What is the difference between Bybit Perpetual Contracts and Expiry Contracts?
Bybit Perpetual Contracts do not have an expiry date, allowing you to hold positions for as long as you choose. In contrast, Expiry Contracts have a predetermined settlement date, and all positions must be settled by that date.
Another key difference is the funding mechanism. Perpetual Contracts involve funding fees, while Expiry Contracts do not. Aside from this, both contract types share similar features and functionalities.
For more information, please refer to Introduction to Inverse Perpetual and Expiry Contracts.
Can all users trade Inverse Perpetual and Expiry Contracts?
To trade Inverse Perpetual and Expiry Contracts, users must meet the following requirements:
- Complete at least Standard Identity Verification. Users from certain regions may be required to complete Advanced Identity Verification before accessing Derivatives trading.
- Not be located in any service-restricted countries or regions where Derivatives trading is unavailable.
What does the symbol of an Inverse Contract represent?
For a typical Bybit Inverse Perpetual Contract, the symbol follows the format XXXUSD, where XXX represents the underlying asset (e.g., BTC → BTCUSD).
For Inverse Expiry Contracts, the symbol follows the format XXXUSDMMDD, where:
- XXX = Underlying asset (e.g., BTC)
- MM = Settlement month
- DD = Settlement day
For example, a BTCUSD Expiry Contract with a settlement date of 25 December 2020 would have the symbol BTCUSD1225.
What is the maximum leverage supported by Inverse Perpetual Contracts?
The maximum leverage varies depending on the specific Inverse Perpetual Contract. It is also determined by the risk limit tier.
In general, the larger the position value, the lower the maximum leverage available. This helps manage overall risk exposure.
For more details, please refer to Risk Limit (Perpetual and Expiry Contracts).
What margin modes are supported on Bybit?
Bybit's Unified Trading Account (UTA) supports three margin modes:
- Isolated Margin (IM)
- Cross Margin (CM)
- Portfolio Margin (PM)
By default, UTA is set to Cross Margin, but you can choose the margin mode that best suits your trading strategy.
Note: Please carefully assess the associated risks before switching margin modes, as this may affect margin requirements and liquidation risk.
For more information, please refer to Differences Between the Margin Modes Under the Unified Trading Account.
What type of cryptocurrency do I need to deposit to trade Inverse Contracts?
To trade Inverse Contracts, you need to use the underlying cryptocurrency of the contract as margin. Your P&L and trading fees will also be settled in the same cryptocurrency.
For example:
- BTCUSD Inverse Contract → Margin, fees, and P&L in BTC
- ETHUSD Inverse Contract → Margin, fees, and P&L in ETH
If you do not have the required asset:
- You can deposit the required cryptocurrency, or
- Use the Convert feature to obtain the asset needed to trade the respective trading pairs
Eligible collateral assets also help meet your margin requirements, subject to collateral value ratios.
Note: If borrowing occurs, interest will be charged based on the borrowed amount and the applicable hourly interest rate.
What are the fees involved when trading Bybit Perpetual and Expiry contracts?
When trading Bybit Perpetual and Expiry contracts, the following fees may apply:
1. Trading fees
Trading fees apply to both Perpetual and Expiry Contracts. Taking non-VIP users as an example:
- Taker fee: 0.055%
- Maker fee: 0.02%
2. Funding fees (Perpetual Contracts only)
Perpetual Contracts are subject to funding fees, which are exchanged between long and short positions at scheduled funding intervals.
3. Settlement fees (Expiry Contracts only)
Expiry Contracts are subject to a 0.05% settlement fee when positions are automatically settled by the system on the settlement date.
For more details, please refer to Futures Contract: Fees Explained.
Notes:
－ If borrowing occurs during trading, interest will accrue on the outstanding amount based on the applicable hourly interest rate.
－ If repayment is made using a different asset, asset conversion may be required, and a conversion fee may apply based on the applicable fee rates.
