Any good reason you prefer perpetual to future?

[Oshosondy]

Trading perpetual and future are different. Exchanges are calling all of them future market which can be confusing.

Did you know that both market are not the same, although they mean the same thing with the exception of the funding rate that makes them different. I think many traders does not even know their differences but they are only trading perpetual.

What makes you as a trader prefer perpetual derivative to future derivative? Or you even do not know they are not the same?

[shinratensei_]

Exchanges use the term interchangeably it kinda lose its meaning. I know its different but I never cared enough to find out what's make it different so I fall under the category of not knowing if they are not the same I guess.
Although I just find out the real difference, I think i prefer perpetual because the price is closer to the underlying asset price and thats it.

Always hated future market where price diverge from the underlying asset because it seems unfair to me.

[AVE5]

Trading perpetual and future are different. Exchanges are calling all of them future market which can be confusing.

I wouldn't want to stress too much about this but what I can only say is that since they're both predicting the future price, it's literally mean that they're both future market traders while the perspective of their trading differs in the category of timing or durations.
This is just like when we say short term investors with the emotions or excitements to sell when the price is high or falling out of Fomo at a specific time are regarded as traders while those holding timelessly with a long time plans are the core investors. But in nutshell, they're both on the category of investors.

[Oshosondy]

Although I just find out the real difference, I think i prefer perpetual because the price is closer to the underlying asset price and thats it.

Always hated future market where price diverge from the underlying asset because it seems unfair to me.

You are right about this, I also noticed this, but I only noticed this just during this bull market. I do not think the price will fall more than expected during the bear market also. I noticed when the perpetual market was falling very well, the future market fell too but not more than how it fell in perpetual market. If I wish to hold my position, I think future market is better.

[tvplus006]

...What makes you as a trader prefer perpetual derivative to future derivative? Or you even do not know they are not the same?

They have a fundamental difference between each other, which is that you can hold perpetual indefinitely, while futures have a specific expiration date. This is the reason why I choose an indefinite derivative, because I can close my order ahead of schedule if the price moves in the opposite direction to my expectations, and thereby reduce my losses.

[Bitcoin_Arena]

Did you know that both market are not the same, although they mean the same thing with the exception of the funding rate that makes them different. I think many traders does not even know their differences but they are only trading perpetual.

Yes and most exchanges mix up the whole thing too making traders not to know the actual difference

What makes you as a trader prefer perpetual derivative to future derivative? Or you even do not know they are not the same?

As a trader, I prefer perpetual derivatives to futures. Maybe the whole thing grew on me but that part where there is no expiry as compared to the futures works for me especially if a position is opened with a very low leverage.

I also like the funding rates. One can actually take advantage of arbitrage trading those funding rates, especially with perpetual futures of very volatile coins

[DPHOR]

Trading perpetual and future are different. Exchanges are calling all of them future market which can be confusing.

Did you know that both market are not the same, although they mean the same thing with the exception of the funding rate that makes them different. I think many traders does not even know their differences but they are only trading perpetual.

What makes you as a trader prefer perpetual derivative to future derivative? Or you even do not know they are not the same?

This is my first time of having this idea that both are not the same, like before I was having this feelings that both operate and function the same. This is how I classified those market; future, options and margins and perpetual trading. All these market are seen as one but seeing that someone who have experience in trading said they are not the same, although I haven't tried them rather what i do trade is only on spot trading which I found it more comfortable to trading on.

[Gozie51]

From the name perpetual, we could have an idea that it is a longtime hodling of your position and future is the normal trading pattern that traders understand with stock or forex trade where a seller is ready to sell at point A and buyer picks it up at point B therefore terminating the seller's position as profit (TP). I think I prefer the latter but they are both regarded as futures and used interchangeably by exchanges.

In forex brokers platform (fiat), I think it is regarded as futures.

[Dunamisx]

Trading perpetual and future are different. Exchanges are calling all of them future market which can be confusing.

