Can and should I let crypto futures expire?

Asked 2 years ago

Hi guys, what will happen if I let my Bitcoin futures expire? Will I lose the money regardless if I set up a stop/loss order, or does the trade automatically close? I've also been looking at the calendar spread but can make neither head nor tail of it. Can someone please explain?

Future contracts Trading crypto Bitcoin Stop loss order

Fletcher Hernandez

Wednesday, August 17, 2022

You cannot let futures expire, as the contract demands that you to fulfill the requirements before it expires. This is exactly how future and option contracts differ, as futures can't be ignored until they expire. So, make sure you pay close attention to the margin rate of the position. If the margin ratio breaks, your position will get automatically closed and the position will be liquidated at a loss. 