🟪Perpetual Futures
Last updated
Last updated
At Ultron Vault, we have adopted operations in perpetual cryptocurrency futures. These operations are becoming increasingly popular among cryptocurrency investors and offer a number of benefits over traditional futures.
Another advantage of perpetual futures is that they generally have a funding rate for keeping positions open for an extended period of time. This rate can be positive or negative, depending on market demand, which means that investors can profit from this rate if they know how to trade wisely.
Suppose you want to trade Bitcoin perpetual futures with a 10x leverage. You decide to open a long position of 1 BTC at a price of $50,000. The initial margin required is 10%, which means you need to deposit $5,000 to open the position.
Now, suppose the price of Bitcoin rises to $55,000 and you decide to close the position. You made a profit of $5,000 in the trade, which is a 100% return on the initial margin. However, if the price of Bitcoin falls to $45,000, you will have a loss of $5,000 in the trade, which represents a 100% loss on the initial margin.
Ultron Vault's perpetual futures are an interesting option for cryptocurrency investors who want to hold long-term positions and diversify their investment portfolios.