Understanding Perpetual Contracts
OKX Perpetual Contracts are settled in digital assets, allowing traders to profit from price movements by going long or short. Unlike traditional futures contracts, perpetual contracts have no expiration date - they never expire.
Key Features:
- No fixed settlement date
- Continuous trading opportunities
- Price anchoring mechanism via funding rates
- Mark price system reduces unnecessary liquidations
Getting Started with Perpetual Contracts
1. Fund Transfer Process
Before trading perpetual contracts, you'll need to transfer assets to your perpetual contract account:
- Navigate to Asset Management in the top-right corner
- Select Fund Transfer
- Choose your desired cryptocurrency
- Transfer from Spot Account to Perpetual Contract Account
- Enter amount and confirm transfer
👉 Discover seamless fund transfers on OKX
2. Selecting Contract Types
OKX offers two types of perpetual contracts:
- Coin-margined contracts (denominated in crypto)
- USDT-margined contracts (denominated in stablecoin)
Choose based on your trading strategy and risk tolerance.
Account Configuration
Margin Modes
- Isolated Margin: Only position-specific funds act as collateral
- Cross Margin: Entire account balance serves as collateral
Leverage Settings
- Adjustable from 0.01x to 125x
- Higher leverage increases both potential profits and risks
Trading Units
Choose between:
- Contract counts (numbers)
- Coin quantities
Order Execution
Order Types Available:
- Limit orders
- Advanced limit orders
- Stop-loss/take-profit orders
- Market orders
Trading Process:
- Enter desired price and quantity
- Click "Buy" for long positions or "Sell" for short positions
- Monitor positions in your portfolio
👉 Master advanced trading strategies
Key Differences: Perpetual vs. Delivery Contracts
| Feature | Perpetual Contracts | Delivery Contracts |
|---|---|---|
| Expiration | None | Fixed dates |
| Funding Mechanism | Yes | No |
| Mark Price | Yes | No |
Frequently Asked Questions
What's the minimum investment for perpetual contracts?
There's no set minimum - it depends on the contract specifications and your chosen leverage.
How often are funding rates applied?
Typically every 8 hours, but this can vary by contract.
Can I lose more than my initial investment?
With isolated margin, losses are limited to the position's collateral. With cross margin, theoretically yes if positions move dramatically against you.
How does the mark price prevent unnecessary liquidations?
It uses a fair price calculation that reduces volatility-based liquidations during extreme market movements.
What happens if I hold through a funding payment?
Your account will either pay or receive funds based on the contract's funding rate and your position direction.
Are perpetual contracts suitable for beginners?
They can be, but we recommend starting with lower leverage and smaller positions until you're comfortable with the mechanics.