How to open a contract account in LBank

Open a contract account on LBank to unlock the potential of leveraged trading and amplify your gains (and potential losses).

Nov 29, 2024 at 12:34 pm

How to Open a Contract Account in LBank

Introduction

LBank, a renowned cryptocurrency exchange, offers a comprehensive range of trading options, including contract trading. To access this exciting feature and unlock the potential of leveraged trading, users must open a contract account on the platform. This guide will provide a step-by-step walkthrough of the process, answering common questions and ensuring a smooth account setup experience.

Step 1: Navigate to the LBank Website

• Open a web browser and navigate to the official LBank website (https://www.lbank.info).
• Click on the "Contract" tab located at the top of the homepage.

Step 2: Create a Spot Account

• Before opening a contract account, users must create a spot account on LBank.
• Click on the "Sign Up" button on the website's homepage.
• Follow the instructions to complete the registration process, providing personal information, verifying email and phone number, and setting up 2-factor authentication (2FA).

Step 3: Enable Futures Trading

• Once a spot account is created, users must enable futures trading to access contract trading.
• Log into the LBank website with the registered account.
• Click on the "Asset" tab and select "Futures Account."
• On the futures account page, click on the "Enable Futures Trading" button.

Step 4: Apply for a Contract Account

• After enabling futures trading, users can apply for a contract account.
• On the futures account page, click on the "Contract Account" tab.
• Click on the "Open Contract Account" button.
• Read and agree to the Terms of Service.
• Click on the "Apply Now" button.

Step 5: Submit KYC Verification

• To ensure compliance with regulatory requirements, LBank requires users to complete the Know Your Customer (KYC) verification process.
• Click on the "KYC Verification" link on the contract account page.
• Provide the required personal information, such as name, address, and identification documents.
• The KYC approval process typically takes 1-3 business days.

Step 6: Fund the Contract Account

• Once the KYC verification is approved, users can fund their contract account.
• Transfer assets from the spot account to the contract account by clicking on the "Transfer" button on the contract account page.
• Select the asset and enter the desired transfer amount.
• Click on the "Confirm Transfer" button.

Step 7: Start Contract Trading

• With the contract account funded, users can now start trading contracts on LBank.
• Navigate to the "Contract" tab on the homepage.
• Choose a contract market, such as BTCUSDT or ETHUSDT.
• Place a buy or sell order by entering the contract quantity, leverage, and other parameters.
• Monitor the order status and manage open positions.

Frequently Asked Questions

Q: What is contract trading?

A: Contract trading, also known as futures trading, allows users to speculate on the future price movements of cryptocurrencies using leverage. Traders can amplify their gains (and potential losses) by utilizing leverage to open positions that are larger than their account balance.

Q: What types of contracts are available on LBank?

A: LBank offers a wide range of contract types, including perpetual contracts, quarterly contracts, and options contracts. Perpetual contracts have no expiration date and can be held indefinitely, while quarterly contracts expire every three months. Options contracts give traders the right, but not the obligation, to buy or sell an underlying asset at a specific price and time.

Q: What is leverage?

A: Leverage is a tool that allows traders to increase their trading positions with borrowed capital. For example, using 10x leverage, users can open a contract worth $1,000 with only $100 in their account. However, leverage also amplifies potential losses, so it should be used cautiously.