MoonX is an on-chain trading tool developed by BYDFi. To get started, search for BYDFi on the App Store or Google Play. After downloading the app, open it and switch to MoonX from the top menu!<img src="https://uploads.bydfi.in/events/cmsBYD.1738929891938.image.png" alt="BYD.1738929891938.image.png" data-href="https://uploads.bydfi.in/events/cmsBYD.1738929891938.image.png" style="width: 50%;"/>🚀 Experience the MoonX Web3 Wallet now and start your Web3 journey!Available on <a href="https://apps.apple.com/us/app/bydfi-buy-btc-eth-doge/id6444251506" target="_blank">iOS</a> / <a href="https://play.google.com/store/apps/details?id=com.bydfi.app" target="_blank">Android</a>.

How to Download MoonX

How to Download MoonX｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1747035103204.image.png" alt="BYD.1747035103204.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1747035103204.image.png" style="width: 100%;"/>How to Use Convert?You can use BYDFI's convert service to convert tokens at any time with zero fees. It's convenient, fast, and a one-click operation. Choose the token you want to convert and enter the amount for the convert. BYDFI will provide the best quote. If you are satisfied with the current quote, click convert to complete the convert transaction. Make sure you have sufficient balance before using the convert. Which Tokens Can Be Converted?You can convert most tokens available on the BYDFI platform. You can convert BTC to USDT or USDT to BTC. Simply select the corresponding token in the dropdown menu to get the convert rate for the desired token pair. How Are Convert Transaction Fees Charged?There are no transaction fees when using BYDFI's convert function. What Is the Difference Between Convert and Regular Trading?Unlike the order matching model, convert uses an over-the-counter (OTC) quote model with zero fees and zero slippage. Therefore, convert quotes differ from spot market prices. Users first request a quote from the OTC desk, which provides a competitive price based on the current market. If the user accepts the quote, they can quickly complete the transaction by clicking convert. Ensure you have sufficient balance before trading. What Are the Minimum and Maximum Transaction Amounts for Convert?The minimum transaction amount for convert is 1 USDT, and the maximum transaction amount is 20,000 USDT. How to View Convert History?You can directly click on the convert history at the top right corner, or find the "My Assets" menu in the asset management dropdown list at the top right corner. Then click on "Asset Records" on the left side and select "Convert Records" to view.

Convert FAQs

Convert FAQs｜BYDFi Help Center

The Spot Martingale Strategy is an automated trading tool designed to help users take advantage of market fluctuations by placing a series of buy and sell orders based on predefined rules. This guide explains how the strategy works, how to set it up, and includes a real example for clarity. <h2>🔁 What Is the Spot Martingale Strategy?</h2>The Spot Martingale Strategy works by averaging down your buying price as the market drops and aiming for profits when the price rebounds. Once the take-profit level is reached, all assets are sold, and the next cycle begins automatically. <h2>🚀 How to Start the Spot Martingale Strategy</h2><h3>1. Access the Strategy</h3>Go to the Strategy Trading homepage on the BYDFi app.<img src="https://uploads.bydfi.in/events/cms/BYD.1751362417049.image.png" alt="BYD.1751362417049.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1751362417049.image.png" style="width: 50%;"/>Tap on Spot Martingale to enter the trading page.<img src="https://uploads.bydfi.in/events/cms/BYD.1751362437085.image.png" alt="BYD.1751362437085.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1751362437085.image.png" style="width: 50%;"/> <h3>2. Learn the Basics</h3>Tap the 【...】 icon in the upper-right corner to check Beginner’s Operating Guide<img src="https://uploads.bydfi.in/events/cms/BYD.1751362661288.image.png" alt="BYD.1751362661288.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1751362661288.image.png" style="width: 50%;"/> <h3>3. Choose a Trading Pair</h3>In the top-left corner, select the coin pair you wish to trade (e.g., BTC/USDT).<img src="https://uploads.bydfi.in/events/cms/BYD.1751362715244.image.png" alt="BYD.1751362715244.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1751362715244.image.png" style="width: 50%;"/> <h3>4. Configure Strategy Parameters</h3><img src="https://uploads.bydfi.in/events/cms/BYD.1751362905031.image.png" alt="BYD.1751362905031.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1751362905031.image.png" style="width: 50%;"/>Fill in the following fields to define how your Spot Martingale strategy will operate:<h4>🔹 Trigger Conditions</h4><ul><li>Price Scale (%): The percentage drop in price that triggers each safety (add-margin) order.</li><li>Take-Profit Ratio (%): The profit percentage at which the strategy will automatically sell and complete the cycle.</li></ul><h4>🔹 Investment Settings</h4><ul><li>Initial Order Amount: The amount in USDT for your first buy order (range: 12–20,000 USDT).</li><li>Safety Order Amount: The amount used for each safety (add-margin) order (≥ 12 USDT).</li><li>Max Safety Orders: The maximum number of safety orders allowed in the strategy (e.g., 8).</li></ul><h4>🔹 Current Balance</h4><ul><li>Displays your available USDT balance for strategy use.</li></ul><h4>🔹 Advanced (Optional)</h4><ul><li>Trigger Price: Set a specific price at which the strategy will be activated.</li><li>Price Scale Multiplier: Increase the spacing between safety orders (e.g., 1x = fixed spacing, 1.5x = wider spacing as price drops).</li><li>Safety Amount Multiplier: Increase the size of each subsequent safety order (e.g., 2x = each new order doubles in size).</li><li>Stop Loss Ratio (0.05–99.99%): Automatically terminates the strategy when the position loss exceeds this threshold. You can also choose whether to sell the base asset at market price when triggered. </li></ul> Once your parameters are set, tap Create to launch the strategy.After creation:<ul><li>The system freezes your investment.</li><li>A market order is executed for your initial position.</li><li>Limit buy orders are placed based on your configured triggers and multipliers.</li><li>A take-profit limit order is placed, which adjusts dynamically with the average cost.</li></ul> <h2>⚙️ Strategy Execution: How It Works</h2><ul><li>Each time an add-margin buy order is filled, your average cost is recalculated.</li><li>The take-profit price updates dynamically based on the new average.</li><li>Previous take-profit orders are canceled and reissued with the updated price.</li><li>Once the take-profit order is filled: Unfilled add-margin orders are canceled. A new cycle begins using your original strategy settings.</li></ul>You can terminate the strategy manually at any time and choose whether to sell the base coin at market price when exiting.<img src="https://uploads.bydfi.in/events/cms/BYD.1751365485761.image.png" alt="BYD.1751365485761.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1751365485761.image.png" style="width: 50%;"/><img src="https://uploads.bydfi.in/events/cms/BYD.1751365503073.image.png" alt="BYD.1751365503073.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1751365503073.image.png" style="width: 50%;"/> <h2>⛔️ Stop Loss & Risk Triggers</h2><ul><li>If you set a stop-loss percentage, the strategy will automatically terminate when that threshold is hit.</li><li>In cases of delisting, suspension, or major system anomalies, the strategy will also auto-stop to protect your funds.</li></ul> <h2>📘 Real-World Example (BTC/USDT)</h2><h3>Assumptions:</h3><ul><li>Current price: 20,000 USDT</li><li>Price drop to add margin: 5%</li><li>Take-profit: 10%</li><li>First order: 100 USDT</li><li>Add margin order: 200 USDT</li><li>Max add margin levels: 4</li><li>Multiplier for price drop: 1.5×</li><li>Multiplier for order size: 2×</li><li>Total invested: 3,100 USDT</li></ul><h3>Cycle 1 (T0):</h3><ul><li>Buy 100 USDT at 20,000 (market)</li><li>Place take-profit limit at 22,000 USDT</li><li>Place four add-margin orders at progressively lower prices: </li></ul><ol><li>19,000 USDT for 200 USDT; </li><li>17,500 USDT for 400 USDT; </li><li>15,250 USDT for 800 USDT; </li><li>11,875 USDT for 1,600 USDT</li></ol><h3>Cycle Progress (T1):</h3><ul><li>Price drops to 15,000 USDT</li><li>First 3 add-margin orders filled</li><li>Total BTC bought: 0.0908 BTC</li><li>New average cost: 16,512.1 USDT</li><li>Updated take-profit target: 18,163.31 USDT</li></ul><h3>Take-Profit Execution (T2):</h3><ul><li>Price rebounds to 18,163.31</li><li>Take-profit order triggers</li><li>Position closed, profit realized</li><li>New cycle begins</li></ul> <h2>📌 Key Notes & Tips</h2><ul><li>The strategy updates dynamically—every time an add-margin order is filled, your take-profit adjusts.</li><li>Only actual user-funded trades are included in performance.</li><li>Bonus trades are excluded from the strategy.</li></ul> <h2>⚠️ Disclaimer</h2>The Spot Martingale Strategy is a trading tool and should not be considered as financial or investment advice provided by BYDFI. The strategy can not promise to protect the capital, in the extreme unilateral market there is still a certain risk of loss. You agree to this agreement. It means that all trading strategies are at your own discretion and risk. For any loss you may incur due to the use of this product, BYDFI does not assume any liability. It is recommended that the user reads the guide to the Spot Martingale strategy, a reasonable assessment of their own risk-bearing ability, rational decision-making. <h2>🎥 Watch Tutorial</h2><a href="#" target="">👉</a><a href="https://youtu.be/1mPpi4jYwjU" target="_blank" style="text-align: start;"> YouTube Tutorial</a> <h2>💬 Need Help?</h2>If you need help setting up or managing your Spot Martingale Strategy, contact our 24/7 support team via live chat or email: <a href="mailto:cs@bydfi.com" target="_blank">cs@bydfi.com</a>.

