๐Pricing
For RUSD Trade
The contract price of RUSD Trade is weighted average of underlying asset on major crypto spot exchanges, which reflects the fair market value of contract and will continuously update base on spot price of underlying asset or weighting of exchanges used to calculate the index.
Price sources: BinanceใOKXใBitfinexใBybitใKuCoinใHuobiใBitMEXใGate.io
How to calculate
Contract Price= Sum of (Weight Percent of Exchange A * The Symbol's Spot Price on Exchange A + Weight Percent of Exchange B * The Symbol's Spot Price on Exchange B +...+ Weight Percent of Exchange N * The Symbol's Spot Price on Exchange N)
1. Because the policy of charging 0 fees on spot trading in some exchanges, which cause spot trading volume deviate reality, so weight value take from percenetage of contract transation volume on each exchange in the past 24 hours instead of the percentage of non-spot transation volume.
2. Weight value isn't fixed, it will be dynamicly adjusted based on percentage of contract transaction volume in each exchange, natural adjustment once a month.
3. The transaction volume data source of each exchange: Coinmarketcap
BTC price as a example
Biance | 31,707,731,163 | 60.82% | 30854 |
OKX | 9,901,362,936 | 18.99% | 30853 |
Bitfinex | 6,598,869,305 | 12.66% | 30852 |
Bybit | 6,598,869,305 | 0.12% | 30851 |
KuCoin | 1,288,919,923 | 2.47% | 30850 |
Huobi | 1,389,970,590 | 2.67% | 30855 |
BitMEX | 408,525,936 | 0.78% | 30856 |
Gate.io | 771,184,636 | 1.48% | 30857 |
In this case, The volume of BTC on each exchange for the past 24h on July 5, 2023 is taken from the real data of each exchange, and the BTC spot price is a customized demo value.
Calculations based on the above data show that BTC contract price on Rollup.Finance is 30853.54.
For Crypto Rates
Crypto rates refers to the exchange ratio of A cryptocurrency to B cryptocurrency.
We define Rollup.Finance's cryptocurrency exchange rate as the ratio of the weighted average of two different cryptocurrency underlying asset on the major spot exchanges, updated continuously on the spot prices of the two different cryptocurrency underlying asset, or the weights of the exchanges calculated price index.
Fetching price Exchanges: BinanceใOKXใBitfinexใBybitใKuCoinใHuobiใBitMEXใGate.io.
How to calculate
Exchange rate price= Price_A*(weight percent of A exchangespot price of underlying asset in A exchange +weight percent of B exchangespot price of underlying asset in B exchange+โฆโฆ+weight percent of N exchangespot price of underlying asset in Nexchange๏ผ/ Price_B (weight percent of A exchangespot price of underlying asset in A exchange +weight percent of B exchangespot price of underlying asset in B exchange+โฆโฆ+weight percent of N exchange*spot price of underlying asset in Nexchange๏ผ
ETH/BTC price as an example
Biance | 31,707,731,163 | 60.82% | 1804 | 30854 |
OKX | 9,901,362,936 | 18.99% | 1803 | 30853 |
Bitfinex | 6,598,869,305 | 12.66% | 1802 | 30852 |
Bybit | 64,494,893 | 0.12% | 1801 | 30851 |
KuCoin | 1,288,919,923 | 2.47% | 1800 | 30850 |
Huobi | 1,389,970,590 | 2.67% | 1805 | 30855 |
BitMEX | 408,525,936 | 0.78% | 1806 | 30856 |
Gate.io | 771,184,636 | 1.48% | 1807 | 30857 |
In the case, the volume of BTC on each exchange for the past 24h on July 5, 2023 is taken from the real data of each exchange, and the BTC spot price is a customized demo value.
Based on the above data, the BTC contract price for Rollup.Finance is 0.0585.
Protective Measure
In the event of extreme price volatility, we will take a number of additional protective measures, including but not limited to, modifying the components of the contract price, to avoid poor market performance due to disruptions in the spot market price or connectivity issues. These protective measures are below
Single exchange price deviation
A single price source deviation occurs when the latest price on a particular exchange deviates by more than 5% from the median of all price sources. In this case, the price will immediately be limited to either 1.05x or 0.95x the median, depending on whether the deviation is above or below the median price. This adjustment will occur immediately when the price exceeds this price deviation threshold. The price value calculated by the Exchange will be readjusted to its original value when the price value falls back within the 5% deviation.
Exchange conectivity issue
When can't to access the data feed from an exchange:
1. if that exchange has updated its trading data within the last 10s, the system will use the price of the last data source for the index calculation
2. if that exchange has not updated its trading data within 10s, the weight of that exchange will be zero when calculating the weighted average
The โLast Price Protectedโ mechanism
When the system is unable to get a stable and reliable reference data source, we will update the contract price by adopting theโLast Price Protectedโ mechanism until it returns to normal.
Under this mechanism, we will select the weighted average of the spot prices of the top three exchanges as the contract price; if the spot prices of any two of the top three exchanges are unavailable, we will take the spot price of one of the exchanges as the contract price; if all of the top three exchanges are unavailable, we will use the price of the underlying asset of the Chainlink on the Arbitrum as the contract price. If none of the top three exchanges can read the price, we will use Chainlink's price for the underlying asset on Arbitrum as the contract price.
โ ๏ธNote
The current feeding price frequency of the oracle on zkSync Era does not meet the needs of contract trading and is expensive, Rollup.Finance adopts the above methods, which is only a transitional solution, and will be upgraded as soon as a decentralized feeding solution that meets our needs is available on zkSyncEra in the future.
Although we plan to provide you with accurate and timely price information as much as possible to better your experience, there are uncertainty and risks exist in digital asset, in the event of extreme circumstances, profit and loss calculations, liquidated positions, and other services will be affected, you accept all the consequences of the use of the service, and Rollup.Finance will not be held financially responsible for you.