Do Inverse Contracts support position hedging?
No, Inverse Contracts do not support position hedging. Only one directional position (either long or short) can be held per contract.
Is it possible to hold an Expiry position beyond the settlement date?
No. All open positions will be automatically settled by the system on the settlement date.
If you would like to hold a position without a fixed expiry, consider trading Inverse Perpetual or USDT Perpetual Contracts.
At what price are Inverse Expiry Contracts settled?
Inverse Expiry Contracts are settled based on the settlement price, which is determined by averaging the index price every second from 7:30AM UTC to 8AM UTC on the settlement date.
This mechanism helps reduce the impact of short-term price fluctuations and prevents market manipulation from affecting the final settlement price.
Example:
Assume you hold a BTCUSD Expiry Contract with an entry price of 64,000 USD, and the 30-minute average index price before settlement is 65,000 USD. Your profit will be calculated based on the difference between the settlement price (65,000 USD) and your entry price (64,000 USD).
When are Inverse Expiry Contracts settled?
Inverse Expiry Contracts are settled at 8AM UTC on the settlement date specified in the contract symbol. Positions cannot be carried beyond the settlement time.
At the settlement time:
- All open positions will be automatically closed
- Profit and loss (P&L) will be realized
- A settlement fee may apply
After settlement:
- The contract will be delisted
Example:
If you hold BTCUSD1227 positions:
- Settlement date: Dec 27
- Settlement time: 8AM UTC (All BTCUSD1227 open positions will be automatically settled at this time.)
Notes:
- If you do not wish to settle, you may close your positions before the settlement time.
- If you prefer contracts without expiry, consider trading Inverse Perpetual Contracts instead.
What are the minimum and maximum order sizes for Inverse Contracts?
The minimum order size for all trading pairs is 1 USD per order. The maximum order size varies by symbol. For more details, please refer to the Contract Details page.
What is the maximum position size for Inverse Contracts?
The maximum position size varies by contract. For more details on a specific trading pair, please refer to the Contract Details page.
Do Inverse Perpetual and Inverse Expiry Contracts share the same BTC available balance?
Yes. Your BTC available balance is shared across Inverse Perpetual and Inverse Expiry Contracts when trading BTC Inverse Contracts.
Do Inverse Perpetual and Inverse Expiry Contracts share the same BTC insurance fund?
No. Each contract type maintains its own insurance fund. Please refer to the Insurance Fund History page to view the fund balance.
How is margin calculated?
The initial margin is calculated as:
- Position value ÷ Leverage
- Position value = Quantity (size) ÷ Mark price
As the position size increases, the required margin may also increase based on the selected risk limit tier.
The maintenance margin is the minimum margin required to keep a position open. If your margin falls below this level, your position may be subject to liquidation.
What is the order cost?
The order cost refers to the total margin required to open a position.
Formula: Order cost = Initial margin + Opening fee + Closing fee
Since the closing price is unknown when opening a position, the closing fee is estimated using the bankruptcy price and the taker fee rate.
For more details, please refer to Order Cost (Perpetual and Expiry Contracts).
Why can't I place an order even though I have a balance?
This usually occurs when your available balance is insufficient to place an order. Your available balance may be reduced by margin used for open positions, active orders, or unrealized losses.
Please ensure that you have sufficient available balance before placing a new order.
What is the difference between wallet balance and available balance?
- Wallet balance shows the total assets held in your account.
- Available balance shows the amount you can use to place new orders.
The available balance may be lower than the wallet balance because some funds may already be allocated to open positions or place orders.
Why did my order fail?
Your order may fail for any of the following reasons:
- You do not have sufficient available balance to open the position.
- Your order size exceeds the risk limit.
- Your order price is outside the allowed trading range.
- Your order quantity is below the minimum order size.
- Your account is subject to trading restrictions (e.g., cooling-off period or risk control measures).
Why does position value fluctuate?
Position value is calculated based on the mark price, which changes with market conditions.