How the Spot Martingale Strategy Works on BYDFi (APP)

How Spot Martingale Strategy Works on BYDFi (App)｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1747900642707.image.png" alt="BYD.1747900642707.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1747900642707.image.png" style="width: 100%;"/>What is spot Martingale StrategyOriginally, the Martingale strategy originated from a guessing game. If you lose a round, you put in double the chips of the previous round in the next round, and so on, until you win.Let's say a player bets 1 USD on the first round of a game and loses, then bets 2 USD on the next round, and then bets 1 USD on the win, and then bets 4 USD, and so on, so that no matter how much he loses on the previous round, he can recoup all of his losses and make a profit on the next round if he wins the next round. Adopting this strategy will theoretically result in a 100% win rate. The Spot Martingale Strategy Applicable SceneMartingale is suitable for most of the market except for the unilateral market, especially the medium and long-term oscillating market. In the medium and long-term oscillator market, martingale strategy will buy continuously, the implementation of a similar swing batch bottoming operation, traders at this time can also choose to enlarge the multiples of the amount of money to buy, in order to better seize the opportunity of a short decline, and wait until the market rebound can be sold in one fell swoop to make a profit. The Advantages of the Spot Martingale StrategyBatch bottoming out:Martingale strategy, traders can batch bottoming out in the short-term decline in the market, when the larger the number of orders to increase positions, the average cost will be continuously reduced. Traders can use this to earn the entire rebound market gains.Simple and efficient:Simplicity: perhaps the greatest strength of the Martingale strategy is its simplicity. There are no more than two rules that determine the method, and these rules are easily applied to the trader's specific goals. This feature of the strategy makes it the choice of both novice and experienced traders.Efficient: the Martingale strategy is to buy in batches and sell at once, while the Grid Trading Robot is to buy in batches and sell in parts. And since Martingale is buying more and more quantities on the way down, Grid Trading will buy more assets (base coins) at once at the creation of the initial, based on the parameters set by the user, which, on average, is roughly half of the amount invested. So, if the market falls, martingales are also more risk resistant. The Disadvantages of Spot MartingaleMartingale also has some significant disadvantages. First, the strategy assumes that the player has unlimited funds and time. However, in real life, most people do not have unlimited funds and time to continue to increase the amount they bet. Second, the strategy ignores risk and probability in the game. Even if a player increases the amount of money, he bets using the Martingale strategy. There is still a chance that he will lose consecutive rounds and eventually run out of money. Nonetheless, the Martingale strategy offers some valuable ideas for risk management and is favored by professional investors for its high win rate expectations. Disclaimer:The Spot Martingale Strategy is a trading tool and should not be considered as financial or investment advice provided by BYDFI. The strategy cannot promise to protect the capital. In the extreme unilateral market there is still a certain risk of loss. You agree to this agreement. It means that all trading strategies are at your own discretion and risk. Using this product may cause any loss. BYDFI does not assume any liability. It is recommended that the user reads the guide to the Spot Martingale strategy, a reasonable assessment of their own risk-bearing capacity and rational decision-making.

