Crypto perpetual futures are derivative contracts without an expiration date, allowing traders to speculate on the price movements of underlying crypto assets. Unlike traditional futures, they have funding rate payments between long and short positions, which help keep the price of perpetual futures close to the spot price of the underlying crypto.

To meet regulatory requirements, customers must successfully pass an onboarding test before trading perpetuals. This process includes answering questions about their investor profile (e.g., source of income, monthly income, total value of cash and investments, investment goals, and planned investment amount) and their knowledge and experience with leveraged products, including risk warnings. A scoring system is used to determine eligibility.

The Appropriateness Assessment Matrix is used to evaluate a client's knowledge, experience, financial circumstances, customer intentions, risk awareness and tolerance to determine if trading derivatives is suitable for them. It assigns points based on answers to various questions, with maximum scores allocated to different categories.

You can view all the crypto assets and perpetual futures contracts supported on Robinhood directly in the app. You can find them in Explore, use the Search bar, or in the Perpetuals page.

• Buying Power refers to all funds that can be used on Robinhood for spot trading, perpetuals, or tokenized stocks.
• Available Margin is the amount of margin available for opening a new position and will fluctuate based on factors like position type (isolated/cross) and margin currency.

By default, Margin Required and Margin Available will be shown in USD as an estimate, with the option for you to see the actual EUR amount of margin being used from your Robinhood buying power. Buying Power is displayed in EUR and it reflects funds in your Robinhood balance that can be used to open new perpetuals positions, trade crypto, or buy tokenized stocks. Buying power is an input to Margin Available. Margin Available shows how much margin can be applied to trade a perpetual.

Liquidation states

• Partial liquidation: Occurs when the maintenance margin ratio exceeds 100%. Customers are liquidated until the MM reaches 50-75% of initial margin required.
• Close-out liquidation: Full liquidation occurs when a customer’s position has breached the close-out margin ratio requirement (which is 5% of position notional) or for position sizes less than €100 with an MMR > 100%. At this point, the position is fully liquidated.
• Auto-deleveraging (ADL): Profitable positions can be automatically liquidated to cover losses from other liquidations that cannot be fully covered by the market.
• Socializing losses: If a platform cannot cover losses from liquidations, the remaining losses are shared across other traders with open positions in the same contract.
• Automatic contract shutdown: If the market becomes unstable or in extreme circumstances, all positions in a contract may be liquidated.

Fees

• Liquidation fee: Charged 5 bps (0.05%) of total notional liquidated by the partner venue for partial or full liquidations.

Check out Perpetual futures fees for more information and details about other fees.

If you have open limit orders for a current 3x isolated BTC position and want to lower the amount of leverage on a new isolated position, you cannot adjust the leverage and must cancel the open limit orders first.

Yes. If you close a position and realize a gain or loss, that outcome may be subject to taxes under your local tax laws.

Robinhood Europe, UAB (“RHEU”) (company code: 306377915) is authorized and regulated by the Bank of Lithuania (“BoL”) as a financial brokerage firm and a crypto-asset service provider. RHEU’s registered address is: Mėsinių 5, LT-01133 Vilnius, Lithuania; address for correspondence: Konstitucijos pr, 21A (QUADRUM East), LT-08130, Vilnius, Lithuania; website.