What is Perpetual Contracts?

Modified on Thu, 19 Jun at 3:56 PM

Perpetual Swap Contracts are futures-like contracts that do not have an expiry date.

Since they never expire, their prices may not naturally converge with the spot price. However, a key feature of perpetual swaps is that they typically trade very close to the spot price, thanks to a mechanism called funding (which helps align the prices).

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