: You use COLLECT tokens to list items for sale or to buy new ones.

Rewards: If you hold or stake your tokens, you can earn rewards (e.g., a share of the fees the Fanable platform makes).

Voting: COLLECT token holders get a say in how the platform is run. For example, they might vote on protocol updates or what kind of collectibles should be added next.

Collect on Fanable (COLLECT) on Binance

On February 11, 2025, Binance launched a trading competition for the COLLECT token, which is available for trade on Binance Alpha. Eligible users who trade COLLECT via Binance Alpha or via their Binance Wallet (Keyless) can get exclusive token rewards.

There is no trading volume cap for the promotion, but only cumulative COLLECT purchases count during the campaign. Selling is excluded.

Closing Thoughts

Collect on Fanable (COLLECT) is an RWA-focused crypto project built around bringing physical collectibles into a more liquid, digital trading environment. However, like all cryptocurrency projects, it comes with risks. The value of the token can change very fast. Always do your own research (DYOR) before taking risks.

Further Reading

What Are Real World Assets (RWA) in DeFi and Crypto? 

What Is Binance Alpha? 

What Are Liquidity Pools in DeFi?

What Is Ripple USD (RLUSD)?

Disclaimer: This content is presented to you on an “as is” basis for general information and educational purposes only, without representation or warranty of any kind. It should not be construed as financial, legal or other professional advice, nor is it intended to recommend the purchase of any specific product or service. You should seek your own advice from appropriate professional advisors. Products mentioned in this article may not be available in your region. Where the article is contributed by a third party contributor, please note that those views expressed belong to the third party contributor, and do not necessarily reflect those of Binance Academy. Please read our full disclaimer for further details. Digital asset prices can be volatile. The value of your investment may go down or up and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance Academy is not liable for any losses you may incur. This material should not be construed as financial, legal or other professional advice. For more information, see our Terms of Use and Risk Warning.

Key Takeaways

Espresso is a decentralized network designed to organize and order transactions across multiple Layer 2 (L2) blockchains at the same time.

Typically, Layer 2 blockchains act like separate islands, with fragmented liquidity and centralized sequencing. Espresso works as a unified layer for ordering transactions, essentially building bridges between these islands.

The ESP token is used to secure the network (via staking) and allows holders to vote on future updates.

Introduction

Ethereum is one of the most popular places for crypto apps, but it used to be slow and expensive at times. To fix this, developers created "Layer 2" blockchains (also known as rollups). These are like fast lanes built on top of Ethereum to handle heavy traffic.

However, there is a new problem: these fast lanes don't talk to each other. If you have money on one Layer 2 (like Arbitrum), it is hard to use it on another (like Optimism). Also, most of these chains rely on a single computer (a centralized sequencer) to order transactions, which can be a security risk.

Espresso was built to fix these issues with a Shared Sequencing Network. You can think of it as a universal traffic controller that manages transactions for all these different blockchains, bringing the whole ecosystem together.

What Is Espresso?

Espresso is designed to help blockchains run more smoothly. Its main job is to act as a “shared marketplace” where different blockchains can get their transactions ordered.

Currently, liquidity (money) is trapped in silos. But by allowing different blockchains to share the same transaction order, Espresso enables "synchronous interoperability." In simple terms, this means an action on one blockchain can trigger an instant reaction on another blockchain, without long waiting times or complicated bridges.

How Does It Work?

In short, Espresso separates the job of ordering transactions from the job of executing them. It uses three main parts to do this:

1. HotShot (Shared Sequencing)

HotShot is the engine that powers Espresso. Unlike current systems, where one company decides the order of transactions, HotShot uses a large group of computers (nodes) to agree on the order.

Decentralized: Because it uses many nodes instead of one server, it’s much harder to censor or shut down.

Fast: HotShot is built for speed. It can confirm transactions in seconds, even when there is a lot of traffic.

2. Tiramisu (Data Availability)

For a blockchain to be secure, everyone needs to be able to see the transaction data. Espresso uses a system called Tiramisu to handle this. It ensures that all the data organized by HotShot is available for verification. This guarantees that the Layer 2 blockchains can prove to Ethereum that their transactions are valid.

3. Atomic Cross-Chain Transactions

Because Espresso manages the order for multiple chains, it can do "atomic" transactions. Imagine you want to swap a token on Chain A for a token on Chain B. With Espresso, this happens as one single step. If the swap fails on Chain B, the tokens on Chain A are never sent. This removes the risk of your money getting stuck in the middle of a transfer.

