Owning a coin versus a perpetual contract

Compare owning a coin with holding a perpetual contract: margin, liquidation and price gaps.

Module 9 of 26, Crypto: buying coins versus betting on them. Lesson 1 of 6, about 18 minutes.

The takeaway

How the product works is part of the strategy, not a footnote.

This page is a public summary. The full lesson has the worked examples, an interactive exercise and a short quiz, and sits in the course. Lessons 1 and 2 of Module 1 are free and the rest need a pass.

Open this lesson in the course

General information only. It doesn't consider your objectives, finances or needs. Tickfloor holds no financial services licence and never places trades.

Concepts in this lesson

• Funding rate
• Leverage

Previous lesson

• Hedged or unhedged: the currency bet inside an overseas fund

Next lesson

• Funding fees and blockchain data

Related lessons

• Fear gauges: the VIX, funding and sentiment
• Debt, gearing and who gets paid first
• Borrowed money: leverage, margin and liquidation
• CFDs and margin FX in Australia: what ASIC’s rules protect

This lesson's module

• Crypto: buying coins versus betting on them
• All 26 modules and 157 lessons