What is Spot Martingale?

What Is Spot Martingale?｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1747124935867.image.png" alt="BYD.1747124935867.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1747124935867.image.png" style="width: 100%;"/>In the operation of the Spot Martingale Strategy, the setting of the parameters will directly effect the final profit results. Understanding the Spot Martingale strategy parameters, can help you better use the Spot Martingale strategy tools. Order Parameters<ul><li>Price Scale: After the Initial Order to buy at market price in every cycle, adding positions for every drop in the range in order to reduce the average position cost. Take Profit Ratio: Each cycle, when batch bottoming and rebounding, for the average position cost, profit to the proportion of this price and sell to take profit.</li><li>Initial Order Amount: At the beginning of each cycle, the amount of the first Market Price Trade that will be carried out.</li><li>Safety Order Amount: The amount of each Safety Order to buy after the Initial Order has fallen a certain amount.</li><li>Max Safety Orders: the number of shares to divide the funds into batches to bottom the market</li><li>Current Investment: total investment in this Martingale Strategy</li><li>Trigger Price: when the price is lower than this price, the strategy is activated and starts to run.</li><li>Price Scale Multiplier: The greater the multiplier difference between each Safety Order, the wider the price difference of the subsequent pending order.</li><li>Safety Amount Multiplier: The greater the amount difference between each Safety Order, the greater the amount of the subsequent add margin order.</li><li>Stop Loss Ratio: The Stop Loss price is different for each cycle and dynamically follows the price of the first order of each cycle. The price of the first trade of the current cycle x (1 - Stop Loss)</li></ul> Profit and Loss Parameters<ul><li>Total Profit: The sum of all profits since the Spot Martingale strategy started.</li><li>Cycle PNL: the realized profit and loss generated by each cycle, the cumulative total profit (after deducting the transaction fee).</li><li>Floating PNL: Floating profit and loss due to the current currency pair and the market rise and fall.</li><li>Annualized Profit Rate (APR): Total Profit / Total Investment * 365 days * 24 hours * 60 minutes / Running Time (minutes)</li></ul> Disclaimer The Spot Martingale Strategy is a trading tool and should not be considered as financial or investment advice provided by BYDFI. The strategy can not promise to protect the capital. In the extreme unilateral market there is still a certain risk of loss. You agree to this agreement. It means that all trading strategies are at your own discretion and risk. For any loss you may incur due to the use of this product, BYDFI does not assume any liability. It is recommended that the user reads the guide to the Spot Martingale Strategy, a reasonable assessment of their own risk-bearing capacity, rational decision-making.

Spot Martingale Strategy Parameters Explained

Spot Martingale Strategy Explained｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1747983162379.image.png" alt="BYD.1747983162379.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1747983162379.image.png" style="width: 100%;">BYDFi trading robots can execute your trading strategies to help you save time and increase your investment returns. Trading robots usually provide stable returns and reduce risk while automatically executing trades, taking the hassle out of watching the market for the user. Below is an explanation of the difference between a Grid trading Robot and an Spot DCA <h2 style="text-align: left;">What is a Grid trading Robot and an Spot DCA?</h2><h3 style="text-align: left;">Grid trading Robot</h3>The principle is to "buy low and sell high", i.e. to place orders to buy below the reference price of a cryptocurrency asset and to place orders to sell above the reference price. The spacing between these buy and sell orders is called a grid and can be set within a price range. Grid robots benefit from price fluctuations (sideways oscillations). <h3 style="text-align: left;">Spot DCA</h3>Can be used to buy a fixed amount of a specific cryptocurrency at regular intervals, rather than buying a large amount at once. When using theAuto-Invest Robot, you have the flexibility to set the trading frequency and amount. This means that you can choose the appropriate frequency and amount of purchases based on your investment strategy and risk tolerance.<table style="width: 100%;"><tbody><tr><td colspan="1" rowspan="1" width="133" style="text-align: left;">Type</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Grid trading Robot</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Spot DCA Robot</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Features</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Hold the coin and profit from the price</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Increase in coin pair position on long-term average price</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Order Type</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">The first one is the market price, and the next one is the limit price.</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Market Price</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Advantages</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Automatically buy low and sell high for you, 24 hours a day, without missing the market and strictly enforced.</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Reduce the cost of holding coin pair and avoid buying at high prices.</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Disadvantages</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">Requirement to set aside funds and lower capital utilization rate</td><td colspan="1" rowspan="1" width="auto" style="text-align: left;">The average position price is usually not the lowest</td></tr></tbody></table>

Difference Between Spot Grid and Spot DCA

Spot Grid vs Spot DCA: Key Differences｜BYDFi Help Center

<html>
 <head></head>
 <body>
 <img src="https://uploads.bydfi.in/events/cmsBYD.1735298444483.image.png" alt="BYD.1735298444483.image.png" data-href="https://uploads.bydfi.in/events/cmsBYD.1735298444483.image.png" style="width: 100%;">What is the COIN-M Perpetual Contract? What is the difference between Coin-M and USDT-M Perpetual Contracts?
 When placing an order using BTC as the margin, the transaction fee, funding fee, and settlement of the unrealized profits and losses are all settled in BTC. Taking BTCUSD as an example, the COIN-M Perpetual Contract is placed and settled with BTC, and the USDT-M Perpetual Contract is placed and settled with USDT.
 
 Where should the funds be placed when trading COIN-M Perpetual Contracts?
 You may start trading the COIN-M Perpetual Contract after transferring assets to the COIN-M account.
 Please refer to this article about how to transfer your assets: <a href="https://www.bydfi.com/server/en/support/FAQs/articles/c32m7u7vpqgd" target="_blank">How to Transfer Assets?</a>
 
 Is it possible to switch between cross and isolated mode in real time? 
 BYDFi supports switching between cross and isolated mode when there are no open positions; when there are open positions or trigger orders, switching between cross and isolated mode is not supported.
 
 What is the risk limit?
 BYDFi implements a tiered margin system, with different levels based on the value of user positions. The larger the position, the higher the initial margin rate when opening a position. The larger the value of the contract held by the trader, the lower the maximum leverage that can be used. Each contract has a specific maintenance margin rate, and margin requirements increase or decrease as risk limits change.
 
