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Perpetual swaps are crypto derivatives for speculating on prices without owning the asset.
They offer leverage and require caution due to higher risks.
Strategies include trend riding, contrarian trading, and risk management.
Watch out for liquidation risks, funding rates, and market volatility.
Advanced strategies like funding rate arbitrage, gamma scalping, and liquidity vampire offer unique opportunities.
Choose the right exchange, practice risk management, and employ scaling techniques for success.
Introduction: Unraveling the Magic of Perpetual Swaps
Ah, perpetual swap contracts—the mesmerizing instruments of the crypto trading world. If you're a knowledgeable trader like me, you've undoubtedly stumbled upon these captivating financial derivatives. But what are they, really? Buckle up, fellow traders, as we embark on a journey to explore the art and science behind perpetual swap contracts. Get ready to dive into the depths of perpetual swaps, revealing their inner workings, strategies, and the unyielding passion that drives us to master this crucial skill.
Unleashing the Beast: Understanding Perpetual Swap Contracts
At first glance, perpetual swap contracts might seem enigmatic but fear not. We'll decipher their secrets together. Picture this: You've wandered into the thrilling realm of cryptocurrency trading, and there it stands, the perpetual swap contract, beckoning you to take on its challenge.
In simple terms, a perpetual swap contract is a type of derivative product that allows traders to speculate on the price movements of cryptocurrencies without actually owning the underlying asset. It's a perpetual, never-ending contract, designed to replicate the experience of trading an asset in the spot market while adding the flexibility and leverage of traditional futures contracts.
Leveraging the Leverage: How Perpetual Swaps Work
Leverage—the double-edged sword that amplifies gains and magnifies losses. Perpetual swaps, with their potent leverage, are no exception. Let's take a moment to understand how this leverage works in the realm of perpetual swaps.
When you enter a perpetual swap position, you don't need to put up the full value of the contract. Instead, you're required to deposit a fraction of it as collateral, known as the initial margin. This allows you to control a larger position size with less capital. For instance, with a 10x leverage, a $100 deposit can grant you exposure to $1000 worth of the underlying cryptocurrency.
However, beware! Leverage can be treacherous. While it offers the promise of exponential profits, it can also lead to catastrophic losses if the market moves against you. Remember, with great power comes great responsibility.
A Trader's Playground: Perpetual Swap Trading Strategies
Now that we've grasped the fundamentals, it's time to dive into the thrilling world of perpetual swap trading strategies. As seasoned traders, we know that a successful strategy involves more than luck—it requires a blend of artistry, discipline, and calculated risk-taking.
1. The Trend Rider
Ah, the trend rider—a classic among traders. This strategy involves identifying and riding the prevailing trend, be it bullish or bearish. By conducting thorough technical analysis and studying key indicators, we can spot trends and position ourselves for profitable rides.
However, remember that markets are ever-changing, and trends can reverse in the blink of an eye. A true trend rider knows when to hop off the train before it derails.
2. The Fearless Contrarian
The fearless contrarian—a daring breed of traders who thrive on swimming against the current. When the masses are gripped by fear or euphoria, the contrarian sees opportunity. They buy when others panic, and sell when the crowd turns greedy.
This strategy demands a healthy dose of courage and a keen eye for market sentiment. Are you ready to challenge the crowd and seize the day?
3. Risk Management: The Holy Grail
Among all the strategies, one rule stands tall as the holy grail of trading: risk management. It's not the most glamorous, but it's undeniably the most crucial aspect of successful trading. Proper risk management involves setting stop-loss orders, position sizing, and never risking more than you can afford to lose
In the heat of the trading frenzy, it's easy to throw caution to the wind. But remember, the traders who survive and thrive are the ones who play the long game with discipline.
The Road Less Traveled: Perpetual Swap Pitfalls and Challenges
As we tread deeper into the realm of perpetual swap contracts, we mustn't turn a blind eye to the lurking challenges and pitfalls. Even the most seasoned traders can stumble upon unexpected hurdles.
