Introduction to Multi-currency Margin Mode – Coincall Exchange

1. Introduction to Coincall Account Modes

Coincall supports simultaneous trading of spots, futures, and options in a single account without the need for fund transfers between multiple accounts. Trading products denominated in the same settlement currency share margins, allowing for significant improvement in capital utilization.

Coincall currently offers two account modes: Single-currency Margin (SCM) and Multi-currency Margin (MCM), catering to different trading needs. Below is a comparison of the two account modes:

Account Mode

Features

Conditions

Multi-currency Margin

— Supports conversion of other assets into USDT value for perpetual and options trading, enhancing capital efficiency; offsets gains and losses between derivative products, enabling opening positions with unrealized profits.

— Tradable products: Spot, Perpetual, Options

— Available Mode: Cross Margin

The default mode for users

Single-currency Margin

— Futures and options share USDT assets as margin; risk isolation between USDT and other currency assets.

— Tradable products: Spot, Perpetual, Options

— Available Mode: Cross Margin

Switchable with no open positions, orders, or debts

2. How to Set Account Modes?

Users can set their account modes based on their preferences. Navigate to "Settings" -> "Margin Mode" or "Wallet" -> "Current Margin Mode" to switch account modes. If there are any open orders, positions, or loans in the account, mode switching is prohibited.

3. Introduction to Two Account Modes

In Coincall, trading rules for spot, perpetual, and options products remain consistent under both Single-currency and Multi-currency Margin modes. However, there are differences in the calculation of overall account assets and available margins. The detailed explanations for the Single-currency Margin mode are as follows:

Single-currency Margin Mode

In Coincall, perpetual, options and other financial derivatives follow a margin trading system, where the margin supports USDT as both the currency and settlement currency.

For example, if Account A deposits 1,000 USDT, it can engage in perpetual and options trading; whereas, if Account B deposits an equivalent value in BTC, it cannot directly trade derivatives. It needs to convert BTC into USDT through spot trading before engaging in derivative trading.

Under Single-currency Margin mode, margin calculations are independent for each position, and the total account margin is the sum of individual position margins.

Perpetuals and options contracts fall under margin trading, and users must understand the concepts of Initial Margin (IM) and Maintenance Margin (MM) before trading:

Initial Margin (IM): The minimum margin required for opening a position, including opening orders and existing positions.
Maintenance Margin (MM): The minimum margin required to maintain a position. If the account margin falls below the maintenance level, the position will be liquidated.

Conceptual Definitions of Account Assets:

Product-Specific Term	Calculation Formula
Withdrawable Balance	* USDT Withdrawable Balance = Available Margin - Max(0, (Sum of Remaining Trial Funds - Total IM - Sum of Opening Prices * Quantity * Position Direction)) * Non-USDT Withdrawable Balance = Available Margin
Available Margin	* USDT Available Margin = Margin Balance - IM - Option/Futures Order Freeze Fee - (Withdrawal Freeze + Withdrawal Freeze Fee) - Spot Order Freeze * Non-USDT Available Margin = Margin Balance - (Withdrawal Freeze + Withdrawal Freeze Fee) - Spot Order Freeze
Margin Balance	* USDT Margin Balance = Net Asset Value - Sell Option Valuation - Buy Option Valuation * Non-USDT Margin Balance = Net Asset Value
Net Asset Value	* USDT Net Asset Value = Deposit - Withdrawal - Withdrawal Fee + Remaining Trial Funds + System Transfer + Realized Gains from Options + Realized Gains from Futures + Unrealized Gains from Options + Unrealized Gains from Futures + Profits and Losses from Option Exercise - Option/Futures Order Fees - Option Exercise Fees - Option/Futures Liquidation Penalties + Futures Position Funding Fee + Net Spot Buy Quantity - Spot Order Fees + Fee Rebates + Fee Discounts + Cumulative Interest Income * Non-USDT Net Asset Value = Deposit - Withdrawal - Withdrawal Fee + Net Spot Buy Quantity - Spot Order Fees + Fee Rebates + Fee Discounts + Cumulative Interest Income
Unrealized P&L	(Mark Price - Average Opening Price) * Quantity * Position Direction; Buy = +1, Sell = -1
Realized P&L	(Closing Price - Average Opening Price) * Closing Quantity * Position Direction; Buy = +1, Sell = -1
Option Exercise Settlement P&L	Exercise Settlement Income - Average Opening Price * Pre-exercise Quantity * Position Direction; Buy = +1, Sell = -1
Option Exercise Settlement Income	For at-the-money and in-the-money options not exercised at expiration, exercise P&L = 0; For out-of-the-money options exercised at expiration, exercise P&L = (Settlement Price - Option Strike Price) * Pre-exercise Quantity * Position Direction * Call or Put; Buy = +1, Sell = -1; Call = +1, Put = -1
Settlement Price	Average of underlying index prices 30 minutes before option expiration
Futures Position Funding Fee	Futures Position Quantity * Funding Rate * When the Funding Rate is positive, long pays short; when the Funding Rate is negative, short pays long; no fees are charged by the exchange platform
Sell Option Valuation	Mark Price * Quantity, with Quantity being negative
Buy Option Valuation	Mark Price * Quantity, with Quantity being positive
Initial Margin	Sell Option Position IM + Sell Option Order Opening IM + Buy Option Order Opening IM + Futures Position IM + Futures Order Opening IM
Maintenance Margin	Sell Option Position MM + Futures Position MM
Initial Margin Rate	Total IM / Margin Balance
Maintenance Margin Rate	Total MM / Margin Balance

