2021-02-23 14:11
Binance Futures will make the following updates to the trading rules for USDⓈ-M Futures at 2021-02-24 3:00:00 AM (UTC).
- The minimum notional value of each order must be no less than the threshold of 5 USDT. If the order’s 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 and the notional value (against USDT at the current market price) is > 5 USDT, the order can be successfully placed. But if the user opens an order of 0.00001 BTC, and the notional value (against USDT at the current market price) is < 5 USDT, the order will be rejected.
- Important notes:
- The number of open conditional orders (including Stop Limit, Stop Market and Trailing Stop) at the same time is limited to 10 per symbol per user.
- The following API endpoints' weights will be updated to 5:
- GET /fapi/v1/balance
- GET /fapi/v1/positionRisk
- GET /fapi/v2/balance
- GET /fapi/v2/positionRisk
For more information, please refer to the detailed API documentation here.
Risk Warning: Futures trading carries a substantial risk and the possibility of both significant profits and losses. Past gains are not indicative of future returns. All of your margin balance may be liquidated in the event of extreme price movement. The information here should not be regarded as financial or investment advice from Binance. All trading strategies are used at your discretion and your own risk. Binance will not be liable to you for any loss that might arise from your use of Futures.
Thanks for your support!
Binance Team
2021-02-23
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As an expert with a comprehensive understanding of cryptocurrency exchanges and futures trading, I can confidently delve into the intricacies of the provided Binance announcement dated February 23, 2021. My expertise is grounded in a deep understanding of blockchain technology, financial markets, and trading platforms, making me well-equipped to decipher the details and implications of the updates mentioned.
Let's break down the key concepts from the Binance announcement:
-
USDⓈ-M Futures Trading Rules Update (Effective February 24, 2021):
- The minimum notional value for each order on Binance Futures' USDⓈ-M contracts is set at 5 USDT. If the notional value falls below this threshold, the order will be rejected.
- The example illustrates that for an order of 0.001 BTC, the notional value must be greater than 5 USDT to be successfully placed.
- "Reduce-Only" orders remain unaffected by these changes.
- Binance Futures reserves the right to adjust the threshold without prior announcement, and users are advised to stay informed through the API or Contract Specifications pages.
-
Limit on Conditional Orders:
- The number of open conditional orders (including Stop Limit, Stop Market, and Trailing Stop) is capped at 10 per symbol per user.
-
API Endpoints' Weights Update:
- The weights for certain API endpoints, including
GET /fapi/v1/balance, GET /fapi/v1/positionRisk, GET /fapi/v2/balance, and GET /fapi/v2/positionRisk, will be adjusted to 5.
-
Risk Warning:
- The announcement emphasizes the substantial risk associated with futures trading, highlighting the potential for both significant profits and losses.
- Users are reminded that past gains do not guarantee future returns, and extreme price movements may lead to the liquidation of margin balances.
-
Information Sources:
- Users are encouraged to proactively check for updates via API or the Contract Specifications of USDⓈ-M Futures and Trading Rules pages.
- The provided API documentation serves as a comprehensive resource for detailed information on the changes.
In conclusion, my expertise in cryptocurrency trading allows me to interpret the nuances of Binance's USDⓈ-M Futures Trading Rules update. Traders should remain vigilant about the minimum notional value, the limit on conditional orders, and the adjusted API weights to make informed decisions in the volatile world of cryptocurrency futures trading.
FAQs
In USDT Margin Futures, profits and losses are settled in Tether (USDT), while in Coin-M Futures, they are settled in Bitcoin. This means that when you trade Coin-M Futures, your gains and losses are measured in Bitcoin.
What is USD M futures Binance? ›
USDⓈ-M: On the expiry of the contract, Binance exchange settles the futures contract in stablecoins. This means the trader marks their profits or losses in stablecoins such as BUSD and USDT. Coin-M: Translates to crypto-denominated. On the expiry of the contract, Binance settles the futures contract in cryptocurrency.
Can you leverage on Binance US? ›
Binance's Margin Trading supports leveraged long and short positions across a variety of digital assets on the spot market, offering up to 10x leverage through our Isolated Margin and Cross Margin products. Overall, Binance Margin offers over 600 margin pairs, the largest number in the market.
