Perpetual Swap: A perpetual swap contract is a derivative product that is like futures but without an expiration date. A future contract obligates the buyer and seller to transact an asset at a predetermined future date and price. Perpetual swap, on the other hand, does not define a fixed expiration date so that users do not need to worry about contract roll-over and delivery.
BIT implements a 1.5% maintenance margin. This margin level is designed in a way to protect the users by reducing the leverage to a healthier level and put less pressure on the liquidation system. Moreover, when users fall short of the minimum maintenance margin requirement, the user’s positions will be liquidated incrementally rather than completely. With that, BIT will provide additional level of protection of its users’ positions and give more control back to users.
Futures Contract: A futures contract is an agreement to buy or sell a particular underlying asset at a pre-determined price at a specified time in the future. The buyer of a futures contract is obliged to buy and receive the underlying asset when the futures contract expires, while the seller is obliged to provide and deliver that on the expiration date.
BTC Option: The BTC Options listed on BIT are European-style options on BTCUSD. An option contract offers the buyer (seller) the right (the obligation) to buy (sell)/sell (buy) BTCUSD at certain price (strike price) on the specified delivery date.