Understanding RWA Perpetuals
RWA Perpetuals (Real World Asset Perpetuals) are a type of perpetual futures contract that allows traders to gain leveraged exposure to traditional financial assets on decentralized exchanges. Unlike crypto perpetuals that track digital assets, RWA perpetuals track commodities like gold and oil, currency pairs like EUR/USD, and other traditional market instruments.
These derivatives never expire, making them different from traditional futures which have set expiration dates. They use a funding rate mechanism to keep the perpetual price anchored to the underlying asset's spot price.
RWA perpetuals represent a significant bridge between traditional finance and DeFi, enabling 24/7 trading of traditionally restricted markets without intermediaries. This innovation allows anyone with an internet connection to access markets that were previously limited to institutional investors or those with brokerage accounts.