Hybrid Contract is the next-generation contract product based on BiKi Perpetual Contract which means users can use any token as margin to trade the various mainstream perpetual contracts, and the profit & loss are settled as per the margin token e.g. users trade BTCUSDT perpetual contract using BIKI token as the margin, so in the event of a profit, users earn BIKI token and lose BIKI token if there is a loss.
Launched by BiKi platform, Hybrid Contract has the following core advantages: use your preferred token as the margin for trading and there is no need to exchange it to USDT which helps to avoid any opportunity costs incurred in the event of a margin token price increase and reducing exchange fees and other expenses.
1. Supports multiple tokens as the margin
BiKi Hybrid Contract allows users to use any token as the margin to go long or short on BTC and settle the profits or losses in the corresponding token. A dozen of tokens were launched as margin token in the first batch and many more to be launched soon.
2. No delivery dates
It is similar to Perpetual Contract except for the margin and it requires no delivery time and you can hold the positions permanently.
3. Supports leverage multiple up to 125 times
Hybrid Contract supports leverage up to 125 times for both isolated margin and cross margin modes. Under isolated margin mode, users can change the position size by adjusting the leverage multiple. Cross margin mode does not support leverage modification and leverage is set to the maximum by default.
4. Index Price - Fair and Just
In order to maintain the fairness of the market, BTCUSDT is the default contract for trading BiKi Hybrid Contract. When users use other tokens as margin for opening and closing position, the index price of BTC maintains the same weighting algorithm as the Perpetual Contract by tracking the prices of mainstream exchanges so that the market price will be anchored to the spot market price and exclude the risk of market manipulation.
Hybrid Contract vs Other Contracts
Other Explanatory Notes:
- The tokens available for Hybrid Contract will be adjusted from time to time according to market demand and feedback. Profit & loss are settled in the token margin which is non-binding of the token’s own legal currency if any.
- The funding rate is not the platform’s income but a mechanism to ensure that the price is always anchored and stable with the spot market price where it is calculated in every 8 hours and settled directly between the traders with long or short positions in order to make sure that the transaction price for hybrid contract remain stable.
- Hybrid Contract adopts an automatic “reduce position” mechanism which will ensure that the interests of trading users are not affected by users in the opposite direction under extreme market conditions, resulting in additional losses. However, the “double fund protection” scheme adopted by BiKi will give priority to share protection for users who needs to reduce their position in order to minimize their risks.
How to trade Hybrid Contract?
Apart from USDT, if you are also holding other assets for a long time, you can transfer your other assets to your Contract Account, so that if you find that BTC may have a bullish or bearish trend, you can use your other assets to open a position in Hybrid Contract, when BTC fluctuates, it will automatically settled in the currency that you had used to open the hybrid contract.