🌠Perpetual

LN Exchange offers perpetual contracts that have linear and quanto payouts.

When engaging in perpetual contract trading, it's crucial for traders to grasp several mechanics of the futures market.

Here are the key components traders should understand:

⚑Multiplier

This indicates the value of one contract. You can find this information in the Contract Specifications for each instrument.

⚑Position Marking

Perpetual contracts follow the Fair Price Marking method. The mark price determines Unrealised Profit and Loss (PNL) as well as liquidations.

⚑Initial and Maintenance Margin

These margins are pivotal as they determine the level of leverage available for trading and the threshold for liquidation.

⚑Funding

Funding occurs every 8 hours. Any position held in a perpetual swap during this period will either pay or receive funding. Traders can monitor the current funding rate for a contract in the "Contract Details" section at the bottom left of the Trade tab. Additionally, historical rates can be found in the Funding History or in the individual "Contract Specifications".

⚑Symbol

A symbol in trading identifies a specific financial instrument, combining both a base currency and a quote currency. BTC/USD indicates the price of one Bitcoin quoted in US dollars.

Understanding these components is essential for effective and informed trading in perpetual contracts. Below outlines the comparison of the three support payout types:

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