1. The Liquidation Quicksand
Leverage, our dear friend and foe, can lead us into the quicksand of liquidation. When the market moves against our position, the exchange may force-liquidate our position if the losses approach our margin deposit. The agony of seeing our hard-earned capital vanish in an instant is one all traders fear.
Avoiding liquidation requires prudent risk management, setting stop-loss orders, and choosing an appropriate leverage level. Remember, survival is the first step toward success.
2. The Dreaded Funding Rate
Perpetual swaps have a unique mechanism to ensure that the contract price remains in line with the underlying asset's market price—the funding rate. This rate is exchanged between buyers and sellers periodically and aims to prevent large deviations from the spot market.
But beware! The funding rate can be a double-edged sword. Depending on your position, you might receive funding or pay it. If you're on the wrong side, it can eat into your profits or worsen your losses.
3. Volatility: The Great Whirlpool
Cryptocurrency markets are known for their wild volatility, and perpetual swap contracts magnify this characteristic. While volatility can lead to substantial gains, it can also leave us reeling from staggering losses.
As traders, we must stay level-headed in the face of extreme price swings. Embracing volatility is one thing, but becoming its victim is quite another.
The Trader's Odyssey: Navigating the Perpetual Swap Landscape
As we continue our trader's odyssey through the labyrinth of perpetual swaps, we must arm ourselves with practical tips and tricks to stay afloat.
1. The Quest for the Right Exchange
Choosing the right exchange to conduct your perpetual swap adventures is akin to selecting the perfect weapon for battle. Each exchange offers its own set of features, fees, and liquidity. Do your due diligence and find the one that aligns with your trading style and preferences.
2. The Discipline Dilemma
Discipline is the backbone of successful trading, yet it's an elusive trait to master. Emotions can cloud our judgment and lead us down treacherous paths. The key is to create a solid trading plan, stick to it diligently, and never let emotions override reason.
3. The Art of Scaling In and Out
Entering and exiting positions with precision can be an art form. Scaling into a position allows you to test the waters gradually, while scaling out helps you secure profits strategically. Mastering this art can be the difference between success and mediocrity.
Continuation: Unraveling Advanced-Level Perpetual Swap Strategies
As the moon shines upon the crypto landscape, our journey through the realm of perpetual swap contracts presses forward. We've touched upon the fundamentals and explored some essential trading strategies, but let's delve even deeper into the cryptic world of advanced-level strategies.
1. The Funding Rate Arbitrage
The funding rate, that double-edged sword we discussed earlier, opens up a realm of possibilities for the astute trader. In a perpetual swap contract, the funding rate is calculated periodically based on the difference between the contract's price and the underlying asset's market price.
Here's where the advanced-level traders find their edge—funding rate arbitrage. By anticipating funding rate movements, one can take positions in such a way that they receive funding instead of paying it, or vice versa. This strategy requires precise timing, extensive analysis, and a thorough understanding of market dynamics. The funding rate arbitrage can turn even the slightest market imbalances into profitable opportunities.
2. The Gamma Scalping Game
In the perpetual swap universe, gamma scalping is a game played by the brave and nimble traders. This strategy revolves around managing the delta exposure of an options portfolio. While it may seem daunting, the principles can be applied to perpetual swaps as well.
Gamma scalpers aim to profit from short-term price fluctuations by continuously adjusting their positions to maintain a delta-neutral stance. This means buying or selling the underlying asset to counterbalance any changes in the value of their derivatives holdings.
Such a strategy demands quick reflexes and a keen eye on the market. Gamma scalping is not for the faint of heart, but those who master it can reap rewards amidst the turbulence of perpetual swaps.
3. The Liquidity Vampire
Cryptocurrency markets, notorious for their volatility, can also present liquidity challenges. In times of low liquidity, sudden price movements can cause wild slippage and result in unfavorable execution of orders.
Enter the liquidity vampire—an advanced trader who utilizes limit orders strategically to capitalize on these market conditions. Instead of executing market orders, the liquidity vampire places limit orders at key support and resistance levels, patiently waiting for the market to come to them.
This strategy requires a profound understanding of the market's order book, as well as technical analysis to identify optimal entry and exit points. The liquidity vampire thrives on market inefficiencies, sipping the liquidity from the unsuspecting prey.
