Learn about USDT-settled crypto perpetuals, one of the most popular crypto derivatives product, how they work and how you can start trading them.

Crypto perpetuals futures are a type of derivatives product that allows traders to gain exposure to cryptocurrencies with leverage. Traders have the flexibility to go 

 on crypto assets, and keep their positions open for indefinite periods. 

With USDT perpetual futures on Bybit's intuitive and user-friendly trading platform, you can realize these benefits with futures contracts settled in USDT, a leading 

This article will introduce you to USDT-settled crypto perpetuals, and explain how they work and how you can start trading them. No worries — we'll guide you through each step you need to take to get started with USDT perpetual futures trading on Bybit.

What Are USDT Perpetual Futures Contracts?

 are crypto perpetuals settled in Tether USD (USDT), a stablecoin pegged to the U.S. dollar (USD).

 As derivatives, cryptocurrency perpetuals enable you to trade an underlying asset like Bitcoin (BTC) or Ethereum (ETH) without an expiration date. While you are obliged to buy or sell traditional futures at expiration, you can hold crypto perpetual contracts indefinitely.

Crypto perpetuals allow you to use leverage to amplify your potential returns and keep your positions open for indefinite periods. They also offer you the flexibility to profit from both upward and downward price movements with long and short trades. Perpetual futures trading can also help you hedge against market risks without owning the underlying asset.

On Bybit, all settlements, margin, and profit and loss (P&L) calculations are denominated in USDT for linear USDT perpetuals. On the other hand, 

, which you can use to generate returns when crypto prices fall, are settled in the underlying asset.

Tether USD (USDT) is the leading stablecoin by market capitalization. As of May 8, 2025, it 

 a $149.5 billion market cap, and a $27.54 billion trading volume in the past 24 hours. USDT is issued and managed by the British Virgin Islands–based Tether Limited. It's owned by iFinex Inc, the same company that operates the Bitfinex cryptocurrency exchange.

USDT is a fiat-pegged stablecoin that closely follows the price of the U.S. dollar. To ensure the stablecoin's price stability, Tether maintains physical reserves, of which nearly 84% is 

Top Bybit USDT Perpetual Futures by Trading Volume

Bybit has a wide selection of USDT perpetuals that you can trade to speculate on the prices of underlying assets.

As of May 8, 2025, the top five USDT perpetual contracts by 24-hour trading volume on Bybit are 

How Do USDT-Settled Crypto Perpetuals Work?

, crypto perpetuals don't have an expiration date, and can be held indefinitely. Since they don't expire, no physical delivery of the underlying asset is necessary. Instead, perpetual contracts are settled in cash, and their primary purpose is to enable traders to speculate on crypto prices without owning the underlying asset. On Bybit, settlement takes place in the USDT stablecoin for USDT perpetuals, and USDC for 

Because they lack an expiration date, crypto perpetuals rely on the funding rate mechanism to track the underlying asset's price. The funding rate can be positive or negative, and can change based on how close the futures price is to the spot price.

A positive funding rate indicates an overall bullish market sentiment. When the futures price is trading at a higher level than the spot price, buyers (longs) are required to pay sellers (shorts) the funding amount. In contrast, a negative funding rate is generally a signal of bearish market sentiment. Here, longs pay shorts the funding amount (as the futures price is lower than the spot price).

Key Metrics for USDT Perpetual Futures Contracts

In addition to the funding rate, some of the key metrics of USDT perpetual futures contracts include the following.

Bybit is a user-friendly and intuitive trading platform with a wide selection of USDT perpetuals. Thus, it’s an excellent choice for both veteran traders and beginning traders seeking to dabble in perpetual futures trading.

In the following section, you'll find a comprehensive guide that guides you through each step to get started with crypto perpetual futures trading on Bybit.

The first step to get started with USDT perpetual futures trading on Bybit is to open a 

. A UTA is mandatory in order to trade perpetuals on the platform. and will provide you with a tailored trading experience, account finances and 

For new users, Bybit will automatically open a UTA. Simply 

If you have a Standard Account with Bybit, you can upgrade it to a UTA by clicking on 

You can also upgrade your account by clicking on 

After reading the account's details, as well as acknowledging Bybit's Trading Rules and Terms of Service, click on 

Once your Unified Trading Account is ready, the next step is to fund it with crypto or fiat currency. Head to the 

Select your preferred cryptocurrency, the blockchain from which you’ll make the transaction, and 

 for auto-channeling deposits. Always ensure that you’ve chosen the correct network in order to prevent a loss of funds. After doing so, copy/paste the wallet address or scan the QR code with your phone's camera to initiate the deposit from your wallet.

