Futures trading has become one of the most common practices in the cryptocurrency space, offering high-risk, high-reward opportunities. This guide explores how to trade futures on OKX (formerly OKEx) and answers key questions about contract specifications, strategies, and risk management.
Futures Trading Parameters on OKX
Account Modes
OKX offers two primary margin modes:
Cross Margin
- All positions share the same collateral pool.
- Profits/losses across positions offset each other.
- Ideal for users with traditional derivatives experience or hedging strategies.
Isolated Margin
- Each position has independent collateral.
- Suitable for high-leverage traders prioritizing risk isolation.
Key Settings
- Leverage: 10x or 20x.
- Quotation Unit: USD or CNY.
- Trading Unit: Contracts (1 contract = $100) or BTC.
👉 Start trading futures on OKX today
Types of Futures Contracts
OKX provides three contract durations:
- Weekly Contracts (7-day cycle)
- Bi-Weekly Contracts (14-day cycle)
- Quarterly Contracts (90-day cycle)
Pro Tip: Quarterly contracts offer greater flexibility for non-scalping strategies.
Step-by-Step Trading Process
1. Fund Allocation
- Purchase BTC/USDT in the spot market.
- Navigate to Assets → Transfer to move funds to your futures account.
2. Placing Orders
- Contract Selection: Choose your preferred duration.
Order Types:
- Limit Order: Set exact entry/exit prices.
- Advanced Options: Iceberg, TWAP, trailing orders.
3. Position Management
| Action | Purpose | Outcome |
|---|---|---|
| Buy (Open Long) | Bet on price increase | Increases long exposure |
| Sell (Close Long) | Exit profitable long positions | Reduces long exposure |
| Sell (Open Short) | Bet on price decrease | Increases short exposure |
| Buy (Close Short) | Exit profitable short positions | Reduces short exposure |
Margin Requirements:
- Cross Margin: 90% (10x) or 80% (20x) initial margin.
- Isolated Margin: Position-specific collateral.
Risk Management Strategies
- Use Stop-Loss Orders: Automatically liquidate positions at predefined thresholds.
- Avoid Overleveraging: Higher leverage amplifies both gains and losses.
- Diversify Maturities: Spread exposure across weekly/quarterly contracts.
👉 Explore OKX's risk management tools
FAQ Section
Q1: What’s the minimum capital for OKX futures?
A: Contracts start at $100/contract, but minimums vary by asset. For BTC, 0.001 BTC (~$60) may suffice with 20x leverage.
Q2: Can I trade futures without leverage?
A: Yes, but you’ll need 100% collateral (1x leverage), which reduces capital efficiency.
Q3: How are futures settled on OKX?
A: Most contracts are financially settled in USD; physical delivery requires selecting specific products.
Q4: What happens if my margin ratio drops too low?
A: Positions face forced liquidation when margin ratios hit protocol thresholds (e.g., ≤50% for cross-margin).
Q5: Are there fees for holding futures overnight?
A: Yes, funding rates apply every 8 hours based on market demand imbalances.
Key Takeaways
- OKX futures offer flexible durations and margin modes.
- Minimum costs depend on contract size and leverage.
- Always prioritize risk controls like stop-losses and position sizing.
For hands-on experience, visit 👉 OKX Futures Trading Platform.