How do you make money from derivatives?

Could you kindly explain, in layman's terms, how does one generate income from derivatives? I've heard about them but am still hazy on the specifics. Are derivatives some sort of risky bets or do they offer more stable returns? Could you provide an example or two to illustrate how they work in practice? Also, what are the prerequisites for someone interested in trading derivatives? Is it suitable for beginners, or should I have some prior knowledge in finance? Lastly, how does one manage the risks associated with derivative trading? Thank you for your assistance in clarifying this topic for me.