The Double-Edged Sword of Perpetual Futures: Benefits and Risks for Crypto Traders
When discussing crypto trading, savvy traders often bring up perpetual futures, or 'perps,' which are derivatives contracts allowing for larger positions with less capital. Unlike standard futures, perps have no expiry date, making them appealing for traders of altcoins, where dated futures are often illiquid. Traders praise perps for their deep liquidity, cheap trading fees, and high margin effi…