Cryptocurrency Q&A
How does perp work?
How does perp work?
CherryBlossomDance
Wed Sep 25 2024
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5 answers
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Could you please elaborate on how perpetual futures contracts, commonly referred to as "perp," function in the cryptocurrency market? Specifically, how do they differ from traditional futures contracts, and what mechanisms are in place to manage the funding rate and ensure the contract remains balanced? Additionally, how do traders utilize perp contracts to hedge their positions or speculate on market movements?
5 answers
OliviaTaylor
Fri Sep 27 2024
Another significant advantage of perpetual swaps is the lack of expiration dates. Unlike traditional futures contracts, perpetual swaps do not have a fixed end date, providing investors with greater flexibility and the ability to hold their positions for as long as they see fit.
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ethan_lewis_journalist
Fri Sep 27 2024
BTCC, a leading cryptocurrency exchange, offers a comprehensive range of services that cater to the needs of both individual and institutional investors. Among these services, BTCC's perpetual swap offering stands out as a particularly attractive option for those looking to trade digital assets with greater flexibility and convenience.
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KimchiQueenCharm
Fri Sep 27 2024
With BTCC's perpetual swap service, investors can access a wide range of digital assets and take advantage of the benefits of perpetual swaps, including cash settlements and no expiration dates. This allows investors to focus on their trading strategies and make informed decisions without the distractions of managing digital assets.
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EnchantedSky
Fri Sep 27 2024
Perpetual swaps, also known as "perps", are a unique financial instrument that allows institutions to express their opinions on the prices of digital assets without the need to physically hold the underlying cryptocurrency. This innovative approach offers several advantages over traditional trading methods.
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CryptoLord
Fri Sep 27 2024
One of the key benefits of perpetual swaps is the ability to settle in cash, eliminating the need for investors to worry about the complexities and risks associated with storing and managing digital assets. This simplifies the trading process and makes it more accessible to a wider range of investors.
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