Why do contract trades always seem to go wrong? Many people blame the market trend, but honestly, most of the time it's not your judgment that's the problem—it's that you haven't fully understood the platform's gameplay. The exchange's rules are like hidden reefs beneath the water; whether you hit them or not depends on whether you've stepped on them in advance.

**The Invisible Gap of Funding Fees**

Most people focus on candlestick charts and price movements, but what’s really quietly deducting money in the background is the funding fee. This fee settles every 8 hours. During high-fee periods, even if your market judgment is spot-on, this fee can chip away at your margin like flowing water. The harshest part is that you might be fundamentally correct about the market, but because the fee rate is too high, you end up drained and frustrated. To counter this trap, the key idea is to learn how to "read the clock"—avoid high-fee time windows as much as possible, shorten your holding periods, and most importantly, position yourself on the side of fee income rather than always being the one paying.

**The Liquidation Price Is Not as Far Away as You Think**

This is the most underestimated hidden risk. Some people do rough calculations, thinking that with 10x leverage, a 10% price drop will trigger liquidation—that logic sounds comfortable but is completely a fantasy. What’s the reality? Fees, funding costs, various hidden expenses, the leverage factor of the trading pair... all these add up, and your account might be liquidated with only a 5% or 6% drop. So what’s the smartest way to operate? First, don’t go all-in—that’s the gambler’s approach. Second, use isolated margin mode to isolate risks. Third, actively reduce leverage to a range of 3x to 5x, leaving yourself more room to maneuver.

**High Leverage Is a Double-Edged Sword, More Like a Deadly Blade**

100x leverage sounds explosive and exciting, but it’s just an illusion. Market fluctuations can turn your account from thousands of dollars to just a few in seconds. How should you use such ultra-high leverage? The rule is simple—only for ultra-short-term trading. Enter and exit immediately, making decisions within a second. But if your plan is to hold positions overnight or for several days, high leverage becomes your Grim Reaper. In this case, you must cut down the leverage to a lower multiple, giving yourself enough safety margin.

**The Platform’s True Business Model**

Ultimately, whether contracts can make money depends not on how skilled your trading is or how sharp your market eye is. What determines victory or defeat is one thing: whether you truly understand what the exchange relies on to make money. The exchange fears most isn’t your wrong market direction judgment, but rather your mastery of its fee system, liquidation mechanism, and fee cycle—these "hidden rules." Once you figure out this logic, you truly stand on the side of the winner.