How Do Crypto Perpetual Exchanges Handle Funding Rates, PnL, and Position Management?

Tue, 30 Dec 2025 11:41:37 +0000

Perpetual exchanges have become a cornerstone of the cryptocurrency trading ecosystem, offering traders the ability to gain exposure to price movements without owning the underlying asset. A unique feature of these platforms is high-leverage trading, where traders can open positions far larger than their account balance. While leverage magnifies potential gains, it also amplifies risk, making safety measures critical. This article explores the mechanisms, strategies, and technological frameworks that allow crypto perpetual exchanges to provide high-leverage trading safely.