What does EFP stand for in the context of cryptocurrency trading?

3 answers

• Dec 18, 2021 · 3 years ago
  EFP stands for Exchange for Physical. It is a type of transaction where a trader exchanges a futures contract for the underlying asset. This allows the trader to take physical delivery of the asset instead of settling the contract in cash. EFPs are commonly used in traditional commodity markets, and their use is expanding in the cryptocurrency space as well. By exchanging futures contracts for physical assets, traders can gain direct ownership and control over the underlying asset, which can be advantageous in certain trading strategies.
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• Dec 18, 2021 · 3 years ago
  EFP is short for Exchange for Physical. It refers to a trading mechanism where traders can exchange their futures contracts for the actual cryptocurrency asset. This allows traders to take physical delivery of the cryptocurrency instead of just settling the contract in cash. EFPs provide more flexibility and options for traders, as they can choose to hold the actual asset or continue trading with it. It is an important feature in cryptocurrency trading, as it allows traders to have direct ownership and control over the underlying asset.
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• Dec 18, 2021 · 3 years ago
  EFP, which stands for Exchange for Physical, is a trading concept that allows traders to exchange their futures contracts for the underlying cryptocurrency asset. This means that instead of settling the contract in cash, traders can choose to receive the actual cryptocurrency. EFPs provide traders with more flexibility and options, as they can decide whether to hold the physical asset or continue trading with it. This mechanism is commonly used in traditional commodity markets and is now being adopted in the cryptocurrency space as well. It allows traders to have direct ownership and control over the cryptocurrency, which can be beneficial in certain trading strategies.
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