Single-currency Margin Mode Risk Control Rules: Link to Risk Control Rules

In Single-currency Margin mode, derivatives such as perpetual and options settle and maintain margins using USDT only. Under this mode, USDT assets are isolated from other assets in the wallet, ensuring that liquidation of USDT-settled perpetual and options does not lead to losses in other assets.

Multi-Currency Margin Model

Diverging from the single-currency margin model, the multi-currency margin model unifies diverse currency assets owned by users, converting them into the equivalent value in USDT. This converted value is then utilized for order validation and as a margin for holding positions. In situations where the user's USDT balance or equity is insufficient, but the overall USDT value is adequate, trading in perpetual, options, and other financial derivatives is still possible. If losses in derivative contracts lead to a negative USDT balance, automatic generation of USDT liabilities occurs, with interest being charged accordingly.

Under this model, the calculation logic for Initial Margin (IM), Maintenance Margin (MM), profit and loss, option exercise settlement gains and income, option valuation, and others remains the same as in the single-currency margin model. However, the difference lies in the risk assessment, which is uniformly measured in terms of USDT value within the multi-currency margin account. For users to maintain their positions, the overall effective asset value in USDT, converted relative to the maintenance margin against all positions, must be sufficient. Failure to meet this requirement triggers position liquidation or forced closure.

Explanation of Account Asset Concepts:

Product-Specific Term	Currency Dimension	Account Dimension
Withdrawable Balance	* USDT Withdrawable Balance = Max(0, Available Margin - Max(0, (Remaining Trial Funds Sum - Total IM - Sum of Opening Prices * Quantity * Position Direction for all Options and Futures))) * Non-USDT Withdrawable Balance = Max(0, (Withdrawable Margin - Derivative Trading Frozen Quantity))	--
Available Margin	* USDT Available Margin = Margin Balance - IM - Options and Futures Order Freezing Fee - (Withdrawal Freeze + Withdrawal Freeze Fee) - Spot Order Freeze * Non-USDT Available Margin = Margin Balance - (Withdrawal Freeze + Withdrawal Freeze Fee) - Spot Order Freeze	Overall Available Margin = Non-USDT Available Margin * Index Price * Corresponding Discount Coefficient + USDT Available Margin
Margin Balance	* USDT Margin Balance = Net Asset Value - Sold Option Valuation - Bought Option Valuation * Non-USDT Margin Balance = Net Asset Value	Overall Margin Balance = Non-USDT Margin Balance * Index Price * Corresponding Discount Coefficient + USDT Margin Balance
Net Asset Value	* USDT Net Asset Value = Deposits - Withdrawals - Withdrawal Fees + Remaining Trial Funds + System Transfers + Realized Gains from Options + Realized Gains from Futures + Unrealized Gains from Options + Unrealized Gains from Futures + Exercised Option Gains - Options and Futures Order Fees - Option Exercise Fees - Option and Futures Liquidation Penalty Fees + Futures Holding Funding - Spot Net Buying Quantity - Spot Order Fees + Fee Rebates + Fee Discounts + Cumulative Interest Income and Expenses * Non-USDT Net Asset Value = Deposits - Withdrawals - Withdrawal Fees + Spot Net Buying Quantity - Spot Order Fees + Fee Rebates + Fee Discounts + Cumulative Interest Income and Expenses	Overall Net Asset Value = Non-USDT Net Asset Value * Index Price + USDT Net Asset Value
Liabilities	USDT Liabilities = Min(0, (USDT Net Asset Value - Initial Valuation for Option Buyers

Conversion Rules: Link to Conversion Rules of the Multi-currency Margin Model

Risk Warning:

1. In the Multi-currency margin account mode, if a user's USDT asset net value is insufficient, the user will automatically become a "Loan". When calculating the user's margin, the corresponding portion of the non-USDT currency assets will be frozen, and withdrawals will be unavailable. After the user closes the position, withdrawals can be made.

2. "Loan" users under the Multi-currency Margin mode get bankruptcy.

Specifically, when ∑(non-USDT currency assets * index price * discount rate) ≤ USDT loss amount, the platform's risk control engine will forcibly liquidate all non-USDT currency assets in the account and convert them into USDT to repay the debt. The user will have a record of the currency conversion in the account and receive an email notification.