USDT-Margined Perpetual Contract Specifications

BitForex offers USDT-Margined Perpetual contracts that are linear futures products quoted and settled in USDT, stablecoins pegged to the value of the U.S. dollar. Unlike inverse contracts, these contracts are not tied to the underlying asset's price and provide traders with a stable and secure investment option.

The intuitive nature of USDT-margined contracts is one of their primary advantages. With USD-settled contracts, calculating returns in fiat is simple. For instance, a $500 profit on a USDT-margined contract is easily estimated since 1 USDT is pegged closely to 1 USD, providing traders with clarity and transparency.

USDT-margined contracts offer the following characteristics: Settlement in USDT:

• Contracts are denominated and settled in USDT.
• Expiration: Perpetual
• Clear pricing rules: Each USDT-margined perpetual contract specifies the base asset's quantity delivered for a single contract, also known as "Contract Unit". For instance, BTC/USDT, ETH/USDT perpetual contracts represent only one unit of their respective base asset, similar to spot markets.
• Funding fee: USDT-M Perpetual contracts carry a funding fee. Funding payments are transferred between traders and are charged every eight hours.

Minimum order notional limit rule for USDT-M perpetual contracts:

The minimum notional value of each order must be no less than the threshold 5 USDT. If the order notional value is less than the set threshold (5 USDT), the order will be rejected.

For example, if the user opens an order of 0.001 BTC > 5 USDT notional value, the order can be successfully placed; if the user opens an order 1 TRX < 5 USDT notional value, the order will be rejected.

• “Reduce-Only” order is not affected.
• Please note that the minimum order threshold on BitForex may be subject to change without prior notice. We advise users to monitor any updates via API to stay informed about the current minimum order threshold.