4. The Options Butterfly Spread—Perpetual Style
Ah, the butterfly spread—a sophisticated options strategy. But who said it can't be adapted for perpetual swaps? Advanced traders explore the potential of this strategy to exploit price ranges and volatility.
The options butterfly spread involves simultaneously buying and selling multiple options contracts with different strike prices and creating a position that profits from a tight range of prices. In the world of perpetual swaps, a trader can simulate a similar approach by strategically entering both long and short positions around a perceived price range, taking advantage of the contract's linear payoff structure.
It's a nuanced strategy that requires a deep understanding of options and the ability to adapt it to the peculiarities of perpetual swaps. The options butterfly spread—now with a perpetual twist.
5. The Market Maker's Secret
Market makers, the silent architects of liquidity, play a crucial role in perpetuating the perpetual swap ecosystem. These traders provide constant buy and sell orders, ensuring that there is always someone willing to take the other side of a trade.
To become a market maker, one must be well-capitalized, possess a thorough understanding of market dynamics, and be willing to embrace risk. In return for their efforts, market makers earn a spread between the bid and ask prices, thus profiting from the perpetual tango of trading.
While this strategy requires significant resources and a high level of expertise, it can be an opportunity for those who seek a more active and influential role in the perpetual swap market.
Conclusion: The Never-Ending Journey of Perpetual Swaps
And so, fellow traders, we arrive at the end of our journey—a mere scratch on the surface of the vast and captivating world of perpetual swap contracts. We've unveiled their inner workings, explored various strategies, and faced the challenges head-on.
Perpetual swaps, with their unyielding nature, demand relentless dedication and a thirst for knowledge. As the crypto market evolves, so must we. Embrace the perpetual challenge, adapt to the ever-changing landscape, and remember, in the world of perpetual swaps, the quest for mastery is a never-ending odyssey. Happy trading, my fellow traders, and may the markets be ever in your favor.
September 8, 2023
Perpetual swap contracts, unlike futures, don't expire and use funding rates to align contract prices with spot prices.
Funding rates offer strategic opportunities for traders, serving as market sentiment indicators.
Advanced strategies include predicting rate changes, cross-asset rate comparisons, and leveraging rate/price divergences.
Sound execution and risk management are key to utilizing these strategies.
Mastering funding rates requires understanding their mechanism and the market psychology behind them.
As a passionate and seasoned crypto trader, I’ve developed an acute appreciation for the nuance and sophistication of the crypto landscape. One intriguing area, and the focus of this article, is the use of funding rates in perpetual swap contracts. It may seem like a particularly cryptic area of trading – a complex web of numbers, percentages, and terms like "perpetual", "swap", and "funding rate". Yet, the intrinsic logic that underpins these mechanisms is akin to the elegant subtleties of a well-constructed chess game.
For many traders, understanding the role of funding rates is a turning point - a moment where they graduate from being merely players to become the grandmasters of the crypto trading world. It's no small feat, so buckle up for an enlightening ride.
The Chessboard: Perpetual Swap Contracts
Perpetual swap contracts, a key player in the world of cryptocurrency derivatives, are essentially a variant of the standard futures contract. These contracts allow traders to buy or sell an asset at a predetermined price, and the contract itself doesn't expire. Instead, the exchange implements a mechanism to ensure that the contract price is tethered to the spot price, and this mechanism is known as the "funding rate".
Unlike a traditional futures contract, which settles once at its expiry date, a perpetual swap contract settles many times a day. Traders use these contracts to speculate on the future price of a cryptocurrency or hedge their existing positions.
Funding Rate – The Heart of Perpetual Swaps
In its essence, the funding rate is a payment exchanged between buyers and sellers of perpetual contracts, which serves to align the contract's price with the underlying spot price. It's akin to the slight adjustments a skilled chess player might make to maintain control over the board.
Funding rates can be positive or negative. A positive funding rate indicates that longs (buyers) pay shorts (sellers), while a negative funding rate means that shorts pay longs. This payment is made every eight hours on most platforms, and it's at this juncture that the futures market and spot market attempt to converge.
