What Is “Delivery” in the Context of a Physically-Settled Crypto Futures Contract?
Delivery in a physically-settled crypto futures contract means the actual transfer of the underlying cryptocurrency, such as Bitcoin or Ether, from the seller's account to the buyer's account. This typically happens on the exchange's platform, where the exchange acts as an intermediary to facilitate the on-chain or off-chain transfer of the digital assets at the contract's expiration.
The buyer gains full ownership and custody of the coins.