#CoinOn Launches the ID1-20 Times U-Standard Perpetual Contract

03/23/2023 05:40 • AI & Tech Insights • 95 views

On March 23rd, according to an official announcement, Coin On announced that it would launch the ID1-20 times U-standard perpetual contract at 22:30 Beijing time on March 24th, 2023.

Coin An will go online with ID 1-20 times the U standard perpetual contract

CoinOn, a leading cryptocurrency exchange platform, made an official announcement on March 23rd regarding the launch of its new product, the ID1-20 Times U-Standard Perpetual Contract. This new addition is scheduled to launch on March 24th, 2023, at 22:30 Beijing time. In this article, we will explore the concept of perpetual contracts, the unique features of the ID1-20 Times U-Standard Perpetual Contract, and how it can benefit cryptocurrency traders.
##What are perpetual contracts?
Perpetual contracts are a type of futures contract that do not have an expiration date. They are designed to help traders speculate on the future price movements of an underlying asset, usually a cryptocurrency, without the need to physically buy or sell the asset. Unlike traditional futures contracts that have a set expiration date, perpetual contracts can be held for as long as the trader wants. The contract’s value is based on the price of the underlying asset and the exchange’s funding rate.
##How does the ID1-20 Times U-Standard Perpetual Contract work?
The ID1-20 Times U-Standard Perpetual Contract is a unique product that offers traders the opportunity to leverage their positions by up to 20 times. This means traders can magnify their gains or losses by 20 times. To use this product, traders need to deposit a certain amount of collateral, which is used to secure their position. As the value of the underlying asset changes, the exchange will adjust the trader’s profit and loss accordingly.
The ID1-20 Times U-Standard Perpetual Contract also features a funding rate mechanism to ensure that the contract price stays close to the underlying asset’s spot price. The funding rate is a small fee paid by long position holders to short position holders or vice versa, depending on the contract’s premium or discount. This mechanism creates an incentive for traders to balance the market, making it more efficient and stable.
##What are the benefits of the ID1-20 Times U-Standard Perpetual Contract?
The ID1-20 Times U-Standard Perpetual Contract offers several advantages over traditional futures contracts. Firstly, it allows traders to trade with leverage, which can magnify their profits. Secondly, because it does not have an expiration date, traders can hold their positions for as long as they want. This means they do not have to worry about rolling their positions over or settling them before expiry.
The contract’s funding rate mechanism also helps keep the contract price close to the underlying spot price, making it a more accurate representation of the asset’s value. Furthermore, the ID1-20 Times U-Standard Perpetual Contract is highly liquid, meaning there are always buyers and sellers in the market. This makes it easier for traders to enter and exit positions.
##Conclusion
The launch of the ID1-20 Times U-Standard Perpetual Contract by CoinOn is set to change the cryptocurrency trading landscape. This innovative product offers traders the opportunity to leverage their positions while also providing them with more flexibility than traditional futures contracts. With its funding rate mechanism and high liquidity, the ID1-20 Times U-Standard Perpetual Contract is sure to become a popular trading instrument among cryptocurrency traders.
##FAQs
Q: What is a perpetual contract?
A: A perpetual contract is a type of futures contract that does not have an expiration date.
Q: What is leverage?
A: Leverage allows traders to magnify their profits or losses by using borrowed funds to increase their position.
Q: What is a funding rate mechanism?
A: A funding rate mechanism is used to keep the contract price close to the underlying asset’s spot price by incentivizing traders to balance the market.

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#CoinOn Launches the ID1-20 Times U-Standard Perpetual Contract

Coin An will go online with ID 1-20 times the U standard perpetual contract

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