Where Can We Use This?

Espresso opens up new possibilities for apps:

Trading (DeFi): Instead of having small pools of money on different chains, exchanges can combine them. This can give traders better prices and more options.

Fairer Prices: Traders can keep prices the same across different chains instantly, making the market more efficient.

Gaming: A game could run its fast gameplay on a cheap chain, while keeping your valuable items (e.g., NFTs) on a more secure chain. Espresso keeps them in sync.

Bridging: Moving money between chains usually takes time. With Espresso, bridges know instantly that a transaction is valid, so they can release funds right away.

The ESP Token

The ESP token is the fuel for the Espresso network.

Security (staking): People who run the computers that order transactions (nodes) must lock up ESP tokens. If they act dishonestly, they lose their tokens.

Voting (Governance): Holders of ESP can vote on changes to the software or decide which new blockchains can join the network.

Fees: The token can be used to pay for transaction priority in the network.

Espresso (ESP) on Binance

Binance listed the Espresso (ESP) token for trade on February 12, 2026, with the Seed Tag applied. Trading pairs available at launch included ESP/USDT, ESP/USDC, and ESP/TRY.

Closing Thoughts

As more Layer 2 blockchains launch, the crypto world is getting more fragmented, but Espresso offers an interesting solution. By replacing isolated, centralized servers with a shared, decentralized network, it connects the different pieces of the blockchain ecosystem and allows money and data to flow freely between chains.

Further Reading

Blockchain Layer 1 vs. Layer 2 Scaling Solutions 

What Are Zk-Rollups? The Layer-2 Scalability Technique

What Is Arbitrum (ARB)?  

Disclaimer: This content is presented to you on an “as is” basis for general information and educational purposes only, without representation or warranty of any kind. It should not be construed as financial, legal or other professional advice, nor is it intended to recommend the purchase of any specific product or service. You should seek your own advice from appropriate professional advisors. Products mentioned in this article may not be available in your region. Where the article is contributed by a third party contributor, please note that those views expressed belong to the third party contributor, and do not necessarily reflect those of Binance Academy. Please read our full disclaimer for further details. Digital asset prices can be volatile. The value of your investment may go down or up and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance Academy is not liable for any losses you may incur. This material should not be construed as financial, legal or other professional advice. For more information, see our Terms of Use and Risk Warning.

Disclaimer: This content is for general information and educational purposes only. Products mentioned in this article may not be available in your region.

Key Takeaways

Binance Futures now lets you trade popular traditional assets like Gold, Tesla, and Amazon as futures contracts.

Trading is available 24/7, requires less capital, and settles in USDT.

Assets include precious metals and well-known stocks tied to crypto and tech sectors.

Remember, these are price contracts, not ownership of the actual stocks or metals.

Introduction

Binance Futures is bridging the gap between traditional finance (TradFi) and crypto by adding popular stocks and commodities to its platform. This integration allows users to trade assets like gold or big tech stocks 24/7, avoiding the rigid hours of traditional exchanges. Below are 12 popular TradFi assets you can trade today.

Precious Metals

Commodities are often used as a hedge against inflation and market volatility. Binance offers contracts for major precious metals, including Gold, Silver, Platinum, and Palladium.

1. Gold (XAU)

Gold is the oldest form of money and a premier store of value. The XAUUSDT contract allows traders to speculate on the price of gold without needing to buy a heavy bar or pay for a safe. As you probably know, gold is a popular asset during times of higher inflation and economic uncertainty.

2. Silver (XAG)

Silver (XAGUSDT) is unique because it serves as both a store of value and an important industrial metal. This dual nature often leads to higher price volatility compared to gold, which may bring different opportunities for traders.

3. Platinum (XPT)

Platinum is a rare metal used heavily in car manufacturing. Trading XPT allows investors to express their views on the health of the auto industry and industrial production.

4. Palladium (XPD)

Like platinum, Palladium (XPD) is a key industrial metal. Its price depends a lot on supply chains and what is happening in the countries that mine it.

Stocks

5. Strategy (MSTR)

Strategy is technically a software company, but most people know it because it holds a massive amount of Bitcoin. Trading MSTR is almost like trading Bitcoin with leverage. It’s a common way for institutions to get exposure to BTC.

6. Coinbase (COIN)

Coinbase is a crypto exchange, so its stock price usually moves along with the crypto market. COIN contracts let you speculate on the health of the crypto economy itself.

