All formulas used are shown below:
- Where pMM = position Margin Multiplier and mAp = maximum Absolute position
- The position Margin Multiplier is 0.000001% for BTC-PERP.
You can check the initial margin percentage, maintenance margin percentage and position margin mulitplier for all instruments here. (E.g., The minimal initial Margin Percentage for BTC-PERP is 1%, the minimal maintenance margin percentage for BTC-PERP is 0.5%).
- Mark Price = Index Price
The index for the bitcoin perpetual is calculated as follows:
The best five ask and bid levels are taken from constituent exchanges that have had data available for the last 30 seconds.
Micro-price is calculated for all bid and ask pairs across exchanges (shown below). For example if there are five exchanges, that will gives us 25 bids and 25 asks that form 625 pairs.
- The median of micro-prices is then used in the calculation.
- The exchanges used to calculate the index price for trading instruments are shown by the table below:
- Any exchange’s API which has not been online for more than 30 seconds is excluded from the calculations.
- The order book values are combined together into an index price using a modified Hodges–Lehmann estimator.
- Passive orders (liquidity providers) do not incur any trading fees (since maker fee is 0.00%).
- Aggressive orders (liquidity takers) are charged 0.05% of the value of the transaction.
For instance, if you open a position of 10,000 BTC-PERP contracts with a fill price of $10,000, the position value would be approximately 1 BTC. Therefore, if you use a market order or a non-rested limit order, you would end up paying approximately 0.05% of 1 BTC in trading fees (= (1*0.0005) = 0.0005 BTC).