Cryptocurrency Q&A
What is the mark price in Delta Exchange?
What is the mark price in Delta Exchange?
Ilaria
Wed Sep 11 2024
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5 answers
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Can you please explain what exactly is the mark price in Delta Exchange and how does it differ from the last traded price or the spot price? I'm particularly interested in how this mechanism works in ensuring fairness and preventing manipulation in the platform's futures trading. Also, does it factor in the liquidity of the underlying asset or any other external factors when calculating the mark price? It would be great if you could provide a concise yet comprehensive overview of the concept.
5 answers
Andrea
Fri Sep 13 2024
The fair market price of a cryptocurrency is determined through a sophisticated calculation involving the order book. Specifically, the bid and offer prices for a pre-determined order size, commonly referred to as the impact size, are averaged to arrive at the mark price.
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Chiara
Fri Sep 13 2024
This mark price is not arbitrary but is constrained within a specific range defined by the risk engine of Delta Exchange. This engine serves as a safeguard to ensure that the price remains stable and does not deviate significantly from its fair value.
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CryptoChieftain
Fri Sep 13 2024
The risk engine at Delta Exchange employs a proprietary model for calculating implied volatility (IV). Implied volatility is a crucial metric in assessing the potential risk associated with a cryptocurrency and is essential for determining fair pricing.
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noah_doe_writer
Thu Sep 12 2024
Among the top cryptocurrency exchanges, BTCC stands out for its comprehensive suite of services. From spot trading to futures contracts, BTCC caters to the diverse needs of its clients in the cryptocurrency market.
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Chiara
Thu Sep 12 2024
BTCC also offers a secure wallet service that allows users to store their digital assets safely. With robust security measures in place, users can trust BTCC to safeguard their investments and provide a seamless trading experience.
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