OKX currently supports three main types of contracts: USDT-margined perpetual contracts, coin-margined contracts (perpetual & futures), and USDT-margined futures contracts. Each differs in pricing, settlement, and target users. Beginners are advised to start with USDT perpetual contracts for intuitive control and easier risk management.
Why Trade Contracts on OKX?
Contract trading is a popular choice for users seeking advanced strategies on OKX. Compared to spot trading, contracts offer:
- Short-selling opportunities.
- Leverage (up to 125x depending on the asset).
- Automated strategy support.
However, newcomers often struggle with terminology like "USDT perpetual," "coin-margined vs. USDT-margined," or whether "futures contracts" are obsolete. This guide clarifies OKX’s contract types, their differences, and ideal use cases.
OKX’s Supported Contract Types
1. USDT-Margined Perpetual Contracts (Most Popular)
Features:
- Denominated and settled in USDT.
- No expiry date (perpetual).
- High leverage (up to 125x).
- Supports bidirectional positions (simultaneous long/short).
Ideal for:
- Short-to-medium-term traders.
- Users comfortable with stablecoin-based trading.
- Automated/quantitative strategies.
👉 Discover USDT perpetual contracts
2. Coin-Margined Contracts: Amplify Gains (and Risks)
Subtypes:
- Coin-margined perpetual contracts.
- Coin-margined futures contracts.
Key traits:
- Margins, profits, and fees are paid in the underlying crypto (e.g., BTC).
- Higher volatility risk (price + asset value fluctuations).
Best suited for:
- Long-term holders (e.g., BTC believers).
- Experienced traders comfortable with coin-based accounting.
3. Futures Contracts: Fixed Expiry for Institutions
Expiry options:
- Weekly, bi-weekly, or quarterly settlements.
Why use them?
- Mandatory settlement at expiry.
- Preferred by arbitrageurs and traditional traders.
Target users:
- Institutions hedging future prices.
- Spread/arbitrage strategies.
How to Choose the Right Contract?
| Goal | Recommended Contract |
|------------------------|----------------------------------|
| Flexibility + USDT pricing | USDT perpetual contracts |
| Long-term coin holding | Coin-margined perpetual/futures |
| Hedging/arbitrage | Futures contracts |
Pro tip: Most beginners should start with USDT perpetual contracts for clearer risk assessment.
FAQs
1. What’s the difference between USDT and coin-margined contracts?
- USDT contracts use stablecoins for margins/settlement.
- Coin contracts use the underlying crypto (e.g., BTC), exposing users to price + quantity risks.
2. Can I hold positions indefinitely in perpetual contracts?
Yes. Perpetual contracts lack expiry but require funding fees (charged periodically) to balance market prices.
3. Are futures contracts still relevant?
Yes, especially for institutional hedging and time-based arbitrage strategies.
4. Which contract type has lower fees?
Fees vary by tier. Generally, USDT perpetuals have competitive rates for retail traders.
5. How do I mitigate risks in leveraged contracts?
- Start with low leverage (≤10x).
- Use stop-loss orders.
- Practice with demo accounts.
Final Tips
- Diversify strategies: Combine contract types based on market conditions.
- Monitor liquidity: Opt for contracts with high trading volume (e.g., BTC/USDT perpetual).
- Bookmark reliable access: Ensure seamless connectivity to OKX via trusted portals.
OKX offers versatile tools for all trader levels—whether you prioritize stablecoin simplicity or coin-based growth. Remember: Leverage magnifies risks. Master fundamentals before scaling up!