Perpetual futures, or perps, are derivatives contracts that offer leveraged exposure to an asset without an expiration date, unlike traditional futures. The appeal of perps lies in their ability to fix inefficiencies in traditional futures markets. By trading continuously and staying aligned with spot markets through a funding mechanism, perps eliminate the need for contract rolls every month or quarter. This structure has created new strategies in crypto markets, making perps useful for directional bets, yield, and risk management. Ondo Finance has applied the perpetual model to real world assets, allowing users to trade perpetual futures linked to equities, ETFs, and commodities on a continuous basis. The simplicity and transparency of perps could make them relevant for professional traders in the future.

Read more at Yahoo Finance: Ondo’s DeFi lead explains why perpetual futures keep growing