Both let you trade an asset's price without owning it, and both allow leverage. The key structural difference — expiry or no expiry — changes how each one behaves and who tends to use them.
The dominant contract type in crypto. Never expires, held indefinitely, price kept close to spot via the funding rate mechanism paid between longs and shorts every 8 hours.
Expires on a specific date (weekly, quarterly). No funding rate — instead, the contract price naturally converges to the spot price as expiry approaches, a process called convergence.
When dated futures trade above spot (contango), it often reflects bullish expectations or cost-of-carry. When they trade below spot (backwardation), it can signal bearish sentiment or high demand for immediate delivery.
Perpetuals suit active traders who want flexibility with no expiry management. Dated futures suit those who want to avoid funding rate costs on long-held directional bets, or who are hedging a specific future date.
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