Dear BitNasdaq Users,

To enhance risk management in contract trading, BitNasdaq is officially launching the Contract Insurance Pool. Users may purchase contract insurance before opening any contract positions. During the insurance validity period, if the compensation conditions are met, the system will automatically execute payouts in accordance with the applicable rules. Detailed rules are already published on our website.

Effective Date: January 15, 2026

Key Highlights

Purchase Requirement

Contract insurance must be purchased before opening any contract positions. If there is any open contract position in the account, insurance cannot be purchased. To purchase a new insurance policy, all contract positions must be fully closed.

Insurance Period

Each insurance policy is valid for 24 hours and becomes effective immediately upon premium payment. Only profit and loss (PnL) generated after the policy becomes effective is covered.

Payout Trigger

A payout is triggered when the cumulative contract loss during the insurance period is greater than or equal to Premium × 10.

Payout Amount

Payout amount = (Premium × 10) × 50%, equivalent to Premium × 5.

Payout Form

Compensation is distributed in the form of BNQ hashrate. Mining machines must be purchased separately by the user. The hashrate will be credited under the platform’s hashrate system in accordance with prevailing rules.

Settlement Basis

Settlement includes both floating PnL and realized PnL and is calculated using the Mark Price. A unified settlement will be conducted automatically once the policy has been effective for 24 hours.

Profit Settlement Fee

If the overall settlement result for the insurance period is profitable, the final insurance fee will be the greater of:

(i) the premium paid before opening positions, or

(ii) 10% of the profit.

If 10% of the profit exceeds the premium, the system will charge 10% of the profit and refund the previously paid premium.

Vesting and Freeze Mechanism

Any triggered payout will be released linearly over 30 days (1/30 per day). If the user does not purchase any contract insurance for five consecutive natural days after a payout is triggered, the unreleased portion will be frozen. Once the user purchases contract insurance again, the freeze will be lifted automatically and vesting will resume.

BitNasdaq Team