🔢 Contract Trading | Coin-Margined and U-Margined
· What it is: The profit and loss of a U-margined contract changes linearly with price: P&L on a long position equals (closing price − opening price) × position size.
· Why it matters: When users holding spot BTC open a coin-margined short position to hedge, the margin for the short position and the assets they hold are the same coin. This is one of the commonly cited uses of coin-margined contracts.
· In practice: Before opening a position, check whether you’re entering a U-margined or coin-margined contract. The position size is calculated differently for each.
$BTC 77458.01(+0.095%)
· What it is: The profit and loss of a U-margined contract changes linearly with price: P&L on a long position equals (closing price − opening price) × position size.
· Why it matters: When users holding spot BTC open a coin-margined short position to hedge, the margin for the short position and the assets they hold are the same coin. This is one of the commonly cited uses of coin-margined contracts.
· In practice: Before opening a position, check whether you’re entering a U-margined or coin-margined contract. The position size is calculated differently for each.
$BTC 77458.01(+0.095%)