You can also fund your account with fiat currency via the 

With a funded Unified Trading Account, it's time to open a new USDT perpetuals position on Bybit. To do that, click on 

 tab. In this guide, we’ll open a position in the 

After analyzing the chart and determining an entry point, use the trading widget on the right to open your position.

, which will apply to your account. You can choose between the following options.

Once you’ve chosen your margin mode, the next step is to set the leverage for the trade. Use the slide to select a value between 1x and 100x, and click on 

Next, select an order type for your trade from the following choices.

After selecting your order type, set the order amount for the trade. You can order either by quantity, denominated in the underlying asset, or by value, denominated in USDT.

order to manage your risks efficiently. You can do that by ticking the box next to 

 to open a short USDT perpetual position. Your order will automatically be executed by Bybit's robust matching engine, based on the provided parameters.

Step 4: Manage Your Crypto Perpetuals Positions

 at the bottom of the trading page. In this menu, you can view and manage all your past and current orders and their P&L.

Maintenance Margin Requirements for Leveraged USDT Perpetual Positions

A margin balance is necessary to keep your USDT perpetuals positions open on Bybit. Margin is calculated based on individual positions for both isolated margin and cross margin accounts. 

However, you can only use the settlement asset (USDT) to trade USDT perpetuals in 

. If the market price reaches the liquidation price, liquidation is triggered

On the other hand, Bybit converts all the collateralized assets in your account into USD value in 

 mode. Unlike for isolated accounts, a liquidation is only triggered when the account MMR reaches 100%.

How to Calculate Position Sizing Using Position Calculator

In perpetual futures trading, position sizing determines the amount of capital you put at risk. It’s a critical aspect of risk management that helps you decide the optimal size for your trades.

You can use Bybit's Calculator by clicking on the 

 icon next to the leverage settings in the trading widget to estimate the right sizing, based on your 

For example, suppose you go long on the BTCUSDT crypto perpetuals contract. With a 1 BTC order quantity and 10x leverage, you can generate a 14.48% return on investment (ROI) with 1,070.5 USDT in profits by opening your position at the price of 73,929.5 USDT and closing it at 75,000 USDT.

Advanced Tools for USDT Perpetuals Trading

You can also take advantage of the following advanced tools to trade USDT perpetuals.

Getting Started With USDT Perpetual Futures on Bybit

Crypto perpetuals allow you to amplify your position size with leverage, and open both long and short positions without an expiration date.

With Bybit's user-friendly and intuitive trading platform

,you can trade a wide selection of USDT futures with competitive fees, up to 100x leverage and access to top-tier liquidity.

However, understanding the risks involved and efficiently managing them are critical for traders' long-term success in the perpetual futures market. Tools such as Stop Loss and Take Profit orders can help reduce your potential losses and maximize profits.

Intermediate

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How to Trade USDT Perpetual Futures on Bybit

Ethereum has launched the Pectra upgrade, its most ambitious update yet, introducing wallet smart contract features, improved validator economics, and enhanced scalability.

The S&P 500 rose 0.43% on Wednesday as markets steadied after the Fed held rates unchanged and signaled caution on future cuts amid inflation and unemployment risks. Gold dropped over 2% to $3,371 after the Fed held rates and US-China talks lifted the Dollar, though central bank buying supports long-term demand. The Coindesk Indices, which tracks the broader crypto market, rose 2.09%, with Bitcoin and Ether up 1.32% and 1.15%, in the past 24 hours. Trade these markets and more with up to 500x leverage on Bybit MT5 using this 

Today's top performer is EOS, which rose by 19.9% after Vaulta announced it will rebrand and swap the $EOS token for $A on May 14.

Vaulta (EOS), founded in 2017, formerly EOS, is a fast, low-cost blockchain for DApps using Delegated Proof-of-Stake (DPoS) and EOS.IO software. It offers sub-second block times and the EOS VM WASM engine for improved transaction speeds. With smart contracts written in C++, Vaulta allows easy upgrades for developers. On May 14, 

, with a 1:1 token swap and no changes to tokenomics or fees. Users can swap at swap.vaulta.com.

