Index price calculation

The Index Price represents a fair value of digital assets and serves as a more stable reference point to mitigate risks caused by price volatility and market manipulation. It not only considers the latest price of a single asset but also incorporates prices from multiple exchanges, providing a more comprehensive and fair market price. The Index Price is determined by three key variables: current quotations, USDT trading pair equivalent prices, and real-time weights. Current quotations refer to the latest prices of each trading pair in the market, USDT trading pair equivalent prices convert prices from other trading pairs into USDT-denominated prices, and real-time weights are adjusted dynamically based on risk control rules. 

 

DeeBit Exchange's Index Price is derived from the weighted average prices of multiple component exchanges. The sources, weights, and historical data of the Index Price can be referenced in the contract information. The component weights of DeeBit Exchange's Index Price are adjusted in real-time based on risk control rules, and the Index Price is protected by an anomaly filtering mechanism.

 

Taking BTC_USDT as an example, the Index Price for this trading pair is sourced from six exchanges: Binance, Bybit, DeeBit Exchange, OKX, KuCoin, and MEXC.

 

The formula for calculating the Index Price is as follows: 

Index Price = (Component Exchange A's Latest Spot Price × Weight A) + (Component Exchange B's Latest Spot Price × Weight B) + (Component Exchange C's Latest Spot Price × Weight C) + ··· + (Component Exchange F's Latest Spot Price × Weight F)

 

The final interpretation of this product belongs to DeeBit Exchange.