Introduction to OKX Trading Products
OKX offers a diverse range of trading products designed to cater to both novice and experienced traders. This guide explores key strategies and rules to optimize your trading experience on the platform.
OKX Spot Grid Strategy
What is the OKX Spot Grid Strategy?
The OKX Spot Grid Strategy automates buying low and selling high within predefined price ranges. Key features:
- Executes orders automatically within set parameters
- Ideal for sideways markets
- Customizable grid density based on volatility
👉 Master the Spot Grid Strategy
Option Margin Calculation Rules
OKX employs a tiered margin system for options trading:
- Margins increase with higher position tiers
- Example: Tier 2 uses a 1.02 margin coefficient
Calculations consider:
- Open positions
- Pending orders
- New order submissions
Futures Delivery & Exercise Rules
Key deadlines:
- Last hour's weighted average index price determines settlement
Applies to:
- Coin-margined futures
- USDT-margined futures
- Options contracts
Perpetual Swap Funding Rates
OKX maintains price alignment through:
- 8-hour funding intervals (08:00, 16:00, 24:00 HKT)
- Only applies to positions held at calculation time
- Rate determined by premium/discount to spot price
Leverage Interest Rules
Important considerations:
- Interest accrues on outstanding debts
Cross-currency accounts enjoy interest-free allowances:
- Unrealized profits below threshold won't incur interest
- Applies to both isolated and cross margins
Automatic Currency Conversion
Cross-margin accounts may trigger:
- Auto-conversion when unrealized losses create liabilities
System prioritizes:
- Minimizing debt positions
- Maintaining account health
👉 Optimize Your Margin Strategy
Liquidation Prevention Mechanisms
OKX employs multiple safeguards:
- Risk reserve fund covers liquidation gaps
Sources include:
- Platform provisions
- Residual liquidation amounts
Protects across:
- Leverage trading
- Futures contracts
- Options markets
Isolated Margin Trading Modes
Two transfer methods:
- Position Transfer: Automatic margin allocation
- Manual Transfer: User-controlled margin management
Key requirements:
- Single-currency: Sufficient coin balance required
- Cross-currency: Overall effective balance considered
Portfolio Margin Explained
Advanced features include:
Unified account for five trading products:
- Spot trading
- Margin trading
- Perpetual swaps
- Futures contracts
- Options trading
Integrated risk modeling:
- Calculates combined position risks
- Optimizes capital efficiency
FAQ Section
What's the advantage of spot grid trading?
Grid trading profits from market volatility without predicting direction, ideal for ranging markets.
How often are funding rates calculated?
Every 8 hours at fixed intervals (HKT).
Can I disable automatic currency conversion?
No, it's a risk management feature for cross-margin accounts.
What determines option margin tiers?
Total contract quantities across open positions and orders.
Is portfolio margin available to all users?
Currently available to professional traders meeting certain criteria.
How does the risk reserve fund work?
It covers potential liquidation deficits, protecting both traders and the platform.
Conclusion
Understanding OKX's trading mechanisms enhances your ability to navigate cryptocurrency markets effectively. By mastering these strategies and rules, traders can optimize their risk management and capital efficiency.