Editing Risks and rewards of crypto futures trading (section)

== Risks of Crypto Futures Trading ==
While crypto futures trading can be lucrative, it comes with inherent risks that beginners must be aware of:

=== 1. High Volatility ===
Cryptocurrencies are known for their price volatility, which can lead to significant losses if the market moves against your position.

=== 2. Leverage Risks ===
Using [[crypto futures leverage trading|leverage]] can magnify both gains and losses. Over-leveraging can result in losing your entire investment.

=== 3. Market Manipulation ===
The crypto market is less regulated than traditional financial markets, making it susceptible to manipulation.

=== 4. Liquidation ===
If the market moves against your position, your account may face [[crypto futures margin explained|margin calls]] or liquidation, resulting in a total loss.

=== 5. Regulatory Risks ===
[[Crypto futures regulations 2023|Regulations]] vary by region and can impact trading conditions, fees, and accessibility.