Crypto Essentials

Most retail traders open a crypto exchange, see “Spot,” “Futures,” and “Perpetuals” as tabs in the same interface, and assume they’re roughly the same thing with slightly different settings. They aren’t. They’re three structurally distinct instruments with different cash flows, different risk profiles, and different ways of going to zero.

The crypto order book looks like transparency. Most traders glance at it and think they’re seeing the market. They’re not. They’re seeing a performance. What You’re Actually Looking At The order book shows two lists: buyers willing to purchase at specific prices (bids) and sellers willing to sell at specific prices (asks). The gap between … Leer más