Futures
A standardised contract to trade an asset at a set price on a future date. Crypto venues also offer perpetual futures, which never expire and use a funding rate to stay near the spot price.
Also called futures contract · perpetual futures · perps
A standardised contract to trade an asset at a set price on a future date. Crypto venues also offer perpetual futures, which never expire and use a funding rate to stay near the spot price.
Why it matters
Futures are usually traded with leverage, so positions can be liquidated well before the thesis is tested.
Related terms
- Leverage
- Funding Rate
- Liquidation
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