Asset Parameters

In this chapter, we provide an in-depth overview of the specifications for the trading pairs available on Intel Markets. Understanding these asset parameters is crucial for traders to assess the risk and potential profitability of their trades accurately.

1. Market Details

a. Mark Price: The mark price represents the fair value of the perpetual contract and serves as the oracle price of the underlying asset. It is updated periodically, ensuring accurate pricing for trading activities.

b. Open Interest: Open interest refers to the total number of unsettled derivatives contracts in a given market. It provides insights into market sentiment and liquidity.

c. Funding Rates: Funding rates play a vital role in perpetual futures markets by helping to maintain the price of the futures contract close to the spot price of the underlying asset. Positive funding rates indicate that the perp price is trading above the spot price, while negative funding rates indicate the opposite.

d. Funding APR: The funding annual percentage rate (APR) extrapolates the funding rate to an annual rate, providing traders with a longer-term perspective on funding costs.

2. Risk Parameters

a. Initial Margin: The initial margin represents the minimum available balance required to open a position. It varies depending on the leverage applied and the specific trading pair.

b. Maintenance Margin: Maintenance margin is the minimum available balance that traders must maintain to avoid liquidation and ensure their positions remain open.

c. Maximum Leverage: Maximum leverage limits determine the highest leverage at which traders can establish and maintain positions in different trading pairs. It varies based on factors such as asset volatility and market conditions.

d. Liquidation Threshold: The liquidation threshold is the price level at which a trader's positions become susceptible to liquidation. It is triggered when the account equity falls below the margin maintenance level, ensuring risk management and capital protection.

Understanding these asset parameters allows traders to assess the risk-reward profile of their trades accurately and implement effective risk management strategies on Intel Markets.