Trading
A true decentralized Index Perpetual Trading
Contract address
PositionManager: 0x6b0db38BD34A5adD66c82aC2d1245cE4caCddc7F
Trade up to 100X
We offer price index perpetual futures with up to 100X leverage on BTC, ETH, and any kind of crypto assets.
Keep your assets safe
We do not have custody of your assets. Your assets stay with you and the margins posted are locked in a dedicated smart contract.
Pricing Index
During times of high volatility, there will be a spread from the Chainlink price to the median price of reference exchanges.
The mark prices are displayed next to the market name, long positions will be opened at the higher price and closed at the lower price while short positions will be opened at the lower price and closed at the higher price.
The chart will indicate the average of the two mark prices.
Margining
All positions are margined in DLP/SLP-XXX.
You can add and remove margins to outstanding positions. When margins are updated to an outstanding position, the relevant liquidation price and leverage are also adjusted.
Only DLP/SLP-XXX are accepted as eligible margins, which requires the traders need to be a Liquidity Provider to get DLP/SLP-XXX before starting trading.
After opening a trade, you would be able to view it under your Positions list, you can also click on "Edit" to deposit or withdraw collateral, this allows you to manage your leverage and liquidation price.
Opening a position
Click on "Long" or "Short" depending on which side you would like to open a leverage position on.
Long position
Earns a profit if the token's price goes up
Makes a loss if the token's price goes down
Short position
Earns a profit if the token's price goes down
Makes a loss if the token's price goes up
Opening a position will transfer the required margin to a dedicated on-chain contract, whose sole purpose is to hold trader margins.
Liquidity Pools act as the central counterparty and clearinghouse to all positions.
To open a position, you need to enter the margin you want to put up together with the leverage you are looking for.
You can post margin in DLP/SLP-XXX without amount limitation.
Market Price, Limit Price or Trigger Price, and Slippage setting
Your execution price is deterministically calculated (see Oracle Price Index) based on the latest oracle price, but, especially during a fast-moving market, there can be a gap between the screen price (Market Price)and the actual execution price (primarily due to changes in oracle price and outstanding positions on the platform).
When opening or closing a position, Specifying a Market Price will simply accept the actual execution price.
To mitigate this risk, you can specify Slippage when opening or closing a position with a Market Price(It is unnecessary for Limit price or Trigger Price), so that the actual execution meets your execution price.
Limit Price is only used when opening a position, and Trigger Price is only when closing a position(referring to Stop-Loss / Take-Profit Orders). Limit Price will help you to set a ceiling price when opening a long position or a bottom line price for opening a short position, which also helps to mitigate this risk of the gap between the screen price and the actual execution price requirement.
If you use Limit Price or Trigger Price, there is no Slippage setting, as it's unnecessary.
Closing a position
You can close a position partially or completely by clicking on the "Close" button.
Closing a position will calculate the PnL of the position based on the best price offered by the Oracle Price Index and transfer it to the trader, together with the margin posted in DLP/SLP-XXX same as what the trader margined in.
You can not lose more than the margin posted.
Stop-Loss / Take-Profit Orders
You can also set stop-loss and take-profit orders by clicking on the "Close" button and selecting the "Trigger" tab.
After creating a trigger order, it will appear in your position's row as well as under the "Orders" tab, you can edit it the order and change the trigger price if needed.
If you close a position manually, the associated trigger orders will remain open, you would need to cancel them manually if you do not want the order to be active when opening future positions.
Note that orders are not guaranteed to execute, this can occur in a few situations including but not exclusive to:
The mark price which is an aggregate of exchange prices did not reach the specified price
The specified price was reached but not long enough for it to be executed
Additionally, trigger orders are market orders and are not guaranteed to execute at the trigger price.
Liquidation
Outstanding positions are subject to liquidation if the relevant liquidation price is breached according to the Oracle Price Index.
Outstanding positions eligible for liquidation are liquidated at the earliest chance, to protect the users and the platform.
Trading Fee
The cost to open/close a position is 0.1% of the position size. (after leverage). The Fee will be charged with DLP/SLP-XXX.
SLP-XXX Trading will be additionally pre-charged 0.01 eth or a similar value of other crypto assets as a possible liquidation transaction Gas fee for each opening position. which doesn't apply to DLP Trading.
The borrowing fee of leverage trading is set to 0.
The orders with Limit Price and Trigger Price are pre-charged 0.01 eth or a similar value of other crypto assets as a late execution transaction Gas fee for each order.
70% of the Trading Fee is distributed to LP as a yield.
Funding Fee
There is a "Funding Fee" that is deducted at the start of the time when the trader opens a position. The fee per hour will vary based on the skew of the market open positions. The Skew, a parameter to show the balance of open interest in DIPX, is defined as the total amount of outstanding long and short positions expressed as a percentage.
The funding fee is calculated as:
Funding fee/hour= （Position size-Collateral）*factor *base fee
Base fee=0.001%
The factor will be changed according to the change of the skew as follow:
When skew=50%, the heavier side factor=1, while the lighter side factor=1;
When 50%<skew<=60%, the heavier side factor=1.2, while the lighter side factor=0.8;
When 60%<skew<=70%, the heavier side factor=1.4, while the lighter side factor=0.6;
When 70%<skew<=80%, the heavier side factor=1.6, while the lighter side factor=0.4;
When 80%<skew<=90%, the heavier side factor=1.8, while the lighter side factor=0.2;
When 90%<skew<=100%, the heavier side factor=2.0, while the lighter side factor=0;
Whenever the market is imbalanced in the sense that there is more open interest on one side, LP holders take on the market risk, so 70% of the funding fee is paid to the LP of your trade to make up for the delta risk borne by liquidity providers. The factor in the formula of funding fee rate is designed to incentivize the balance in the open interest on each side of the market, positions on the heavier side of the market will be charged a higher rate of funding fee, while positions on the lighter side will be charged a lower rate of funding fee. The funding fee rate will be computed as a percentage charged overtime against each position’s size and paid out of its margin. Hence funding fee affects each position's liquidation point.
Gas Fee
There are two transactions involved in opening/closing/editing a position:
Users send the first transaction to request open/close / deposit collateral / withdraw collateral
The platform observes the Outstanding positions for liquidation and then executes them
The cost of the second transaction is displayed in the confirmation box as the "Execution Fee". This network cost is paid to the blockchain network.
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