Contract Specification
Perpetual Contract Overview#
A perpetual contract is a derivative similar to a futures contract. However, perpetuals differ from futures in that they:
- Do not expire (unlike options and vanilla futures).
- Do not have a settlement date (This means a trader can hold a position open forever if they have adequate margin).
- Mimic a margin-based spot market with the trading price being 'pegged' to the underlying price using a funding rate mechanism.
Inverse and Quanto perpetual contracts#
Currently, there are two perpetual contract types on Kollider:
Inverse
An inverse contract allows traders to get exposure to crypto/fiat pairs such as BTC/USD without the need to make fiat deposits. With inverse contracts, all margin, profit or losses are calculated and settled using the base currency (underlying asset e.g. BTC).
Quanto
A Quanto contract is a derivative in which the base currency is denominated in one currency, but the contract itself is settled in another currency.
For example, on Kollider we allow traders to use Bitcoin to get price exposure to assets where Bitcoin is not present e.g. ETHUSD
| Contract | Index | Multiplier |
|---|---|---|
| BTCUSD | .BTCUSD | 1 USD |
| BTCEUR | .BTCEUR | 1 EUR |
BTCUSD-PERP#
| Name | Detail |
|---|---|
| Type | Inverse (settled in BTC, quoted in USD) |
| Price per contract | contract price = 1/trade_price (1 contract is always worth 1 USD) |
| Value of position or order | value = price x quantity or value = 1/trade_price x number_of_contracts |
| Expiry date | Perpetual |
| Inital margin requirement | Initial margin requirement = value of trade / leverage E.g. If 1 BTC = $60,000 and a trader wishes to buy a position of 1 BTC worth $60,000, with x100(1:100) leverage, then the initial margin requirement = $60,000/100 = $600(1,000,000 sats) + fee (see fees) |
| Maintance margin | 0.5% + entry taker fee + exit taker fee |
| Funding interval | 1 hour |
| Max leverage | 20x |
| Underlying Index | .BTCUSD |
BTCEUR-PERP#
| Name | Detail |
|---|---|
| Type | Inverse (settled in BTC, quoted in EUR) |
| Price per contract | contract price = 1/trade_price (1 contract is always worth 1 EUR) |
| Value of position or order | value = price x quantity or value = 1/trade_price x number_of_contracts |
| Expiry date | Perpetual |
| Inital margin requirement | Initial margin requirement = value of trade / leverage E.g. If 1 BTC = €60,000 and a trader wishes to buy a position of 1 BTC worth €60,000, with x100(1:100) leverage, then the initial margin requirement = €60,000/100 = €600(1,000,000 sats) + fee (see fees) |
| Maintance margin | 0.5% + entry taker fee + exit taker fee |
| Funding interval | 1 hour |
| Max leverage | 20x |
| Underlying Index | .BTCEUR |