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Think a Futures hedge means "safe from losses"? Not quite. A hedge pairs your Spot holding with a Futures short to manage exposure, not predict price. When price falls, the short may offset some loss. When price rises, it limits your upside too. Margin, liquidation, and
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AI visual note: The image is an infographic titled "Hedging With Futures: The Basics" from XT, explaining how a spot crypto position is paired with a futures short to manage โ not eliminate โ risk, with sections on "What Is a Futures Hedge?", "How the Two Sides Move," "Can vs. Cannot," and a "Risk Checklist" covering leverage, margin requirements, funding fees, basis risk, volatility, and overcomplication.