Crypto.com Perpetual Contract Trading Rules

Crypto.com's perpetual contract trading rules include market hours, account requirements, risk management guidelines, order placement protocols, leverage regulations, liquidation and funding rate mechanisms, fee structures, and prohibited activities.

Dec 01, 2024 at 08:18 pm

Crypto.com Perpetual Contract Trading Rules

Crypto.com offers a robust perpetual contract trading platform, enabling traders to speculate on the future prices of crypto assets with leverage. To ensure a fair and orderly trading environment, Crypto.com has established a comprehensive set of rules that all traders must adhere to. This article provides an in-depth guide to the rules governing perpetual contract trading on Crypto.com.

Rule 1: Market Hours and Types

• Crypto.com's perpetual contract markets operate 24 hours a day, 7 days a week, except for scheduled maintenance periods.
• The platform offers perpetual contracts on a wide range of cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and many more.

Rule 2: Account Requirements and Risk Management

• To engage in perpetual contract trading, traders must create a Crypto.com account and complete the verification process.
• Traders are responsible for managing their risk by understanding the potential losses associated with leveraged trading.
• Crypto.com offers a range of risk management tools, including stop-loss orders and leverage limits, to help traders mitigate risks.

Rule 3: Order Placement and Execution

• Traders can place market, limit, and stop-loss orders on Crypto.com's perpetual contract platform.
• Market orders are executed immediately at the best available market price.
• Limit orders are executed only when the market price reaches a specified limit price.
• Stop-loss orders are triggered when the market price falls below a specified stop-loss price, selling the contract to limit potential losses.

Rule 4: Leverage and Margin Requirements

• Crypto.com offers leverage of up to 100x on perpetual contract trades, allowing traders to amplify their trading positions.
• Margin requirements vary depending on the leverage used and the traded asset.
• Traders must maintain sufficient margin in their account to cover potential losses.

Rule 5: Liquidation and Funding Rates

• If the trader's margin falls below the required level, their position will be subject to liquidation.
• Liquidation occurs when the broker automatically closes the trader's position to prevent further losses.
• Funding rates are adjustments made every 8 hours to ensure that perpetual contract prices track the spot market prices.
• Traders pay or receive funding based on their position and the funding rate.

Rule 6: Fees and Commissions

• Crypto.com charges a maker-taker fee structure for perpetual contract trades.
• Maker orders, which add liquidity to the market, are typically charged lower fees.
• Taker orders, which remove liquidity from the market, are typically charged higher fees.

Rule 7: Prohibited Activities

• Crypto.com prohibits certain activities on its perpetual contract trading platform, including:

  • Market manipulation
  • Front-running
  • Wash trading
  • Collusion

Rule 8: Dispute Resolution

• In the event of a dispute, traders can initiate a dispute resolution process through Crypto.com's support channels.
• Crypto.com reserves the right to investigate disputes and make a final decision.