Did you know that both market are not the same, although they mean the same thing with the exception of the funding rate that makes them different. I think many traders does not even know their differences but they are only trading perpetual.

What makes you as a trader prefer perpetual derivative to future derivative? Or you even do not know they are not the same?

Most traders that are not paying much attention on this, many think they are the same, whereas there's little difference that makes them stand uniquely from each other, but as the case maybe, some exchanges even make it more confusing because they often use the two terms on the same concept, despite they ought to be treated differently from each other as they have been.

[bettercrypto]

Trading perpetual and future are different. Exchanges are calling all of them future market which can be confusing.

Did you know that both market are not the same, although they mean the same thing with the exception of the funding rate that makes them different. I think many traders does not even know their differences but they are only trading perpetual.

What makes you as a trader prefer perpetual derivative to future derivative? Or you even do not know they are not the same?

In my opinion, perpetual and futures are the same. If you place the wrong position, your funds get burned, and if it's correct, you get a profit. Simple logic, right?
We only differ in how we set up our indicators, execute our analysis, and so on.

They may have different terms, but their execution is the same once we have our final analysis for a trading activity, whether we take a long or short position and set our TP
(Take Profit) and SL (Stop Loss) as traders.

[Shishir99]

Did you know that both market are not the same, although they mean the same thing with the exception of the funding rate that makes them different. I think many traders does not even know their differences but they are only trading perpetual.

I am not a regular trader myself. I had no idea that both are different, and I still don't know what makes them different. I thought there were two types of trading on exchanges: futures trading and spot trading. I did not trade crypto out of centralized exchanges. Since the exchanges call both of them future trades, that is what I know so far. You can't blame me for not knowing that 

I think it is similar to real P2P and P2P on centralized exchanges, which is not the real P2P. The exchange is the middle here, yet we call it P2P. But I think most of us are fine with that since we have been using the centralized exchanges without complaints.

[armanda90]

In my opinion, perpetual and futures are the same. If you place the wrong position, your funds get burned, and if it's correct, you get a profit. Simple logic, right?
We only differ in how we set up our indicators, execute our analysis, and so on.

They may have different terms, but their execution is the same once we have our final analysis for a trading activity, whether we take a long or short position and set our TP
(Take Profit) and SL (Stop Loss) as traders.

I am not really popular with perpetual trading but know well about future trading, behind fund get liquid between perpetual and future what kinds specific difference both of trading? So far I trade future and there are have two position opening between long or short getting liquid depend how bigger leverage and how much fund margin make far away from liquidation.

Seems future trading still interested for any trader right now because have faster to earn much profit and we can earn profit opportunity during market get up or down, regarding CHATGPT information I got the same way between perpetual and future trading how bigger risk for both kinds of trading. No way off anticipation about our fund get liquidation difference with spot trading not matter how decreasing price of coins buy still get the same just have decreasing valuable only.

[Powerjumboo]

Trading perpetual and future are different. Exchanges are calling all of them future market which can be confusing.

Did you know that both market are not the same, although they mean the same thing with the exception of the funding rate that makes them different. I think many traders does not even know their differences but they are only trading perpetual.

What makes you as a trader prefer perpetual derivative to future derivative? Or you even do not know they are not the same?

As much as I know about trading, I know about spot trading. I don't know much about perpetual trading derivatives etc., which is why I can't compare the differences here. I have only recently joined spot trading and have only been involved in Bitcoin, and I have not traded in altcoins, meme coins, shitcoins, etc. because the person from whom I have some experience has completely forbidden me from trading in all these coins and he has also told me not to get involved in futures trading until I have the maximum experience.

[programmer3666]

Trading perpetual and future are different. Exchanges are calling all of them future market which can be confusing.

Did you know that both market are not the same, although they mean the same thing with the exception of the funding rate that makes them different. I think many traders does not even know their differences but they are only trading perpetual.