Unraveling the Complexity of Funding Rates
In a perfect world, the perpetual swap price and spot price would march hand in hand, but in practice, this is rarely the case. The market’s sentiment, leverage, supply-demand dynamics, and even market manipulation can drive a wedge between these two prices. Here’s where the funding rate steps in like a powerful bishop cutting across the chessboard, helping restore balance and keep the game in play.
When the funding rate is positive, it indicates that the perpetual swap price is higher than the spot price, implying a bullish market sentiment. Here, the longs (those betting on price increase) pay the shorts (those betting on a decrease), pushing the perpetual swap price down to realign with the spot price.
In contrast, a negative funding rate indicates that the perpetual swap price is lower than the spot price, a bearish market sentiment. Shorts pay longs, driving the perpetual swap price upward to meet the spot price.
The Strategic Play: Using Funding Rates in Trading
Funding rates are not just some mechanical necessity for perpetual contracts. For the savvy trader, they offer a wealth of strategic opportunities. Think of them as the bishops and knights on your chessboard - with proper positioning and understanding, they can be incredibly potent tools.
One common strategy is 'funding rate arbitrage'. When the funding rate is persistently high, traders can short a perpetual contract and simultaneously buy the spot, profiting from the funding rate payments while being market-neutral. Of course, one must consider potential liquidation risks and transaction costs to ensure profitability.
Funding rates also offer valuable insights into market sentiment. A high positive funding rate may signal an overleveraged long market, and thus an increased risk of a sharp price correction. Conversely, a persistently negative funding rate can indicate an overly pessimistic market, potentially setting the stage for a strong bullish reversal. Like a grandmaster sensing a trap or a potential checkmate, a trader can use these signals to navigate the market's twists and turns.
Navigating the Game: Understanding the Risks
Just as a chess player faces the risk of blunders, traders need to be mindful of potential pitfalls when dealing with funding rates. One of the significant risks is "funding squeeze", a sharp price movement caused by traders rushing to exit their positions to avoid funding costs, which could lead to large price discrepancies and even cascading liquidations.
Additionally, a common mistake is to interpret high funding rates as a guaranteed profit. However, the contract price is not guaranteed to converge with the spot price every time, which could lead to losses even if the funding rate is high.
Lastly, funding rates can fluctify widely during volatile market conditions. Traders need to be agile and prepared for sudden changes in the rates to avoid being caught off-guard, much like a chess player who is always anticipating the opponent's moves.
Deepening the Game: Exploring Advanced Funding Rate Strategies
Equipped with a foundational understanding of funding rates, it's time to delve into advanced strategies that seasoned crypto traders employ. These techniques go beyond simply reading the funding rates; they involve strategic positioning, calculated risks, and a keen eye for the market's minutiae.
Anticipating Rate Shifts
One of the key aspects of advanced funding rate strategy involves anticipating changes in the funding rate and adjusting your position accordingly. While a single shift in the funding rate may seem insignificant, a well-timed trade can capture substantial returns over time.
For instance, consider a market scenario where the price of a cryptocurrency is rising rapidly, causing an increase in the funding rate. If you believe that the rate has reached its peak and is due to decrease (possibly because the price rise was too rapid to sustain), you might choose to take a short position on a perpetual contract. If the funding rate indeed drops, you would earn from both the funding rate payment and the potential decrease in the contract's price.
However, it's crucial to remember that this strategy requires precision and an in-depth understanding of market dynamics. Much like playing a waiting game in chess, where you need to anticipate your opponent's moves and time your strategy perfectly, the same anticipation and timing are vital here.
Another advanced strategy involves comparing the funding rates of different assets. In cryptocurrency markets, different assets can have vastly different funding rates based on the unique supply-demand dynamics and market sentiment for each asset.
For example, if Bitcoin has a persistently high positive funding rate while Ethereum's funding rate is neutral or negative, it may signal an overenthusiastic market for Bitcoin relative to Ethereum. As an advanced trader, you might see this as an opportunity to short Bitcoin and long Ethereum. If the market corrects this disparity (as it often does), you could potentially profit from both the funding rate and the price convergence between these two assets.
