Perpetual Swaps Explained: How Crypto’s $40-50 Trillion Trading Engine Works
Perpetual swaps, or perps, have become the dominant trading instrument in cryptocurrency markets, processing an estimated $40 to $50 trillion in annual volume. Yet despite their ubiquity among professional traders, hedge funds and retail speculators, the mechanics that make them function remain poorly understood by many market participants. Understanding perps requires first examining the problems…
