Future or spot ? Perps now anchor crypto, for better or worse
Perpetual futures, or “perps,” now sit at the crypto market’s center of gravity. These are derivative contracts with no expiry date — unlike traditional futures, they never settle, instead using a funding rate mechanism to keep prices in line with spot markets. In essence, perps let traders hold leveraged positions indefinitely, turning speculation into a 24/7 feedback loop that never closes.
With expiry dates gone now and exposures being updated in real time, risk never stands still. This keeps order books deep and helps markets absorb shocks faster
But
Liquidity cuts both ways
Perps 2.0: The next phase of risk control in crypto
So, the way forward is clear — make risk management a built-in feature, not an afterthought. Perps are here to stay, which means risk management has to be part of the system’s design itself. It should live in every trade, on every venue, in every moment. That’s what will decide whether perps become crypto’s foundation or its undoing.$BTC
