29 Traditional Financial Assets on Binance Futures: How to Play From Gold to NVIDIA

Many people think that Binance Futures only has cryptocurrencies such as BTC and ETH. In fact, it has already brought stocks, commodities and index ETFs from traditional finance. Gold, silver, crude oil, S&P 500, Nasdaq 100, as well as major companies such as Apple, Microsoft, Nvidia, and Tesla, can be directly opened long or short using USDT.

These are not real stocks or commodities, but perpetual contracts. What you earn is the difference in price fluctuations, and you will not have gold bars in your hands, nor will you get Apple stocks. The advantage is that you don’t need to open a stock account or wait for the U.S. stock market to open. You can trade 24 hours a day. The disadvantage is that leverage will amplify losses, and you may lose money faster than your principal.

Let’s first talk about a few rules that are the same for all traditional asset contracts. USDT is used for settlement, the maximum leverage is 10 times, the minimum order amount is 5 USDT, and the minimum price change unit is 0.01. Funding rates are settled every 8 hours and are capped at +2.00% / -2.00%. In addition, it supports multi-asset mode. For example, you can use BTC as margin to trade gold contracts. These parameters are not dead. Binance will adjust them according to market risks. It is best to confirm them again before trading.

There are four precious metals: gold (XAU), silver (XAG), platinum (XPT) and palladium (XPD). The gold contract code is XAUUSDT, which is suitable for hedging when inflation is high or the market is panicked. In addition to maintaining value, silver also has industrial uses, including solar panels, electronic components, and medical equipment, so it tends to fluctuate more than gold. Platinum and palladium mainly depend on the automotive industry, as catalytic converters are inseparable from them. The price of palladium is also affected by the supply of mineral-producing countries such as Russia and South Africa.

Among energy and industrial metals, crude oil (CL) and copper (COPPER) are two representatives. Crude oil needs no further explanation. Transportation costs and inflation are all linked to it. Copper is an economic barometer and is used in construction, electronics, and manufacturing. When global economic activity slows down, copper prices tend to fall first.

There have been a lot of new additions to the index ETF sector recently. QQQ tracks the Nasdaq 100, which is the 100 largest non-financial companies with a high technology content. SPY tracks the S&P 500 and is basically a buy of the U.S. broad market. There's also EWY, which tracks Korean large- and mid-cap stocks, and EWJ, which tracks Japanese large- and mid-cap stocks. Semiconductors, automobiles, and consumer electronics are heavily weighted in the Korean contract, while the Japanese contract is suitable for those who want to participate in Japanese stocks 24 hours a day.

Among crypto and financial technology stocks, there are several that are closely related to the currency circle. Strategy (MSTR), formerly known as MicroStrategy, has a large amount of Bitcoin on its balance sheet. Buying it is equivalent to an indirect bet on BTC, but it also adds to the company's own operating risks. Coinbase (COIN) is one of the largest listed crypto exchanges, and its stock price is highly correlated with the broader market. Robinhood (HOOD), which specializes in commission-free stock and crypto trading, is often seen as an indicator of retail investor sentiment. Circle (CRCL) is the issuer of USDC, and the contract price reflects expectations for the stablecoin and digital payments infrastructure. PayPay (PAYP) is Japan's largest mobile payment platform. It was launched in 2018 and listed on Nasdaq in 2026. Trading it is equivalent to betting on the penetration rate of cashless payments in Japan.

Among the big technology stocks, Tesla (TSLA) has been volatile, affected by the electric vehicle industry, energy storage news and Musk himself, who has also held Bitcoin before. In addition to e-commerce, Amazon (AMZN) also has AWS cloud business, which can reflect the ups and downs of consumption and cloud demand. Meta (META) makes money from ads on Facebook, Instagram, and WhatsApp, while burning money on AR/VR. Alphabet (GOOGL) has Google Search, YouTube and Google Cloud, and is at the forefront of AI research. Apple (AAPL) looks at iPhone, Mac, iPad and subscription services, as well as progress in finance and on-device AI. Microsoft (MSFT) owns Azure, Office 365, LinkedIn and Xbox, and it also has a major position in OpenAI, which cannot be avoided in the commercialization of AI.

Semiconductors are at the core of this AI market. NVIDIA's (NVDA) GPU is the key hardware for training large models. The demand for data center chips has exploded, and contracts have also fluctuated greatly. Micron (MU) makes DRAM and NAND memory. AI clusters require a large amount of high-bandwidth memory (HBM), and demand is rising accordingly. SanDisk (SNDK) makes NAND flash memory and will be spun off from Western Digital in early 2025. Storage demand is linked to the AI ​​and consumer electronics cycles. TSMC (TSM) is the world's largest foundry. It manufactures chips for Apple, Nvidia, and AMD, but it does not design its own chips. When trading with it, it must pay attention to geopolitics and AI chip production capacity. Broadcom (AVGO) makes network chips, customized AI accelerators for data centers, and also acquired VMware, which is another layer of AI infrastructure besides GPUs. Intel (INTC) has been reorganizing in recent years, laying off employees and transforming into foundries. Trading it is equivalent to betting on the cycle of the entire semiconductor industry.

Finally, there are two: Palantir (PLTR) does big data and AI analysis, has many government defense contracts, and its commercial business is also expanding. Alibaba (BABA) is one of China's largest e-commerce and cloud companies and is listed on the New York Stock Exchange in the form of ADR. When trading it, you must pay attention to Chinese consumption, the Asian cloud market and the regulatory environment.

Who are these contracts suitable for? If you are already doing cryptocurrency contracts and want to use the same account and the same USDT margin to trade U.S. stocks or gold, eliminating the trouble of opening a stock account and exchanging currencies, that is really convenient. But there are a few pitfalls that need to be thought through first.

First, leverage is a double-edged sword. 10x leverage means that a 10% price move in the opposite direction could result in liquidation, and it is not unusual for a stock or commodity to drop 10% in one day. Second, the funding rate is collected every 8 hours, and the cost of holding a position overnight may be high, especially when the market is unilateral. Third, these contracts track the price of the underlying asset, but the perpetual contract has a premium or discount, which may not be exactly the same as the spot price. Fourth, 24-hour trading does not mean that liquidity is always good. During the U.S. stock market closing hours, spreads may become wider and slippages may become more serious.

If you have only traded cryptocurrencies before, before getting started with these traditional asset contracts, it is best to simulate trading for a few weeks to understand how the funding rate is calculated and how the liquidation price changes. Don't go long just because you see Nvidia rising. The stock's fundamentals, financial report date, and macro data will all affect the price, and this information is often released around the opening of U.S. stocks.

Reference: Binance Academy Original link: https://www.binance.com/en/academy/articles/tradfi-assets-you-can-trade-on-binance-futures

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