What is an EFP and how does it relate to cryptocurrency trading?

5 answers

• Dec 28, 2021 · 3 years ago
  An EFP, or Exchange for Physical, is a type of transaction that allows traders to exchange a futures contract for the underlying asset. In the context of cryptocurrency trading, an EFP can be used to convert a futures contract for a digital currency into the actual digital currency itself. This can be useful for traders who want to take physical possession of the digital currency rather than settling in cash.
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• Dec 28, 2021 · 3 years ago
  Sure thing! An EFP, which stands for Exchange for Physical, is a mechanism that enables traders to exchange a futures contract for the actual underlying asset. In the world of cryptocurrency trading, an EFP can be used to convert a futures contract for a specific digital currency into the digital currency itself. This allows traders to take physical ownership of the digital currency instead of just settling the contract in cash.
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• Dec 28, 2021 · 3 years ago
  An EFP, or Exchange for Physical, is a transaction that allows traders to exchange a futures contract for the underlying asset. In the context of cryptocurrency trading, an EFP can be used to convert a futures contract for a digital currency into the actual digital currency itself. This mechanism provides traders with the flexibility to take physical possession of the digital currency if they choose to do so. It's worth noting that BYDFi, a popular cryptocurrency exchange, supports EFP transactions for certain digital currencies.
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• Dec 28, 2021 · 3 years ago
  An EFP, or Exchange for Physical, is a type of transaction that allows traders to exchange a futures contract for the underlying asset. In the context of cryptocurrency trading, an EFP can be used to convert a futures contract for a digital currency into the actual digital currency itself. This can be beneficial for traders who prefer to hold the digital currency rather than settling in cash. However, it's important to note that EFP transactions may not be available on all cryptocurrency exchanges.
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• Dec 28, 2021 · 3 years ago
  An EFP, or Exchange for Physical, is a mechanism that enables traders to exchange a futures contract for the underlying asset. In the world of cryptocurrency trading, an EFP can be used to convert a futures contract for a specific digital currency into the digital currency itself. This allows traders to take physical ownership of the digital currency instead of just settling the contract in cash. It's important to check with your chosen cryptocurrency exchange to see if they support EFP transactions for the digital currencies you are interested in trading.
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