This strategy bears similarities to playing on different sections of the chessboard simultaneously. The key is to maintain a holistic view of the board (or in this case, the market) and recognize opportunities where others see none.
Leveraging the Power of Divergence
Lastly, let's consider a more sophisticated tactic: trading based on the divergence between funding rates and price action. Under normal circumstances, an increasing price should correspond with a positive funding rate, while a decreasing price should come with a negative funding rate. But what if the opposite occurs?
For instance, if the price is declining but the funding rate remains persistently positive, it may indicate that despite the price decline, traders are still optimistic about the asset's prospects and are willing to pay a premium to hold long positions. This divergence might be a signal that the market sentiment remains strong, and the price could potentially rebound.
Similarly, if the price is increasing but the funding rate is negative, it may suggest that traders are still bearish about the asset and are shorting it despite the price increase. This divergence could be an early warning of an upcoming price correction.
Much like a chess player who spots an opportunity to break through a seemingly impenetrable defense, advanced traders can exploit these divergences to potentially earn substantial returns. However, it requires a keen eye for details and a profound understanding of market dynamics.
The Endgame: Conclusion
Mastering the role of funding rates in perpetual swap contracts is akin to mastering the complex moves and strategies of a grandmaster chess player. Just as the rooks, bishops, and knights on a chessboard provide a multitude of strategic possibilities, funding rates in the context of perpetual swap contracts offer unique insights and strategic opportunities for traders.
The secret lies not just in understanding the mechanical aspect of funding rates but also in understanding the market psychology and strategy behind them. Traders who grasp the essence of funding rates can use them as potent tools to navigate the crypto market - a grandmaster maneuvering through the world of the 64 squares.
As we've seen, the perpetual swap contracts and the intricate dance of the funding rates they rely on are a game within a game. Like chess, they require an analytical mind, a deep understanding of the mechanics, and an ability to anticipate market moves. But with these tools at your disposal, you’ll find yourself one step closer to claiming "checkmate" on your trading goals.
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5. Trading and use of the service
Crypto Assets. As a part of the activities performed on the Platform in relation to the functionalities offered by the smart contract, the User obtains the option the opportunity to sell or purchase the Crypto Assets hereunder. Details of a given transaction for the sale or purchase Crypto Assets are each time specified by the Platform, smart contract or other entities to which the Platform redirects (e.g. Metamask), in terms of making payments for the purchase of the Crypto Assets.
Transactions in blockchain technology. The User, via the Platform and third-party websites, in particular via the blockchain network, obtains the opportunity to trade (sell or buy) Crypto Assets as a digital representation of the value generated in the blockchain network. Details sell or purchase Crypto Assets and their value expressed in the price – each time determined by third parties or websites of these third parties. Blockchain networks require the payment of a transaction fee (hereafter referred to as “Gas Fee”) for every transaction that occurs on the blockchain networks. The User acknowledges and accepts that all transactions in blockchain technology (including transactions related to the Crypto Assets) are final and it is not possible to return.
Liability and safety. The collection of the Crypto Assets takes place immediately via the smart contact using the blockchain technology or other services that enable automated payment operation. The User may freely dispose the Crypto Assets to third parties via blockchain technology. Eterna Hybrid Exchange shall have no liability to User or to any third party for any claims or damages that may arise as a result of any transactions that User engages in via the Service or using the smart contracts, or any other transactions that User conducts via blockchain network. Each User undertakes to use the Service and/or the Platform in accordance with its purpose, applicable law, social and moral norms and the provisions hereof. The User is obliged to protect own passwords, logins and private keys to the Crypto Assets against third parties access. Any results of unauthorized acquisition of the password, keys or other data enabling the access to the Crypto Assets owned by the User are not the liability of Eterna Hybrid Exchange.
Access Fees. Access to the Platform is free of charge, subject to the data transmission costs required to run and use the Platform, which the User is obliged to cover on his/her own. Eterna Hybrid Exchange is not liable for the amount of fees charged for the use of data transmission necessary to use the Platform.
