The CoinBene Crypto perpetual contract is a digital currency contract priced in USD and settled by crypto. Each contract has a face value of 10 USD and supports long and short two-way positions. Perpetual contracts will not be settled, and the capital cost mechanism is used to keep up with the spot market price to the greatest extent. Use reasonable mark prices to calculate unrealized profit and loss and liquidation prices to avoid frequent unnecessary liquidation caused by market fluctuations. Perpetual contracts support a maximum leverage of 100 times. The goal of this contract is to allow high leverage to replicate the market conditions in the spot market.
Take the BTC-SWAP contract as an example:
Q: How is crypto perpetual contract quoted?
A: The underlying price of the crypto contract is the CoinBene index. Both the underlying price and the price of the perpetual contract are quoted in USD. Margin and profit and loss are settled in crypto.
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Contract marking |
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Multiplier |
10 USD |
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Contract value |
Multiplier / Contract price |
|
USD value of the contract |
10 USD |
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PNL calculation |
Long position: contracts * multiplier * (1/opening price - 1/closing price) Short position: contracts * multiplier * (1/closing price - 1/opening price) |
Traders who want to profit from the current rise in the Crypto index will buy long this contract. On the contrary, traders who believe that its value will fall will sell the contract short.
Examples of transactions:
· A trader goes long 100 BTC of BTC at a price of 5,000 USD. He is long 100 BTC * 5,000 USD = 500,000 contracts. A few days later, the price of the contract increases to 6,000 USD.
· Profit will be: 500,000 * 1 * (1/5,000 - 1/6,000) = 16.67 BTC
· If the price had in fact dropped to 4,000 USD, the trader's loss would have been: 500,000*1* (1/5,000-1/4,000) =-25 BTC. The loss is greater because of the inverse and non-linear nature of the contract.
· Conversely, if the trader was short then the trader's profit would be greater if the price moved down than the loss if it moved up.
Full contract details
| Identifier | BTC-SWAP | ETH-SWAP |
| Type | Perpetual non-settlement contract | Perpetual non-settlement contract |
| Contract size | 10USD | 10USD |
| Quotation | The settlement currency is BTC and the quote currency is USD. | The settlement currency is ETH and the quote currency is USD. |
| Initial margin | IM% (according to leverage) +opening commission + closing commission | IM% (according to leverage) +opening commission + closing commission |
| Maintenance margin | MM%+ closing commission | MM%+ closing commission |
| Minimum price change | 0.5 | 0.01 |
| Single order limit | 5,000 | 2,500 |
| Minimum contract limit | 1 | 1 |
| Maximum orders |
1,000,000 |
1,000,000 |
| PNL calculation (BTC) | Long: contracts * multiplier * (1/opening price - 1/ closing price) | Long: contracts * multiplier * (closing price - opening price) |
| Short: contracts * multiplier * (1/closing price - 1/opening price) | Short: contracts * multiplier * (opening price - closing price) |