Cryptocurrency Q&A
When does a bitcoin futures perpetual contract expire?
When does a bitcoin futures perpetual contract expire?
KimchiQueenCharmingKissWarmth
Wed Aug 28 2024
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6 answers
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Excuse me, could you please elaborate on the expiration of a Bitcoin futures perpetual contract? I understand that futures contracts typically have a specific expiration date, but how does this work with a perpetual contract? Are there any specific conditions or events that would trigger the expiration of such a contract, or does it simply continue indefinitely until terminated by the parties involved? Your insights would be greatly appreciated.
6 answers
Martina
Fri Aug 30 2024
However, perpetual contracts come with an additional cost: funding fees. These are periodic payments made to traders to ensure that the market remains fair and balanced.
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SolitudeNebula
Fri Aug 30 2024
Cryptocurrency derivatives trading offers unique features that differentiate it from traditional financial markets. For example, in the case of Bitcoin futures contracts, there are two main types: quarterly and perpetual.
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Maria
Fri Aug 30 2024
A BTCUSD Quarterly contract, such as the 0925 contract, is tied to a specific expiration date. This contract will terminate on 25 September 2020, at 08:00:00 UTC, marking the end of its trading period.
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HanbokElegance
Fri Aug 30 2024
In contrast, Bitcoin futures perpetual contracts are designed to have no expiration date. This allows traders to hold positions indefinitely, providing greater flexibility and convenience.
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Chiara
Thu Aug 29 2024
Funding fees are calculated based on the difference between the perpetual contract's price and the underlying spot price of Bitcoin. The fees are then distributed peer-to-peer among traders, adjusting their positions accordingly.
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