Optimization of Partial Liquidation and PnL Calculation for Futures Positions

Note: The APP must be updated to version 1.14.0 or above. Prior to this update, users may encounter issues such as maintenance margin rates exceeding 100% without triggering position reduction, as well as display problems. Please monitor recent updates and ensure your APP is updated promptly.

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1. Position Reduction Optimization

Comparison of Old and New Calculations:

The system assesses risk by calculating the Maintenance Margin Rate (MMR), defined as:

MMR = Required Maintenance Margin for User Position ÷ Account Balance.

Position reduction or liquidation occurs when MMR reaches 100%.

• Old Method:
  Required Maintenance Margin = Position Value × Maintenance Margin Rate for the Corresponding Value Tier, where the margin rate is calculated based on the current mark price to determine the tier of the position value.
• New Method:
  Required Maintenance Margin = Position Value × Maintenance Margin Rate for the Corresponding Value Tier, where the margin rate is calculated based on the minimum value between the position value calculated using the current mark price and the value calculated using the entry price.

Purpose of Optimization:

This change reduces the required maintenance margin for user positions, thereby lowering the MMR value. For users with positions spanning two or more tiers, this optimization decreases the risk of position reduction.

 

2. Profitability Calculation Optimization

Comparison of Old and New Calculations:

• Old Method:
  Return Rate = Unrealized PnL ÷ Position Margin
  Position Margin = Initial Margin + Net Transferred Margin + Net Funding Fees
• New Method:
  Return Rate = Unrealized PnL ÷ Initial Margin
  Initial Margin = (Entry Price × Position Quantity) ÷ Leverage ÷ Index Price of Collateral

Purpose of Optimization:

This enhancement eliminates interference caused by changes in transferred funds or funding fees, providing users with a more accurate reference for return rates.