7. Robinhood (HOOD)

Robinhood is known for popularizing commission-free stock and crypto trading. Some say the HOOD ticker represents the retail investor sentiment and the convergence of stock and crypto trading platforms.

8. Circle (CRCL)

Circle is the company behind USDC, a major stablecoin. While typically private or part of financial baskets, contracts tracking CRCL let traders speculate on the growth of digital payments and stablecoin infrastructure.

Big Tech and Innovation

You can also trade the giants of the tech world on Binance. This lets you express market views based on earnings reports or product launches without leaving your crypto wallet.

9. Tesla (TSLA)

Tesla is the world's leading electric vehicle manufacturer and a company known for holding Bitcoin on its balance sheet. TSLA is a volatile stock often driven by the public persona of CEO Elon Musk and tech news related to EV technology.

10. Amazon (AMZN)

Amazon runs a huge chunk of online shopping and the cloud servers that power the internet. Trading AMZN is a way to speculate on the general health of the consumer economy tech infrastructure.

11. Palantir (PLTR)

Palantir specializes in big data analytics and artificial intelligence. PLTR is a favorite among tech-focused traders who are bullish on the data economy and government defense contracts.

12. Intel (INTC)

Intel makes the computer chips that power our laptops and data centers. Trading INTC gives you exposure to the semiconductor industry, which is essential for everything from gaming to crypto mining.

Closing Thoughts

Adding TradFi assets like AMZN, MSTR, TSLA, and XAU to Binance Futures is a game-changer for traders and investors. It makes financial markets more accessible to everyone, everywhere. You don't need thousands of dollars to open an account, and you don't need to wait for Monday morning to make a trade.

But remember: These are derivative products. You don't own the actual stock or the gold bar. And because you can use leverage (borrowed money), your risks are higher. Always make sure you have a plan before you start trading, and don’t invest more than you can afford to lose.

Further Reading

How to Trade Gold and Silver on Binance Futures

How to Trade Tesla (TSLA) on Binance Futures 

How to Trade Platinum and Palladium on Binance Futures 

Disclaimer: This content is presented to you on an “as is” basis for general information and or educational purposes only, without representation or warranty of any kind. It should not be construed as financial, legal or other professional advice, nor is it intended to recommend the purchase of any specific product or service. You should seek your own advice from appropriate professional advisors. Where the content is contributed by a third party contributor, please note that those views expressed belong to the third party contributor, and do not necessarily reflect those of Binance Academy. Digital asset prices can be volatile. The value of your investment may go down or up and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance Academy is not liable for any losses you may incur. For more information, see our Terms of Use, Risk Warning and Binance Academy Terms.

Disclaimer: This content is for general information and educational purposes only. Products mentioned in this article may not be available in your region.

Key Takeaways

Binance Futures now offers Platinum (XPTUSDT) and Palladium (XPDUSDT) contracts.

These contracts offer 24/7 market access and lower capital requirements than traditional metal exchanges.

Traders can use leverage, but must consider and manage the increased risks of liquidation.

Funding Rates help keep futures prices close to real market prices.

Platinum and Palladium Futures on Binance

On Binance, Platinum and Palladium are traded as USDT-margined perpetual contracts. This means that while the price tracks the real-world value of ounces of Platinum or Palladium, the settlement is conducted in the stablecoin USDT.

Platinum Futures: Ticker XPTUSDT

Palladium Futures: Ticker XPDUSDT

Unlike physical settlement, where a trader might theoretically take delivery of the metal, these contracts are cash-settled. Traders speculate on the price movements of the metals without needing to worry about storage fees, insurance, or logistics.

The concept is simple: If you believe industrial demand or scarcity will drive the price up, you buy (Long). If you anticipate a price drop, you sell (Short). All profits and losses are denominated and settled in USDT.

Benefits of Trading White Metals on a Crypto Exchange

The digitization of commodity trading offers many improvements over the "old way" of trading futures.

1. 24/7 market access

Traditional commodity markets operate on fixed schedules and close on weekends. However, supply chain news or geopolitical events affecting major producers (like South Africa or Russia) can happen at any time. Binance Futures operates 24 hours a day, 7 days a week. If breaking news hits the wires on a Sunday, you can manage your Platinum or Palladium positions instantly, rather than waiting for Monday morning.

2. Lower barriers to entry

In traditional markets, a single futures contract for Palladium or Platinum can be prohibitively expensive due to the high value per ounce and large contract sizes. Binance Futures allows for fractional trading, meaning you can enter a position with a much smaller amount of capital than traditional exchanges require.

