Huobi Futures Instigates Daily Settlement & Take-Profit and Stop-Loss Functions
Huobi Futures, the leading digital assets derivatives trading platform from Huobi Group announced the launch of new features that include a daily settlement for coin-margined futures and upgraded Take-Profit and Stop-Loss.
Beginning January 7, 2021, at 16:00 (GMT+8). Huobi Futures supports daily settlement for coin-margined futures until June 30 on a trial basis. Traders need not wait until the settlement or delivery every Friday. The new features enable traders to use to withdraw their profits instantly after daily settlement, making them utilize their crypto assets as per the convenience.
Huobi Futures also announces that the launch of these features will help traders better hedge risk and reap the trading rewards before its delivery. Both institutional and retail users can reap the rewards and hedge the risks of trading as well. The take-profit and stop-loss function has been launched at 22:00 on January 7, 2021 (GMT+8) for coin-margined futures, coin-margined swaps, and USDT-margined swaps on WEB and API.
Daily Settlement for Coin-Margined Futures
Before the introduction of daily settlement, Huobi Futures has launched real-time settlement for 7 coin-margined futures and swaps, as well as 13 USDT-margined swaps on April 29, 2020. The massive praise after launching this function has become an inspiration for Huobi Futures to come up with more exciting features and user-friendly service.
Daily settlement mechanisms are unique from most of the other settlement mechanisms as they require robust risk-control capabilities. Since the launch of Huobi Futures, it has a zero clawback record and the introduction of daily settlement proves that Huobi is doing great in the design and application of risk-control mechanism.
| Expirations | Settlement and delivery method before modification | Settlement and delivery method after modification |
| Weekly | Delivered at 16:00 (GMT+8) every Friday | Delivered at 16:00 (GMT+8) on every Friday; settled at 16:00 (GMT+8) every day except for Friday. |
| Bi-weekly | Settled at 16:00 (GMT+8) every Friday | Settled at 16:00 (GMT+8) every day |
| Quarterly | Settled at 16:00 (GMT+8) every Friday | Settled at 16:00 (GMT+8) every day |
| Bi-quarterly | Settled at 16:00 (GMT+8) every Friday | Settled at 16:00 (GMT+8) every day |
Upgraded Take-Profit & Stop-Loss
The take-profit and stop-loss order mechanism is a position-closing order involving preset trigger conditions and price. When the current price hits the preset trigger price, a position-closing order will appear based on the pre-set price and amount. Hence, the user can easily take profit and stop loss.
Huobi Futures will launch the upgraded take-profit & stop-loss for coin-margined futures, coin-margined swaps, and USDT-margined swaps on WEB and API. Users can not only set these orders for an existing position but also for opening positions.
| Set a take-profit and stop-loss order when opening a position |
| Take-profit and stop-loss order | Open Long (Buy) | Open Short (Sell) |
| （Close position）Take-profit order | Price of limit order＜Tigger price of take-profit order | Price of limit order＞Trigger price of take-profit order |
| (Close position) Stop-loss order | Price of limit order＞Trigger price of stop-loss price | Price of limit order＜Trigger price of stop-loss order |
| Set a take-profit and stop-loss order for an existing position |
| Take-profit and stop-loss order | Long positions held | Short positions held |
| （Close position）Take-profit order | Latest price＜Trigger price of take-profit order | Latest price＞Trigger price of take-profit order |
| (Close position) Stop-loss order | Latest price＞Trigger price of stop-loss order | Latest price＜Trigger price of stop-loss order |
Users can either set both stop-profit and stop-loss orders at the same time or choose any one of them at a time. The positions available to be closed will only be frozen when the limit order is placed successfully. The upgrade function enables users to set by price or by profit rates. Hence users can portray their PnL in a more intuitive way.