Check out the latest prices, charts, and data of 

, its most ambitious update yet, introducing wallet smart contract features, improved validator economics, and enhanced scalability. Key changes include EIP-7702 (account abstraction for simpler wallet use), EIP-7251 (raising validator staking limits to 2,048 ETH), and EIP-7691 (doubling blob throughput to reduce Layer 2 costs). The upgrade lays groundwork for smoother DeFi experiences and future scalability, though challenges like increased validator demands and the need for even greater Layer 2 capacity remain. The next upgrade, Fusaka, aims to further simplify Ethereum’s user experience.

Yesterday, BTC spot ETFs saw $105.1M in net inflows, all from non-GBTC funds.

, with launch details coming soon. Users can collect daily Credits, which will boost their airdrop allocation, and participate in the Kaito Pre-TGE Yapper Leaderboard, which allocates 0.75% of the total supply. They also introduced the "Recurring Buy Agent," a tool that automates regular token purchases using USDC, even when users are offline.

Beginner

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Ethereum’s Pectra upgrade unlocks smarter wallets, higher staking, and layer 2 scaling

In this article, we’ll look into Dark Eclipse’s technology, use cases, the DARK token and show you how you can trade DARK on Bybit.

 has the potential to become the most disruptive technology that humanity has witnessed. However, some believe that in order to fully utilize this cutting-edge technology and prevent it from being controlled by a few large players, AI has to be fully decentralized. Dark Eclipse aims to do just that by leveraging trusted execution environments (TEEs). 

The project allows developers to build, train and deploy 

 that can autonomously interact with each other and evolve on their own. In this article, we’ll explore Dark Eclipse’s technology, use cases and tokenomics and show you how you can trade DARK on Bybit.

 is a Solana-based blockchain AI project designed to create an easily scalable ecosystem for AI-driven 

 (MCP), the project addresses critical challenges faced by decentralized AI projects — namely, ensuring secure and fast data computation.

Dark Eclipse has been spearheaded by Edgar Pavlovsky, co-founder of 

, one of the biggest liquidity layer protocols on Solana. Pavlovsky 

DARK leverages Solana’s high-speed, low-cost transactions to support real-time interactions. Pavlovsky believes Dark Eclipse’s AI can enhance gaming by dynamically adapting to player behavior by increasing or decreasing gaming difficulty and generating personalized content. 

For example, an AI agent could use Dark Eclipse’s MCP to integrate real-time data from the game (e.g., player progress), and execute secure computations in a TEE to tailor the gaming experience (such as spawning enemies or updating storylines). In order to understand this better, let's delve deeper into TEE and MCP. 

A TEE is a secure zone in which sensitive computations occur in isolation. In DARK games, TEEs ensure that AI workloads remain tamperproof and secure. This technology can be used to safeguard critical computational data, be it gaming-related information or DeFi transaction details. 

 divides computational tasks into smaller, parallelizable modules that can be executed across the network. This modularity is critical for scaling AI-driven applications. By dividing a task into separate chunks, the protocol can use the processing power of thousands of nodes across the network, which can bring a level of scaling that’s difficult to achieve through a centralized structure. With Dark Eclipse, both MCP and TEEs work together to create a secure, scalable gaming ecosystem.

As of May 7, 2025, DARK is trading at $0.01370. Since DARK was launched on 

, it doesn’t have any seed investors or insider tokens. DARK has a maximum and circulating token supply of just over 999.95 million tokens, and its fully diluted valuation is $13.69 million.

As the native token of the Dark Eclipse protocol, DARK is required to access the DARK ecosystem. It also acts as a reward token to incentivize users. In addition, the DARK CEO and community are 

 DARK with up to 20x leverage. As a new token, DARK is highly volatile, and traders should 

 to understand the risks involved before trading.

 Perpetual page on Bybit to start trading now!

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Dark Eclipse (DARK): Novel AI network using TEE tech

In our latest Learn 101 livestream session, crypto experts shared insights on the shifting dynamics of the stablecoin ecosystem.

 are making a comeback, but this time, the competition is heating up. While 

 continues to dominate the market, a new wave of 

 is emerging, each with its own proposition. From institutional-backed tokens to 

, the race is on to determine which stablecoin will take the lead. What sets these newcomers apart — and could any of them realistically challenge USDT’s throne?

, we tackle the big question: Newcomers vs. USDT: Who Will Win?

, provides a recap of our Learn 101 livestreams, offering you comprehensive expertise and insights from leading figures in the crypto industry in case you miss the livestream.

