What do you mean by spots?

Spot is a physical commodity traded between people. Spot refers to commodities, stocks, foreign exchange and bonds that can be delivered and settled at that time after trading, usually electronic contracts based on physical objects. Spot trading varieties mainly include energy commodities, basic raw materials and agricultural and sideline products. The standardization of electronic transaction contract means that all other terms of the contract are stipulated in advance and have the characteristics of standardization. Once this standardized electronic transaction contract is registered, it becomes a warehouse receipt. Traditional spot trading is of little investment value to ordinary investors because of the limitations of geographical location, commodity quality, investors' financial resources and professional level. Because the spot electronic trading market trades standardized electronic trading contracts, the quality of goods is guaranteed; Electronic transactions, no geographical restrictions; Margin trading requires less investment, so it is easy for ordinary investors to get involved and get economic benefits.

The traditional trading model often forms obvious regionality due to geographical restrictions and few investors. However, through spot electronic transactions, there are many investors, including many commodity producers, sellers, processors and importers and exporters. Their bids can represent the strength of both the supply and demand sides and contribute to the real formation. At the same time, most investors involved in the transaction are familiar with a commodity market, with rich business knowledge, extensive information channels and a set of scientific analysis and forecasting methods, which basically reflect the changing trend of supply and demand.

The market not only provides investors with a convenient and fast electronic trading platform, but also the developed logistics distribution system greatly reduces the circulation cost and unnecessary expenses for many production and operation enterprises. At the same time, the convenient transaction mode also provides a brand-new logistics procurement and sales system for enterprises, enabling them to sell or purchase related goods in time and stabilize the relationship between production and sales.