Contract trading has become one of the most popular ways for cryptocurrency investors to gain exposure to price movements without owning the underlying assets. Among leading platforms offering advanced derivatives, OKX stands out with its robust, secure, and user-friendly contract products. This guide explores what OKX contracts are, how they work, their unique features, and a detailed breakdown of fees and trading mechanics.
Understanding OKX Contract Trading
OKX contract trading allows users to speculate on the price movements of major cryptocurrencies like BTC, ETH, and LTC using leveraged positions. These are derivative instruments where each contract represents a fixed dollar value — $100 for BTC or $10 for other altcoins — rather than a fixed amount of cryptocurrency.
Traders can go long (buy) to profit from rising prices or go short (sell) to benefit from market declines. Leverage of up to 10x or 20x is available, amplifying both potential gains and risks.
Key Contract Specifications
- Underlying Asset: BTC, LTC, ETH, and other major digital currencies
- Contract Value: $100 per BTC contract; $10 for other coins
- Leverage: 10x or 20x
- Contract Types: Weekly, next-week, and quarterly futures
- Settlement Currency: Cryptocurrency (e.g., BTC or ETH)
- Settlement Method: Cash difference settled in crypto
Minimum Price Movement:
- BTC/BTG: 0.01 index points
- LTC and others: 0.001 index points
- Final Trading Time: Friday at 4:00 PM (UTC+8)
- Delivery Date: Same as final trading day
👉 Discover how OKX contract trading can boost your investment strategy today.
Why OKX Contracts Stand Out
1. Bitcoin-Based Settlement
Unlike traditional fiat-settled contracts, OKX uses crypto-to-crypto settlement. This means all profits and losses are paid in cryptocurrency (such as BTC), eliminating reliance on fiat currencies and enabling global access regardless of local banking restrictions.
This design allows traders from any country to participate seamlessly, making it ideal for decentralized, borderless trading.
2. Stable Leverage Design
One of the biggest challenges in early crypto derivatives was fluctuating leverage due to price swings. For example, if a contract was based on a fixed BTC amount, its effective leverage would increase dramatically during sharp price drops — increasing liquidation risk.
OKX solves this by anchoring each contract to a fixed USD value ($100 for BTC). This ensures that leverage remains stable regardless of market movement, giving traders predictable risk exposure.
For example: With $1,000 capital and 10x leverage, you can control $10,000 worth of BTC contracts. If BTC rises 10%, your profit is $1,000 — exactly 100% return on margin. The leverage stays constant throughout.
This stability makes OKX contracts ideal for both hedging strategies and long-term speculative positioning.
3. Anti-Manipulation Mechanisms
Market manipulation — especially around contract expiration — has plagued many exchanges. OKX combats this with a multi-layered protection system:
- Six-Exchange Price Index: Final settlement prices are calculated using an average from six major exchanges, preventing single-exchange price distortion.
- One-Hour Time-Weighted Average Price (TWAP): Instead of relying on a single moment’s price, OKX uses the average over the last hour before expiry to determine settlement.
- Dynamic Order Price Bands: Orders must fall within a reasonable range based on real-time spot and futures prices, blocking extreme "spoof" orders designed to trigger mass liquidations.
- Enhanced Liquidation Engine: Liquidations use a composite index price instead of last traded price, reducing vulnerability to flash crashes caused by wash trading or whale manipulation.
These safeguards build trust and fairness into the trading environment.
OKX Contract Fees: A Clear Breakdown
Trading costs matter — especially for active traders. OKX employs a tiered fee structure based on your 30-day trading volume and OKB holdings, rewarding high-volume users with lower (or even negative) fees.
There are two types of fees in spot and futures markets:
- Maker Fee: Charged when you place a limit order that adds liquidity (doesn't execute immediately).
- Taker Fee: Charged when you place an order that removes liquidity (executes instantly against existing orders).
Fee Tiers Overview
Standard Users (Lv1–Lv5)
| Tier | 30-Day Volume (BTC) | Maker Fee | Taker Fee |
|---|---|---|---|
| Lv1 | < 500 | 0.100% | 0.150% |
| Lv2 | ≥ 500 | 0.090% | 0.135% |
| Lv3 | ≥ 1,000 | 0.080% | 0.120% |
| Lv4 | ≥ 1,500 | 0.070% | 0.105% |
| Lv5 | ≥ 2,000 | 0.060% | 0.090% |
Professional Traders (VIP1–VIP7)
Higher-tier VIPs enjoy significantly reduced fees — some even receive rebates on maker orders.
For instance:
- VIP4: Maker fee = 0.000%; Taker fee = 0.025%
- VIP7: Maker rebate = -0.015% (you earn money for providing liquidity); Taker fee = 0.025%
👉 See how much you could save with OKX’s competitive fee structure.
Important Notes on Fee Calculation
- Your highest qualifying tier between spot and futures volume determines your overall rate.
- Example: If your spot volume qualifies you for VIP3 but your futures volume reaches VIP5, you get VIP5 rates across both markets.
- OKB holdings across all accounts (main + subaccounts) are aggregated for tier calculation.
- Subaccounts inherit the parent account’s fee level after creation.
How Trading Volume Is Calculated
All trading volumes are converted into BTC equivalents for consistency:
- Spot Trading: Each trade (in any pair like ETH/USDT or LTC/BTC) is converted to BTC value at execution time.
- Futures Trading: Contract notional value is converted using BTC’s USD price at trade time.
- Updates occur daily at UTC 0:00, rolling over the past 30 days.
Withdrawal Limits by Tier
Higher-tier users enjoy increased daily withdrawal limits (denominated in BTC):
| Tier | Daily Withdrawal Limit (BTC) |
|---|---|
| Lv1–Lv5 | 300 |
| VIP1 | 350 |
| VIP7 | 1,000 |
Note: Actual withdrawals are capped by both account tier and KYC level:
- KYC1: ≤ 100 BTC/day
- KYC2: ≤ 300 BTC/day
Frequently Asked Questions
Q: What is the difference between delivery and perpetual contracts?
A: Delivery contracts expire on a set date (weekly or quarterly), while perpetual contracts have no expiry and use funding rates to keep prices aligned with the spot market.
Q: Are there separate fees for opening and closing positions?
A: No — both opening and closing trades are treated as regular trades and subject to standard maker/taker fees based on execution type.
Q: How does OKX prevent unfair liquidations?
A: By using a composite index price (from multiple exchanges) rather than the last traded price, OKX reduces the chance of manipulation-induced liquidations during volatile periods.
Q: Can I use subaccounts to manage team trading?
A: Yes — subaccounts share the main account’s fee tier and OKB balance but allow independent trading operations, ideal for teams or fund managers.
Q: Is there a fee for contract delivery?
A: No — delivery itself incurs no additional cost beyond standard trading fees.
Q: How often are fee tiers updated?
A: Daily at UTC 0:00, based on rolling 30-day volume and current OKB holdings.
Final Thoughts
OKX contract trading combines innovative design with strong security and competitive pricing. Whether you're hedging portfolio risk or seeking leveraged exposure, the platform offers powerful tools backed by rigorous anti-manipulation systems.
With stable leverage models, transparent fee structures, and global accessibility, OKX continues to be a top choice for serious crypto traders.
👉 Start exploring OKX contracts and unlock new levels of trading efficiency now.