Derivatives

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What are Derivatives?

Derivatives or crypto derivatives are a type of financial assets that derive their value from a reference cryptocurrency or token. Crypto derivatives represent a financial contract between two or more investors with different expectations about the future price movement of an underlying cryptocurrency. The underlying assets are labeled as primary assets, while the crypto derivative represents a secondary asset whose value moves based on fluctuations in the price of the primary asset. Popular derivatives are the crypto futures and crypto options.

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