Fellow Binancians,
As part of Binance's ongoing commitment to delivering market-leading precision and transparency, we are implementing a critical update to the mark price calculation methodology for both USDⓈ-Margined and COIN-Margined Futures Contracts. This adjustment aims to enhance pricing accuracy, minimize unnecessary liquidations, and provide a fairer trading experience for all users.
What’s Changing?
Starting 2025-05-05, Binance Futures will transition the basis of "Price 2" used in mark price formulas from a 2.5-minute moving average to a 1-minute moving average. This enhancement will be applied across all Perpetual and Delivery Contracts.
Key Enhancements by Contract Type:
Why This Matters
This update reflects Binance Futures’ effort to improve market responsiveness and reflect real-time dynamics more accurately. By shortening the moving average window and increasing the frequency of basis calculation:
Market volatility can be captured more efficiently.
Price distortions during rapid market moves are reduced.
Liquidation mechanisms become more equitable and less prone to lag-based inaccuracies.
This change will empower traders with sharper pricing metrics and align mark prices closer to actual market behavior.
Thank you Binance. We believe you remain committed to innovating for a better trading ecosystem.
Binance User
