Notional Value
Notional Value = Mark Price * Position Size For example, if the current Mark Price of the BTCUSDT perpetual contract is 20,000 USDT, and your Position Size is 5 BTC, then the Notional Value is 20,000 * 5 = 100,000 USDT.
Tutorial
Maintenance Margin
What is Maintenance Margin? Maintenance Margin is a crucial term in trading, especially in futures. It refers to the minimum Margin Equity (i.e. Margin + unrealized PnL) that a user must maintain to keep their leveraged position. The Maintenance Margin is calculated based on the position notional value, at different margin tiers. The Maintenance Margin is …
Liquidation
When the Margin Rate is ≥ 100% (i.e., margin + unrealized PnL ≤ maintenance margin), the position triggers liquidation. Margin Rate = Maintenance Margin / (Margin + unrealized PnL) The sum of Margin and unrealized PnL is referred to as Margin Equity in the following text. Maintenance Margin: the minimum Margin Equity required to maintain …
Flying wheel strategy tutorial
Flying wheel strategy is a circular arbitrage tool based on options. Strategy Features: Circular arbitrage：Use put option based Buy-the-Dip and call option based Covered Gain to arbitrage by auto-reinvestment. Multiple benefits：For flying wheel strategy, you will receive interest income for each round of Buy-the-Dip and Covered Gain and the price increase between buy price using …
Bitfinex Lending Product: easily obtain steady financial returns
What is the Bitfinex lending product? In the cryptocurrency asset market, aggressive investors may have the need for “borrowing to buy coins” and “selling borrowed coins,” while conservative investors may choose to lend out their cryptocurrencies to earn interest. Bitfinex is the largest cryptocurrency lending market. As of January 4, 2023, the daily trading volume …
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What is Picol’s Sideways Gain (Invest Crypto)
Sideways Gain (invest crypto) is the one for you to earn a daily return in crypto until your crypto is swapped for stablecoin. At daily settlement,Scenario 1: market price < strike price, you’ll earn interest in cryptoScenario 2: market price ≥ strike price, you’ll sell crypto including interest earned at the strike price There are two strategies: Strategy 1: Target …
What is Picol’s Sideways Gain (Invest Stablecoin)
Sideways Gain (invest stablecoin) is the one for you to earn a daily return in stablecoin until your stablecoin is swapped for crypto. At settlement,Scenario 1: market price > strike price, you’ll earn interest in stablecoinScenario 2: market price ≤ strike price, you’ll buy crypto at the strike price with the original investment and interest earned There are two strategies: …
What is Picol’s Sideways Gain (Invest Stablecoin) Read More »
Flying wheel strategy tutorial
Flying wheel strategy is a circular arbitrage tool based on options. Strategy Features: Circular arbitrage：Use put option based Buy-the-Dip and call option based Covered Gain to arbitrage by auto-reinvestment. Multiple benefits：For flying wheel strategy, you will receive interest income for each round of Buy-the-Dip and Covered Gain and the price increase between buy price using …
Covered Gain Tutorial
Covered gain is an investment tool to sell digital assets at your target price and earn interest while waiting. At settlement,Scenario 1: market price ＜ target price, you’ll earn interest and grow more cryptoScenario 2: market price ≥ target price, you’ll sell crypto at the target price, including the original investment and interest earned For Covered Gain, …
Buy-the-dip Tutorial
Buy-the-Dip is an investment tool to buy digital assets at your target price and earn interest while waiting. At settlement,Scenario 1: market price > target price, you’ll earn interest in USDTScenario 2: market price ≤ target price, you’ll buy crypto at the target price with the original investment and interest earned For Buy-the-dip, there are two modes: Basic mode and Pro …