 Can the unrealized profit be used to open positions or make withdrawals?
 No, unrealized profit can only be settled after closing the position. Unrealized profit does not increase the available balance, so it cannot be used to open a position or make withdrawals.
 
 Is the insurance pool for COIN-M Perpetual Contracts shared or currency-independent?
 COIN-M perpetual contracts are settled using the cryptocurrency. As a result, the insurance pools are separate due to the difference in currency.
 
 What is an Inverse Contract?
 The Inverse Contract is also known as the COIN-M Contract. Traders need to first confirm how much USD to trade and then use the underlying currency (e.g., BTC, ETH) to calculate margin, profit, and loss. If a trader wants to trade Bitcoin contracts, they must use Bitcoin as the underlying currency, and if they are trading Ether contracts, then they need to hold Ether.
 
 Can I trade ETH on BYDFi if I have BTC?
 No, traders need to have ETH to trade the ETHUSD COIN-M Perpetual Contract.
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COIN-M Perpetual Contracts FAQ

COIN-M Perpetual Contracts FAQ｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1747894806901.image.png" alt="BYD.1747894806901.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1747894806901.image.png" style="width: 100%;"/>What is a Spot Grid Robot?A Spot Grid Robot is an automated trading tool that allows users to buy and sell at pre-set prices and ranges to realize profits for the user. What kind of market conditions are suitable for a Spot Grid Robot?Generally speaking, Spot Grid Robots are more suitable for oscillating and volatile markets. What currencies are supported by Spot Grid Robot?At BYDFi, the Spot Grid Robot uses USDT. How are the handling fees calculated?The handling fee of Spot Grid Robot is the same as normal spot, 0.1% for both buy and sell. Why the selling volume is less than the buying volume?Because the handling fee for spot trading is charged in the currency you buy, the volume of buying and selling will not be exactly the same.If you still don't know how to calculate the handling fee, please refer to this article: <a href="https://www.bydfi.com/en/support/PRODUCT_DESCRIPTION/articles/3bgyddf0faru?title=Spot+Trading+Transaction+Fees" target="_blank">Spot Trading Transaction Fees</a> How do I receive my Spot Grid Robot Profits?The robot profit will be automatically credited to your cash account after you have completed your strategy. What are the limits on the number of grids and the amount of money?The number of grids is from 2 to 99; the amount limit depends on the product, you can check it in the settings page. What is the upper and lower price limit of the grid robot?The lower limit is the latest price multiplied by 0.2; the upper limit is the latest price multiplied by 5. Is there any risk of forcing the Spot Grid Robot?There is no risk of forcing as the robots we currently offer are of the spot type. How many Spot Grid Robots can I run?BYDFi currently supports 10 grid robots for the same currency.

Spot Grid Robot FAQ

Spot Grid Robot FAQ｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1747127939981.image.png" alt="BYD.1747127939981.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1747127939981.image.png" style="width: 100%;"/>What is the Spot Grid Trading?The spot grid Trading is an automatic arbitrage Trading that buys low and sells high within a fixed price range.Users only need to set the highest and lowest prices of the range and determine the number of grids to be subdivided to start running the Spot Grid. If necessary, triggering conditions can also be preset. When the market reaches these conditions, the Trading will automatically start.The Trading calculates the buy-low and sell-high price for each grid and automatically places orders. Users can take advantage of market fluctuations to repeatedly buy low and sell high, earning profits from these fluctuations. Scenarios for Spot Grid TradingThe core of Spot Grid Trading is "High throw bargain - hunting", so this trading is ideal for oscillating markets as well as oscillating upward markets.If the market goes down, it will bring you the corresponding risk of loss. Advantages of the Spot Grid TradingSpot grid trading is essentially a mechanical buy-low-sell-high trading system. Set the appropriate range and grid size, and then support the corresponding funds and positions, the price fell in batches to buy, the price rose in batches to sell. It is a trading method that harvests profits by repeatedly buying low and selling high in response to price fluctuations;Does not rely on human thinking, does not require in-depth research to determine the market and the sense of the market, is entirely a systematic behavior, like a fishing net, the use of market fluctuations in the grid range of low buy and high sell, through repeated cycles of the difference in price to earn profits;Requirements for the user's skills and experience is low, is a very suitable for ordinary users to participate in a stable profit model. Disadvantages of the Spot Grid TradingRelatively low capital utilization and limited Internal Rate of Return;When the market is unilateral, if the market soars, the spot grid returns are lower than the returns from a direct full position, and at the same time, there will be a sell-fly situation, and if the market plummets, there will be the risk of being trapped or breaking the grid;High trading frequency, and the trading fee increases;In summary, there are pros and cons to any model, and whichever model of instrument you choose to help you trade, you need to understand it in depth and independently assess the risks. NotesFunds invested after the creation of the grid will be transferred out of the spot account and used independently under the spot grid. Therefore, users need to pay attention to the risk of the overall position in the trading account after the funds are transferred out;When creating, one base coin will be bought at market price as a priority. When the market fluctuates drastically, the system may not be able to lay the order properly due to too large a spread and insufficient market buying, which may lead to an abnormal closure of the spot gird;When stopping, if you choose to sell a base coin at the market price, when the market fluctuates violently, the spread difference is too large, the stall is insufficient, and other reasons for slippage is too large, resulting in a certain risk;During operation, if the Trading currency encounters other unpredictable abnormalities such as suspension, delisting, order cancellation, etc., the grid Trading will be automatically stopped and may cause certain risks as a result. Disclaimer Spot Grid Trading is a trading tool and should not be considered as financial or investment advice provided by BYDFI. The profitability of the Spot Grid Trading may be affected by factors such as unreasonable grid settings, unilateral market conditions, or not being in the grid range you have set, etc. You may adjust your Grid in accordance with the prevailing market conditions in a timely manner. By agreeing to this Agreement, you agree that all trading strategies are at your own discretion and risk. BYDFI will not be liable for any loss you may incur as a result of using this product. Users are advised to read the Spot Grid Trading Guide, reasonably assess their own risk tolerance and make rational decisions.

What is the Spot Grid Trading?

