OKX to enhance new features in portfolio margin mode
To further enhance the experience of traders, OKX plans to update spot-derivatives risk offset mode within portfolio margin mode at 4:00 am UTC on June 5, 2024.
The specific updates are as follows:
Richer offset structure types: Incorporate spot orders into the derivatives offset system (distinct from spot assets). Adding offset structures for spot and derivatives orders (Offsetting orders in the Liquid Marketplace can significantly reduce the margin in use).
More flexible spot offset quantity adjustments: Allow users to customize the number of spot assets included in the derivatives offset structure.
More accurate numerical calculations: Conduct more accurate measurements for spot assets within the derivatives margin system and adjust the handling of spot assets during liquidations.
MMR calculation: Includes the measurement of basis risk between spot assets/orders and derivatives positions/orders (MR4).
Note: This may increase the maintenance margin, for example, in combinations where spot assets are offset with perpetual, expiry futures, or options.Positions/Orders structure Before After Open positions:
BTC spot: 10 BTC
BTCUSDT perpetual: -1,000 contracts
Orders:
BTC/USDT spot buy orders: Buy 5 BTC at a mark priceMR1, 2, 3, 4, 5, 6 = 0 USDT
MR7 = 3,020.87 USDT
MMR = Max [Max (MR1, MR2, MR6) + MR3 + MR4 + MR5, MR7)] = 3,020.87 USDTMR1, 2, 3, 5, 6 = 0 USDT
MR4 = 8,053.32 USDT
MR7 = 3,020.17 USDT
MMR = Max [Max (MR1, MR2, MR6) + MR3 + MR4 + MR5, MR7)] = 8,053.32 USDTLiquidation engine: Enhances the liquidation structure by incorporating a basis risk offsetting process between spot and derivatives positions.
More diverse offsetting modes: Expand the spot offsetting function to all margin modes, including USDT/USDC/Crypto modes, supporting offsetting between spot assets and their corresponding USDC-margined risk units.
The table below illustrates the range of offsetting instruments for various modes:
| Offset mode | ETH-USDT risk unit | ETH-USDC risk unit | ETH-USD risk unit |
|---|---|---|---|
| Derivatives |
ETHUSDT perpetual/expiry (positions and orders) |
ETHUSDC perpetual/expiry (positions and orders) |
ETHUSD perpetual/expiry/options (positions and orders) |
| Spot-derivatives (USDT) |
ETHUSDT perpetual/expiry, ETH spot assets, ETH/USDT and ETH/USDC spot orders | ETHUSDC perpetual/expiry (positions and orders) |
ETHUSD perpetual/expiry/options (positions and orders) |
| Spot-derivatives (USDC) |
ETHUSDT perpetual/expiry (positions and orders) |
ETHUSDC perpetual/expiry (positions and orders), ETH spot assets, ETH/USDT and ETH/USDC spot orders | ETHUSDT perpetual/expiry (positions and orders) |
| Spot-derivatives (crypto) | ETHUSDT perpetual/expiry (positions and orders) |
ETHUSDC perpetual/expiry (positions and orders) |
ETHUSD perpetual/expiry/options (positions and orders), ETH spot assets, ETH/USDT and ETH/USDC spot orders |
* Derivatives (Expiry/Perpetual/Options) structures include both positions and orders.
* Spot-derivatives risk offsetting USDT/USDC/Crypto mode: With this mode, spot assets and spot (USDT/USDC pairs) orders can be offset using corresponding USDT/USDC/Crypto as the margin risk unit.
Details on the spot-derivatives risk offset updates and maintenance margin rules can be found on the Portfolio margin mode: cross margin trading page.
Changes to the API rules can be found on the Set spot risk offset amount – OKX API guide | OKX technical support | OKX page.
OKX team
May 31, 2024