Perpetual Market Parameters
This page explains the parameters that define each perpetual market (perp) on the DEX. These parameters control risk, margin, funding, and trading behavior for each contract.
Perpetual Market Parameters Explained
| Parameter | Description | Example (BTC-PERP) |
|---|---|---|
| name | Market name (symbol). | BTC-USD |
| price_index | Oracle price index used for mark price and funding. | BTC |
| margin_steps | Tiered margin brackets: initial/maintenance margin ratios and position size cutoffs. | See below |
| liquidation_penalty | Penalty (as % of maintenance margin) applied to collateral when liquidated. | 0.005 (0.5%) |
| lot_size | Size of one contract (in base asset, e.g. BTC). | 0.000001 BTC |
| tick_size | Minimum price increment (in quote asset, e.g. USD). | 0.0001 USD |
| status | Market status: Live, Halted, ReduceOnly, PostOnly. | Live |
| funding_rate | Funding rate settings: enabled, interest rate, clamp, max/min funding, etc. | See below |
Example: BTC-USD Perpetual Market Configuration
text
name: BTC-USD
price_index: BTC
margin_steps:
- Tier 1: 0 - 50,000 USD | Initial: 1% | Maintenance: 0.8%
- Tier 2: 50,000 - 250,000 | Initial: 2% | Maintenance: 1%
- Tier 3: 250,000 - 1,000,000 | Initial: 5% | Maintenance: 2%
- Tier 4: 1M - 10M | Initial: 10% | Maintenance: 5%
- Tier 5: 10M - 100M | Initial: 50% | Maintenance: 10%
liquidation_penalty: 0.005
lot_size: 0.000001 BTC
tick_size: 0.0001 USD
status: Live
funding_rate:
enabled: true
interest_rate_hourly: 0.00125% (0.0000125)
clamp_min: -0.0005
clamp_max: 0.0005
max_funding_rate: 0.005
min_funding_rate: -0.005Margin Steps (Tiered Margin System)
Each perp market uses a progressive margin system. As your position size increases, you move into higher tiers with higher margin requirements.
| Tier | Position Bracket (USD) | Initial Margin | Maintenance Margin |
|---|---|---|---|
| 1 | 0 - 50,000 | 1% | 0.8% |
| 2 | 50,000 - 250,000 | 2% | 1% |
| 3 | 250,000 - 1,000,000 | 5% | 2% |
| 4 | 1,000,000 - 10,000,000 | 10% | 5% |
| 5 | 10,000,000 - 100,000,000 | 50% | 10% |
- Initial margin is required to open a position.
- Maintenance margin is required to keep a position open.
- If your margin falls below maintenance, your position may be liquidated.
Funding Rate Settings
Each market has its own funding rate configuration:
- enabled: Whether funding is active for this market.
- interest_rate_hourly: The base interest rate (e.g., 0.00125% per hour).
- clamp_min / clamp_max: Limits on the funding rate adjustment.
- max_funding_rate / min_funding_rate: Absolute caps on the funding rate.
See the Funding page for the full formula and examples.
Worked Example: Margin Calculation
Suppose you open a $800,000 position in BTC-USD Perp:
- The first $50,000 uses Tier 1 (1% initial, 0.8% maintenance)
- The next $200,000 uses Tier 2 (2% initial, 1% maintenance)
- The next $750,000 uses Tier 3 (5% initial, 2% maintenance)
Initial Margin:
- Tier 1: $50,000 × 1% = $500
- Tier 2: ($250,000 - $50,000) × 2% = $4,000
- Tier 3: ($800,000 - $250,000) × 5% = $27,500
- Total Initial Margin = $500 + $4,000 + $27,500 = $32,000
Maintenance Margin:
- Tier 1: $50,000 × 0.8% = $400
- Tier 2: ($250,000 - $50,000) × 1% = $2,000
- Tier 3: ($800,000 - $250,000) × 2% = $11,000
- Total Maintenance Margin = $400 + $2,000 + $11,000 = $13,400