3. Leverage

Futures contracts allow traders to gain exposure to larger positions with a smaller amount of upfront capital (margin). While leverage varies by asset and market conditions, it allows for capital efficiency. For example, using leverage allows a trader to control a significant position in Platinum with a fraction of the value held as margin.

Understanding Funding Rates

If you are new to crypto futures, the concept of Funding Rates might sound confusing, but it’s actually quite simple. Since these perpetual contracts never expire, the system needs a mechanism to tether the contract price to the spot price of the metal.

The funding payment: This is a payment exchanged between traders (buyers and sellers) at regular intervals (typically every 4 or 8 hours). Note that this is not a fee paid to the exchange.

The opportunity: If the funding rate is positive, longs pay shorts. If negative, shorts pay longs. In strong trends, holding a position against the crowd can result in earning passive income from these funding fees.

Risk Management

Trading these assets is easier than ever, but that means you can lose money faster than ever, too.

Leverage risk: Remember that leverage is a multiplier. Even moderate leverage can present significant risk in volatile metal markets. Example: If you use high leverage and the price of Palladium drops by a small percentage, you could face forced liquidation, losing 100% of your margin.

Market volatility: Platinum and Palladium are often more volatile than gold due to their reliance on industrial cycles and supply constraints.

How to stay safe

To stay safe, traders often employ risk management strategies, including:

Setting strategic stop-loss orders to cap potential losses.

Managing position size to ensure account longevity.

Avoiding excessive leverage, especially during periods of low liquidity or high volatility.

How to Trade Platinum and Palladium on Binance Futures

1. Log in to your Binance account, navigate to the [Futures] tab, then go to [USD(S)-M Futures].

Note: this product may not be available in certain regions.

2. Next, open the drop-down menu and search for XPTUSDT (for Platinum) or XPDUSDT (for Palladium).

You can also find these and other contracts under the [TradFi] category.

3. At the bottom right, you can check your Futures account balance. If your balance is zero, you can use the [Transfer], [Buy Crypto], or [Swap] features to add funds.

If this is your first time using Binance Futures, you will be required to open a Future Account.

You may also be required to complete a Futures Quiz before getting started.

4. When you are ready, you can use the order panel to buy or sell futures contracts.

5. If you click or tap [Cross] at the top right, you can switch between Cross Mode and Isolated Mode.

The Cross Margin Mode will consider all the assets in your futures account and all futures positions when calculating your margin and liquidation levels. This means that your open positions can affect each other, even if they are in different assets. For example, your gold position could be liquidated to cover losses on your silver position, even though they are different trading pairs.

The Isolated Margin Mode allows you to manage your risk on individual positions by restricting them to a specific asset. This means that your isolated position won’t be affected by fluctuations in other open positions you might have.

For more information, check out the following article: What Are Isolated Margin and Cross Margin in Crypto Trading?.

6. At the bottom of your screen, you can check your Positions, Open Orders, Order History, and much more.

For more detailed information, please check the FAQ: Perpetual Futures on Traditional Assets.

Closing Thoughts

The launch of XPTUSDT and XPDUSDT pairs on Binance Futures provides traders with a modern bridge to the precious metals market. By removing the common barriers related to capital and rigid trading hours, Binance Futures offers a convenient way to get exposure to Platinum and Palladium. Still, remember to respect the risks and make sure you understand how the product works before getting started with futures trading.

Further Reading

How to Trade Gold and Silver on Binance Futures 

What Are Funding Rates in Crypto Markets?

What Are Isolated Margin and Cross Margin in Crypto Trading? 

Disclaimer: This content is presented to you on an “as is” basis for general information and or educational purposes only, without representation or warranty of any kind. It should not be construed as financial, legal or other professional advice, nor is it intended to recommend the purchase of any specific product or service. You should seek your own advice from appropriate professional advisors. Where the content is contributed by a third party contributor, please note that those views expressed belong to the third party contributor, and do not necessarily reflect those of Binance Academy. Digital asset prices can be volatile. The value of your investment may go down or up and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance Academy is not liable for any losses you may incur. For more information, see our Terms of Use, Risk Warning and Binance Academy Terms.

