Binance Futures announced the launch of the WIFUSD COIN-M Perpetual Contract, which will go live on July 23, 2024, at 15:00 Turkey time. This new contract offers investors the opportunity to increase their positions up to 20 times, potentially amplifying their gains or losses. The underlying asset of this contract is Dogwifhat (WIF), and settlement will also be in WIF. This introduction aims to provide investors interested in WIF tokens with more options and flexibility in the cryptocurrency market.
Contract Details
WIFUSD COIN-M Perpetual Contract will have a tick size of 0.0001, indicating the smallest price movement for the contract. One of the key features is the capped funding rate, which will be fixed between -0.75 and 0.75 times the maintenance margin rate.
This funding rate mechanism is designed to ensure the contract remains fair and balanced, preventing excessive funding fees from burdening investors. The funding fee, a standard practice in perpetual futures contracts to maintain price stability and alignment with the spot market, will be paid every eight hours.
Maximum Leverage
The maximum leverage for this contract is set at 20x, allowing investors to take larger positions relative to their initial margin. Binance also emphasized that the trading hours for the WIFUSD COIN-M Perpetual Contract will be 24/7, offering uninterrupted trading opportunities.
Binance specifically noted that the multi-asset mode is not supported for this contract. This means investors cannot use other assets in their accounts as collateral for this specific contract. Binance also mentioned that they could adjust the features of the WIFUSD COIN-M Perpetual Contract based on market risk conditions.
