Risk Parameters

One config, twenty markets

Every Levant market is configured by a single on-chain MarketConfig struct. Today the deploy writes the exact same config to all 20 markets — BTC, ETH, SOL, BNB, XRP, DOGE, ADA, TRX, AVAX, LINK, DOT, SUI, LTC, BCH, NEAR, APT, UNI, ATOM, ARB and OP. There is no per-market differentiation yet: the numbers below are the literal values written by the testnet deployment, and they apply identically to every market you can trade.

Full parameter table

Every parameter in the shipped MarketConfig, with its exact value and meaning. Collateral, notional and fees are denominated in USDG (6 decimals); prices are 1e18; leverage is an integer multiplier.

Leverage, collateral and position size

Leverage is an integer multiplier up to the market maximum of 100x. Your position size (notional) is your net margin times leverage — net margin is your deposit after the open fee. Margin is always isolated: each position's collateral bounds its maximum loss, and positions never share margin. Collateral per position must be at least 10 USDG and at most 500,000 USDG; these bounds apply to your collateral, not to notional.

net margin = deposit - open fee
notional   = net margin x leverage   (leverage <= 100)

Fees

Two trading fees, both flowing to the vault (LPs). The open fee of 0.08% is charged on gross notional and deducted from your deposit at open, so your net margin is what remains. The close fee of 0.08% is charged on the adjusted size — your notional plus or minus realized PnL — at close. There is no separate maker/taker distinction; the fee is the same in both directions.

openFee  = 0.0008 x grossNotional            // deducted from collateral at open
closeFee = 0.0008 x (notional +/- realizedPnL)  // taken at close

Spread: constant + price impact + skew

Levant has no order book, so there is no order-book slippage. Instead your fill is the oracle mid plus a fully deterministic spread, in basis points, built from three parts: a flat constant, a price-impact term that grows with trade size relative to depth, and a skew term that grows with how far your trade pushes the book's long/short imbalance. The total is floored at 0 (a fill is never better than mid) and capped at 500 bps.

totalSpreadBps = 2 + priceImpact + skew          // constant = 2 bps

priceImpact = notional * 100 / depth1pct         // depth1pct = 10,000,000 USDG
skew        = 100 * signedImbalance / oiCap      // skewCoeff = 100 bps, oiCap = 2,000,000 USDG

// floored at 0 (never better than mid), capped at 500 bps

Worked from the live numbers: a 100,000 USDG trade pays 100,000 x 100 / 10,000,000 = 1 bp of price impact. A trade the size of the whole 2,000,000 OI cap pays 20 bps of impact; a trade the size of the 10,000,000 depth pays the full 100 bps. The skew term reaches its full 100 bps only when the book is completely one-sided (one side already at the 2,000,000 OI cap) and scales down proportionally from there, so small trades into a balanced book pay almost no skew.

Slippage protection

Every open and limit intent carries a mandatory maxSlippageBps in the range [1, 500] — there is no implicit default. At fill time, if the spread pushes your entry further from the mid than your tolerance, executeOpen reverts with SlippageExceeded; the intent stays pending (it is not consumed) and your escrow is fully reclaimable with cancelIntent. In the UI you pick a Max slippage such as 0.10%, 0.30%, 0.50% or 1.00%.

Liquidatable-at-open guard

executeOpen refuses to mint a position that would already be at or below its 10% maintenance margin at the mark it filled against (reverts LiquidatableAtOpen), and takes no open fee in that case. At very high leverage the entry spread alone can eat enough of your margin to trip this, so the effective usable leverage is a little below the 100x cap for large or high-impact orders — the engine will not open a position that is dead on arrival.

Max profit and reserved liquidity

Profit on any position is capped at 900% of its margin. To guarantee that payout, the vault locks reserved = margin x 9 for the entire life of the position. Once unrealized profit reaches the cap, further favorable price movement does not increase your payout.

maxProfit = 9 x margin
reserved  = 9 x margin      // locked in the vault while the position is open

Funding

Funding is continuous and paid between traders: the crowded side pays the underweight side, nudging the book back toward balance. The rate scales with utilization (open interest / the 2,000,000 OI cap) and with skew, starting around 0.01%/hr at utilization = 1 and skew = 1 and clamped to about 0.1%/hr. It accrues every second and is settled into your PnL. Because the OI cap is set (2,000,000 USDG), funding is active on every market; with the OI cap unset it would be disabled.

Liquidation

A position becomes liquidatable when its equity falls to or below the 10% maintenance margin — roughly a 90% loss, funding and fees included. Liquidation is permissionless: anyone can close an underwater position by submitting a signed oracle price report. The liquidator is paid the 5% liquidation fee (5% of collateral); no adverse spread is applied on the liquidation mark, and only the liquidated position is touched (isolated margin). Because the 5% reward sits below the 10% maintenance threshold, liquidations do not create bad debt for LPs.

Changing these values

Every field on this page is settable per market through setMarketConfig, which is guarded so that only the owner can call it. Today all 20 markets share the single config shown here, and the owner is the deployer key; moving ownership to a multisig or hardware wallet, and the oracle to m-of-n signers, is on the roadmap. When any of that changes, the values here — not your memory — are the source of truth, so confirm the live on-chain config for the specific market before you trade.