Key Takeaways
Tokenized gold is physical gold that has been turned into a digital token. Usually, one token equals one ounce or a specific amount of real gold.It allows for fractional ownership, meaning you can invest in gold with very little money instead of buying expensive bars.This method combines the stability of gold with the speed and 24/7 trading availability of cryptocurrency markets.Popular examples of tokenized gold include Tether Gold (XAUt) and Paxos Gold (PAXG), which you can trade on crypto exchanges.It’s important to consider the risks, such as trusting the company holding the gold and potential changes in local regulations.
🔗 Explore the complete guide on Binance Academy

Disclaimer: This content is for general information and educational purposes only. Products mentioned in this article may not be available in your region.

Key Takeaways

Binance Futures now offers Tesla trading under TSLAUSDT, expanding beyond cryptocurrencies to include popular stocks.

Benefits include 24/7 trading and the ability to trade fractional shares.

Leverage up to 5x is available but requires careful risk management.

Introduction

Trading stocks like Tesla used to mean dealing with rigid market hours and complex brokerage accounts. Binance Futures breaks down these barriers by offering the TSLAUSDT contract. This allows you to trade the price movements of one of the world's most popular companies with the speed and flexibility of the crypto ecosystem.

What Are Tesla Futures on Binance?

On Binance, Tesla is traded as a USDT-margined perpetual contract. This means that while the price tracks the real value of Tesla Inc. (TSLA) shares listed on the Nasdaq exchange, the settlement is conducted in the stablecoin USDT.

The ticker for Tesla Futures on Binance Futures is TSLAUSDT. Unlike buying a share on a traditional brokerage, these contracts are cash-settled derivatives. This means you do not receive voting rights or dividends, but you can still try to profit from both upward and downward price movements.

The concept is simple: If you think the price of Tesla will go up, you buy (Long). If you think the price will go down, you sell (Short). All profits and losses are denominated in USDT.

Benefits of Trading Tesla on a Crypto Exchange

The digitization of equity trading offers several improvements over the "old way" of trading stocks.

1. 24/7 market access

Traditional stock markets, like the Nasdaq, operate during limited business hours and close on weekends. If breaking news about Tesla emerges on a Saturday, traditional shareholders are stuck until the market opens on Monday. On Binance Futures, the TSLAUSDT contract trades 24 hours a day, 7 days a week. This allows you to react to market-moving news instantly, regardless of the time or day.

2. Lower barriers to entry

In traditional markets, buying full shares of high-value stocks can be expensive for retail traders. Binance Futures allows for fractional trading. The minimum trade size for the Tesla contract is set at just 0.01 TSLA, making it accessible to traders with smaller amounts of capital.

3. Leverage

Futures contracts allow traders to gain exposure to larger positions with a smaller amount of upfront capital (margin). As of February 2026, Binance Futures offers leverage of up to five times (5x) for the TSLAUSDT contract. This means a trader could potentially operate $500 worth of Tesla contracts with roughly $100 of margin.

Understanding Funding Rates

Since these perpetual contracts never expire, the system needs a way to make sure the contract price stays close to the real price of Tesla stock. That’s where Funding Rates come in.

The funding payment: This is a payment exchanged between traders (buyers and sellers) every four hours. Note that this is not a fee paid to the exchange.

The opportunity: If the funding rate is positive, longs pay shorts. If negative, shorts pay longs. Funding rates for this contract are generally capped at plus or minus 2%. In certain market trends, holding a position may result in the trader earning passive income from these funding fees.

Risk Management

Trading these assets is easier than ever, but that means you can lose money faster than ever, too.

Leverage risk: Remember that leverage is a multiplier. While 5x leverage is lower than some crypto contracts, it still presents significant risk. Example: If you use 5x leverage, and the price of Tesla drops by 20%, you can lose 100% of your margin. This is called forced liquidation.

Market volatility: Tech stocks like Tesla can be highly volatile. Combined with the nature of crypto-derivative markets, prices can fluctuate rapidly.

How to stay safe

To stay safe, traders often employ risk management strategies, including:

Placing strategic stop-loss orders to limit potential losses.

Managing position size to ensure account longevity.

Avoiding excessive leverage, especially during volatile periods.

How to Trade Tesla (TSLA) on Binance Futures

1. Log in to your Binance account, navigate to the [Futures] tab, then go to [USD(S)-M Futures].

Note: this product may not be available in certain regions.

2. Next, open the drop-down menu and search for TSLAUSDT.

You can also find this and other contracts under the [TradFi] category.

3. At the bottom right, you can check your Futures account balance. If your balance is zero, you can use the [Transfer], [Buy Crypto], or [Swap] features to add funds.

