The difference between spot warehouse receipts trading and continuous spot trading

The difference between spot warehouse receipts trading and traditional spot trading

1, the capital configuration is different

Traditional trading must have a site or purchase costs, labor costs, transportation costs, purchase and marketing costs, taxes and other fixed input costs costs, and then liquidity; and warehouse receipts trading is the amount of liquidity, the occurrence of the transaction generates a fee, the transaction does not occur is the amount of liquidity Standby funds, and funds in and out of the free, by the investor's own decision.

2, the object of the transaction is different

Traditional spot trading trading is the direct object of the commodity itself, there are samples, in-kind, to see the goods pricing; and warehouse receipts trading is the direct object of the commodity warehouse receipts, is the ownership of the commodity rather than the commodity itself, and the commodity itself is in line with the national and municipal standards and into the national and municipal warehouses of the goods, the trader to consider only the number of trading.

3, transaction costs are different

Traditional spot trading prices due to geography, local supply and demand in various regions and other reasons and the existence of regional price differences. Such as a person from place A to place B to buy a certain place of goods transported back to place A, during which there will be living expenses, running costs, taxes, site rental costs and other purchase costs; and warehouse receipts trading using the same goods in different places, synchronized centralized bidding, and finally in the nearest buyer of the fixed-point warehouse to pick up the goods, which greatly reduces its transaction costs.

4, different funds settlement

Traditional spot trading in general is the buyer and seller signed a contract of purchase and sale, and then the two sides according to the contract to gradually complete the exchange of goods and the settlement of funds; and warehouse receipt transactions due to the use of goods performance gold system, the buyer and seller are subject to the constraints of the transaction is completed at the same time as the computer network system immediately clear the two sides of the funds.

5, the protection system is different

Traditional spot trading with the Contract Law and other laws for the protection of the contract can not be honored inevitably resort to the law, arbitration by the relevant departments to resolve the matter, and ultimately whether the two sides of the arbitration body according to the provisions of the implementation or unknown. Warehouse receipt transactions in addition to the implementation of national laws, regulations and industry trading rules, the main use of economic leverage to balance the constraints of buyers and sellers, that is, buyers and sellers are guaranteed by the performance bond, constraints on both sides of the transaction to cash.

6, the scope of different commodities

Traditional spot trading of the trading varieties are all the commodities into circulation, and warehouse receipts trading varieties are subject to the restrictions of the national market standards.