What Is Spot Grid Trading?｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1747641386461.image.png" alt="BYD.1747641386461.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1747641386461.image.png" style="width: 100%;"/>Price Range: The spot grid operates within this price range. When the price goes above the highest price or below the lowest price, the system will no longer execute orders outside of the range (the highest price in the range should be greater than the lowest price). Grid Quantity: Divide the price range into corresponding segments, each with a buy and sell price point. Investment Amount: The amount invested by the user in the strategy. Take Profit Price: Automatically stops the spot grid strategy when the price reaches this level. (The take profit price should be higher than the highest price in the range/latest price/trigger price). Stop Loss Price: Automatically stops the spot grid strategy when the price falls to this level. (The stop loss price should be lower than the lowest price in the range/latest price/trigger price). Profit Rate per Grid (%): After the user sets parameters, it calculates the estimated yield, deducting fees, for each grid. AI Recommended Parameters: Generated by AI through market data backtesting; we cannot guarantee the final profit outcome. Sell All Base Coins on Stop: When triggering the take profit/stop loss price, the system will decide the subsequent action based on the checkbox. If "sell" is selected, the system will convert all base coins in the spot grid strategy into quote coins at market price when the spot grid strategy stops, returning them to the spot account's available balance. If "do not sell" is selected, the system will return all assets (quote coins + base coins) directly to the spot account's available balance when the spot grid strategy stops. Annualized Return: Total profit / total investment amount x 365 days x 24 hours x 60 minutes / runtime (in minutes).

Explanation of Spot Grid Terminology

Spot Grid Terminology Explained｜BYDFi Help Center

Spot DCA is a smart trading bot that helps users accumulate crypto over time by following a cost averaging strategy (DCA). Instead of trying to time the market, the bot automatically buys your selected token at regular intervals, lowering the impact of short-term volatility.This feature is ideal for:<ul><li>Long-term holders who want to steadily build their portfolio.</li><li>Traders who don’t care about short-term price fluctuations.</li><li>Users who don’t have time to monitor the market every day.</li></ul> <h2>How to Set Up Spot DCA on BYDFi App</h2><h3>1. Access Spot DCA</h3><ul><li>On the BYDFi APP homepage, tap More.</li></ul><img src="https://uploads.bydfi.in/events/cms/BYD.1758624426511.image.png" alt="BYD.1758624426511.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1758624426511.image.png" style="width: 50%;"/><ul><li>Select Bots.</li></ul><img src="https://uploads.bydfi.in/events/cms/BYD.1758624444467.image.png" alt="BYD.1758624444467.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1758624444467.image.png" style="width: 50%;"/><ul><li>Choose Spot DCA, and the system will take you directly to the strategy creation page.</li></ul><img src="https://uploads.bydfi.in/events/cms/BYD.1758624467651.image.png" alt="BYD.1758624467651.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1758624467651.image.png" style="width: 50%;"/><h3>2. Configure Your Strategy</h3>On the creation page, you can:<ul><li>Rename the bot (optional).</li><li>Choose your target currency (e.g., BTC, ETH).</li><li>Set the fixed investment amount (e.g., 100 USDT).</li><li>Select investment frequency (e.g., daily, weekly, monthly).</li></ul><img src="https://uploads.bydfi.in/events/cms/BYD.1758624605293.image.png" alt="BYD.1758624605293.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1758624605293.image.png" style="width: 50%;"/><h3>3. Start the Bot</h3><ul><li>Once confirmed, the bot will automatically purchase crypto at your chosen frequency.</li><li>You can view the performance of past runs directly on the Spot DCA page.</li></ul><img src="https://uploads.bydfi.in/events/cms/BYD.1758624679935.image.png" alt="BYD.1758624679935.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1758624679935.image.png" style="width: 50%;"/> <h2>Example Calculation</h2>If you set the following parameters:<ul><li>Target Currency: ETH</li><li>Investment Amount: 100 USDT</li><li>Frequency: Weekly</li><li>Duration: 1 Month</li></ul>Here’s how the cost averaging works:<table style="width: auto;"><tbody><tr><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Week</th><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Trading Price</th><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Trading Volume</th></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">1st</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">1,860</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">0.05376344</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">2nd</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">1,650</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">0.06060606</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">3rd</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">1,770</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">0.05649717</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">4th</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">1,700</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">0.05882352</td></tr></tbody></table>Average Entry Price = (1,860 + 1,650 + 1,770 + 1,700) ÷ 4 = 1,745 USDT👉 If you had bought 400 USDT of ETH in the first week, your cost would have been 1,860 USDT.👉 With Spot DCA, the average cost is 1,745 USDT — a better entry price thanks to DCA. <h2>Important Notes</h2><ul><li>If your Spot Wallet balance is insufficient, Spot DCA will pause automatically until you deposit more funds.</li><li>You can stop the strategy at any time.</li></ul> <h2>🎥 YouTube Tutorial</h2>Watch the full walkthrough to see how Spot DCA works in real-time. 👉 <a href="https://youtu.be/MgQNbYb2zM4" target="_blank">YouTube Tutorial </a>

How to Use Spot DCA on BYDFi (APP)

How to Use Spot DCA on BYDFi (App)｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1747039147990.image.png" alt="BYD.1747039147990.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1747039147990.image.png" style="width: 100%;"/><h3>What Is Spot DCA?</h3>Spot DCA is a long-term investment strategy that reduces risk by regularly investing a fixed amount of money over time. Regardless of market conditions, investors continue to buy assets at set intervals. This approach is known as Dollar Cost Averaging (DCA).By investing the same amount consistently, investors buy more units when prices are low and fewer when prices are high, helping to mitigate market volatility and reduce the risks of trying to time the market. <h3>Why Choose Spot DCA?</h3>Spot DCA is suitable for users who want to:<ul><li>Build long-term wealth steadily</li><li>Avoid emotional or short-term trading decisions</li><li>Reduce the impact of market fluctuations</li><li>Take advantage of price dips without active management</li></ul>During periods of high market volatility, Spot DCA allows you to accumulate more assets at lower prices with the same investment amount, potentially leading to higher average returns. <h3>Key Parameters of Spot DCA</h3>When creating a Spot DCA strategy, you’ll need to configure the following parameters:<ul><li>Investment Coin: The asset used to fund your investment (currently, only USDT is supported).</li><li>Target Coin(s): You can freely choose up to 10 cryptocurrencies to invest in. When the strategy is triggered, the system will purchase the selected coins based on your configured proportions.</li><li>Investment Amount per Cycle: The total amount of money invested in each cycle (e.g., 100 USDT per week).</li><li>Investment Interval: The frequency of each investment cycle — daily, weekly, or monthly.</li></ul> DisclaimerSpot DCA is a trading tool and should not be regarded as financial or investment advice provided by BYDFi. The profitability of Spot DCA may be affected by one-sided market conditions or improper parameter settings. You may adjust your Spot DCA strategy based on market conditions. By using this tool, you unconditionally accept all BYDFi terms and rules. Please be fully aware of the risks associated with cryptocurrency investments and operate cautiously. You agree that all investment actions on BYDFi.com represent your true investment intentions and that you unconditionally accept the potential risks and returns of your investment decisions.

