Perps V2

The brand-new Kinetix Perp DEX is now available on Kinetix.

Let's dive into the new version and how to use it.

To summarize, the new version comes with the following features:

  • Aggregates all the major Perp DEXs on each chain supported by our dApp, and settles orders on the most efficient one.

  • Open Interest ratio of 1000x+.

  • Trading with up to 100x leverage.

  • Crypto, Forex, and Commodities trading.

To start using Kinetix Perps V2, follow the tutorial below.

I. Head to our dApp

Firstly, visit our dApp and connect your wallet to the KAVA network.

Then, navigate to the β€˜Perp V2’ tab:

II. Overview of available features

At this time, users have the options to trade long or short on the following:

  • 18 cryptocurrencies with leverage of up to 100, depending on the pair.

  • 6 forex pairs with leverage of up to 100.

  • 2 commodities with leverage of up to 20.

Users additionally have the opportunity to utilize advanced order types (Pro Trading Features) such as:

  • Limit / Stop

  • Stop Loss

  • Take Profit

  • Trailing Stop

  • Reduce Only

  • Protect Order

Kinetix Perps V2 also offers a Referral program: Invite your friends and enjoy fee-cashback/fee-commissions.

To know more about it, head over to our Perps V2 Referrals Page, which can be accessed in the sub header on https://kinetix.finance/apps/perpv2

III. How to open a position

First of all, choose the asset pair you want to trade.

To do this, click on the pair displayed at the top left of your screen or in the order parameters bar, and then select the asset you want to trade from the dropdown menu.

Next, choose "Long" or "Short" to open a position. Keep in mind, that:

  • Selecting "Long" will result in a profit if the token's price rises, but a loss if it falls.

  • Choosing "Short" will yield a profit if the token's price falls, but a loss if it rises.

Proceed to select the asset you want to use as a collateral: KAVA or USDt:

Next, enter the amount of your collateral:

As a next step, decide if you want to apply leverage. The Leverage slider starts at 1.1x and goes up to 100x. Keep in mind that the maximum leverage available changes depending on the asset class that has been chosen.

Choose between Market or Limit:

A Market order enables you to enter a position directly at the current market price.

A Limit order lets you enter a position at a price of your choice. However, there's a risk that the order may never be executed or might be executed much later.

To place a market order, enter the amount of your collateral and open your order.

For a limit order, check the Limit/Stop box and enter the desired price at which you want to position yourself.

Before confirming the transaction a pop-up window will appear that summarizes all relevant data related to your position, such as fees, liquidation price, leverage and more

IV. Manage your Position

After opening your position, all the necessary details can be found below the chart in the 'Position' section.

If you click on 'Chart positions', you can also view your position entry, liquidation level, and advanced orders (SL/TP) directly on the chart.

You can add or remove collateral at any time, which will adjust your liquidation level. To do so, click on the three dots on the far right of your position.

Select 'Edit Collateral' to add or remove collateral.

V. Close your position

You can close your position using one of the two options located under the 'X' button

a) Close the position completely

To close your position completely, click on '100%' and confirm the transaction.

b) Close the position partially

To partially close your position, enter the amount you wish to withdraw from it or select the desired percentage.

c) Close your position partially or entirely with a defined price

You can also close your position entirely or partially by setting up a Stop Loss (SL) or Take-Profit (TP) order.

  • Use a Reduce Only order for TP

  • Use a Protect order for SL.

In the given set of Pro Trading features a trailing stop function is also available for use.

Here is a short explanation of trailing stop: A Trailing stop is a type of an order that allows traders to secure profits while also limiting potential losses. It works by automatically adjusting the stop loss level for a trade in favor of the current market price.

Kinetix has implemented a percentage-based trailing stop function where traders input the price percentage they’re willing to absorb.

Opening a new position with trailing stop:

If you are opening a new position, you can set up a trailing stop or take profit order during the opening process. This will ensure that your position is automatically closed at a specified price level if the market moves against you, helping to limit your losses and protect your profits.

Adding trailing stop to an existing position:

If you would like to add a trailing stop order to your existing position, this can be done by navigating to your position and selecting the option + Add Trailing Stop, when clicking on the three dots next to your position.

Next, a pop-up appears allowing you to select the percentage or enter a price:

Once this is set up, your position will automatically be closed if the market moves against you by a specified percentage, helping to reduce your risk.

VI. Advanced orders

Kinetix Perps V2 allows you to set up two type of advanced orders, whether you are opening a position or when your position is already open:

  • SL (Stop Loss)

  • TP (Take Profit)

To set up SL and TP when opening a position, go to the 'Pro trading' section, then:

  • SL: Choose the price at which you want to place your stop loss or select the %

  • TP: Choose your TP by entering a specific price or select the %

To set up or adjust a Stop Loss or Take Profit for an open position, refer to section 5c of this tutorial.

Please note that when creating an advanced order (SL or TP):

It will appear in the 'Orders' section at the bottom of the chart, as well as on the chart if you have activated the 'Chart position' bell.

If you manually close a position, the associated trigger orders will remain open. You will need to cancel them manually if you do not want the order to be active when opening future positions.

Also note that orders are not guaranteed to execute. There are several situations in which this can occur, including:

  • The mark price, which is an aggregate of exchange prices, did not reach the specified price.

  • The specified price was reached but not for a long enough time for it to be executed.

  • No keeper picked up the order for execution.

  • Additionally, trigger orders are market orders and are not guaranteed to execute at the trigger price.

VII. Partial Liquidations

If the market trends against your trade, there will be a point where the loss amount closely aligns with the collateral amount. The Liquidation Price is determined when the result of (collateral - losses - borrow fee) is less than 1% of your position's size. If the token's price surpasses this point, your position will automatically close.

Due to the borrow fee, your liquidation price may change over time, particularly if you use leverage above 10x and maintain the position for more than a few days. Therefore, it's crucial to continuously monitor your liquidation price.

If there is any collateral remaining after deducting losses and fees, the corresponding amount will be returned to your wallet.

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