Formula: Position value = Quantity (size) ÷ Mark price
Since the mark price updates continuously, your position value will also fluctuate.
Why is my P&L different after closing a position?
Your final P&L may differ due to factors such as trading fees, funding fees, slippage, or differences between the mark price and your execution price.
- Unrealized P&L does not include trading or funding fees and fluctuates as the market price moves.
- Realized P&L is calculated after your position is closed, taking into account all applicable fees.
What are unrealized P&L and realized P&L?
- Unrealized P&L refers to the profit or loss of your open positions based on the current mark price. It changes as the market price moves.
- Realized P&L refers to the actual profit or loss after a position is closed, including trading and funding fees.
For more details, see P&L Calculations (Inverse Perpetual and Expiry Contracts).
Can I use unrealized profit to open a new position or withdraw it?
This depends on the margin mode:
- Isolated Margin mode: No. Unrealized profit is tied to a specific position and cannot be used to open new positions or be withdrawn before the position is closed.
- Cross Margin and Portfolio Margin modes: Yes. Unrealized profit can increase your available balance and may be used to open new positions, subject to the account's overall margin requirements. However, it cannot be withdrawn unless the position is closed and the profit is realized.
Where can I find my P&L?
You can check your P&L in the Positions tab and P&L history:
- The Positions tab displays both:
- Unrealized P&L — profit or loss of open positions based on the mark price
- Realized P&L — P&L from partially closed positions and fees paid/received
- The P&L history shows the final realized P&L of closed positions/orders, including entry and exit price, quantity, trading fees, and funding fees.
Where can I find my trading history?
On the website, you can view your trading history in the Order History and Trade History sections below the trading chart. Click All Orders to view the complete records.
On the app, tap the history icon below the order book to access your Order History and Trade History.
How does liquidation work under different margin modes?
Liquidation occurs when your margin falls below the required maintenance margin. The calculation and trigger conditions vary depending on the margin mode:
Isolated Margin (IM): Liquidation is based on the margin allocated to a specific position. Only the margin assigned to that position is at risk, and liquidation of one position will not affect other positions.
Cross Margin (CM): Margin is shared across all positions in your Unified Trading Account (UTA). Liquidation is triggered when the account's maintenance margin ratio (MMR) reaches 100%.
Portfolio Margin (PM): A risk-based stress testing model is used to assess overall portfolio risk, taking into account factors such as the mark price and implied volatility of the underlying asset. Liquidation occurs when the MMR reaches 100%.
For more details, please refer to Liquidation Process (Unified Trading Account).
What is the liquidation price?
The liquidation price is the price at which your position will be automatically closed to prevent further losses when your margin falls below the required maintenance margin.
Note: Liquidation is triggered based on the mark price, not the last traded price.
What is the bankruptcy price?
The bankruptcy price is the price at which your position margin is fully depleted, meaning your position can no longer absorb any additional losses.
To prevent losses from exceeding your margin, liquidation typically occurs before the bankruptcy price is reached.
How is the liquidation price calculated?
The liquidation price depends on several factors, including your entry price, leverage, position size, margin used, and available balance. Liquidation is generally triggered when your maintenance margin ratio reaches 100%.
For more information on liquidation, please refer to this article.
How can I avoid liquidation?
You can reduce your risk of liquidation by:
- Lowering your leverage
- Adding more margin
- Reducing your position size
- Partially closing your position
- Monitoring your maintenance margin ratio (MMR)
- Setting Take Profit/Stop Loss (TP/SL) levels
Please note that liquidation risk increases during periods of high market volatility and cannot be completely avoided. It is important to monitor your positions closely and make timely adjustments.
How can I understand my position and account risk?
You can monitor your risk level using the following indicators in the Positions tab:
- Maintenance margin ratio (MMR)
- Liquidation price
- Available balance
- Position margin
Regularly reviewing these indicators can help you better manage your position risk. For more information on indicators and trading terms, please refer to this article.