Fees and price. Crypto Assets, fees, and billing procedures may change over time. The existence of a particular offer for Crypto Assets does not mean Eterna Hybrid Exchange will maintain or continue to make available that particular Crypto Assets or that particular offer. The scope, variety, and type of Crypto Assets that User may obtain can change at any time and Eterna Hybrid Exchange has the right to manage, regulate, control, modify, or remove any or all Crypto Assets being in the possession of Eterna Hybrid Exchange’s in its sole discretion, in which case, unless prohibited by applicable law, Eterna Hybrid Exchange shall have no liability to User or anyone for the exercise of such rights. The price of Crypto Assets on any markets may vary depending on a variety of factors including where or how User obtains them. You expressly acknowledge and agree that your participation in Service, and your receipt and possession of any Crypto Assets is voluntary.
Taxes. User shall be solely responsible to pay any and all sales, use, value-added and other taxes, duties, and assessments (except taxes on our net income) now or hereafter claimed or imposed by any governmental authority associated with User’s use of the Service or the Platform (including, without limitation, any taxes related to User’s ownership or transfer, of any Crypto Assets). Except for income taxes levied on Eterna Hybrid Exchange, User shall: (i) pay or reimburse Eterna Hybrid Exchange for all national, federal, state, local, or other taxes and assessments of any jurisdiction, including value-added taxes and taxes as required by international tax treaties, customs or other import or export taxes, and amounts levied in lieu thereof based on charges set, services performed or payments made hereunder, as are now or hereafter may be imposed under the authority of any national, state, local or any other taxing jurisdiction; and (ii) not be entitled to deduct the amount of any such taxes, duties or assessments from payments made to Eterna Hybrid Exchange pursuant to these Terms & Conditions.
Risk assumptions. While Eterna Hybrid Exchange has taken a number of precautions to ensure the security of the Crypto Assets (including smart contracts) and the Platform, the technology is relatively new and it is not possible to guarantee that the code is 100% free from exploits, bugs or errors. User accept all risks that arise from using the Service and Crypto Assets, including but not limited to the risk of any funds being lost due to a failure of the Service. Your Crypto Assets may be lost, stolen, or otherwise rendered unusable due to bugs in smart contracts implementing the Service. You accept and acknowledge each of the following:
The prices of blockchain assets are extremely volatile. Fluctuations in the price of other digital assets could materially and adversely affect the value of your Crypto Assets, which may also be subject to significant price volatility. We cannot guarantee that you will not lose money by using the Services or/and the Platform.
Eterna Hybrid Exchange does not store, send, or receive Crypto Assets – they are maintained on the blockchain network.
User accepts and User acknowledges and understands that there are risks associated with using a cryptocurrency (including Crypto Assets), including, but not limited to, the risk of hardware, software and Internet connections, the risk of malicious software introduction, and the risk that third parties may obtain unauthorized access to information stored within your wallet. The User also acknowledges that Eterna Hybrid Exchange will not be responsible for any communication failures, disruptions, errors, distortions or delays you may experience when using the blockchain network.
The regulatory regime governing blockchain technologies, cryptocurrencies, and tokens is uncertain, and new regulations or policies may materially adversely affect the development of Eterna Hybrid Exchange’s ecosystem, and therefore the potential utility or value of Crypto Assets.
Transactions that take place on the Service via blockchain are managed and confirmed via the blockchain network. You understand that your cryptocurrency wallet public address will be made publicly visible whenever you engage in a transaction on the Service or/and the Platform.
Eterna Hybrid Exchange neither owns nor controls any third-party site, product, or service that you might access, visit, or use for the purpose of enabling you to use the various features of the Service (e.g., Google Chrome, Metamask etc.). Eterna Hybrid Exchange shall not be liable for the acts or omissions of any such third parties, nor shall be liable for any damage that User may suffer as a result of User’s transactions or any other interaction with any such third parties.
