VIII. FAQ for Coin-margined Perpetual Contract

1. What is the perpetual contract?

A perpetual contract is a product similar to a traditional Future contract in how it trades but does not have an expiry, so you can hold a position for as long as you like. Perpetual contracts trade like the spot, tracking the underlying index price closely. Please refer to the introduction of perpetual contact to know more details.

2. What is the mark price?

The mark price is the price that the contract is marked for unrealized PnL and liquidation purposes.

Please check the Fair price to know more details.

3. How much leverage does MXC perpetual offer?

MXC perpetual contract offers free adjustment of leverage from 1 to 125 times, and the leverage is different form different products. The leverage is determined by the initial margin and maintenance margin. They determined the min. fund for the position open and position holding. The leverage is not a fixed multiplier but a min. margin. 

The initial margin is the min.  margin for position opening and the maintenance margin is the min. margin for position maintenance.

The 125X leverage will be available on the MXC. Stay tuned!

 4. What is the fee of the perpetual contract?

Maker 0.03%, Taker  0.075%.

5. How to check the funding rate?

Traders could check the current market funding rate by clicking “Futures”, and there is a “Funding rate".

Please refer to the funding rate history to check the historical funding rate.

6. How to calculate the contract PnL?

PnL calculation of position closing:

Swap (USDT Swap)

Long position=(the position closing price-ava.price for position opening)*holdings of position*face value

Short position=(the ava.price for position opening-the position closing price)*holdings of position*face value

Inverse Swap(Coin margined contract)

Long position=(1/the ava. price for position opening-1/the ava. price for position closing)**holdings of position*face value

Short position=(1/the ava. price for position closing-1/the ava. price for position opening)*holdings of position*face value

Floating PnL:

Swap(USDT swap)

Long position=(Fair price- Ava. price for position opening)*holdings of position*face value

Short position=(Ava. price for position opening-Fair price)*holdings of position*face value

Inverse Swap(Coin margined contract)

Long position=(1/the ava. price for position opening-1/Fair price)*holdings of position*face value

Short position=(1/Fair price-1/ Ava. price for position opening)*holdings of position*face value

7. How to calculate the liquidation price?

Liquidation Condition: Position margin+Floating PnL < = Maintenance margin

Long position: Liquidation Price=(Maintenance margin- Position margin+the Ava. price for position opening*Amount*Face value)/(Amount*Face Value)

Short position: Liquidation Price=(the Ava. price for position opening*Amount*Face value-Maintenance margin+Position margin)/(Amount*Face Value)