Digital currency short and long perpetual contract
3. Option contract is a kind of agreement, which can give traders the right to buy or sell assets at a predetermined price before a specific date or on a specific date. Option contracts are trading derivatives that can be based on a wide range of underlying assets, including stocks and cryptocurrencies. These contracts may also come from information such as financial indicators. Generally, option contracts are used to hedge the risk of existing positions and speculative transactions.
in vacuum, the interaction force between two static point charges Q1 and Q2 is directly proportional to the proct of Q1 and Q2, and inversely proportional to the square of the distance r between them. The direction of the interaction force is along their line, and the same sign charges repel each other, while the different sign charges attract each other
the electric quantity is Q & # 39; The Coulomb force F of the electron with the action charge of E is f = Ke * q / R ^ 2, where R is the distance from the electron to the nucleus and K is the electrostatic constant
If the blockchain is really implemented, then a certain treasure of the third party will have no real significance. The characteristic of blockchain is decentralization, which enables participants to establish a trust system, and adopts distributed layout for bank bookkeeping
ordinary contract refers to an agreement to purchase a specific asset at an agreed price at an agreed time, while perpetual contract has no expiration date. In other words, if you hold a position (long or short) in the perpetual contract market, you can decide how long you want to hold the position
at present, 58coin is the best one to make perpetual contracts. Basically, all the perpetual contract codes in the Asia Pacific region come from the beta version of 58. In the aspect of perpetual contracts, 58coin has a high market share
perpetual contracts are useful in many ways. First of all, if you hold bitcoin and see that the price of bitcoin is falling, it's better to simply "short" in the bitcoin contract market to stabilize your portfolio than to bear losses and sell bitcoin, or to keep holding for the price to recover. In other words, you can use perpetual contracts to hedge your position in the spot market. Secondly, the contract market enables you to trade in all market conditions. You can make a profit in both bull and bear markets. Third, with leverage, you can significantly increase profits.
pure digital currency transaction does not involve capital flow. Customers' transactions are first concted by purchasing usdt from websites or mainstream websites such as Huo coin.com
the trading procts are six mainstream currencies: BTC (bitcoin), ETH (Ethereum), XRP (reborn currency), LTC (lightcoin), EOS and BCH
as a whole, usdt contracts operate under the framework of perpetual contracts, so like currency based contracts, it continues to maintain the design of index mechanism, non delivery, insurance fund replenishment, 2-100 times leverage, lower handling charges, lower maintenance margin ratio and no capital cost. However, it should be emphasized that except for index mechanism and non delivery, other contracts are unique to 58 perpetual contracts, Other places may not be designed like this. Usdt contracts use usdt as the common currency for pricing, trading and settlement. That is to say, it is no longer necessary to hold BTC to make BTC perpetual contracts. As long as you hold usdt, you can trade perpetual contracts in BTC, Eth and other currencies. In fact, this design simplifies the calculation method of profit and loss, which seems more intuitive. Another point is that based on the characteristics of usdt stable currency, it has the function of bear market hedging. If you are not used to the pricing method of currency based perpetual contract and have no time to focus on the ups and downs of digital currency, then usdt contract is very suitable for you.
usdt perpetual contract is a digital currency contract with usdt as the unit of valuation and settlement. At present, usdt perpetual contracts support the two-way trading of BTC / usdt, EOS / usdt and other contracts, and provide multiple leverage. The purpose is to allow high leverage to replicate the situation of the spot market. The contract will not be settled and can follow the reference index price of the target through the anchoring mechanism
as a pricing unit and settlement unit, usdt can trade BTC / usdt and other digital currency contracts without holding other digital currencies or only one digital currency of usdt, thus basically saying goodbye to the loss in the process of multi currency conversion. Of course, your profit is also settled in usdt. There will be only one asset in your usdt contract account< The main differences between perpetual contracts and term contracts are as follows:
- e date: each delivery contract has a fixed e date, and the delivery price is the index weighted average price one hour before delivery; The perpetual contract has no e delivery date and will never expire
- capital cost: since there is no e delivery date, perpetual contracts need to anchor the spot price through the "capital cost mechanism"
- mark price: mark price is used in perpetual contracts to calculate the unrealized profit and loss of users, effectively recing unnecessary frequent position explosion when the market fluctuates
- settlement every 8 hours: through settlement every 8 hours (04:00, 12:00 and 20:00 Hong Kong time), the unrealized profit and loss will be converted into realized profit and loss, so as to improve the flexibility of capital use
- ladder maintenance margin rate system: maintenance margin rate refers to the minimum margin rate required by the user to maintain the current position. When the margin rate is lower than the maintenance margin rate, it will trigger position explosion or forced partial rection. For users with different positions, the system of step maintenance margin rate is implemented, that is, the larger the user's position is, the higher the maintenance margin rate is, and the lower the user's optional maximum leverage ratio is
- compulsory partial closing: for users with large positions and at Level 3 or above, when the margin rate is lower than the current level maintenance margin rate, but higher than the minimum level maintenance margin rate, they will not directly blow out all their positions. The system will calculate the number of pieces needed to rece the position by two positions, and carry out partial rection. After the successful downshift, if the margin rate meets the requirements of the maintenance margin rate of the new gear, part of the position rection will stop; If it still does not meet the requirements of the margin rate of the new gear, it will continue to cycle part of the position rection process. In the warehouse by warehouse mode, in the process of compulsory partial rection, the position is frozen and cannot be operated; Under the full position mode, in the process of compulsory partial position rection, the currency account of perpetual contract is frozen and cannot be operated.