What are some examples of perpetuity in the cryptocurrency industry?

3 answers

• David Appiah-GyimahDec 28, 2020 · 5 years ago
  Sure! One example of perpetuity in the cryptocurrency industry is the concept of perpetual contracts. These are derivative contracts that have no expiration date, allowing traders to hold positions indefinitely. Perpetual contracts are commonly used in cryptocurrency futures trading, providing traders with the ability to profit from both rising and falling markets without the need for physical delivery of the underlying asset. They are settled in cryptocurrency and typically track the price of the underlying asset through a funding mechanism. This perpetual nature of contracts provides flexibility and continuous trading opportunities for market participants.
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• Napat LilitSep 23, 2021 · 4 years ago
  Absolutely! Another example of perpetuity in the cryptocurrency industry is the concept of perpetual income streams. Some cryptocurrencies, such as certain staking coins, offer the opportunity to earn passive income by holding and staking the coins in a wallet. Staking involves participating in the network's consensus mechanism and earning rewards for validating transactions and securing the blockchain. This perpetual income stream can provide a steady flow of additional coins over time, allowing holders to benefit from their investment beyond just capital appreciation.
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• EftimeMar 11, 2023 · 2 years ago
  BYDFi, a leading cryptocurrency exchange, offers perpetual contracts as one of its trading products. These contracts allow traders to speculate on the price movement of various cryptocurrencies without the need for physical ownership. With BYDFi's perpetual contracts, traders can take advantage of leverage to amplify potential profits or losses. The perpetual nature of these contracts means that traders can hold positions for as long as they desire, providing flexibility and continuous trading opportunities. BYDFi's perpetual contracts are settled in cryptocurrency and are designed to closely track the price of the underlying asset, offering traders a seamless trading experience.
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