Beta/V! Trading Risks – Eterna Hybrid Exchange released its Beta/V1 version on June 4th, 2023, and Beta testing will continue for an undetermined period of time. Users should note that the Beta/V1 is still under development, and that users are exposed to various risks during the Beta/V1 testing period. Eterna may be vulnerable to hacks and exploitations, and other forms of virtual attacks. Please be cognizant that the Beta/V1 code has not been audited, nor has it undergone penetration tests. For that reason, Eterna Hybrid Exchange is limiting the funds that can be deposited at any one time to $100, and we require users to acknowledge both the risks outlined in Eterna Hybrid Exchange’s terms and conditions, as well as a specific warning that the Beta/V1 is still under development and is therefore potentially vulnerable to various risks outlined above.
Service and Platform breaks.Breaks of technical causes may occur during functioning of the Platform and the Service. The User has no claims resulting from the suspension or termination of the Services provision by Eterna Hybrid Exchange. The provision of the Services may be interrupted in the event of inappropriate connection quality, damage or defects of telecommunications equipment, power systems, computer equipment, failure of the telecommunications network, power outages or any action of third parties.
Blocking Access. Eterna Hybrid Exchange has the right to block access to the Platform and the Service or individual functions in the event of irregularities in the use of the Platform or/and the Service, in particular in the event of circumstances that could harm the User or Eterna Hybrid Exchange. Eterna Hybrid Exchange shall not be liable for the temporary suspension of access to the Platform and Service for the period necessary to remove any threats or irregularities.
No Warranties. Eterna Hybrid Exchange does not warrant that its Services will be accessible for User at the times or locations chosen by the User, are error-free or free of viruses or other harmful components, as well as Eterna Hybrid Exchange does not warrant that its Services will suit the User’s purpose of use. Eterna Hybrid Exchange supervises the technical functioning of the Platform and Services on an ongoing basis, ensuring its correct operation. However, Eterna Hybrid Exchange does not guarantee the constant availability of all functions of the Platform and Services.
Updates. To provide the Service’s proper performance, Eterna Hybrid Exchange at its sole discretion, has the right to update its Service without prior notification. To continue using of Eterna Hybrid Exchange’s Services the User must accept these updates, including updates of third parties’ software from time to time.
6. Copyrights and intellectual property
Competent Entity. Eterna Hybrid Exchange has all rights to the Platform, including proprietary copyrights to the Platform, as well as to its individual parts, in particular to text, graphic and multimedia elements as well as programming elements generating and operating the Platform, including industrial property rights and any other derivative rights, excluding the content provided by third-party providers.
License. Upon the use of the Platform and the acceptance hereof by the User, Eterna Hybrid Exchange grants the User a non-exclusive license to use the Platform, to the extent of the Services used by the User. The license is non-transferable and is granted for the duration of the User’s use of the Platform in accordance with its purpose and in a manner consistent herewith. The non-exclusive license granted to the User does not authorize the User to grant further licenses. Furthermore, the User is not authorized to act outside the scope of the license. Along with the termination of the Agreement, the granted licenses are terminated with a 7-day notice period. For the use of the work after this period, Eterna Hybrid Exchange shall be entitled to charge additional remuneration.
Transferring the content of the Platform to third parties is allowed only with the use of tools contained on the Platform and intended for this purpose. The User has no right to reproduce, sell or otherwise market or distribute the Platform’s source code, in whole or in part, in particular to send or make it available in computer systems and networks, mobile application distribution systems or any other ICT systems.
Breach of the License Terms and Conditions. In the event of a breach by the User of the terms and conditions of using the Platform or the licenses granted, Eterna Hybrid Exchange shall be entitled to block the User’s access to the Platform and revoke the granted license. The above does not prejudice Eterna Hybrid Exchange’s right to take other appropriate and legal actions in connection with the breach.
7. Notifications and complaints
All notifications about functioning of the Platform and Services provided via it, as well as questions about using the Platform shall be directed via e-mail address: [email protected].
Content of the Notification. The notification shall include: User’s data, contact, reasons for notification and detailed description.
