KuCoin’s Supplemental Notice on the Optimization of the Isolated Margin Calculation Formula

Dear KuCoin User

KuCoin recently announced updates to the isolated margin calculation formula, along with adjustments to the funding fee settlement time and payment rules for perpetual contracts.

Please note that after the adjustments to funding fee, the isolated margin formula will no longer include funding fees in the maintenance margin calculation.The expected funding fee will be zero. Please review your contract positions carefully, as they will be impacted by the following adjustments:

• Adjusted Margin Rate = Maintenance Margin / Total Position Margin
• Where: Maintenance Margin = Position Maintenance Margin + Liquidation Fee + Estimated Funding Fee = Mark Price × Position Size × Contract Multiplier × (Maintenance Margin Rate + Liquidation Fee Rate + Funding Rate)
• Total Position Margin = Initial Margin + Additional Margin + Funding Fee + Unrealized PNL
  
  
  Note: Prior to the adjustment, contract funding fees still include the aforementioned fees. Please refer to the announcement below for the adjustment schedule.

Related Announcements:

• Important: Update to the Isolated Margin Calculation Formula
• Adjustment to Perpetual Contract Funding Fee Settlement Times and Payment Rules