What is perpetual futures?Perpetual
A derivative contract with no expiration that uses the funding rate to keep its price close to spot.
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- Arbitrage StrategiesFunding Rate Arbitrage: Risk-Free on the Surface
Buy spot and short an equal amount of perpetual futures: price moves cancel out and you just collect the funding rate. Is it really risk-free?
- Crypto BasicsPerpetual Futures and Funding Rates
Contracts with no expiry date use a "funding rate" to stay close to spot: longs and shorts regularly pay each other a fee.
Related terms
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Go to “Funding Rate Arbitrage: Risk-Free on the Surface”