Adjustment of Face Value for USDT-margined Perpetual Swap & Futures Trading

Dear valued customers,

To enhance the liquidity of the USDT-margined perpetual swap and futures markets and offer a better trading experience, we will adjust the face values of USDT-margined perpetual swap and futures contracts.

I. USDT-margined Perpetual Swap

We will only adjust the face values of BTCUSDT, EOSUSDT and ETHUSDT perpetual swap contracts. Details as follows:

The face value adjustments for the above contracts is estimated to last for 30 minutes, during which we will suspend the corresponding trading services. Users will not be allowed to place or cancel orders, add margins and transfer fund. In order to ensure trading safety and control risk, please take necessary measures in advance, such as canceling orders, reducing positions, or adding margin to avoid potential risks.

During the adjustment, users’ positions and number of pending orders relating to the above contracts will also be adjusted, those of other contracts will remain unchanged. Details as follows:

1. Holdings:

• If a user’s number of contracts held is an integer multiplier of 100 before the adjustment, the number will become 1/100 after the adjustment. If the unit is cryptocurrency, the number of tokens held will remain unchanged.
• If a user’s number of contracts held is not an integer multiplier of 100 before the adjustment, the number will be rounded down to the nearest integer multiplier of 100 after the adjustment.

Examples:

Example 1: Before the adjustment, the user holds 100 BTCUSDT perpetual swap contracts with total value of 0.01 BTC; after the adjustment, the contracts will be merged into 1 and the value will remain unchanged.

Example 2: The user holds 360 BTCUSDT perpetual swap contracts before the adjustment. After the adjustment, the 300 contracts will be merged into 3 contracts with a new face value, and the remaining 60 contracts (360 – 3*100 = 60) will be closed at the settlement price at 08:00 (UTC) on that day.

Example 3: Before the adjustment, the user holds 66 BTCUSDT perpetual swap contracts (less than 100). After the adjustment, all of them will be closed at the settlement price at 08:00 (UTC) on that day.

2. Pending orders:

• If a user’s number of unfilled pending limit orders is the integer multiplier of 100 before the adjustment, the number will become 1/100 after the adjustment. If the unit is cryptocurrency, the number will remain unchanged.
• If a user’s number of unfilled pending limit orders is not an integer multiplier of 100 before the adjustment, the number will be rounded down to the nearest integer multiplier of 100 after the adjustment. The withholding margin of pending orders or the number of contracts available to close will be adjusted accordingly.
• For partially filled pending limit orders, unfilled contracts will be cancelled during the adjustment.
• Pending stop limit/trail orders will be subjected to the same changes as pending limit orders during the adjustment.
• Pending and partially filled iceberg/time-weighted average price (TWAP) orders will be cancelled during the adjustment.

Examples:

Example 1: Before the adjustment, the user places a limit order for 100 BTCUSDT perpetual swap contracts with total value 0.01 BTC; after the adjustment, the number of contracts for the order will be merged into 1 with the same face value.

Example 2: Before the adjustment, the user places a limit order for 360 BTCUSDT perpetual swap contracts. After the adjustment, the 300 contracts will be merged into 3 contracts with a new face value, and the remaining 60 contracts (360 – 3*100 = 60) will be cancelled. For an open order, the withholding margin will be adjusted according to the new order size; for a close order, the number of contracts available to close will be adjusted according to the new order size.

Example 3: Before the adjustment, the user places a limit order for 500 BTCUSDT perpetual swap contracts, 320 of which are filled. After the adjustment, the unfilled 180 contracts will be cancelled.

Example 4: Before the adjustment, the user places a stop limit order for 150 BTCUSDT perpetual swap contracts. After the adjustment, the 100 contracts will be merged into 1, and the remaining 50 contracts (150 – 1*100 = 50) will be cancelled.

II. USDT-margined Futures

The face values of all futures contracts of the major 9 assets will be adjusted at 08:00 Mar 27 (UTC) (i.e. settlement time of 0327 quarterly futures contracts). Details as follows:

The face value adjustments for the above contracts will be estimated to last for 30-60 minutes, during which we will suspend the corresponding trading services. Users will not be allowed to place or cancel orders, add margins and transfer fund. In order to ensure trading safety and control risk, please take necessary measures in advance, such as canceling orders, reducing positions, or adding margin to avoid potential risks.

During the adjustment, users’ holding positionss and numbers of pending orders will also be adjusted. Details as follows:

1. Holdings:

• After the adjustment, a user’s number of contracts held will be divided by 100 (or 1,000 for contracts of some assets) if the unit is contract. The number of tokens held will remain unchanged if the unit is cryptocurrency.

Example:

Before the upgrade, the user’s number of BTCUSDT futures contracts held is 600 with total value of 0.06 BTC; after the upgrade, the 600 contracts will be merged into 6 with the same face value.

2. Pending orders:

• After the adjustment, the number of pending orders will be divided by 100 (or 1,000 for contracts of some assets) if the unit is contract. The number will remain unchanged if the unit is cryptocurrency.

Example:

Before the upgrade, the number of pending orders for BTCUSDT futures contracts is 600 with total value of 0.06 BTC; after the upgrade, the 600 contracts will be merged into 6 with the same face value.

We apologize for any inconvenience this may cause. Please contact our customer support should you have any enquiries.

Thank you for your continued support and we assure you of our best services at all times.

Regards,
OKX
Mar 4, 2020 (UTC)