Index Price

Index Price represents the weighted average value of the underlying asset across major spot exchanges, reflecting the fair market value of the futures contract.

At Coinstore, Index Price for USDⓈ-M Futures contracts is based on spot prices from major exchanges including Binance, OKX, Huobi, MEXC, etc. 

Index Price is calculated as follows: Price Index = 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

Index Price is used to:

• calculate the Mark Price
• trigger TP/SL (optional)

Mark Price

Mark Price is a better estimate of a contract’s ‘true’ value ensuring fair and accurate pricing of futures contracts to prevent unnecessary liquidations and discourage market manipulations by bad actors. 

Mark Price is less volatile in the short term. Coinstore uses Mark Price to prevent unnecessary liquidations and discourage market manipulations by bad actors.

Index Price is the main component of the Mark Price. Mark Price = Price Index + Moving Average

Mark Price is used as a reference point for:

• liquidations
• funding fees
• unrealised PnL
• trigger TP/SL (optional)

Last Price

Last Price refers to the latest trade price of the futures contract. The last trade of a particular contract defines its Last Price. Futures contracts have their own supply and demand volumes as traders constantly buy and sell them on the market, which may create a unique price that might be different from the spot price.

Last Price is for: 

• trigger TP/SL (optional)
• execute TP/SL
• trigger conditional order 
• calculate realised PnL