If this is your first time using Binance Futures, you will be required to open a Futures Account.

You may also be required to complete a Futures Quiz before getting started.

4. When you are ready, you can use the order panel to buy or sell futures contracts. The minimum trade size is 0.01 TSLA.

5. If you click or tap [Cross] at the top right, you can switch between Cross Mode and Isolated Mode.

The Cross Margin Mode will consider all the assets in your futures account and all futures positions when calculating your margin and liquidation levels. This means that your open positions can affect each other.

The Isolated Margin Mode allows you to manage your risk on individual positions by restricting them to a specific asset. This means that your isolated Tesla position won’t be affected by fluctuations in your other positions.

For more information, check out the following article: What Are Isolated Margin and Cross Margin in Crypto Trading?.

6. At the bottom of your screen, you can check your Positions, Open Orders, Order History, and much more.

Closing Thoughts

The launch of the TSLAUSDT pair on Binance Futures is helping bridge the gap between traditional equity markets and the crypto space. Without some of the barriers common to more traditional trading methods, Binance Futures offers a convenient way to get exposure to Tesla. But remember never to risk more than you can afford to lose. Make sure to manage risks and understand how the product works before getting started.

Further Reading

How to Trade Gold and Silver on Binance Futures 

What Are Funding Rates in Crypto Markets?

What Are Isolated Margin and Cross Margin in Crypto Trading? 

Disclaimer: This content is presented to you on an “as is” basis for general information and or educational purposes only, without representation or warranty of any kind. It should not be construed as financial, legal or other professional advice, nor is it intended to recommend the purchase of any specific product or service. You should seek your own advice from appropriate professional advisors. Where the content is contributed by a third party contributor, please note that those views expressed belong to the third party contributor, and do not necessarily reflect those of Binance Academy. Digital asset prices can be volatile. The value of your investment may go down or up and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance Academy is not liable for any losses you may incur. For more information, see our Terms of Use, Risk Warning and Binance Academy Terms.

Key Takeaways

Zama is an open-source cryptography project building a Confidential Blockchain Protocol powered by Fully Homomorphic Encryption (FHE).

The protocol allows smart contracts to compute on encrypted data without decrypting it, enabling privacy-preserving applications on public blockchains.

Zama's technology works as a cross-chain solution, allowing developers to build confidential applications on top of any Layer 1 or Layer 2 blockchain (like Ethereum or Solana).

The ZAMA token is the native utility asset used for gas fees, governance, and incentivizing the network of validators and provers.

Introduction

Public blockchains like Ethereum and Bitcoin are transparent by design. While this transparency ensures trust and verifiability, it also means that all data is visible to everyone. This lack of privacy limits the types of applications that can be built, especially for industries like finance, healthcare, and enterprise.

Zama addresses this challenge by introducing Fully Homomorphic Encryption (FHE) to the blockchain. This cryptographic technique allows data to remain encrypted even while it is being processed. By building a protocol that enables confidential smart contracts, Zama aims to bring true privacy to the decentralized web without sacrificing the benefits of public verifiability.

What Is Zama?

Zama is an open-source cryptography company and protocol focused on making FHE accessible to developers. Its flagship product is the Zama Confidential Blockchain Protocol, which enables privacy-preserving smart contracts.

The core idea is simple but powerful: instead of revealing sensitive data to a blockchain (or a centralized server) to process it, users encrypt their data locally. The blockchain then processes this encrypted data and produces an encrypted result, which only the user can decrypt. This ensures end-to-end confidentiality for on-chain applications.

How Does Zama Work?

Zama's architecture leverages FHE to solve the "privacy vs. transparency" dilemma.

1. Fully Homomorphic Encryption (FHE)

FHE allows computations to be performed directly on encrypted data. In a typical blockchain transaction, data must be public to be processed (e.g., checking if a user has enough funds). With Zama's FHE, the smart contract can check the funds and other things while the data remains encrypted. The network validates the transaction without ever seeing the actual balance or amount.

2. Confidential smart contracts (fhEVM)

Zama has developed the fhEVM (Fully Homomorphic Ethereum Virtual Machine). This allows developers to write confidential smart contracts using standard Solidity, the same programming language used on Ethereum. Developers can specify which parts of the contract should be public and which should be private (encrypted), making it easy to integrate privacy into existing DApps.

3. Cross-chain compatibility

Zama is designed to be a "layer" that sits on top of other blockchains. It works with Ethereum, Layer 2 networks, and others. This means a developer doesn't have to leave their favorite blockchain to get privacy; they can just use Zama's technology on top of it.

