Continuum Logocontinuum
Trading

What Is Perpetual Futures (Perps)?

Futures contracts with no expiration date that track an underlying asset.

Definition

Perpetual futures are derivative contracts that let you speculate on asset prices with leverage, without expiration. Unlike traditional futures, perps never settle - positions can be held indefinitely.

How It Works

You open a long or short position with margin. Funding rates periodically exchange payments between longs and shorts to keep the perp price close to the spot price. Leverage amplifies gains and losses.

In Continuum

Continuum synthetics differ from perps: they're tokens, not contracts. No funding rates, no expiration, and full DeFi composability. For high leverage, perps excel. For long-term holds, synthetics win.

Related Terms

Funding Rate

Periodic payments between long and short traders in perpetual futures.

Leverage

Using borrowed capital to amplify the potential returns (and risks) of a position.

Synthetic Asset

A token that tracks the price of another asset without requiring ownership of the underlying.

More Trading Terms

LiquidationLeverageFunding RateArbitrage

Get early access to Continuum and trade synthetic assets 24/7 on Solana.

Get Early Access