The USDT contract, also known as the forward contract, is commonly known as the U standard/gold standard.
The forward contract margin uses USDT; the reverse contract means that if a trader wants to trade BTC/ETH/XRP/EOS contracts, the corresponding currency must be used as a margin.
Compared with reverse contracts, USDT contracts have the following characteristics:
- The margin calculation and profit and loss calculation of USDT forward contracts are more intuitive than reverse contracts. When trading a 1BTC contract, the price fluctuates by 100USDT, and the trader has a profit/loss of 100USDT, and the profit and loss are proportional to the USDT curve.
- Reverse contracts use the currency standard. Users need to hold more volatile BTC/ETH/EOS/XRP as margin, so even if the user does not trade, there is certain currency risk. USDT contracts use stablecoins as a margin, and traders do not need to use hedging measures to avoid currency risks.
Go to Bybit’s Official Website
Please check Bybit official website or contact the customer support with regard to the latest information and more accurate details.
Bybit official website is here.
Please click "Introduction of Bybit", if you want to know the details and the company information of Bybit.
Comment by Hans
April 24, 2024
as I am trading here various assets, for me it's the most important feature. i mean, flexibility in tradable markets. i alternate trading styles, meaning that sometimes I trad...