Many people often ask, why are there still so many people trading contracts? Aren't they afraid of liquidation? Actually, the problem isn't with the contracts themselves, but with most people's failure to understand their true risk exposure.

Leverage numbers are just illusions. Seeing 5x or 10x makes you feel it's not too much, but in reality, leverage could have already soared to 60x. How to calculate? It's simple: divide your current position value by the amount you can afford to lose. For example, if your account has only 10,000 USDT, and you can accept a loss of 500 USDT at most, but you open a position of 30,000 USDT, then your actual leverage is 60x—any small market fluctuation can cause liquidation. By then, it's too late to regret.

Here's another harsh truth: where does the high return in the contract market come from? Simply put, it comes from others' liquidations. The people making money in this game are actually doing the same—70% of the time they wait, remaining calm as a mountain; only taking action when the most certain opportunities appear. Those who blindly gamble will always be the ones getting harvested.

So, what is the logic behind making money? Two strict rules: First, keep each loss within 5% of your account. Second, once you reach twice your target profit, sell immediately. Don't be greedy; profits will run away, but at least you've already made some.

Contracts, at their core, are a risk management game, not gambling. Those who get liquidated are relying on imagination to make money; those who survive are speaking with numbers. Learn to accurately calculate your actual risk, control your entry and exit for each trade, and only then can contracts become a profit-generating tool. Otherwise, they will just turn into money-consuming beasts.