SOLUSD Delivery Contract Delisting Announcement

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The SOLUSD delivery contract will be delisted from the platform due to insufficient market liquidity. This decision aims to reduce market risks and enhance user trading experience. The delisting will take effect on November 10, 2022, at 15:00 HKT, affecting all related contract types — including weekly, bi-weekly, quarterly, and next-quarter contracts. Additionally, no new expiration dates will be generated for SOLUSD options.

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What Happens During the Delisting Process?

At the time of delisting:

In cases where price manipulation or abnormal market activity is detected in that final hour, the platform reserves the right to adjust the settlement price to a fair and reasonable level based on actual market conditions.

Users are strongly advised to monitor their positions closely before delisting. Market volatility may increase significantly in the final hours. To mitigate risk, consider reducing leverage or closing positions early.

If any positions result in liquidation losses beyond available collateral, the platform’s insurance fund will cover the deficit first. Should the insurance fund prove insufficient, an auto-deleveraging mechanism will be triggered, starting with users who have the highest profit margins.

Post-Delisting Account Restrictions

After the contract is officially delisted:

Historical order records and transaction statements for the SOLUSD delivery contract will remain accessible even after delisting. Users are encouraged to download and back up their data via the desktop version of the Order Center for future reference.

Risk Control Parameter Adjustments Before Delisting

To ensure a smooth and stable contract wind-down process, key risk management parameters for the SOLUSD delivery contract will be adjusted in two critical areas: price limits and tiered margin settings.

1. Adjusted Price Limit Rules

Price limits help prevent excessive volatility and ensure orderly trading. The revised formulas are as follows:

For the first 10 minutes after contract creation:

After the first 10 minutes:

The updated thresholds are:

Time Before DeliveryXYZ
48 hours2%2%5%
Final 30 minutes1%1%2%
Note: These values may be further adjusted at the platform’s discretion if unusual price deviations occur prior to delisting.

These tighter limits during the final half-hour aim to minimize last-minute manipulation and promote fair settlement pricing.

2. Tiered Margin Level Adjustments

To reduce systemic risk exposure, position size limits per tier have been significantly reduced. The following table outlines the updated margin structure:

ContractTierMax Contracts (Before)Max Contracts (After)Maintenance Margin RateInitial Margin RateMax LeverageEffective Time
SOLUSD Delivery110011.0%1.3%75xNov 10, 00:30 HKT
SOLUSD Delivery225031.5%2.0%50x
SOLUSD Delivery31,00052.0%5.0%20x
SOLUSD Delivery42,00072.5%5.5%18.18x
SOLUSD Delivery53,00093.0%6.0%16.66x
SOLUSD Delivery6++1,000 per tier+500 per tier+0.5% per tier+0.5% per tierTier-based

This adjustment reduces maximum allowable position sizes by up to 99% at lower tiers, effectively limiting overexposure and promoting responsible trading behavior ahead of delisting.

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Frequently Asked Questions (FAQ)

Q: Why is the SOLUSD delivery contract being delisted?
A: Due to consistently low market liquidity, which increases volatility and risk for users. Delisting helps maintain platform stability and user protection.

Q: Will I lose money when the contract is delisted?
A: No. Your position will be settled fairly using the average price from the last hour before delisting. However, market movements prior to delisting can affect your PnL — manage your risk accordingly.

Q: Can I still access my trade history after delisting?
A: Yes. All historical orders and transaction records remain available for viewing and download through the desktop Order Center.

Q: What should I do if I have an open position?
A: Consider closing your position before the delisting time to avoid unexpected exposure during high-volatility periods. Alternatively, ensure sufficient margin to withstand fluctuations.

Q: Why are margin tiers being reduced so drastically?
A: This is a precautionary measure to limit large positions from influencing settlement prices unfairly and to reduce systemic risk ahead of contract termination.

Q: How is the final settlement price determined?
A: It’s calculated as the arithmetic average of all trades in the hour before delisting. In case of manipulation, the platform may adjust it to a more reasonable value.

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Final Notes

This proactive delisting reflects a commitment to user safety and market integrity. By adjusting risk parameters ahead of time and providing clear communication, traders are given ample opportunity to act prudently.

As digital asset markets evolve, platforms must adapt offerings based on liquidity, demand, and risk profiles. Contract adjustments like these ensure long-term sustainability and trust in crypto derivatives trading.

Always stay informed about upcoming changes to trading products, monitor your open positions, and use risk management tools effectively. Whether you're trading perpetuals, options, or delivery contracts, understanding platform policies can make a significant difference in your trading outcomes.