MCX stands for Multi Commodity Exchange of India Limited, which is Indias first commodity derivatives exchange that facilitates online trading of commodity derivatives. It was established in 2003 by the Government of India and is currently based in Mumbai. MCX is similar to BSE and NSE, where several essential commodities like gold, silver, and agricultural commodities are traded effectively. Commodities of all the four major types—bullion, base metals, energy, and agro commodities—can be traded through MCX.

MCX works by providing a platform for buyers and sellers to trade commodities online. Buyers can place bids, and sellers can offer asking prices for various commodities, and the exchange matches these orders based on price and time priority. MCX offers options trading in gold and futures trading in non-ferrous metals, bullion, energy, and a number of agricultural commodities such as mentha oil, cardamom, crude palm oil, cotton, and others.

MCX trading account is an account that helps you to buy and sell different commodities like agricultural, energy, metal, and others on the MCX. However, they can be cash-settled or physically settled. Trading in commodities can be rewarding if done with the right strategy and through credible platforms like MCX. Commodity exchanges also ensure standardization and help the investors get a better idea of the transaction.