Transaction Rules of Perpetual Swap

Transaction Time

Perpetual transaction is a 7 * 24-hour transaction. At present, it is settled every 8 hours, and it is settled at 0:00, 8:00 and 16:00 (GMT + 8) of the day. The transaction will be interrupted during the settlement period, and the length of the interruption time depends on the settlement time of the system.

The interruption and recovery of perpetual transactions are distinguished by tokens. That is to say, if BTC is still in settlement and other digital assets have been settled, then other digital assets can resume transactions first.

Transaction Type

There are two types of trading, opening and closing. Opening and closing positions are divided into two directions: buying and selling

Opening Position

Open long position means that users buy a certain number of contracts when the index is bullish. When the transaction is concluded, long positions will increase.

Open short position means that users sell a certain number of contracts when the index is bearish. When the transaction is concluded, short positions will increase.

Note: for the same contract, only the same margin multiple is allowed. Exception prompt: you can only select the margin of the current open position. If you want to change the margin, please keep the short position. 2. For the same contract, it is allowed to hold positions in different directions, that is to say, two-way opening can be carried out.  

Closing position

Close short position means that users exit the market by offsetting the selling contract held currently when the index is not bearish. When the transaction is concluded, short positions will decrease.

Close long position means that users exits the market by offsetting owned buying contracts when the index is not bullish. When the transaction is concluded, long positions will decrease.

 Flash close is market price close. Flash Close is a function that would help users to place orders with top 30 optimal prices based on the counter-party price orders. However, if there are positions left not closing, the unfilled parts will convert to Limit Order automatically. The close prices of Flash Close are predictable, avoiding the losses caused by unfilled orders when market moves violently.

Limit order: The user needs to specify the price and quantity of the order. The limit order specifies the highest price that users are willing to buy or the lowest price that they are willing to sell. After the user sets the limit price, the market will prioritize the transaction at a price that is favorable to the user. 

Limit order can choose the market price transaction: just input the quantity. Trading at the current market price, to a certain extent, can ensure that investors' orders are completed in a timely manner, and user orders are matched with the market in the best way, but the transaction price will be uncertain.

Trigger order: The user can set the trigger price and its order price and quantity in advance. When the market's latest transaction price reaches the trigger price, the system will place an order based on the order price and quantity set in advance (ie, limit order).

Position

Users will get position after selecting a multiple of margin transaction, and positions in the same direction of the same types perpetual swaps are merged. In one perpetual swaps account, there can only be a maximum of 2 positions, long positions perpetual swaps, and short positions perpetual swaps.

Limitation of positions and orders

AOFEX limits users’ gross positions and quantities of orders, to prevent market manipulation.

Token	Upper limit position per user	Maximum amount per order(Cont)	Minimum amount per order(Cont)
BTC	2000000	500000	50
ETH	1000000	200000	50
EOS	300000	80000	50

【The above data and indicator contents may be adjusted in real time according to market conditions, and the adjustments will be made without further notice.】

If the amount of positions or orders held by an account is too large and there is a risk of market manipulation, then AOFEX has the right to require the user, including but not limit to: adopt to cancel orders or close positions, etc.Risk management measures of AOFEX are including but not limit to: gross positions limit, orders limit, cancel orders, and liquidation, etc.

Note：

• Perpetual swaps of a single type will be combined. If the user opens 1 BTC perpetual swaps first, and then opens 2 BTC perpetual swaps, then 3 BTC perpetual will be displayed at the position, they will not be separated.
• When closing a position, the cost is calculated using the moving average method. That is, closing a position does not distinguish which position is the closed position, but calculates the income based on the average position price as the cost price.