What is Spot DCA?

What Is Spot DCA?｜BYDFi Help Center

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 A Limit Order allows traders to set a specific price, known as the "Order Price". Unlike Market Orders, which execute immediately at the current market price, Limit Orders give traders better control over the entry or exit price of their positions. However, this control comes at the expense of execution guarantees.
 
 Limit Orders may be executed immediately for the following reasons:
 Buy/Long Orders: If the Order Price is set higher than the best ASK Price (the lowest price at which traders are willing to sell). Sell/Short Orders: If the Order Price is set lower than the best BID Price (the highest price at which traders are willing to buy).
 
 <img src="https://uploads.bydfi.in/events/cmsBYD.1735736949751.image.png" alt="BYD.1735736949751.image.png" data-href="https://uploads.bydfi.in/events/cmsBYD.1735736949751.image.png" style="width: 50%;"> Example: Immediate Execution of a Limit Order Consider a scenario where a trader sets a limit Buy order at 69,000. Here’s how the system processes it:
 The best ASK Price in the order book is 68,713.99. According to the principle of Buy Low &amp; Sell High, the system compares the Order Price (69,000) with the best ASK Price (68,713.99). Since 69,000 is higher than 68,713.99, the system determines that the order can be filled at the lower ASK Price of 68,713.99 at that moment. The order will continue to be filled at 68,713.99 until the contract quantity is met or the price reaches 69,000, whichever comes first.
 
 This mechanism ensures that traders get the best available price within the set limit, leading to immediate execution if the Order Price is favorable compared to current market prices.
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Why Limit Orders Get Executed Immediately

Why Limit Orders Execute Immediately｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1744280799001.image.png" alt="BYD.1744280799001.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1744280799001.image.png" style="width: 100%;"/>To profit from a contract transaction of encrypted currency assets, you can choose to go long or short on the underlying trading pairs based on market price fluctuations. <h3>How to Go Long</h3> Going long means that investors anticipate the market will rise in the future and purchase a certain number of bullish contracts on encrypted currency assets. When you expect the contract price to rise, you can go long through contract trading. The operation process is as follows: transfer a part of the USDT to the USDT-M account as margin, select the required leverage, order type, and buy a certain number of contracts. When the price of the long contract rises, sell it at a high price to generate income; in other words, buy low and sell high. Taking BTC contract trading as an example, we buy a contract worth 1 BTC at the price of $5,000 per coin. If the price of BTC rises to $5,500 per coin, we sell the contract worth 1 BTC to generate a profit of $500. <h3>How to Go Short</h3> Going short means that investors anticipate the market will fall in the future and sell a certain number of bearish contracts on encrypted currency assets. When you expect the contract price to fall, you can short the contract through contract trading. The operation process is as follows: transfer a part of the USDT to the USDT-M account as margin, select the required leverage and order type, and sell a certain number of contracts. When the price of the short contract falls, buy it at a low price to generate income; in other words, sell high and buy low. Taking BTC contract trading as an example, we sell a contract worth 1 BTC at the price of $5,000 per coin. If the price of BTC falls to $4,500 per coin, we buy the contract worth 1 BTC to generate a profit of $500.

How to Go Long/Short

How to Go Long / Short｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1744280183839.image.png" alt="BYD.1744280183839.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1744280183839.image.png" style="width: 100%;"/><h2>How to Quickly Find the Contract Trading Operation Guides</h2><a href="https://www.bydfi.com/server/en/support/PRODUCT_DESCRIPTION/articles/oon0txlpn7cp" target="_blank">Perpetual Contract Trading Guide (PC Version)</a> <a href="https://www.bydfi.com/en/support/PRODUCT_DESCRIPTION/articles/p006nn97sfda" target="_blank">Perpetual Contract Trading Guide (APP Version)</a> <h2>What Are the Transaction Fees?</h2>Perpetual Contracts: Taker fee rate is 0.06% ; Maker fee rate is 0.02%.For detailed calculations, you can refer to: <a href="https://www.bydfi.com/en/support/FAQs/articles/on7fv1tccy2h" target="_blank">Transaction Fee Calculation</a> <h2>How to Obtain Contract Bonuses?</h2>You can earn coupons, or perpetual contract bonuses by completing the tasks at <a href="https://www.bydfi.com/account/welcome-rewards" target="_self">"Welcome Rewards"</a>. Additionally, our <a href="https://twitter.com/BYDFi" target="_self">community</a> frequently organizes events where you can acquire bonus rewards by participating. <h2>How to Use Contract Bonuses?</h2><a href="https://www.bydfi.com/server/en/support/FAQs/articles/0mh1mmncm67a" target="_blank">Perpetual Contract Bonus</a>

