2 Comments
User's avatar
Kaustav Chaudhuri's avatar

can you also explain the role of perpetual futures here on arbitrageur or LP hedging? vs the standard CME futures

Expand full comment
Hein Tibosch's avatar

Perpetual future funding rates have the same dynamics as the basis trade. Main difference between the two is dat CME futures & ETFs are centrally cleared, which makes it more secure for traditional parties to trade CME vs ETF.

Expand full comment