What Is the Difference between a ‘Swap’ and a ‘Future’ in Crypto Trading?
A swap is a derivative agreement to exchange one stream of cash flows for another, often without a set expiry. A perpetual swap is a type of swap.
A future is a standardized contract to buy or sell an asset at a predetermined price on a specific future date. In crypto, 'swap' often refers to an instant token exchange on a DEX.
Glossar
Predetermined Price
Contract Parameter ⎊ A Predetermined Price, often referred to as the Strike Price in options terminology, is the fixed value at which the underlying cryptocurrency asset can be bought or sold if the option contract is exercised.
Instant Token Exchange
Mechanism ⎊ Instant Token Exchange represents a protocol facilitating the atomic swap of digital assets, eliminating intermediary custody risks inherent in conventional exchange models.