AscendEX has adopted a Multi-Collateral mechanism for Perpetual Futures Contracts where non-USDT assets can be used as collateral and for fees, specifically Polkadot (DOT) starting Apr 7, 2:00 p.m. UTC, 2021.
Refresher on Perpetual Future Contracts:
Perpetual Futures Contracts are advanced derivatives of conventional futures contracts and are available to AscendEX traders. There is no specific expiry date on these contracts, so buyers and sellers can hold their assets or positions indefinitely if they want. Additionally, traders can utilize leverage with perpetual futures contracts. The trading of perpetual futures contracts is based on an underlying index price. The index price consists of an asset’s average price, according to major spot markets and their relative trading volume.
Perpetual futures contracts are some of the most popular trading mechanisms in digital asset markets. By deploying advanced trading tools on AscendEX and engaging in unique strategies, traders can realize large profits using perpetual futures contracts. Still, there is always a risk, especially if traders are using a large amount of leverage. So it is essential to manage risk while trading perpetual futures contracts.
Overview of Polkadot Ecosystem:
Polkadot is a next-generation blockchain protocol connecting multiple specialized blockchains into one unified network. Polkadot is a proper multichain application environment where things like cross-chain registries and cross-chain computation are possible. Polkadot can transfer this data across public, open, permissionless blockchains and private, permissioned blockchains.
Polkadot is a sharded multichain network. It can process many transactions on several chains at once, eliminating the bottlenecks that occurred on legacy networks that processed transactions one at a time. This parallel processing power significantly improves scalability and creates the perfect conditions for adoption and future growth. Sharded chains connected to Polkadot are called “parachains” because they run on the network in parallel.
Traders can now deposit DOT in Futures accounts to be used as collateral when trading Futures, alongside USDT, USDC, PAX, BTC and ETH. The DOTUSDT, perpetual futures contracts will be denominated and settled in USDT with up to 100x leverage. Traders can get started trading DOT futures HERE.