Potential Use Cases

Zama's technology opens up new possibilities for blockchain applications that require data protection.

Confidential DeFi: Users can trade, lend, and borrow without revealing their positions or strategies to the public, preventing front-running and copy-trading.

On-chain identity: You can prove you are over 18 or a citizen of a certain country without uploading a photo of your ID card.

Encrypted voting (DAOs): Governance proposals can use secret ballots where votes are counted correctly, but individual choices remain private, preventing coercion and bribery.

Gaming: On-chain games can use Zama’s technology to hide certain information (e.g., "fog of war" mechanics or hidden card hands).

The ZAMA Token

The ZAMA token is the native utility asset of the Zama ecosystem. It plays a central role in securing and operating the network.

Gas fees: Users pay ZAMA tokens to execute confidential transactions and smart contracts.

Governance: Token holders can vote on protocol upgrades and parameter changes.

Incentives: Network operators who perform the computationally intensive FHE tasks (proving and verifying) can get rewarded in ZAMA tokens.

Zama (ZAMA) on Binance

Binance listed the Zama (ZAMA) token for trade on February 3, 2026 with the Seed Tag applied. Trading pairs available at launch included ZAMA/USDT and ZAMA/USDC. The announcement also included a spot trading campaign from February 3 to February 17. Eligible users will have a chance to share a total prize pool of 45,000,000 ZAMA in token vouchers.

Closing Thoughts

Privacy is one of the final frontiers for blockchain adoption. For institutions and regular users to fully embrace Web3, they need the ability to keep certain data private. Zama’s use of Fully Homomorphic Encryption offers a promising solution to data privacy. By allowing blockchains to compute on data without seeing it, Zama is laying the groundwork for a more secure, private, and usable decentralized internet.

Further Reading

What Is Fully Homomorphic Encryption (FHE)?

What Is ZKsync and How Does It Work?

What Is zkPass (ZKP)?

Disclaimer: This content is presented to you on an “as is” basis for general information and educational purposes only, without representation or warranty of any kind. It should not be construed as financial, legal or other professional advice, nor is it intended to recommend the purchase of any specific product or service. You should seek your own advice from appropriate professional advisors. Products mentioned in this article may not be available in your region. Where the article is contributed by a third party contributor, please note that those views expressed belong to the third party contributor, and do not necessarily reflect those of Binance Academy. Please read our full disclaimer for further details. Digital asset prices can be volatile. The value of your investment may go down or up and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance Academy is not liable for any losses you may incur. This material should not be construed as financial, legal or other professional advice. For more information, see our Terms of Use and Risk Warning.

Disclaimer: This content is for general information and educational purposes only. Products mentioned in this article may not be available in your region.

Key Takeaways

Binance Futures now offers Gold (XAUUSDT) and Silver (XAGUSDT) contracts, expanding beyond cryptocurrencies.

These 24/7 contracts have lower entry barriers than traditional markets.

Traders can use leverage for greater exposure, though this requires careful risk management.

Introduction

Historically, trading precious metals meant navigating complex institutional markets with high costs and limited hours. Binance Futures changes this by offering Gold (XAU) and Silver (XAG) contracts. This integration allows users to trade traditional value stores with the flexibility of crypto technology.

What Are Gold and Silver Futures on Binance?

On Binance, gold and silver are traded as USDT-margined perpetual contracts. This means that while the price tracks the real value of ounces of gold or silver, the settlement is conducted in the stablecoin USDT.

Gold Futures: Ticker XAUUSDT

Silver Futures: Ticker XAGUSDT

Unlike physical settlement, where a trader might eventually take delivery of the metal, these contracts are cash-settled. Traders speculate on the price movements of the metals without needing to worry about storage, insurance, or logistics.

In other words, when you trade these contracts on Binance, you are not buying physical bars of gold or silver. Instead, you are trading a digital contract that tracks the real-world price of the metal.

The concept is simple: If you think the price will go up, you buy (Long). If you think the price will go down, you sell (Short). All profits and losses are paid in USDT.

Benefits of Trading Metals on a Crypto Exchange

The digitization of commodity trading offers several improvements over the "old way" of trading futures.

1. 24/7 market access

Old-school commodity markets have opening and closing times, and they take weekends off. If major political or economic news breaks on a Saturday, traditional traders are stuck until Monday morning. On Binance, the market is open 365 days a year. If news breaks at 3:00 AM on a Sunday, you can react and trade immediately.

