Why Barqish teaches spot only
After this lesson you can explain leverage, margin, futures and short selling in plain words, work out a liquidation price, and say why this course avoids them.
Barqish sirf spot kyun sikhata hai
Spot ka matlab hai poori qeemat de kar cheez abhi apne naam karna. Price gire to aap ki holding kam hoti hai, lekin koi aap ko bechne par majboor nahi kar sakta. Leverage mein aap ke $500 se $5,000 ki position khulti hai aur baqi $4,500 udhaar hota hai. Jab nuqsan aap ki margin kha jaye to exchange khud position bech deta hai. Isay liquidation kehte hain.
Hisaab dekhein: 10x par ETH $2,500 par liya, to taqreeban $2,262.50 par, yani sirf 9.5% girne par, poore $500 khatam. 20x par 4.5% aur 100x par 1% se bhi kam girawat kaafi hai. Spot mein wohi 9.5% girawat sirf $47.50 ka kaghazi nuqsan hai, aur price wapas aaye to aap bhi wapas barabar. Liquidation waqti girawat ko pakka nuqsan bana deti hai.
Futures, perpetuals aur short selling mein aap asal cheez ke malik nahi hote, qarz ya taakheer shamil hoti hai, aur ek ka faida doosre ka nuqsan hota hai. Hadees hai: 'Jo cheez tumhare paas nahi, usay mat becho' (Abu Dawud 3503 / Tirmidhi 1232). Aksar ulama in cheezon ki ijazat nahi dete, aur Barqish isi raaye par chalta hai.
- Spot mein poori qeemat de kar aap malik bante hain, is liye girti price aap ko bahar nahi nikaal sakti.
- 10x leverage par taqreeban 9.5% girawat poora paisa kha sakti hai, 100x par 1% se bhi kam.
- Leverage, futures aur short selling mein qarz, baghair milkiyat ke bechna aur qismat shamil hain, is liye un se door rahein.
Poora sabaq neeche English mein hai. Quiz English mein hai; asaan alfaaz mein.
Usman works as a site supervisor in Dubai and sends money home every month. After a YouTube video promising 'small capital, big results', he opens a futures account with $500 and picks 10x leverage on ETH, which is trading at $2,500. He goes to sleep. Overnight ETH dips almost 10% on some news and bounces back half of it by morning. Usman wakes up to one line: 'Position liquidated'. Two weeks later ETH is back above $2,500. The coin came back. His $500, a week of overtime, did not.
Spot: pay in full, own it, hold it
A spot trade is the simple kind: you pay the full price and the asset is yours now. If you buy $500 of ETH, you own $500 of ETH and can move it to your own wallet. If the price falls, your holding shrinks, but nobody can force you to sell. You can wait, add slowly, or exit on your own terms. Your worst case is set by the asset, not by a lender's rules.
Leverage and margin: borrowed buying power
With 10x leverage, your $500 controls a $5,000 position. The extra $4,500 is borrowed from the exchange, and you pay for it through interest or funding fees. The $500 you put in is called margin. The lender protects its loan: when your losses eat most of your margin, the exchange sells your position automatically. That forced sale is liquidation, and it tends to happen at the worst moment, often during a sudden wick that reverses minutes later.
Futures, perpetuals and short selling
A futures contract is an agreement to buy or sell later at a price fixed today; most are settled in cash and nothing is delivered. Perpetuals are futures with no end date, kept close to the spot price by 'funding' payments every few hours. Short selling means selling something you borrowed and do not own, hoping to buy it back cheaper. They look different, but they share the same features:
- You do not own the underlying asset.
- Borrowed money or delayed settlement is built in.
- A small move against you can end the position for good.
- One side's gain is the other side's loss, like a bet.
Liquidation math at 10x
Usman puts $500 at 10x: a $5,000 position, which buys 2 ETH at $2,500. $4,500 of it is borrowed. If ETH falls 10% to $2,250, his 2 ETH are worth $4,500, exactly the loan. His $500 is gone.
Exchanges close you a little earlier, when only the maintenance margin is left. A common estimate for a long position: liquidation price = entry x (1 - 1/leverage + maintenance rate) = $2,500 x (1 - 0.10 + 0.005) = $2,262.50, a fall of just 9.5%. At 20x it is $2,387.50, a 4.5% fall. At 100x, a move of under 1% is enough.
Spot: $500 buys 0.2 ETH. At $2,262.50 it is worth $452.50, a paper loss of $47.50, and he still owns 0.2 ETH. When ETH returns to $2,500, he is back to $500. Liquidation turns a temporary dip into a permanent loss.
Three problems meet in these products. Leverage rests on a loan, and interest or funding charged on it raises the riba concern (Quran 2:275; Quran 2:278-279). Futures and short selling involve selling what you do not own or delaying the exchange, and the Prophet (peace be upon him) said, 'Do not sell what you do not have' (Sunan Abu Dawud 3503 / Jami at-Tirmidhi 1232). For currencies, AAOIFI Shariah Standard 1 requires spot exchange and does not permit forwards or futures. Most contemporary scholars therefore do not allow these products, and Barqish follows that position. For your own situation, ask a qualified scholar you trust.
Education, not a fatwa. Where scholars differ, we say so. See what scholars say.
'I will use only 2x' or 'I will set a stop, so it is safe'. Low leverage is still a loan with the same contract problems, and in a fast market a stop on a leveraged position can fill far below its level. The deeper cost is habit: small leverage feels harmless until one bad week, then the size creeps up to win the loss back.
Open the Ethereum daily chart and use the ruler tool to measure the three biggest one-day drops of the last year, from the day's high to its low, in %. At 10x leverage a fall of about 10% wipes out the position; at 20x about 5%. Count how many of those days would have liquidated a 10x and a 20x trader who was right about the direction a week later. A spot owner lived through all of them.
Measure ETH drops →Key takeaways
- Spot means you pay in full and own the asset, so a falling price cannot force you out.
- At 10x leverage a fall of about 9.5% can wipe out your whole stake; at 100x, under 1% is enough.
- Leverage, futures, perpetuals and short selling combine borrowing, selling what you do not own and chance, so Barqish avoids them all.
Check yourself
Pass with 2 of 3 to complete the lesson. Answers are checked on our server, so the certificate means something.
Barqish is an educational platform. Nothing here is financial advice or an instruction to buy or sell, and screening is not a fatwa. Spot ownership only: no leverage, no short selling. Updated 30 September 2026.