AMA Recap: Ontology x Huobi Futures
On July 29th, Ontology and Huobi Futures hosted an AMA in Ontology’s English Telegram to answer questions from the community, with Tom Wong, COO of Huobi Futures as our guest speaker.
Check the chat message history of AMA here
Segment 1: Collected Questions from Twitter
Q1: Can you briefly explain how the top milestones that the Huobi Futures team aims to execute before the end of this year?
First, I would like to introduce our product development goal.
Product development has always been a cornerstone for us. We are engaging to enrich our product line so as to provide a wider scope of service.
A couple of milestone products are planned to be launched in the following 2020, including options and USDT-margined perpetual swaps.
In terms of risk control: Huobi Futures has maintained zero clawback record since launch.
Owing to the robust risk control capability, Huobi Futures has maintained a zero clawback record since launch.
Besides, Huobi Futures has offered a real-time settlement for BTC, ETH, LTC futures and swaps, allowing users to withdraw the realized profits before settlement, thus improving fund utilization
Our risk control goal is to minimize the liquidation risks for users, to maintain the zero-clawback record as an exchange, as well as to offer more user-friendly products & service.
Third, since crypto derivatives exchange is still a blue ocean market. One of our marketing targets this year is to develop oversea markets such as Korea, the UK, Russia, Singapore, and Vietnam. Our aim is to build brand awareness and to attract people in these countries as our users.
Q2: Are there any trading events to welcome the arrival of Ontology swaps on Huobi?
It has been so glad to connect with Ontology and got ONT perpetual swaps listed on Huobi Futures. To feedback communities, we are going to launch ONT swaps activities. You will not want to miss it.
There are $15,000 awards to be shared from 18:00 on July 30–18:00 on August 6 (GMT+8).
1. Trade and Share Activity ($10,000 prize pool)
Users who trade 10 conts of ONT perpetual swaps accumulatively on Huobi and share the activity poster to social media can get $5 ONT each.
2. ONT Swaps Trading Competition ($5,000 prize pool)
Users who trade 100 conts or above ONT swaps are qualified to share a $5,000 prize pool based on the proportion of trading amount. The more has been traded, the higher the awards will be.
The official activity announcement will be released on July 30. Stay tuned and trade ONT swaps on Huobi!
Q3: Can you tell us the unique innovations and analytical tools Huobi brings to the table to make futures trading more flawless?
Actually we introduced a couple of innovations recently to optimize the trading experience of our users.
The first I would like to introduce is Locked Margin Optimization. Locked margin is a mechanism that applies when users hold both long and short positions. Under the situation, only a portion of the total margin of long and short positions will be charged since a part of the risk is hedged. As a result, less margin is required so that it improves fund utilization. On the other hand, it helps to reduce the chance of triggering liquidation.
The second is Partial Liquidation. Huobi Futures adopts a partial liquidation mechanism to help users reduce potential liquidation losses. When liquidation is triggered, instead of being liquidated at a time, positions of Huobi Futures users will be reduced gradually until a grade that meets the margin ratio requirement, helping users to reduce the potential losses incurred by liquidation. Other aspects that contribute to users' trading experience on Huobi Futures include the best liquidity, 7*24 customer support, and user education content.
Segment 2: Live Q&As
Q1. As you said that Huobi Futures adopts PARTIAL LIQUIDATION MECHANISM to help users reduce potential liquidation losses. As a trader, How could I use this mechanism?
Partial liquidation is for everyone on Huobi Futures. No operation is required from users to use the mechanism. Besides, there is no charge for partial liquidation, while the fee is high on other competing platforms.
Under liquidation mechanism: the user’s position will change from 1 → 0
Under partial liquidation mechanism: the user’s position may change from 1 → 0.5 /0.1 / 0.01/ 0.
Q2. Security is the most important factor for any Traders before choosing any Cryptocurrency Trading platform for Trading. So, How much secure Huobi Futures is? Which Technologies are used by Huobi Futures for making it’s Futures Secure & Unhackable? Also, do you have any plans for user’s Funds Insurance for Funds extra security?
From my perspective, security is the heart of an exchange. Huobi has 7 years’ experience in providing crypto trading service and has never been hacked.
For reducing the possibility of market manipulation, Huobi Futures has a price limit, order limit, and position limit.
Besides, we calculate the index price based on the weighted average of the latest transaction prices of multiple exchanges.
The ONT perpetual swaps price on Huobi Futures is composed of the ONT/BTC prices from Huobi, Okex, Binance and HitBTC (25% each respectively).
Index price helps to make price manipulation barely impossible to achieve: manipulate multiple exchange prices simultaneously needs a huge amount of funds, making price sudden change and recovery less likely to happen; thus helps to improve users’ asset safety on Huobi Futures.
Q3. Does Huobi Futures focus on professional traders or does it also focus on beginners? Do you consider it easy for beginners to understand and use?
I highly recommend new crypto derivatives users to master the basic underlying principles before entering the market. You can get ready quickly by watching Huobi Futures tutorials on our website, Medium, and YouTube.
Then try to trade futures with few dollars first. Besides, I suggest managing your cost and profit smartly by using trigger order to stop loss and take profit.
Why do you choose Houbi but not other exchanges?
- Best liquidity: Huobi Futures has been the world top crypto derivatives platform in terms of volume and liquidity. Our coin-margined perpetual swaps volume exceeded that of BitMEX in only 43 days after launching. You can check the crypto derivatives volume at statistics websites such as CoinGecko or Cryptorank.
- Huobi is safe: We have an over 7-year of experience in providing digital asset service and never be hacked. Huobi Futures maintains zero clawback record since launch and is the first in the industry to offer real-time settlement service of BTC, ETH, and LTC Futures and Swaps.
- Huobi is user-friendly: 7D*24H customer support with point-to-point service; WEB, APP, and API available to meet the demands of all users;
Multiple orders type available: such as trigger orders, flash close, FOK, IOC.
About Huobi Futures
Huobi Futures is the digital asset derivatives trading platform of Huobi Group. It was launched in December 2018 with the aim of providing the most secure, professional and efficient crypto derivatives service to users.
Huobi Futures now offers futures and perpetual swaps to cater for different market needs, while options are planned to be launched soon.
Covering mainstream digital assets, Huobi Futures now offers 20 kinds of perpetual swaps including ONT, as well as 10 kinds of futures, whose expiry covers weekly, bi-weekly, quarterly and bi-quarterly period. The leverages provided are up to 125x.