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Futures Contracts

Mark B...earnings?

The mark price compared to the last price on Binance Futures - what’s the difference?

2025-08-21

Key Points

Users encounter two different prices when trading on Binance Futures: the last price and the mark price.

The last price is the most recent trading price of a contract and the mark price is the estimated fair value of a contract.

To avoid unnecessary liquidation in a volatile market and prevent price manipulation, Binance Futures uses the mark price as a reference for liquidation.

Futures contracts allow traders to invest in cryptocurrencies without needing to own the underlying asset. The futures contract price is based on the spot price of the underlying asset. The spot price refers to the current market price of the cryptocurrency, which can be bought or sold for immediate settlement.

Under ideal circumstances, the futures contract price follows the spot price of the underlying asset. However, this is not always the case, as futures contracts have their own supply and demand dynamics, often leading to discrepancies between the prices of these contracts and the prices of the underlying assets associated with them.

For this reason, you may have encountered two different prices when trading Binance Futures contracts: the last price and the mark price. Read on to learn the difference between these two indicators and how to use them on our futures trading platform.