What makes you as a trader prefer perpetual derivative to future derivative? Or you even do not know they are not the same?

yes true fact i think most people this days just call everything futures but in actual reality perpetual & traditional futures are not the same... Perpetuals don’t have an expiry date, so you can just hold the position for as long as you want in the market, but the funding rate is what balances it with the spot market... but the traditional futures on the other hand always come with an expiry date, so at some point you either settle or roll over into a new contract... i believe that’s why sometimes they trade at a premium or discount depending on market sentiment. Me i prefer perpetuals because they are more flexible and you don’t have to worry about rollovers or contract dates catching up with you at any point.. but another thing is that funding rate can become a problem if you decide to kind of hold for too long especially when the rate flips against you in a strong bull or bear trend... that can just quietly eat into your profits or even increase your losses if you are not paying good attention to your wallet.

[MithiRM]

 A trader prefers perpetuals because they offer a simpler, more liquid, and seamless experience for speculating on price movements without the complexities of contract expiration dates. Traditional futures serve a different purpose, often for more institutional or long-term hedging strategies.
You're right many traders probably don't know the difference, but they are using the instrument that is, by design, better suited for their speculative goals.

[Hyphen(-)]

Trading perpetual and future are different. Exchanges are calling all of them future market which can be confusing.

Did you know that both market are not the same, although they mean the same thing with the exception of the funding rate that makes them different. I think many traders does not even know their differences but they are only trading perpetual.

What makes you as a trader prefer perpetual derivative to future derivative? Or you even do not know they are not the same?

I don’t actually know the difference between the two types of trading; I only know about future trading and spot trading. I don’t know anything about perpetual trading. My main thought is usually that they are the same thing, except that some exchanges decide to use the word “perpetual” instead of “future trading.”

Sometimes, I do prefer to trade futures instead of spot if I am too confident about the trade I am about to do; I will prefer to trade in the future with little leverage, like 20x, so as to know my fate within a short period of time instead of buying to hold the coin.
The only coin I do confidently hold is Bitcoin; I do only trade some for short-term profit's sake.

[Charles-Tim]

Sometimes, I do prefer to trade futures instead of spot if I am too confident about the trade I am about to do; I will prefer to trade in the future with little leverage, like 20x, so as to know my fate within a short period of time instead of buying to hold the coin.
The only coin I do confidently hold is Bitcoin; I do only trade some for short-term profit's sake.

20x? That is high leverage to me. When bitcoin traded at $120000 recently, the liquidation for long will be around $114100 or with just little price difference from this. I have used 20x before and I lost the money. So I decided to be using not more than 5x which I still see to be very risky in some highly volatile market and it is not easy at all to see your money in losses.

It is worth knowing that their general name is derivatives as long as they are not in spot market.

[Agbamoni]

I had always thought both perpetual trading and future trading were the same thing. I thought they were about predicting the price going up or down. I guess I was wrong. Although I have been wondering why someone will prefer perpetual trading over future trading. Perhaps because I cant spot out the difference in the past. Amway, thank you for pulling this topic out. I will try to understand them both properly and know which fits in for me.

[internetional]

1. Futures are not available for every asset.
2. Futures are not listed on every trading platform.
3. Where both futures and perpetual swaps exist, the perp order books are usually deeper and trading volumes higher, which results in faster execution of limit orders.

I think these are the three main reasons why people choose perps over futures.

Has anyone here traded perpetual options on the ParaDex exchange? Can you describe the most important practical differences compared to regular (expiring) options?

[Oshosondy]

1. Futures are not available for every asset.
2. Futures are not listed on every trading platform.
3. Where both futures and perpetual swaps exist, the perp order books are usually deeper and trading volumes higher, which results in faster execution of limit orders.

This deserves merit but I do not have any merit left. But about fast execution time, you have no problem on the exchange future is existing, the volume of coins there are traded in a way that fast execution are guaranteed. That is the reason you will noticed on most exchanges, almost all pairs are not there but just the common ones like BTCUSDT and ETHUSDT. On some exchanges, I see SOLUSDT.