OKEx to Launch Perpetual Swap

Perpetual swaps are futures contracts with no specific expiration dates and with the possibility of withdrawal at any time
04 December 2018   145

OKEx bitcoin exchange will offer users new cryptocurrency derivatives - perpetual swaps. Product launch is scheduled for December 11th.

Perpetual swaps are futures contracts with no specific expiration dates and with the possibility of withdrawal at any time. In addition, 100-fold leverage will be available to traders.

Financing fees will be charged daily at 9:00 UTC, and the funding rate will be updated at 9:59 UTC.

This marks a key milestone for OKEx. The launch of perpetual swap demonstrates our continuous commitment to building a complete financial ecosystem for blockchain and crypto. With the new offering, investors and traders can select the products which best fit their trading and hedging strategies. However, we would like to remind our users that due to its high-leverage nature, implementing risk control strategies are equally crucial in trading.
 

Lennix Lai

Financial Market Director, OKEx

The new mechanism of forced liquidation of open positions also implies partial liquidation in order to minimize the impact of the procedure on the market.

OKEx Traders to Suffer Losses

OKEx closed several positions for BCH futures for $ 135 million without warning
20 November 2018   288

On the eve of the hard fork in the Bitcoin Cash network, the OKEx exchange closed several positions for BCH futures for $ 135 million without warning. Because of this, some traders suffered losses, Bloomberg reported.

On November 14, OKEx changed the terms of futures contracts for Bitcoin Cash, arguing that protecting customers from the looming market volatility associated with the future hard forks.

On November 15, due to a technical malfunction on the platform, traders could not make transactions within two hours, while increased volatility was observed in the market.

According to the manager of Consensus Technologies Chao Changhei, OKEx suddenly closed its fund’s position at a non-prevailing market price. Because of this, the fund lost $700000. He added that due to the ambiguous reaction of the management of the exchange to hardfork in the Bitcoin Cash network, his five millionth fund will reduce cooperation with OKEx. In addition, one trader who wished to remain anonymous filed a complaint against OKEx with the Hong Kong Securities and Futures Commission.

As stated by the head of the OKEx division, Andy Chung, this “fair and rational” solution was aimed at avoiding market manipulation.

Note that on November 12, OKEx representatives issued a warning to customers, which said it was necessary to focus on “risk management in order to avoid undesirable losses during trading before and during hard forks”