🔖 Key Features

In this section, we introduce the key features of Aspecta Futures.

Each of the features protects users from a particular perspective, providing a fair and transparent trading experience.

• Liquidation Protection
• Limit Orders & Slippage Protection
• Settlement & Funding Fee
• Settlement Rate Dynamic

✅ 1. Liquidation Protection: Protect Traders

Background: The crypto futures market may experience extreme price volatility due to market sentiment and shifting liquidity. This volatility exposes short position users under high risks. Users might be forcibly liquidated once the price experiences short-term changes.

In Aspecta Futures: When trading with short positions, short traders will not be forcibly liquidated even if the market price experiences short-term volatility. Instead, short traders can still close the positions and win profit by finishing asset settlement. This mechanism significantly reduces the unreasonable liquidation risk for short traders on the market.

To be specific, for short-position traders, when the key price rises to 2x of their opening price, their position will enter a "safe liquidation" mode, and they will not be able to close the position immediately on the market.

Instead, traders can still close your position and receive USDT by complete settlement.

✅ 2. Limit Orders and Slippage Protection

• Limit Order: Limit Orders allow traders to pre-set a preferred execution price. Once the market reaches the specified price, the order executes automatically.
• Market Order Slippage Protection: For Market Orders, when the price impact is higher than your set slippage, the exceeded order portion can be auto converted to a limit order.
• Fee discount: Lower trading fees for maker orders.

✅ 3. Settlement and Funding Fee

• Settlement: Aspecta Futures use Settlement to anchor the derivative price and spot price. Trading will not stop when the settlement phase begins. Traders can continue going long or short, or close positions to receive tokens or by delivering tokens.
• Multiple-window: Long and short positions can be settled across multiple windows instead of being restricted to a single window, providing greater flexibility and enabling more diverse trading strategies.
• Funding Fee: Funding fees is a compensation paid from unsettled short positions to long positions. Funding fee occurs when long settlement requests cannot be fully filled in the current settlement window.

✅ 4. Settlement Rate Dynamic

• Settlement Rate Dynamic: Defines the number of tokens to be delivered from short positions to long positions. The rate is updated periodically and slowly based on the current long/short balance and liquidation status.
• Better-Informed Settlement Decisions: With the dynamic settlement rate that reflects short position and settlement status, long traders can make more informed decisions about whether to sell their positions on the market or settle for tokens.