Response to the Notification. Within 14 days from the date of receiving a notification, Eterna Hybrid Exchange considers the notification and informs the User about the result of its consideration. This period may be extended if the consideration of the complaint requires special information or Eterna Hybrid Exchange encounters other difficulties beyond its control or if it is necessary to obtain additional information from the User. The reply to the complaint shall be sent by Eterna Hybrid Exchange to the e-mail address from which it was received. Sending a complaint by the User in an electronic form is understood as a consent to receive a response from Eterna Hybrid Exchange also in electronic form.
Reservations. Eterna Hybrid Exchange reserves the right not to respond to a complaint that is clearly unfounded, in particular to the extent that the complaint has already been examined in relation to a given User.
Exemption of Liability. The User uses the Platform and Services voluntarily, at own risk. As far as it is permitted by law, Eterna Hybrid Exchange is not liable to the User for any damages, including loss of revenues, lost profits, data, business interruption or other unless these damages arise from Eterna Hybrid Exchange’s gross negligence or willful misconduct or from death or personal injury arising from Eterna Hybrid Exchange’s any negligence or fraud. This Agreement does not affect any statutory rights of consumers. The User undertakes to indemnify, defend and hold Eterna Hybrid Exchange (and its officers, directors, agents, subsidiaries, joint ventures and employees) harmless from any claim, demand, damages or other losses, including reasonable attorneys’ fees, asserted by any third party resulting from or arising out of the User’s use of the Service and the Platform, or any breach by the User of this Agreement. For the avoidance of doubt, the foregoing does not apply if the infringement of rights is not attributable to Eterna Hybrid Exchange’s intentional or negligent behavior.
Force Majeure. Eterna Hybrid Exchange shall not be liable and shall be excluded from performing if such performance hereunder is interfered with by any condition beyond Eterna Hybrid Exchange’s reasonable control, including labor disputes, or other industrial disturbances, electrical or power outages, utilities or other telecommunications failures, earthquake, storms or other elements of nature, blockages, embargoes, riots, acts of orders of government, acts of terrorism or war.
9. Final provisions
Disputes. All disputes that may arise in connection herewith shall be settled amicably in the first place, by mutual arrangements between the User and Eterna Hybrid Exchange. The User acknowledges and accepts that the amicable resolution of a dispute procedure is a condition precedent that shall be met prior to commencing any legal proceedings. In such a situation, the User is obliged to contact Eterna Hybrid Exchange via e-mail address pursuant to provisions hereof. If the above requirements are met, as well as in the absence of an amicable solution to the dispute, the provisions hereof shall be settled by the court competent for the current place of the registered office of Eterna Hybrid Exchange. At the same time, the User acknowledges and accepts that disputes arising herefrom may only be considered on the basis of an individual case of the User. In no way Eterna Hybrid Exchange is obliged to settle disputes as collective cases or collective actions.
Relevant Jurisdiction. The provisions hereof and all disputes between Eterna Hybrid Exchange and the User are subject to law applicable in the place of Eterna Hybrid Exchange’s main office at a given moment. Any claim arising out of it shall be resolved exclusively by the competent court having jurisdiction in the Belize, unless the law in your country of residence allows you to choose the courts of that country for the dispute in question.
Right to transfer. The User acknowledges and accepts that Eterna Hybrid Exchange may transfer the rights and obligations resulting from the implementation of the provisions hereof to another entity, person or third parties, including transferring the rights and obligations to another, newly established company as a result of the transformation.
Additional Policies. Eterna Hybrid Exchange may publish additional policies related to its Services. The User must agree and comply with these policies to use the Services.
Nullity. No legal basis or incompleteness of any of the provisions contained herein does not mean that the entire document is null and void. Such provisions shall be amended to the ones that best reflect their meaning and purpose.
Right to change. Eterna Hybrid Exchange reserves the right to make changes to this Agreement, if necessary, in particular for legal reasons or in connection with changes in the services provided. In the event of such a circumstance, the User shall be informed and Eterna Hybrid Exchange shall publish the current wording of the Agreement with the date of amendments on https://eterna.exchange/.
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Eterna Hybrid Exchange is a perpetual futures DEX that draws its liquidity from the market’s largest centralized exchanges. Eterna provides a host of unique trading tools and distributes a portion of its trading fees to EHX token stakers.