How Are Crypto Futures Contracts Typically Settled? ▴ Learn

How Are Crypto Futures Contracts Typically Settled?

Crypto futures contracts are predominantly settled in cash, meaning the difference between the contract price and the settlement price is exchanged in fiat or stablecoins, rather than physical delivery of the underlying cryptocurrency. Some platforms offer physical settlement, but cash settlement is more common, especially for perpetual futures.

Why Is Variation Margin Not Typically Required for Physically-Settled Futures Contracts?

How Does a Clearing House Handle Settlement for Physically-Delivered Vs. Cash-Settled Futures?

Explain the Difference between Physically-Settled and Cash-Settled Futures Contracts

Name a Major Crypto Options Exchange That Offers Both Settlement Types