To optimize trading conditions and mitigate market risks, OKX is implementing strategic adjustments to its portfolio margin parameters. These changes aim to improve liquidity and provide traders with a more robust risk management framework.
Key Parameter Adjustments Overview
MR1: Spot Shock Parameters
Purpose: Measures potential price movements in spot markets
Previous Settings:
| Underlying Asset | Price Move Scenarios |
|---|---|
| BTC, ETH | ±0%, 5%, 10%, 15% |
| Mid-cap Assets | ±0%, 7%, 14%, 20% |
| Other Assets | ±0%, 8%, 16%, 25% |
New Parameters (Effective Jan 6, 2025):
| Underlying Asset | Revised Price Moves |
|---|---|
| BTC, ETH | ±0%, 4%, 8%, 12% |
| Mid-cap Assets | ±0%, 6%, 12%, 18% |
| Other Assets | Unchanged |
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MR6: Extreme Move Scenario
Purpose: Accounts for volatile market conditions
Original Parameters:
- BTC/ETH: ±30%
- Major alts: ±40%
- Others: ±50%
Updated Thresholds:
- BTC/ETH: ±24%
- Major alts: ±36%
- Others remain at ±50%
MR4: Basis Risk Calculation
Purpose: Manages futures-spot price differentials
Previous Annualized Risk Rates:
- BTC/ETH: 7.5%
- Major alts: 22.5%
- Others: 45%
Revised Rates:
- BTC/ETH: 5%
- Major alts: 15%
- Others: 30%
MR7: Minimum Charge Structure
Purpose: Determines minimum margin requirements
Updated Tier System (Effective Jan 15, 2025):
| Tier | USD Range | Multiplier |
|---|---|---|
| 1 | $0-250K | 1x |
| 2 | $250K-500K | 2x |
| 3 | $500K-1M | 4x |
| 4 | $1M-2M | 6x |
| 5 | $2M-3M | 8x |
| 6 | $3M-4M | 10x |
| 7 | $4M+ | 12x |
MR9: Stablecoin Depegging Risk
Purpose: Addresses potential stablecoin volatility
Key Changes:
- Expanded tier ranges (up to $120M+)
- Adjusted risk percentages per tier
- Unified thresholds across USDT/USD, USDT/USDC, and USDC/USD indices
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Implementation Timeline
- January 6, 2025: MR1 & MR6 updates
- January 15, 2025: MR7 adjustments
- Immediate effect: MR4 & MR9 changes
Frequently Asked Questions
Q: Why is OKX adjusting these parameters?
A: These changes reflect evolving market conditions and aim to provide more accurate risk coverage while maintaining competitive trading conditions.
Q: How will this affect my existing positions?
A: All open positions will automatically comply with new parameters. We recommend reviewing your margin levels.
Q: Where can I find detailed documentation?
A: Complete technical specifications are available in OKX's official margin trading documentation.
Q: Are these changes permanent?
A: OKX continually evaluates market conditions and may make further adjustments as needed.
These strategic adjustments demonstrate OKX's commitment to maintaining a secure and efficient trading environment while adapting to dynamic market conditions. Traders should familiarize themselves with the new parameters to optimize their risk management strategies.