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July 18, 2024
Basic, Cryptocurrency Futures Guide

What does a high funding rate mean for Bitcoin?

In perpetual futures contracts, a high funding rate for Bitcoin refers to a rate that exceeds the baseline rate of 0.01%. Generally, the maximum upper limit for Bitcoin funding rates is

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July 9, 2024
Advanced, Basic, Cryptocurrency Futures Guide

What does a negative funding rate mean?

A negative funding rate means that short positions in perpetual futures contracts must pay funding to long positions. This typically occurs when the price of the perpetual futures contract is

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July 2, 2024
Advanced, Basic, Cryptocurrency Futures Guide

What is Funding Rate Arbitrage?

Funding rate arbitrage can be divided into two types: Funding rate arbitrage between spot and perpetual: Funding rate arbitrage between spot and perpetual contracts refers to simultaneously executing two trades

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June 14, 2024
Basic, Cryptocurrency Futures Guide

What is the purpose of a funding rate?

The purpose of a funding rate in perpetual futures contracts is to ensure that the price of the contract stays close to the underlying asset’s price. The funding rate achieves

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June 6, 2024
Basic, Cryptocurrency Futures Guide

How do you avoid liquidation in crypto trading?

To avoid liquidation in crypto trading, here are some tips that traders can consider: Proper Risk Management: It’s essential to manage risk properly when trading cryptocurrencies. Traders should only invest

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May 31, 2024
Basic, Cryptocurrency Futures Guide

Who Gets the Money When You Get Liquidated on Crypto Futures Trading?

When a trader is liquidated on a crypto futures trade, any remaining margin in their account is used to cover their losses. If the losses exceed the available margin, the

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May 15, 2024
Basic, Cryptocurrency Futures Guide

What are the differences between spot trading and futures trading in cryptocurrency?

In the cryptocurrency market, spot trading and contract trading are two common methods of trading, with their main differences lying in trading methods and products. Spot trading refers to buying

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May 9, 2024
Basic, Cryptocurrency Futures Guide

what is Risk reserve funds?

Risk reserve funds are designed to protect bankrupt traders from adverse losses and ensure that profitable traders receive full profits. The main purpose of the risk reserve fund is to

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May 8, 2024
Basic, Cryptocurrency Futures Guide

How to Manage Risk in Cryptocurrency Contract Trading?

To manage risks in cryptocurrency contract trading, traders should first set clear risk management goals and strategies based on their risk tolerance and investment objectives. They should also keep track

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April 22, 2024
Basic, Cryptocurrency Futures Guide

What are USDT-margined contracts and Coin-margined contracts, and what is the difference between them?

Coin-margined contracts use cryptocurrencies as the settlement currency, instead of stablecoins as collateral. Each contract has a multiplier that reflects its value. For example, a BTC contract is worth $100

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