How does CoinEx play perpetual contracts?

Perpetual contracts on CoinEx allow traders to speculate on future asset prices, requiring no asset delivery on expiration since they have no due date.

Nov 27, 2024 at 05:02 am

How does CoinEx play perpetual contracts?

Perpetual contracts, also known as perpetual futures or inverse swaps, are a type of derivative financial instrument that allows traders to speculate on the future price of an underlying asset without having to take delivery of the asset itself. Perpetual contracts are similar to futures contracts, but they do not have an expiration date, which means that they can be held indefinitely.

CoinEx is a popular cryptocurrency exchange that offers perpetual contracts on a variety of digital assets, including Bitcoin, Ethereum, Litecoin, and Ripple. To play perpetual contracts on CoinEx, you will need to:

1. Create an account on CoinEx. You can do this by visiting the CoinEx website and clicking on the "Sign Up" button.
2. Deposit funds into your account. You can do this by transferring cryptocurrency from another exchange or wallet, or by purchasing cryptocurrency with a credit card or debit card.
3. Find the perpetual contract that you want to trade. You can do this by clicking on the "Contracts" tab on the CoinEx website.
4. Place an order. You can do this by clicking on the "Buy" or "Sell" button on the order form.
5. Monitor your position. You can do this by clicking on the "Positions" tab on the CoinEx website.

Perpetual contracts can be a complex investment product, so it is important to understand the risks involved before you start trading. Some of the risks of trading perpetual contracts include:

• The price of the underlying asset can fluctuate dramatically. This means that you could lose money if the price of the asset moves in the opposite direction of your prediction.
• Leverage can magnify your losses. Leverage is a tool that allows you to trade with more money than you have in your account. This can increase your potential profits, but it can also increase your potential losses.
• Margin calls. If the price of the underlying asset moves against you, you may be required to deposit more funds into your account to cover your losses. If you do not deposit enough funds, your position may be liquidated, and you could lose all of your investment.

If you are new to perpetual contracts, it is important to start with a small amount of money and to trade with caution. You should also make sure that you understand the risks involved before you start trading.

Step-by-Step Guide to Playing Perpetual Contracts on CoinEx

1. Create an account on CoinEx.

To create an account on CoinEx, visit the CoinEx website and click on the "Sign Up" button. You will need to provide your email address, create a password, and agree to the terms of service.

Once you have created an account, you will need to verify your email address. To do this, click on the link in the verification email that CoinEx sent you.

1. Deposit funds into your account.

You can deposit funds into your CoinEx account by transferring cryptocurrency from another exchange or wallet, or by purchasing cryptocurrency with a credit card or debit card.

To deposit cryptocurrency from another exchange or wallet, click on the "Deposit" button on the CoinEx website. You will need to select the cryptocurrency that you want to deposit and provide the deposit address.

To purchase cryptocurrency with a credit card or debit card, click on the "Buy Crypto" button on the CoinEx website. You will need to select the cryptocurrency that you want to purchase and provide your payment information.

1. Find the perpetual contract that you want to trade.

You can find the perpetual contract that you want to trade by clicking on the "Contracts" tab on the CoinEx website.

On the Contracts page, you will see a list of all of the perpetual contracts that are available on CoinEx. You can filter the list by asset, margin, and leverage.

1. Place an order.

To place an order, click on the "Buy" or "Sell" button on the order form.

On the order form, you will need to specify the order type, the order size, and the order price.

The order type can be either a limit order or a market order. A limit order is an order to buy or sell a specific amount of cryptocurrency at a specific price. A market order is an order to buy or sell a specific amount of cryptocurrency at the current market price.

The order size is the amount of cryptocurrency that you want to buy or sell.

The order price is the price at which you want to buy or sell the cryptocurrency.

1. Monitor your position.

You can monitor your position by clicking on the "Positions" tab on the CoinEx website.

On the Positions page, you will see a list of all of your open positions. You can view the profit and loss for each position, as well as the margin that is being used to maintain the position.