Contract Trading FAQ

Contract Trading FAQ｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1747212995197.image.png" alt="BYD.1747212995197.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1747212995197.image.png" style="width: 100%;"/>Futures Grid Creation Steps1. Strategy Creation<ul><li>Lowest or Highest Price: The price range within which the strategy operates.</li><li>Number of Grids: The number of grids within the price range (affects the profit per grid). 2. Strategy Operation</li><li>When the price falls to a buy price of a grid and a transaction occurs, the strategy will place an order to close the long position in the grid above.</li><li>When the price rises to a sell price of a grid and a transaction occurs, the strategy will place an order to open a long position in the grid below. 3. Strategy Termination</li><li>All orders will be canceled when the grid is terminated.</li><li>"Close Position at Termination" is enabled by default, meaning all positions opened by the Futures strategy will be closed at market price when the grid stops.</li></ul> Tutorial (Using the BTCUSDT Pair as Example)Setting Parameters<ul><li>Trading Pair: BTCUSDT</li><li>Grid Type: Neutral</li><li>Lowest Price Range: 26,500 USDT</li><li>Highest Price Range: 27,000 USDT</li><li>Number of Grids: 5</li><li>Grid Mode: Arithmetic</li><li>Leverage: 10x</li><li>Investment Amount: 100 USDT</li><li>BTC/USDT Price at Strategy Creation: 26,702 USDT The price range is from 26,500 to 27,000 USDT, split into 5 grids. Each grid width = (27,000 – 26,500) / 5 = 100 USDT.</li></ul>Grid ranges are<ul><li>26500 - 26600</li><li>26600 - 26700</li><li>26700 - 26800</li><li>26800 - 26900</li><li>26900 - 27000</li></ul>At the time of creation, the BTC/USDT market price is 26,702, which falls within the grid range. Since this is a neutral grid, no position is opened immediately. Buy orders are placed below the current price. Sell orders are placed above the current price. No order is placed in the grid closest to the market price.Each grid order size is calculated as: 100*10 / ((26500+26600+26700+26800+26900+27000)*(1+0.002)) = 0.006BTC Initial Order Placement:<table style="width: 100%;"><tbody><tr><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Price</th><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Order Type</th></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,500</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Buy</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,600</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Buy</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,700</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">No Order</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,800</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,900</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">27,000</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr></tbody></table> Grid Execution Example: 1. Price drops to 26,600 - The bot places its first buy order, acquiring 0.006 BTC in a long position and a sell order is placed at the next higher grid (26,700).<table style="width: 100%;"><tbody><tr><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Price</th><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Order Type</th></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,500</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Buy</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,600</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">No Order</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,700</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,800</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,900</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">27,000</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr></tbody></table> 2. Price continues down to 26,500 - A second buy order is executed. Total long position becomes 0.012 BTC and a new sell order is placed at 26,600.<table style="width: 100%;"><tbody><tr><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Price</th><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Order Type</th></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,500</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">No Order</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,600</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,700</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,800</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,900</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">27,000</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr></tbody></table> 3. Price drops below 26500 (e.g. &nbsp;26499) - The price is outside the defined grid range, so grid operations are paused. No new orders are placed, and existing orders remain unchanged.4. Price rises back to 26,600 - The bot sells 0.006 BTC, locking in grid profit. A new buy order is placed at 26,500.<table style="width: 100%;"><tbody><tr><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Price</th><th colspan="1" rowspan="1" width="auto" style="text-align: center;">Order Type</th></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,500</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Buy</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,600</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">No Order</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,700</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,800</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">26,900</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr><tr><td colspan="1" rowspan="1" width="auto" style="text-align: center;">27,000</td><td colspan="1" rowspan="1" width="auto" style="text-align: center;">Sell</td></tr></tbody></table> Operational Logic Summary<ul><li>Once the grid bot is active, there will always be one grid level without an order — the one closest to the current price.</li><li>The bot repeats this buy low / sell high logic across the grid levels until the strategy is manually stopped or the price remains outside the range for an extended time.</li></ul> Disclaimer: Futures grid trading is a tool and not financial or investment advice from BYDFi. Profits can be affected by unilateral markets or improper price interval settings. Adjust strategies according to market conditions. Users accept all terms and risks when using this tool on BYDFi.com. Users should recognize the risks of cryptocurrency investment and operate cautiously. All investment actions on BYDFi.com represent the user's true investment intentions, and they accept the potential risks and rewards of their investment decisions.

Futures Grid Tutorial

Futures Grid Tutorial｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1745828755573.image.png" alt="BYD.1745828755573.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1745828755573.image.png" style="width: 100%;"/>The previous article stated that the price of leveraged tokens will be influenced by two factors: secondary market price and net asset value (NAV). We will introduce the calculation of NAV in this article. NAV= Previous Rebalanced NAV*[1±3*(Latest Deal Price of Underlying Asset-Previous Rebalanced Price of Underlying Asset)/Previous Rebalanced Price of Underlying Asset*100%] e.g. Previous Rebalanced NAV=1, Underlying Asset's (BTC) price rise from 10000 to 11000: NAV of BTC3L=1*[1+3*（11000-10000）/10000*100%]=1+3*10%*1=1.3NAV of BTC3S=1*[1-3*（11000-10000）/10000*100%]=1-3*10%*1=0.7 When the price of BTC falls from 11000 to 10500, and price rebalancing doesn't occur during the price change. NAV of BTC3L=1*[1+3*（10500-10000）/10000*100%]=1+3*5%*1=1.15NAV of BTC3S=1*[1-3*（10500-10000）/10000*100%]=1-3*5%*1=0.85 During an extremely volatile market, the 24-hourly calculation may have both the long and short appear as the market is dipping. Merge MechanismDue to the influence of market sentiment, the price on the secondary market might deviate from NAV and cause a premium. We recommend users avoid setting the order price too far away from NAV. In order to raise price sensitivity and users' experiences, BYDFI will merge the price when NAV is below the threshold (0.1U in the beginning). This means NAV will be 10 times larger than the price before merging, the volume of positions will be 1/10th as large at the same time, and total asset value will not be affected. Total Assets Value = NAV * Position VolumeAfter merging: Total Assets Value = (NAV*10)*(Position Volume/10) Risk warning: Leveraged token products are leveraged and fluctuate widely. Please be familiar with the trading rules and participate with caution.

