What is futures mark price
Bit.com uses make price as the fair price for futures market, for calculating realized P&L and unrealized P&L of positions and generating real-time funding rates.
Calculation of mark price
The mark price of bit.com is derived using both the bit.com index and the fair price of USDT margined perpetual swap market as follows:
Mark Price = Index Price + 30 seconds EMA* of (Average of Fair Bid & Ask - Index Price)
*EMA: An exponential moving average (EMA) is a type of moving average (MA) that places a greater weight on the most recent data points. The exponential moving average is also referred to as the exponentially weighted moving average.
Mark Price is limited within 1% from Bit.com Index against manipulative trading, where 1% is determined by Bit.com risk team. The price limit will be adjusted according to the market condition, please refer to the Bit.com announcement on the website.
How to check the mark price
Mark price is slightly different from index price, you could track the real-time mark price on the top of the contract trading page.
