Instruments

What Kind of Instruments can I trade on PepperDEX / Hxro Network?

Currently, PepperDEX supports the trading of perpetual futures and zero-day futures, with the capacity to offer expiring futures as well.

Perpetuals

Perpetual futures contracts are financial derivatives that resemble traditional futures but with no expiration date, allowing positions to be held indefinitely. They offer leverage, enabling traders to amplify their exposure to price movements. A unique feature is the funding rate mechanism, which adjusts periodically to keep the contract's price aligned with the underlying asset's market price. These contracts are widely used for speculative trading in various markets.

Zero-Day Futures

Zero-Day Futures, or ZDFs, are futures instruments with a 25-hour expiry cycle, enabling short-term speculation on numerous altcoins! Zero-Day Futures are completely new to crypto and are defined below:

• ZDFs are similar to 0DTEs in TradFi but represent a future contract with a day to expiry.

• These are at-the-curve futures contracts, unlike perpetuals.

• They are margined in USDC, and PnL payoff happens in USDC too.

• 24 hours of 25 are dedicated towards trading, whereas the additional hour is dedicated towards settlement.

• Positions are automatically settled to cash if they are not rolled over to the next contract.

• There is NO funding rate component.