Do All Traditional Financial Derivatives Have an Expiration Date? ⎊ Path

Do All Traditional Financial Derivatives Have an Expiration Date?

Most traditional financial derivatives, such as standard futures and options contracts, have a set expiration date. However, there are exceptions.

For example, some over-the-counter (OTC) derivatives can be structured without a fixed expiration. Perpetual futures are a modern innovation that has gained popularity in the crypto space and is now seeing adoption in traditional markets.

How Does a Perpetual Future Differ from a Traditional Futures Contract?

What Is the Primary Difference between a Perpetual Future and a Traditional Futures Contract?

What Regulatory Differences Exist between Dark Pools and OTC Trading in Traditional Finance, and How Does This Apply to Crypto?

Is the 60/40 Rule Mandatory for All Section 1256 Contracts?

Are All Exchange-Traded Derivatives Centrally Cleared?

How Does a Perpetual Future Differ from a Standard Futures Contract?

Does the Funding Rate Exist in Traditional Options or Futures Markets?

How Do Perpetual Futures Contracts Differ from Traditional Futures in the Context of Liquidation?

Glossar

Perpetual Futures

Contract ⎊ Perpetual futures represent a type of financial derivative contract, specifically within the cryptocurrency and options trading space, that replicates the payoff of a traditional futures contract without a fixed expiration date.

Traditional Financial Derivatives

Valuation ⎊ Traditional financial derivatives represent contracts whose value is derived from the performance of an underlying asset, encompassing equities, fixed income, commodities, and currencies; their application within cryptocurrency markets introduces novel complexities due to the inherent volatility and regulatory uncertainty of digital assets.