One day in the crypto world is like ten years in reality

Core Mechanisms of Contract Trading

‌Contract Type Comparison‌

‌Perpetual Contracts‌: No expiration date, anchored to spot prices through a funding rate mechanism, suitable for high-frequency traders‌‌3‌‌4

‌Delivery Contracts‌: Fixed expiration date (e.g., end of the quarter), commonly used by miners for hedging, prone to significant price fluctuations before delivery‌‌1

‌U-based and Coin-based‌: USDT pricing offers more intuitive risk, while BTC as collateral has anti-inflation characteristics‌‌4

‌Leverage Operation Principles‌

Leverage is essentially a capital amplifier (e.g., using 10x leverage to control a position of 100,000 with 10,000), but high leverage significantly reduces fault tolerance‌‌2‌‌3

Calculation Formula: Margin = Position Value / (Leverage × Latest Price), maintenance margin rate typically needs to be above 0.5%‌‌4

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