Dear LBank users,
LBank will list the BRC20 USDT-M perpetual contract at 03:00 on November 17, 2023 (UTC). Details are as follows:
|Trading pair||Leverage||Tick Size||Funding Fee Settlement Frequency|
|Every One Hour|
1. Index Information
A cryptocurrency index reflecting the price trends of BRC-20 sector tokens.
2. Index Details
|BRC20/USDT||BRC-20 sector index||The BRC-20 Sector Index is priced in USDT||2023-11-17|
The initial date is the base date, and the base level of the index is 100.
4. Token Index Composition
The components of this sector index are the top 5 market capitalization tokens listed on https://www.brc-20.io/ (the number of tokens will increase to 10 with the popularity of the BRC20 token sector). For specific components, please refer to the URL.
5. Index Calculation
The BRC-20 sector index price is calculated based on the weighted average price of the tokens that make up the index, such as ORDI/USDT, STAS/USDT, etc.
n: number of constituent tokens;
p: latest price of each component token, priced in USDT;
w: weight of each component token;
divisor: divisor of the latest stable index.
This formula ensures continuous changes in index components/weights and that the index price is only affected by changes in the underlying component prices.
Index divisor on the base date:
Index divisor during each rebalancing:
The weight of each component in the index is calculated through a weighting factor (weights remain unchanged between index rebalances).
The BRC-20 sector index uses market capitalization weighting. The weighting factor is calculated as follows:
Here, the market cap is the current market value of the corresponding token at the time of rebalancing. All indicators are priced in USDT.
5.4 30% Token Weight
The maximum weight limit for each token is 30%:
For tokens with a weight less than 30%:
count_capped: number of component tokens with a weight cap of 30%;
sum_non_capped: total market value of all tokens with a weight less than 30%.
The following table is an example of the composition of the BRC-20 sector index (all data are examples, specific parameters are subject to actual conditions):
6.1 Regular Rebalancing
Rebalancing takes place every Tuesday at 4 pm(UTC+8).
6.2 Temporary Rebalancing
Special adjustments are made when necessary due to drastic changes in one or more tokens (delisting or other external reasons).
* Based on market risk conditions, LBank may adjust the specifications of the BRC20USDT Perpetual Contract from time to time, which include the funding fee, tick size, maximum leverage, initial margin, and/or maintenance margin requirements.
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If you have problems, please contact LBank official email: email@example.com, and we will provide sincere, friendly and immediate service. We also welcome you to join LBank official English community to discuss the latest issue (Telegram): https://t.me/LBank_en.
Risk Warning: Investing in digital assets is extremely risky. Digital asset prices are subject to high market risk and price volatility. The value of your investment may go down or up, and you may not get back the amount invested. You are solely responsible for your investment decisions and LBank is not liable for any losses you may incur. Past performance is not a reliable predictor of future performance. This material shall not be construed as financial advice in any case. LBank reserves the right in its sole discretion to amend or change or cancel this announcement at any time and for any reason without prior notice.