What is the Binance futures liquidity program? ›
The program's main goal is to provide liquidity and depth to the Binance USDⓈ-margined futures market. Binance reviews the effectiveness of this program regularly. The program requirements will be adjusted periodically as new pairs are added and as market conditions change.
Which trading pairs are currently supported in COIN M Perpetual Futures? ›
Futures trading types
| Differences | USDT-M/USDC-M Futures (forward futures) | Coin-M Futures Perpetual Futures (inverse futures) |
|---|
| Common trading pairs | BTCUSDT, ETHUSDC | BTCUSD, ETHUSD |
| Notional value | In fiat | In crypto |
| Expiration date | None | None |
| Transaction fees | Funding rate | Funding rate |
3 more rowsApr 23, 2024
Whether you go long or short, initial margin requirements vary by futures product, generally ranging anywhere from 3% to 12% of the notional value of the contract. There's also a maintenance margin requirement (balance your account must carry to stay in a position) that may be increased at any time.
What is the main advantage of USDT M futures? ›
MEXC's USDT-M futures are both quoted and settled in USDT. The main advantage of USDT-M futures lies in the straightforward calculation of returns in fiat currency, which enhances the intuitive nature of profit assessments.
What are the fees for COIN M futures? ›
COIN-M Futures are settled in cryptocurrencies like bitcoin (BTC) or ether (ETH). The maker and taker fees for COIN-M Futures trading fees are the same as those for USDⓈ-M Futures trades — 0.02% and 0.05%, respectively. There is no discount for paying for your COIN-M Futures trades with BNB.
How much commission does Binance take on futures? ›
Binance Futures Fee Structure
Binance Futures' fee structure can be found on our support page. Indeed, Binance Futures' taker fee rates start at 0.05% and can go as low as 0.017%. Maker fee rates, on the other hand, start at 0.02% and can go as low as 0.0000%.
Are Americans allowed to trade on Binance? ›
Binance.US is available to most U.S. residents, unlike parent company Binance. But there are some restrictions. The exchange isn't available in Alaska, American Samoa, Hawaii, Maine, New York, the Northern Mariana Islands, Texas, the U.S. Virgin Islands and Vermont.
THE ESSENCE:
The maximum leverage you can use in the US for major currency pairs is 50:1. The minimum margin requirement for trading on margin is 50% in the US. US brokers may apply stricter limits than the regulatory requirements.
How much does Binance charge for leverage? ›
Management fees: A daily management fee of 0.01% will be charged at 00:00 UTC and reflected directly in the net asset value of the leveraged tokens; Funding fees: Funding fees are paid (or paid to) the underlying fund based on the funding rate and reflected directly in the net asset value of the Leveraged tokens.
Can you make money with Binance futures? ›
There are several strategies that you can use to make money with Binance Futures, such as scalping, swing trading, and trend following. Each strategy has its own pros and cons, so it's important to choose the one that suits your trading style and risk tolerance.
How do you avoid liquidity on Binance? ›
How to avoid forced liquidations?
- Regularly check the risk ratio of margin positions. For more details, please refer to Binance Margin Level and Risk Control.
- Ensure collateral is sufficient to maintain positions.
- Make necessary risk control adjustments in advance.
Here are a few tips:
- Choose volatile assets. Volatile assets are those that move in price quickly. ...
- Do your research. Before you trade any asset, it is important to do your research and understand the factors that can affect its price. ...
- Use stop-loss orders. ...
- Take profits regularly. ...
- Start small.
Coin-M futures, also known as inverse futures, are settled in their respective cryptocurrencies (e.g., BTC, ETH, and XRP), without requiring stablecoins as margin. Currently, MEXC offers BTC and ETH Coin-M futures.
What are the different types of currency futures? ›
Aside from the popular contracts such as the EUR/USD (euro/U.S. dollar currency futures contract), there are also E-Micro Forex Futures contracts that trade at 1/10th the size of regular currency futures contracts, as well as emerging market currency pairs such as the PLN/USD (Polish zloty/U.S. dollar futures contract) ...
What are USD futures? ›
US Dollar Index® Futures
In a single transaction the USDX enables market participants to monitor moves in the value of the US dollar relative to a basket of world currencies, as well as hedge their portfolios against the risk of a move in the dollar.
What is COIN-m on mexc? ›
"Coin-M futures" refer to contracts where a certain cryptocurrency (such as Bitcoin or Ethereum) is used as collateral and for calculating profits and losses (PNL).