Price Mechanism of Leveraged Tokens

Price Mechanism of Leveraged Tokens｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms/BYD.1745393910622.image.png" alt="BYD.1745393910622.image.png" data-href="https://uploads.bydfi.in/events/cms/BYD.1745393910622.image.png" style="width: 100%;"/><h3>Different Trading Methods</h3>In <a href="https://www.bydfi.com/en/spot/btc3l_usdt" target="_blank">Leveraged Tokens</a>, leveraged tokens are buy/sell, while in derivatives, they are buy long/sell short. <h3>Different Fees</h3>Leveraged Tokens have a transaction fee of 0.2%, while Perpetual Contracts have a taker fee of 0.06% and a maker fee of 0.02%.However, Leveraged Tokens have a management fee of 0.03% (not deducted but reflected in net asset value), while Perpetual Contracts have funding fees that are generated every 8 hours.Related Article: <a href="https://www.bydfi.com/en/support/FAQs/articles/on7fv1tccy2h" target="_blank">Transaction Fee Calculation</a> <h3>Different Investment Scenarios</h3>Due to the commodity characteristics of Leveraged Tokens, they are generally considered more suitable for one-way markets and short-term operations, while derivatives are considered more suitable for back-and-forth operations in oscillating markets. <h3>Different Leverage Methods</h3>Currently, the Leveraged Token products provided by BYDFi has a 3x leverage, which is fixed daily through the <a href="https://www.bydfi.com/server/en/support/PRODUCT_DESCRIPTION/articles/w0jvdcouytej" target="_blank">rebalancing mechanism</a>. The leverage range offered by derivatives trading varies depending on the product. For details, please refer to: <a href="https://www.bydfi.com/en/swap-info?page=4&type=usdt" target="_blank">USDT-M Perpetual Contracts Trading Rules</a> <h3>Different Amount Requirements</h3>The minimum amount for purchasing Leveraged Tokens is 10 USDT. For derivatives, the minimum required amount varies depending on the product category. For Perpetual Contracts, it depends on the product, which can be viewed by clicking on the upper right corner of the product <a href="https://www.bydfi.com/en/spot/btc3l_usdt" target="_blank">trading page</a>. <h3>Risk Bearing</h3>The risk of liquidation for Leveraged Tokens tends to be zero, while derivatives have the risk of liquidation.To minimize trading risks, it is important to understand the different characteristics of the products and choose the ones that suit your needs before trading.

Differences Between Leveraged Tokens and Derivatives

Differences Between Leveraged Tokens and Derivatives｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms1736162438914FakcSwX4Wd9W.png" alt="image.png" data-href="" style="width: 100%;"/>Initial MarginInitial margin refers to the minimum collateral amount required to open a position in leveraged trading. The leverage used by traders is inversely proportional to the initial margin required to hold a position. The higher the leverage, the less initial margin is required. In the USDT-M Perpetual Contract, the initial margin is obtained by multiplying the order value by the initial margin rate. The initial margin rate depends on the leverage used. Initial Margin = Contract Quantity * Entry Price / Leverage Example:FIBO opened a long order of 0.5 BTC at 30,000 USDT with 100X leverage.Initial Margin = (0.5 * 30,000) / 100 = 150 USDT Maintenance MarginThe maintenance margin is the minimum amount of margin a trader needs to keep a position open. The maintenance margin will increase or decrease based on the risk limit chosen by the trader. By default, the risk limit for all trading pairs will start from the lowest maintenance margin in their respective <a href="https://www.bydfi.com/en/swap-info?page=5&amp;type=usdt" target="_blank">risk limit tables.</a> When the margin level used for a position is lower than the maintenance margin level, the position will be liquidated. Position Value = Contract Quantity * Entry PriceMaintenance Margin = Maintenance Margin Rate * Position Value - <a href="https://www.bydfi.com/en/swap-info?page=5&amp;type=usdt" target="_blank">MMQC</a>The required Maintenance Margin Rate (MMR) for a position is based on the margin level requirement for the value of the position. Example:FIBO opened a long position of 1 BTC at 10,000 USDT with 100X leverage in isolated mode.Initial Margin = 1 BTC * 10,000 * 1/100 = 100 USDTMaintenance Margin = 1 BTC * 10,000 * 0.5% = 50 USDT This means that the position's maximum loss is 50 USDT (100 USDT - 50 USDT); otherwise, it will be forced to liquidate.

Initial Margin and Maintenance Margin (USDT-M)

Initial & Maintenance Margin (USDT-M)｜BYDFi Help Center

<img src="https://uploads.bydfi.in/events/cms1736162425293xuEvZoakMrqC.png" alt="image.png" data-href="" style="width: 100%;"/>Isolated ModeWhen the position margin ratio reaches 100%, the position will be triggered liquidation with a liquidation transaction fee and a liquidation clearance fee. Please note that the position is triggered by the margin ratio, liquidation price is for reference only. Cross ModeWhen the position margin ratio reaches 100%, the position will be triggered liquidation with a liquidation transaction fee and a liquidation clearance fee. Please note that the position is triggered by the margin ratio, liquidation price is for reference only. In addition, all the cross mode positions share the same margin, so as long as one cross mode position triggers liquidation, all the cross mode positions will be closed regardless of whether they are profitable or not. The specific liquidation process is as follows:<ul><li>Cross Mode: Cancel all pending orders (including all pending orders in Isolated Mode)</li><li>Isolated Mode: Cancel all pending orders including TP/SL orders for the specified trading pair (other trading pairs are not affected)</li><li>If the margin maintenance requirement is not met at this point, the position will be taken over by the liquidation engine at the bankruptcy price.</li></ul>When the liquidation is executed at the bankruptcy price, the following scenario occurs:<ul><li>If the position can be executed in the market at a price better than the bankruptcy price, the liquidation clearance fee will be added to the insurance fund.</li><li>If the position cannot be executed at a price better than the bankruptcy price, the breakout loss will be covered by the insurance fund.</li></ul>Example: FIBO holds a 1.5 million BTCUSD long position + 1 million BTCUSD long limit order.When the position margin ratio ≥100%, the system will first cancel the 1 million BTCUSD limit order. This releases a portion of the margin to increase the available balance in an attempt to meet the maintenance margin requirement. If the position is still not margined to the maintenance margin requirement after the limit order is canceled, the liquidation engine will take over the position. Note:<ul><li>Margin Ratio = (Maintenance Margin+ Liquidation Transaction Fee) / Margin Balance</li><li>Liquidation Clearance Fee≈ Position Maintenance Margin = Actual Position Margin + Liquidation PNL - Liquidation Transaction Fee</li><li>Liquidation Transaction Fee = Position Value * Quantity / Mark Price * Liquidation Transaction Fee Rate</li></ul> Risk Control PolicyWhen the margin balance is insufficient, we will send a margin call and a liquidation notice to the user by email. This feature serves as a risk alert that cannot be guaranteed to be sent or delivered in a timely manner. Under certain circumstances (including due to network congestion and poor network conditions), you may be unable or delayed in receiving email alerts during your use of the service, and BYDFi reserves the right to send notifications without obligation. To prevent excessive market risk concentration and manipulation, BYDFi limits individual users' position size. Orders exceeding these limits will be rejected. Additionally, we strictly prohibit users from circumventing position limits through any means, such as multiple accounts, identity masking, third-party account control, or exploiting system vulnerabilities, to maintain market fairness.

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