> For the complete documentation index, see [llms.txt](https://flipper-3.gitbook.io/flipper-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://flipper-3.gitbook.io/flipper-docs/faq/perps-faq.md).

# Perps FAQ

<details>

<summary><mark style="color:$primary;">What are Flipper Perps?</mark></summary>

Flipper Perps provides access to crypto perpetual markets through a wallet-based execution layer connected to multiple supported venues.

Flipper compares available execution conditions before the user approves a trade.

</details>

<details>

<summary><mark style="color:$primary;">What are perps?</mark></summary>

Perps, or perpetual contracts, are derivatives that let traders open long or short positions on an asset without owning the asset directly.

They are commonly used for leveraged trading.

</details>

<details>

<summary><mark style="color:$primary;">What can I trade with Flipper Perps?</mark></summary>

Flipper Perps supports crypto perpetual markets such as BTC, ETH, SOL, and other available assets.

The currently available markets are displayed directly in the product.

</details>

<details>

<summary><mark style="color:$primary;">Which venues does Flipper Perps connect to?</mark></summary>

Flipper Perps connects to supported execution venues, including Adrena, GMTrade, and Phoenix.

This gives Flipper multiple eligible execution paths to compare before routing a trade.

</details>

<details>

<summary><mark style="color:$primary;">What is smart routing for Perps?</mark></summary>

Smart routing means Flipper evaluates different execution conditions before sending a trade.

For Perps, this can include liquidity, slippage, fees, funding rates, leverage limits, venue conditions, and execution reliability.

</details>

<details>

<summary><mark style="color:$primary;">What is split execution?</mark></summary>

Split Execution means a trade may be divided across multiple venues when doing so is expected to improve the outcome.

Flipper may use Split Execution to improve expected liquidity access, slippage, fees, funding costs, or overall route quality. If one venue provides the better expected outcome, the trade remains on a single path.

</details>

<details>

<summary><mark style="color:$primary;">Does every trade get split across venues?</mark></summary>

No. Split execution is only used when it improves the trade outcome.

If routing the trade through one venue is better, Flipper can use a single execution path.

</details>

<details>

<summary><mark style="color:$primary;">What is margin?</mark></summary>

Margin is the collateral used to open and maintain a leveraged position.

For example, a trader may use a smaller amount of collateral to open a larger position with leverage.

Learn more → [Margin](/flipper-docs/flipper-trading/margin.md)

</details>

<details>

<summary><mark style="color:$primary;">What is leverage?</mark></summary>

Leverage allows you to control a larger position using a smaller amount of collateral. Higher leverage increases both potential profit and potential loss.

Learn more → [Leverage](/flipper-docs/flipper-trading/leverage.md)

</details>

<details>

<summary><mark style="color:$primary;">What is Stop-out Protection?</mark></summary>

Stop-out Protection is an optional risk-management feature that attempts to close a position before external venue liquidation.

Learn more → [Stop-out Protection](/flipper-docs/flipper-trading/stop-out-protection-and-external-liquidation.md)

</details>

<details>

<summary><mark style="color:$primary;">Does Stop-out Protection have a fee?</mark></summary>

Yes. Stop-out Protection is an optional paid feature.

If enabled, the applicable protection fee is displayed in the order summary before you confirm the trade.

</details>

<details>

<summary><mark style="color:$primary;">What is external venue liquidation?</mark></summary>

External venue liquidation occurs when the execution venue closes a position because it no longer meets that venue's margin requirements.

This is separate from Flipper's Stop-out Protection. If an external venue liquidates a position, Flipper records the result and updates the position shown in the account. Liquidation can result in a significant loss of the collateral allocated to the position.

</details>

<details>

<summary><mark style="color:$primary;">What is funding?</mark></summary>

Funding is a periodic payment exchanged between long and short positions in perpetual futures markets.

Learn more → [Funding Rate](/flipper-docs/flipper-trading/funding-rate.md)

</details>

<details>

<summary><mark style="color:$primary;">What is health factor?</mark></summary>

Health Factor is a risk indicator that shows how safely the available collateral supports a position.

A lower Health Factor indicates that the position is moving closer to Flipper's stop-out conditions or the external venue's liquidation threshold. Price, leverage, position size, collateral, funding, and venue margin requirements can all affect it.

</details>

<details>

<summary><mark style="color:$primary;">What can I review before opening a Perps position?</mark></summary>

Before opening a position, you can review details such as position size, collateral, leverage, estimated trading fees, funding rate, execution route, and available risk information.

If Stop-out Protection is available for the position, the order summary also shows its status and applicable fee conditions before you approve it. Leveraged trading still carries risk.

</details>

<details>

<summary><mark style="color:$primary;">Are Flipper Perps audited?</mark></summary>

Flipper's Perps infrastructure is undergoing security audits focused on areas such as fund flows, order logic, liquidation mechanisms, emergency controls, and external venue adapter security.

</details>