A dated futures contract fixes a price now for settlement later. Its price reflects the spot price plus the cost of carrying the position to expiry, and as the settlement date approaches the two converge, because on the final day the contract and the asset are the same thing.
In crypto, dated contracts are the smaller half of the derivatives market — quarterly contracts on major venues — with perpetuals taking most of the volume. They remain useful precisely because they expire: the spread between a quarterly contract and spot gives a clean, time-bounded read on what the market will pay for leveraged exposure over a known horizon.
What happens when a futures contract expires?
It settles at a reference price derived from the spot market, positions close automatically, and any profit or loss is realised. Crypto contracts are almost always cash-settled rather than delivering the asset.
Last updated October 17, 2026