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Are kraken futures settled in crypto?

Futures contracts in crypto are settled through a process called physical delivery or cash settlement.

1. Physical delivery: In this settlement method, the buyer of the futures contract receives the actual underlying asset (cryptocurrency) upon expiration. The seller delivers the asset to the buyer, and the futures contract is closed.

2. Cash settlement: Instead of delivering the physical asset, the value of the contract is settled in cash. The buyer receives the difference between the contract price and the spot price of the cryptocurrency at expiration from the seller.

Last updated 10/14/2023, 1:16:48 AM

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