Phantom New Perpetual Trading Platform: Should You Use It?

Phantom, the popular Solana-based wallet, has just launched a new feature: on-chain perpetual futures trading with up to 40x leverage. 

This marks a significant shift from simple wallet functions to a full trading experience, all built directly into the app. But how does it actually work, and more importantly, should you be using it?

How Phantom’s Futures Feature Works and What Makes It Different

Phantom's integration of perpetual futures trading is powered by Hyperliquid, a high-speed decentralised protocol offering gas-free transactions. The process is impressively streamlined. 

Users deposit with SOL, which Phantom automatically swaps to USDC, then choose a market and select their leverage, all without leaving the app.

This system now supports trading in over 100 markets, from major coins like BTC, ETH, and SOL to more speculative assets such as PEPE and BONK. 

The infrastructure is handled by Hyperliquid, ensuring reliable execution and backend support, while the Phantom Wallet provides the intuitive user interface. It’s designed to feel like using any other feature within the wallet: clean, mobile-friendly, and quick.

The idea is to remove the typical friction seen on traditional trading platforms, complex dashboards, cluttered order books, and intimidating charts. 

Phantom simplifies the entire experience, making advanced financial products feel more approachable. By doing so, it attempts to give everyday users the same tools professionals use, but without the usual barriers.

But while the design might be easy to navigate, the instruments it exposes users to are far from simple. Leveraged perpetual futures are a major responsibility. And that’s where concerns begin to appear, right after the excitement wears off.

Read also: Best 10 Solana Wallets List: There's No Harm in Trying

The Appeal and Risk of Leveraged Trading

Leverage is what draws attention to Phantom’s new feature. It allows traders to control a much larger position than their initial deposit would normally allow. At 40x leverage, putting in just $100 could mean controlling a $4,000 position. 

If the trade goes in your favour, profits are multiplied. But if it moves against you even slightly, the loss can be severe, and fast.

This type of trading is popular among professionals for a reason. It provides opportunities to capitalise on small price movements and hedge portfolios. 

However, it also introduces a sharp risk of liquidation. In highly volatile markets like crypto, prices can swing rapidly, turning a promising trade into a loss in moments.

Most experienced traders use tools like stop-losses, hedging strategies, and data analytics to manage their positions. But casual users are often unaware of these practices or don’t apply them consistently. 

By bringing this feature directly into Phantom’s wallet interface, the concern is that many will jump in without fully understanding the consequences.

Phantom attempts to address this through education. Before activating the feature, users are required to opt in and accept multiple warnings. 

Tooltips and prompts appear throughout the trading process to remind users of the risk. However, ease of use can still create a false sense of safety. Just because it’s easy to use doesn’t mean it’s safe to use.

For users unfamiliar with leverage, a deeper understanding is necessary before placing their first trade. It’s not about whether the platform works well, it’s about whether the user understands what they’re doing.

Read also: How Does Futures Trading Work

Why Bitrue Alpha Remains a Safer Entry Point

Bitrue Alpha has quietly built a reputation for being a more structured and safer entry point for perpetual trading. While it also offers high leverage options, the environment is clearly designed with risk awareness in mind. 

Users are guided through onboarding, given detailed market analytics, and have access to community resources for learning strategies.

Bitrue’s user interface, while still beginner-friendly, doesn’t oversimplify trading to the point of abstraction. 

This helps reinforce the seriousness of leveraged products. It provides necessary context without being overwhelming, ensuring that users make more informed decisions.

What’s particularly helpful is the separation of wallet and trading functions. On Bitrue Alpha, users move into a dedicated section for derivatives, distinguishing casual usage from trading intent. This mental switch alone can reduce the likelihood of impulsive actions.

The platform also offers access to popular perpetual contracts including BTC, ETH, and altcoins, with multiple order types and real-time liquidation monitoring. These features offer more control for users wanting to learn the craft of leveraged trading.

If you’re curious about crypto futures but not ready to dive in through a wallet-based experience like Phantom, Bitrue Alpha may provide the better starting point. It encourages informed participation rather than instant execution.

Read also: How to Start Trading Futures - Guide for Beginner

Conclusion

Phantom’s move into perpetual futures trading is a bold one. It lowers the barrier to entry for a complex product and integrates it neatly into a familiar wallet interface. 

For experienced users, this could be a major convenience. But for newer traders, the risk is real. The ease of use might invite experimentation without the depth of understanding required.

For a more measured approach to leveraged trading, Bitrue remains a reliable option. With a clearer separation between wallets and derivatives, and more tools for managing risk, Bitrue Alpha is a smart choice for those looking to explore crypto futures with a safety net.

Trade smarter and stay safe, check out Bitrue today for a reliable and intuitive crypto trading experience.

Read also: Is Bitrue Alpha Worth It? Give it A Try Now

Frequently Asked Questions

What is Phantom’s new futures trading feature?

It allows users to trade perpetual futures with up to 40x leverage directly within the Phantom wallet, powered by Hyperliquid’s infrastructure.

How does leverage work in crypto trading?

Leverage lets traders control larger positions using a smaller amount of capital. It increases potential gains but also increases potential losses.

Is Phantom’s futures feature safe for beginners?

While Phantom provides warnings and guidance, the feature can still be risky for beginners due to the nature of leveraged trading.

What markets can be traded on Phantom futures?

Over 100 markets are supported, including BTC, ETH, SOL, AVAX, PEPE, and many more altcoins and meme coins.

Why should I consider Bitrue for trading instead?

Bitrue offers a dedicated environment for perpetual trading with risk management tools, educational resources, and a safer structure for new users.

Investor Caution 

While the crypto hype has been exciting, remember that the crypto space can be volatile. Always conduct your research, assess your risk tolerance, and consider the long-term potential of any investment.

Bitrue Official Website:

Website: https://www.bitrue.com/

Sign Up: https://www.bitrue.com/user/register

Disclaimer: The views expressed belong exclusively to the author and do not reflect the views of this platform. This platform and its affiliates disclaim any responsibility for the accuracy or suitability of the information provided. It is for informational purposes only and not intended as financial or investment advice.