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When it comes to derivatives in the crypto world, contract trading is like an eternal black hole—leverage is outrageously high, and volatility is wild beyond measure. Once these two forces collide, the entire market turns into a pure gambling arena.
What’s terrifying? Education doesn’t help here. Even top students from 985 and 211 universities, master’s and PhD holders have seen it all. Once you get caught up in gambling instincts, all those years of studying are wasted. A more realistic problem is that the big V influencers and celebrities in the circle are not setting good examples for newcomers; instead, they use fan economy to draw wave after wave of people into this "casino."
But on the other hand, derivatives are not completely off-limits. The key is how to learn. For those without a financial background, it should be step-by-step:
**Step 1: Start with what you can understand.** The Dow Jones Industrial Average is a good beginner’s choice—standardized, liquid, and easy to interpret, helping you grasp the logic of unleveraged trading. S&P 500, S&P 100, and Russell 1000 are also suitable.
**Step 2: Add the dimension of time.** Crude oil futures are a good way to learn leveraged trading. Compared to Step 1, this introduces the concept of time-based pricing. The key is that since 2024, crude oil prices have actually fallen due to supply and demand factors, with more emphasis on financial attributes and macroeconomic factors, making it understandable even to laypeople.
**Step 3: Consider options.** It’s recommended to start with options on individual stocks like Tesla, Meta, and Nvidia—avoid index options. Options on US stocks, commodities, or ETFs are also fine. In fact, options are a very good risk management tool; many people simply misunderstand them.