What Are Perpetual Futures?

Perpetual futures contracts (or perps) are crypto derivatives that allow traders to speculate on the price of an asset without owning it. Unlike traditional futures, they don’t have an expiration date and instead use a funding rate mechanism to tether their price to the spot market.

Key Features:

• Trade long or short with leverage

• No expiry — hold positions indefinitely

• Settle in SUI/USDC

• Funding fees paid between traders to balance long/short positioning

🚀 Spot vs. Perpetual Futures at a Glance

	Spot Trading	Perpetual Futures
Ownership	Direct asset ownership	No ownership — you're trading a contract
Settlement	Immediate	No expiry; settled through margin/funding
Leverage	None (unless using margin)	High leverage available (up to 100x on some platforms)
Volatility Impact	1:1 with price	Gains/losses amplified via leverage
Liquidation Risk	None	High (if margin < maintenance level)
Market Risk	Exchange halts can isolate you	Index pricing avoids manipulation