Joining the livestream on Apr 24, 2025, were two distinguished guests: Paz Gonzalez, trader and founder of 

magazine, and Jip Molenaar, full-time trader and co-founder of Tribe Capital. Under the moderation of Sabrina Chua, Crypto Evangelist and Senior Content Strategist at Bybit, this episode takes a deep dive into the shifting dynamics of the stablecoin ecosystem.

Why the world is suddenly crazy about stablecoins

Stablecoins are once again making headlines — but what’s driving this renewed momentum? Several key developments have pushed stablecoins into the mainstream conversation, including Donald Trump’s recent proposal for a 

. According to Paz Gonzalez, these announcements signal a broader shift tied to the weakening influence of the US dollar. In times like these, stablecoins could gain mass adoption, giving governments a way to reassert monetary control through a digital proxy.

Jip Molenaar agrees with Gonzalez, adding that Bitcoin is unlikely to become the world’s primary currency, despite what many once believed. Instead, Molenaar sees Bitcoin’s future role as that of a store of value — 

 — while stablecoins will take on the role of everyday money, used for payments, bill settlements and daily transactions. 

, Molenaar argues, has helped bring digital assets into the political mainstream, making the concept of crypto usage more palatable to the general public than ever before.

Molenaar also shares his personal experience transitioning from euros to USDT, a process he describes as challenging and significant. Living in Europe, switching to a US dollar–pegged stablecoin wasn’t easy — and that’s precisely why he believes most users won’t readily jump to new alternatives. For many, USDT and 

Paz sees Fidelity’s entry into stablecoins as a bullish signal for the industry. As a well-established and trusted financial institution, Fidelity’s involvement could sway skeptics who have traditionally avoided crypto. Its participation brings credibility — and potentially, a new wave of adoption.

He also emphasizes that the legitimacy of any currency, fiat or crypto, depends upon being backed by a clear source of value. Historically, 

. For stablecoins to earn that trust, the same principle applies — they must be transparently backed. Today, more investors recognize that leading stablecoins are supported by reserves, and are subject to increasing regulatory oversight.

However, despite this progress, Molenaar remains cautious. He warns that another event like the 

 is still possible if stablecoins aren’t properly backed and transparently managed. Without clear support mechanisms, he believes trust will erode — and widespread adoption will stall.

USDT currently holds the largest market share among all stablecoins and is the most actively traded. Molenaar attributes this dominance to the convenience and wide acceptance of USDT across trading platforms. He points out that the infrastructure for USDT is already deeply entrenched in the crypto ecosystem, making it far easier to execute trades and move funds. Because of this strong foundation, he believes it will be extremely difficult for any competing stablecoin to unseat USDT.

Gonzalez agrees: while she personally holds some USDC, she says that when people ask her to send a stablecoin, it’s almost always USDT. Even though USDC has made efforts to challenge USDT’s dominance, Gonzalez doesn’t see that happening anytime soon — if ever. She also underscores the fact that stablecoins like USDT aren't meant to be investments in the way Bitcoin or altcoins are. Instead, they serve more practical purposes, facilitating transactions and providing stable on-chain alternatives to fiat.

Molenaar adds that older generations, particularly baby boomers, tend to wait until new markets are validated by trusted institutions before getting involved. With firms like Fidelity now backing crypto through 

 (ETFs) and exploring stablecoin adoption, that validation is underway. Because Fidelity has integrated USDT into its ecosystem, Molenaar believes that conservative investors will naturally gravitate toward it over less familiar alternatives.

Gonzalez also shares her approach to risk management. Rather than going all-in on one asset, she diversifies and experiments cautiously — allocating small amounts to new opportunities. 

, for example, is one method she uses to generate passive income while testing out new protocols or tokens.

When it comes to adoption, Gonzalez sees real-world use cases driving interest in stablecoins. She mentions the new Wyoming stablecoin, which offers local taxpayers a slight reduction on their annual tax bills. While its benefits may currently apply to a small group, she believes this kind of practical utility is crucial. To achieve broader adoption, stablecoins — including smaller, emerging ones — need meaningful use cases tied to local economies. 

Still, for global accessibility and widespread usage, she maintains that a well-established option such as USDT is essential.

Stablecoins and trading — what really matters to traders

Molenaar is all-in on USDT, choosing to avoid the risks that come with lesser-known stablecoins. For him, USDT offers the highest liquidity and the lowest risk, due to its widespread adoption. While he's open to switching if a new, dominant stablecoin emerges, he’s not willing to gamble on smaller or less established options at this time.