2. Lower barriers to entry

In traditional markets, a single futures contract for gold is very expensive. It often requires thousands of dollars just to open a trade. This keeps most regular people out. Binance Futures allows you to trade fractions of an ounce, so you can start with a small amount of capital.

3. Leverage

Futures contracts allow traders to gain exposure to larger positions with a smaller amount of upfront capital (margin). While leverage varies by asset and market conditions, it allows for capital efficiency. For example, using 10x leverage means a trader can control $10,000 worth of gold contracts with roughly $1,000 of margin.

Understanding Funding Rates

If you are new to crypto futures, the concept of Funding Rates might sound confusing, but it’s actually quite simple. Since these futures contracts never expire (you can hold them forever), the system needs a way to make sure the contract price stays close to the real price of gold.

The funding payment: This is a payment exchanged between traders (buyers and sellers) every few hours. Note that this is not a fee paid to the exchange.

The opportunity: If the funding rate is positive, longs pay shorts. If negative, shorts pay longs. In certain market trends, holding a position (such as a short during a period of high bullish sentiment) may result in the trader earning passive income from these funding fees.

Risk Management

Trading these assets is easier than ever, but that means you can lose money faster than ever, too.

Leverage risk: Remember that leverage is a multiplier. If you use high leverage, a tiny price drop can wipe out your entire account. Example: If you use 20x leverage, and the price of gold drops by just 5%, you can lose 100% of your money. This is called forced liquidation.

Market volatility: While gold is generally considered a stable "safe haven" asset, the crypto-derivative markets can be volatile.

How to stay safe

To stay safe, traders often employ risk management strategies, including:

Setting strategic stop-loss orders to cap potential losses.

Managing position size to ensure account longevity.

Avoiding excessive leverage.

How to Trade Gold and Silver on Binance Futures

1. Log in to your Binance account, navigate to the [Futures] tab, then go to [USD(S)-M Futures].

Note: this product may not be available in certain regions.

2. Next, open the drop-down menu and search for XAUUSDT (for gold) or XAGUSDT (for silver).

You can also find these and other contracts under the [TradFi] category.

3. At the bottom right, you can check your Futures account balance. If your balance is zero, you can use the [Transfer], [Buy Crypto], or [Swap] features to add funds.

If this is your first time using Binance Futures, you will be required to open a Future Account.

You may also be required to complete a Futures Quiz before getting started.

4. When you are ready, you can use the order panel to buy or sell futures contracts.

5. If you click or tap [Cross] at the top right, you can switch between Cross Mode and Isolated Mode.

The Cross Margin Mode will consider all the assets in your futures account and all futures positions when calculating your margin and liquidation levels. This means that your open positions can affect each other, even if they are in different assets. For example, your gold position could be liquidated to cover losses on your silver position, even though they are different trading pairs.

The Isolated Margin Mode allows you to manage your risk on individual positions by restricting them to a specific asset. This means that your isolated position won’t be affected by fluctuations in other open positions you might have.

For more information, check out the following article: What Are Isolated Margin and Cross Margin in Crypto Trading?.

6. At the bottom of your screen, you can check your Positions, Open Orders, Order History, and much more.

For more detailed information, please check the FAQ: Perpetual Futures on Traditional Assets.

Closing Thoughts

The launch of XAUUSDT and XAGUSDT pairs on Binance Futures is closing the gap between traditional finance and the crypto space. Without the common barriers related to capital and trading hours, Binance Futures offers a convenient way to get precious metal exposure. Still, remember to respect the risks and make sure you understand how the product works before getting started with futures trading.

Further Reading

What Are Funding Rates in Crypto Markets?

What Are Isolated Margin and Cross Margin in Crypto Trading? 

Bitcoin Spot ETF vs. Bitcoin Futures ETF: What's the Difference? 

Disclaimer: This content is presented to you on an “as is” basis for general information and or educational purposes only, without representation or warranty of any kind. It should not be construed as financial, legal or other professional advice, nor is it intended to recommend the purchase of any specific product or service. You should seek your own advice from appropriate professional advisors. Where the content is contributed by a third party contributor, please note that those views expressed belong to the third party contributor, and do not necessarily reflect those of Binance Academy. Digital asset prices can be volatile. The value of your investment may go down or up and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance Academy is not liable for any losses you may incur. For more information, see our Terms of Use, Risk Warning and Binance Academy Terms.