Can the perpetual contract leverage be adjusted at any time?
The lever of a permanent contract can be adjusted at any time. Investors can set and adjust flexibly according to their needs, including adjusting the leverage or margin after opening positions. When traders are in a profitable state, they can increase leverage to amplify the rate of return. When in a loss state, you can reduce the probability of short positions by adding margin or reducing leverage. At present, perpetual contract leverage can flexibly control the input cost and obtain greater return on investment.
What does permanent contract leverage mean?
Perpetual contract is a new type of contract, which evolved from the traditional futures contract. However, compared with futures contracts, perpetual contracts have no expiration date or settlement date, which is more like the spot market of margin. Therefore, its trading price is close to the price of the basic reference index. Because perpetual contracts have no delivery date, they are more suitable for long-term positions.
According to investment standards, perpetual contract leverage is beneficial to investors. When the market fluctuates, high leverage will directly amplify the income and greatly improve the utilization rate of funds. And for investors, there is no expiration time and they can hold positions for a long time. It should be noted that the forward contract has low risk and small fluctuation, while the reverse contract has high risk and large fluctuation.