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Which Type of Settlement Is More Common in Cryptocurrency Futures and Why?

Cash settlement is significantly more common in cryptocurrency futures. This preference is driven by the high volatility and logistical challenges associated with physically delivering crypto assets.

Cash settlement simplifies the process, requires less infrastructure for asset custody, and is more efficient for large-scale trading by institutional participants.

Why Are Most Cryptocurrency Futures Contracts Cash-Settled Instead of Physically Settled?
In Cryptocurrency Derivatives, Why Are Cash-Settled Futures More Common than Physically-Settled Ones?
How Does the Settlement Mechanism (Physical Vs. Cash) Affect Pin Risk?
What Is Cash Settlement, and Why Is It Common for Both Types of Crypto Derivatives?