Key Words: Coin-Margined Standard Futures, Inverse Contract
1. What is a Coin-Margined Standard Futures?
Using BTC/USDT as an example, when trading with a coin-margined contract, users use BTC as the principal to place orders; Trading fees, funding fees, and unrealized PnL of the transaction are all settled in BTC.
2. What is the difference between a Coin-Margined Standard Futures and a USDT-Margined Standard Futures?
Using BTC/USDT as an example, BTC is used as the principle and settlement currency with the coin-margined contract while USDT is used with USDT-margined contract.
3. How to open or switch to the Coin-Margined Standard Futures?
There is no need to activate the feature or transfer. Make sure that you are using BingX App 2.4.0 and newer versions or the website.
1) Go to the trading page of any trading pair and switch it to the Isolated-Margined mode;
2) Select the BTC Account on the trading page.
4. Description of the Coin-Margined Standard Futures's underlying assets, leverage, and position limits
Leverage & Max. Position of a Single Direction
Min. Margin of a Single Trade
1x - 2x: 100 BTC
3x -5x: 50 BTC
6x -10x: 12 BTC
11x - 50x: 10 BTC
51x -150x: 6 BTC
1x: 800 ETH
2x: 400 ETH
3x-5x: 200 ETH
6x-10x: 140 ETH
11x-50x: 100 ETH
51x-100x: 60 ETH
11x - 25x: 150,000
25x - 50x: 30,000
51x - 75x: 10,000
1x - 10x: 15,000
11x - 25x: 5,000
25x - 50x: 1,000
51x - 75x: 200
1x: 200,000 USDT
2x: 100,000 USDT
3x - 5x: 40,000 USDT
6x - 20x: 20,000 USDT
1x: 3,300,000,000 USDT
2x: 1,600,000,000 USDT
3x - 5x: 600,000,000 USDT
6x - 20x: 300,000,000 USDT
Please note: Using BTC/USDT as an example, in order to avoid the excessive risk for users themselves, when using the 20x leverage, the maximum principal is 0.5 BTC but If you want to use more principal to place an order, you need to choose a lower leverage.
5. Fee Schedule of the Coin-Margined Standard Futures
The transaction fees of the Coin-Margined Standard Futures are the same as those of the USDT-Margined Standard Futures; only the settlement assets are different; the former is settled in BTC while the latter is settled in USDT.
The market depth will influence the spread. The spread ratio will be adjusted based on the change in market depth.
BTC/USDT Spread Range: 0.02% ~ 0.1%
- Trading Fee (Position Closing)
Calculation Method: Trading Fee = Trade Size * 0.045%
For example: If an order is placed with 0.1 BTC as Principle with the 10x leverage,
the trading fee is 0.1 x 10 x 0.045% = 0.00045 BTC.
- Funding Rate
Same as the USDT-Margined Standard Futures, when a user has held a position for more than an hour, the funding rate (charge/reward) will be calculated.
1) If the funding rate is positive, it means that the direction of the position needs to be charged for funding fee.
However, if the funding rate is negative, it means that you can get a fee reward.
2) Funding occurs every 8 hours at 0:00, 8:00, and 16:00 ( GMT+8 ).
Users can observe the current funding rate for a contract on the “ Position” page.
Funding Rates will be settled when closing a position.
3) Calculation Method:
Funding Fee = Total Contract Trade Size * Funding Rate.
The funding rate is calculated by the platform at the time of charging.
6. Market Orders & Trigger Orders of the Coin-Margined Standard Futures
The mechanism of Market Orders and Trigger Orders with the Coin-Margined Standard Futures is the same as that of the USDT-Margined Standard Futures.
1) Market orders consume market depth and are filled immediately. There is a certain spread because they’re placed at the real-time market price.
2) "Trigger Order" is not " Limit Order". It is an automatic order tool, with which you can pre-set an order that will only be triggered under specific conditions.
3) Reasons Why Trigger Orders Fail
a. Trigger orders do not freeze the order principal, so after reaching the pre-set price, and your account balance is insufficient, the order will fail and the system will cancel the trigger order.
b. If the market price changes too much (such as the index closing at a low price or opening at a high price), and the difference between the market price and the pre-set price is greater than 1.5%, the trigger order will fail and the system will cancel the order.
7. In which account should funds be transferred for Coin-Margined Futures trading?
Funds in the [Standard Futures Account] will be used for the coin-margined contract. Deposited Funds will be in [Fund Account]. Users need to transfer the corresponding asset from [Fund Account] to [Standard Futures Account] before trading coin-margined contracts.
8. Where can I view the history trades of the Coin-Margined Standard Futures?
Click the"Position" button at the lower right corner on the home page; switch to BTC Account or ETH Account by clicking the Account button at the upper left corner on the page to view the history trades.
9. Example of calculating PnL for the Coin-Margined Standard Futures
Transaction Direction: 1 refers to Long, -1 refers to Short.
Gross PnL= [Trade Size * Exchange Rate When Position Opens * (Closing Price-Opening Price) / Closing Price] / Exchange Rate When Position Closes
= Transaction Direction * Trade Size * Opening Price * (1 / Opening Price-1 / Closing Price)
Gross PnL Ratio = Transaction Direction * Trade Size * Opening Price * (1 / Opening Price-1 / Closing Price) / Margin
Net PnL = Transaction Direction * Trade Size * Opening Price * (1 / Opening Price-1 / Closing Price)-Trading Fee-Funding Fee
Please note: There is a characteristic for BTC/ETH Inverse Contract. When the price rises, the profit (loss) goes slow; when the price falls, the profit (loss) goes fast.
Examples are as follows:
Trade Size:10 BTC; Margin: 10 BTC; Leverage:1X
1) If the price rises by 100%, the income is 50% (Transaction Direction: Long; BTC Price 100 → 200).
2) If the price rises by 100%, the loss is 50% (Transaction Direction: Short; BTC Price 100 → 200).
3) If the price falls by 50%, the loss is 100% (Transaction Direction: Long; BTC Price 100 → 50).
4) If the price falls by 50%, the income is 100%(Transaction Direction: Short; BTC Price 100 → 50).
Calculate with the example of 2) :
Gross PnL Ratio
= Transaction Direction * Trade Size * Opening Price * (1 / Opening Price-1 / Closing Price) / Margin
= -1 * 10 * 100 * (1/100-1/200) / 10
🔼 Calculation of Forced-Liquidation for the Coin-Margined Standard Futures in Isolated-Margin mode. The example is based on the BTC-Margined Contract.
When the Net PnL reaches -90%, the Forced-Liquidation will be triggered.
Liquidation Price = Transaction Direction * Trade Size * Opening Price / (0.9 * Margin + Transaction Direction * Trade Size - Trading Fee - Funding Fee)
Please note: Due to the difference in PnL, even with the same parameters, the Liquidation Price will be different between USDT-Margined orders and Coin-Margined orders.
For example: USDT-Margined, Long, 1x, Opening Price 100 USDT; Liquidation Price = 10 USDT.
BTC-Margined, Long, 1x, Opening Price 100 USDT; Liquidation Price = 52.63 USDT.