How to open an Upbit contract account How to open

Opening a contract account on Upbit empowers traders to access a world of speculative opportunities by leveraging futures contracts to profit from the future price movements of cryptocurrencies.

Nov 15, 2024 at 01:50 am

How to Open an Upbit Contract Account: A Comprehensive Guide

Upbit, the prominent South Korean cryptocurrency exchange, offers a diverse suite of trading products, encompassing spot trading, margin trading, and futures contracts. Opening a contract account with Upbit unlocks access to a wide array of contract trading opportunities, empowering traders to speculate on the future price movements of cryptocurrencies. This comprehensive guide will provide a step-by-step breakdown of the process involved in creating an Upbit contract account, ensuring a seamless and efficient onboarding experience.

Step 1: Register for an Upbit Account

• Visit the official Upbit website (www.upbit.com) and click on the "Sign Up" button.
• Choose the type of account you wish to open (individual or corporate).
• Provide your personal information, including name, email address, and phone number.
• Set a strong password and complete the Captcha verification.
• Verify your email address and phone number by clicking on the links sent to your inbox and entering the OTP (One-Time Password) received via SMS.

Step 2: Complete Identity Verification (KYC)

• Navigate to the "My Page" section and click on the "Identification Verification" tab.
• Choose the type of identification document you wish to use (passport, national ID card, or driver's license).
• Upload clear and legible copies of both sides of your identification document.
• Complete the facial recognition process by uploading a selfie.
• Input your residential address and occupation details.

Step 3: Activate Contract Trading Permissions

• Once your identity verification is complete, scroll down the "Verification Status" page and locate the "Contract Trading" section.
• Click on the "Open" button next to the "Contract Trading" option.
• Read and agree to the Upbit Contract Trading Terms and Conditions.
• Click on the "Submit" button to activate contract trading permissions.

Step 4: Fund Your Account

• Navigate to the "Deposits" page under the "My Assets" section.
• Select the cryptocurrency you wish to deposit and generate a deposit address.
• Transfer the desired amount of cryptocurrency from your external wallet or exchange account to the generated Upbit deposit address.

Step 5: Start Contract Trading

• Access the "Contracts" section from the Upbit homepage.
• Choose the contract you wish to trade, such as BTC/USDT Perpetual.
• Select the order type (Market, Limit, or Stop) and input the relevant parameters, including price, quantity, and leverage.
• Review the order details and click on the "Buy" or "Sell" button to place your trade.

Frequently Asked Questions

What is Futures Contract Trading?

Futures contracts are standardized agreements obligating the buyer to purchase and the seller to sell a specified amount of an asset at a predetermined price on a future date. Contract trading allows traders to speculate on future price movements of cryptocurrencies, potentially profiting from price fluctuations before they occur.

What Are the Advantages of Contract Trading on Upbit?

Upbit offers several advantages for contract traders, including:

• High liquidity and tight spreads for seamless execution of trades.
• Advanced charting tools and indicators for in-depth market analysis.
• Robust risk management features, such as stop-loss and take-profit orders.
• Competitive trading fees and various promotions.

What Are the Risks Associated with Contract Trading?

Contract trading carries inherent risks, including:

• Market volatility and unpredictable price movements that can lead to significant losses.
• The potential for contract liquidation if the trader's account balance falls below the required maintenance margin.
• The possibility of hacking and security breaches that could compromise traders' funds or personal information.

How Do I Choose the Right Contract for Trading?

When selecting a contract for trading, consider the following:

• Trading Volume: Higher trading volume ensures better liquidity and tighter spreads.
• Underlying Asset: Choose the cryptocurrency market you are most familiar with or interested in.
• Expiration Date: Consider the time frame you prefer to hold your position.
• Leverage: Choose the leverage level that aligns with your risk tolerance and trading strategy.