BIT Exchange Members are advised of the below updated margin parameters. The changes are effective around at 9:00am UTC 14th Nov 2023 and will only affect the users with Portfolio Margin enabled.
1. IM Coefficient: IM Coefficient will be reduced from 1.25 to 1.2.
2. Volatility Moves: Volatility moves will change to relative, therefore volatility of 50 with 35% vol up = 67.5%
Vol up/down change of the contract= (30/days to expiry) ^ 0.3 * vol up/down change
Vol up=Original Vol *(1+Vol up change of the contract)
Vol down=Original Vol *(1-Vol down change of the contract)
3. Volatility Range:
BIT will amend volatility variables below due to change of the volatility moves formula from absolute volatility to relative volatility.
Pair | Old Value | New Value |
BTC | 35% UP/25% DOWN | 60% UP/60% DOWN |
ETH | 38% UP/25% DOWN | 60% UP/60% DOWN |
XRP | 40% UP/45% DOWN | 65% UP/65% DOWN |
ADA | 35% UP/35% DOWN | 60% UP/60% DOWN |
BCH | 40% UP/40% DOWN | 65% UP/65% DOWN |
FIL | 40% UP/40% DOWN | 65% UP/65% DOWN |
TON | 40% UP/50% DOWN | 65% UP/65% DOWN |
Please kindly manage the risk of your portfolios. Should you have any questions in relation to this notification or require any further information, please let the team know.
BIT risk team holds the final right of the effective time should an increase of market volatility is observed.
BIT Risk Team
Nov 9, 2023