Gonzalez adds an important perspective: stablecoins don’t just enable transactions — they also reflect the health and movement of the broader crypto market. Since stablecoins support liquidity within cryptocurrency networks, their flows can signal shifts in underlying asset trends. Traders are beginning to pay more attention to this relationship.

While most stablecoins are backed by USD, some stablecoin creators are now exploring alternative pegs, such as gold. But for Gonzalez, the backing isn't the main concern: usability is. She prioritizes the ease with which a stablecoin can be used for trading. In her view, investors today care more about functionality and integration with platforms than the specific assets backing the coin. 

Molenaar agrees, adding that ease of use often comes down to habit — knowing the ins and outs of how to trade with a particular coin saves time and effort. He also points out that staking stablecoins typically yields higher returns than do traditional bank savings accounts. That’s one reason he keeps minimal funds in banks — in addition to his distrust of the traditional banking system. He prefers to let his funds work for him through stablecoin staking.

Gonzalez also sticks with USDT because of its simplicity and reliability. She takes a cautious, thoughtful approach to her finances, due to her awareness of how hard she works to earn her money. When trading with USDT, she invests time in researching opportunities. Therefore, she believes that having a deep understanding of stablecoins is crucial in order to make smart financial decisions.

Both Molenaar and Gonzalez highlight the importance of using a trusted platform when holding and trading stablecoins. Molenaar uses Bybit because he feels confident his funds are secure there, and Gonzalez echoes this sentiment — rather than spreading her assets across multiple exchanges, she sticks with Bybit for its reliability and trustworthiness.

This episode of Learn 101 offers a thought-provoking look at the battle between emerging stablecoins and the reigning stablecoin leader, USDT. While newer stablecoins may bring niche advantages and localized utility, USDT’s deep liquidity, global reach and entrenched usage continue to give it a clear edge. For now, USDT remains the go-to choice. But as the ecosystem continues to evolve, the race is far from over.

Bybit Learn Livestream Newcomers vs. USDT: Who will win? featured image

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Learn Live ICYMI: Can the upcoming stablecoins beat USDT?

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The collapse of Three Arrows Capital has unleashed a wave of contagion, leading to fallouts at top companies that have exposure to them. Read more here.

The broader crypto market remained relatively range-bound despite the unfortunate unfolding of Three Arrows Capital’s bankruptcy among other disappointing news. On a more positive note, BTC successfully defended the $19k psychological level, turning it into a support line after the breach of the $20k support level. As of the time of writing, BTC is trading slightly above $19k after posting a marginal gain in the last 24 hours. The next critical level for BTC stands at the $17k region, which is the next line of defense should the market be mauled further by the bears. 

On the other hand, ETH and most major altcoins were flat over the weekend. The second-largest cryptocurrency by market cap is now trading below the $1,100 handle, after a slight dip in its market value during the same period. Most major altcoins saw mixed performances, with TRX and AVAX leading the pack on a 4% increase within a similar time frame. 

The crypto market has been struggling with a lack of liquidity for quite some time. The last 30 days saw $163.21 billion flowing out of BTC, leading to weakened price actions at the hands of agitated investors. The liquidity drain, coupled with some degree of volatility on both sides, suggests that the downside action may continue for an extended period until signs of a decline in selling momentum begin to surface. The compound annual growth rate hints that a rotation into the altcoins is still premature, as ETH has been underperforming on a four-year horizon. 

BTC’s perpetual contract funding rates experienced much volatility last week, but continue to show signs of trending back to neutral territory. The aggregated open interest for BTC futures saw a sharp decline while trading volume plunged by 11% in a week. Panic selling due to contagion fears may have temporarily stopped, but the inability to reclaim the $20k region suggests a very bearish outlook in the near term. 

The controversy around Three Arrows Capital’s escalating financial woes is now in the hands of the court, as the crypto hedge fund has been ordered into liquidation in the British Virgin Islands. Following the commencement of the case, 3AC has filed for Chapter 15 bankruptcy, a move that aims to protect its U.S. assets while the liquidation is carried out. The collapse of one of the largest borrowers in the crypto space has triggered a wave of contagion, leading to fallouts at top companies that have exposure to the embattled hedge fund. Crypto trading platform, Voyager Digital, announced that it has temporarily halted all withdrawals, deposits, and trading due to market conditions.

Is $19k the new $20k for BTC; 3AC Files for Bankruptcy

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