Our development update communicates what we’re working on at Interdax and an indication of when you’ll be able to use these new features.
As detailed in our May update, we replaced the wallets on June 9th to make smaller withdrawals faster and more convenient.
Later in June, API permissions were enabled to make the keys valid for: reading data, managing orders, and performing withdrawals. Also, the matching engine was completely reworked to allow extension with more order types and flags.
The latest developments are:
1. Enhanced Liquidation Logic
An enhanced liquidation logic has been implemented. Instead of cancelling all orders to release initial margin, it will try to reduce them in such a way that the position cannot increase.
To illustrate the changes, consider the following example: there is a 10,000 contracts long position with an estimated liquidation price of approximately $8,900. Also, the trader has an open buy order for 5,000 contracts, an open sell order for 15,000 contracts at a limit price of $9,320, and a stop sell order for 10,000 contracts with a trigger price of $9,193.
Previously, if the price dropped far enough to cause the total balance to drop below the maintenance requirement, all orders would have been cancelled to prevent a liquidation. If it happened above the trigger price for a stop order, this order would have also been cancelled.
Now the matching engine will instead reduce all orders to bring initial margin to zero — based on limit/trigger price.
For the example where a trader is long, all buy orders are cancelled (since the position is already long). The stop order at $9,320 remains intact. The limit sell order at $9,193 is then reduced to from 15,000 to 10,000 contracts, which is the maximum amount that leads to no position increase and requires no initial margin.
2. New Order Flags/Types
We have also added reduce-only flags for all order types, and will add profit orders in July:
- Reduce-only flags on stop orders will only allow you to reduce the order size to prevent an increase in your position at the moment when the order is being triggered.
- Take profit orders are the inverse of stop orders, which specify an exact price at which a position is closed for profit. While limit orders guarantee the limit price or better, take profit orders instead guarantee full execution (with possibility of slippage).
3. Infrastructure improvements
All of our infrastructure has been moved to a new datacenter with dedicated physical servers which will help us provide a service with improved API latencies and systems performance.
This move also enables more reliable releases and reduced downtime during updates.
If you have any further questions, please contact us or leave a comment below.