Perpetual Protocol: Liquidity for DeFi Perpetual Swaps

Perpetual Protocol is a DeFi project focused on perpetual swaps. The project launched the first version of its mainnet on December 14th. In August, Perpetual Protocol raised a $1.8 million round led by Multicoin Capital, with participation from Three Arrows Capital, CMS Holding, and Alameda Research.

A perpetual swap is a financial contract where a buyer is buying synthetic exposure to a financial asset and a seller is shorting exposure to that same asset. Perpetual refers to the synthetic asset having no expiration date — unlike a futures contract that settles at some date. Exposure is maintained perpetually. The price of a futures contract converges to the spot price because, at expiration, the payout is tied to the spot price.