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The Differences Between USDT-M and Coin-M Futures

Aug 15, 2025MEXC

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In the world of crypto futures trading, USDT-M Futures and Coin-M Futures are two of the most common and distinct Futures types. For traders, understanding their differences, how to get started, and how to choose the right one is key to trading success.

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1. USDT-M vs Coin-M Futures: Key Differences Explained

1.1 What Are USDT-M and Coin-M Futures?

USDT-M Futures, also known as Linear Futures, are futures that are denominated and settled in stablecoins such as USDT. On MEXC, USDT is the settlement currency for all USDT-M Futures. The biggest advantage of this type is that profits and losses are settled in USDT, making it easy for traders to calculate returns in fiat terms—more intuitive and beginner-friendly.

Coin-M Futures, also known as Inverse Futures, are futures settled in cryptocurrencies (such as BTC, ETH, and XRP), eliminating the need to hold stablecoins as margin. MEXC currently offers multiple Coin-M Futures, including BTC and ETH. The biggest benefit of Coin-M Futures is improved capital utilization, allowing users to trade Futures while merely holding cryptocurrencies.

1.2 Comparisons

Type	USDT-M Futures	Coin-M Futures
Common Name	LinearFutures	Inverse Futures
Settlement Unit	USDT	Coins (such as BTC and ETH)
Margin	USDT	Coins (such as BTC and ETH)
Holding Time	No restrictions	No restrictions
Margin Mode	Isolated/Cross	Isolated/Cross

From the above table, it is clear that there are obvious differences in settlement units and margin between USDT-M Futures and Coin-M Futures, while their holding period and margin mode remain the same, which provides traders with a variety of options.

2. How to Choose Between USDT-M and Coin-M Futures?

USDT-M Futures and Coin-M Futures each have their own unique advantages. Traders are advised to make decisions based on their own asset status, market insights, and investment goals.

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2.1 Advantages of Coin-M Futures

Coin-M Futures are more attractive to cryptocurrency holders because they can hedge and trade in the MEXC Coin-M Futures market without having to convert any of their holdings into USDT. This means users don't need to sell any of their cryptocurrencies at a low price when market prices are unfavorable, thus avoiding potential losses from conversions.

When the market is bullish, investors tend to hold onto their crypto assets to maximize returns. Since Coin-M Futures are settled in coins, any profits stay in the form of long-term cryptocurrency holdings. This provides an excellent way for users to increase their holdings of their preferred cryptocurrencies over the long term, helping to achieve the purposes of asset appreciation as well as value preservation.

2.2 Advantages of USDT-M Futures

If you hold no other crypto assets besides USDT, you might be inclined to consider trading USDT-margined futures. MEXC's USDT-margined futures market offers hundreds of trading pairs with up to 500x leverage for traders to maximize their returns by utilizing leverage wisely.

3. How to Set Up a USDT-M Futures or a Coin-M Futures Order?

On the MEXC platform, traders can easily choose and set up USDT-M Futures or Coin-M Futures orders. Currently, the platform offers hundreds of USDT-M Futures pairs as well as BTC- and ETH-margined Futures for you to choose from.

3.1 Web

On the MEXC website, you have two ways to choose between USDT-M and Coin-M Futures.

1) Choose Futures in the top navigation bar and select USDT-M or Coin-M to access the trading page.

2) If you are already on the Futures trading page, you can also switch between USDT-M and Coin-M by using the [▼] button next to the trading pair and select from the drop-down list.