What Are USDT-M Perpetual Futures?

USDT-M perpetual futures—also known as U‑based or linear futures—are derivative contracts settled and margined in USDT, a stablecoin pegged to the US dollar. Unlike traditional coin‑margined futures (COIN‑M), where margins and P&L fluctuate with the underlying crypto’s price, USDT‑M contracts keep everything in stable value terms, offering a more intuitive and predictable trading experience.

Bifu is a unified multi‑asset trading platform covering forex, cryptocurrencies, equities, and RWA (real‑world assets). With Bifu USDT‑M perpetual futures, you can seamlessly participate in crypto derivatives without switching platforms or splitting your funds—all from a single account.

Why Choose USDT‑M Perpetual Futures?

1. Stable Margin, Reduced Volatility Risk

Coin‑margined contracts require you to hold volatile assets like BTC or ETH as collateral, exposing you to price fluctuations even when not trading. USDT‑M contracts use USDT as margin, effectively insulating you from the market’s ups and downs and eliminating the need to hedge your collateral.

1. Straightforward P&L Calculation

In USDT‑M contracts, every price move translates directly into USDT profit or loss. For example, a 100‑USDT price movement on a 1‑BTC contract yields exactly 100 USDT in P&L—clear, transparent, and easy to track.

1. No Expiry, Flexible Position Holding

Perpetual futures have no settlement date, allowing you to hold positions as long as you maintain sufficient margin. You are only closed out if you manually close or face liquidation due to insufficient margin.

1. Higher Capital Efficiency

In cross‑margin mode, unrealised profits can be used to open new positions, significantly boosting your overall capital utilisation.

Core Mechanisms of Bifu USDT‑M Perpetual Futures

Margin and Leverage
Initial margin is the minimum collateral required to open a position, calculated as:
Initial Margin = Contract Size × Average Entry Price ÷ Leverage
Higher leverage reduces the required initial margin. Each trading pair supports different maximum leverage levels—please refer to platform announcements for details.

Maintenance margin is the minimum amount needed to keep a position open, which adjusts according to risk limits.

Tiered Risk Limit System

Bifu employs a tiered margin structure: the larger your position size, the lower the maximum allowable leverage and the higher the initial margin rate. Each contract has its own maintenance margin rate, ensuring system stability and fair risk management.

Funding Rate Mechanism

Perpetual contracts use a funding rate to anchor the contract price to the underlying index/spot price. When the contract price deviates from spot, the funding rate either collects or pays fees to long or short traders, encouraging the contract price to revert to the spot price.

How to Start Trading USDT‑M Contracts on Bifu

1. Download the Bifu App – Search “Bifu” in the App Store and install the app.

2. Complete Registration & KYC – Follow the in‑app instructions to set up your account and verify your identity.

3. Deposit USDT – Transfer USDT to your futures account as collateral.

4. Choose a Trading Pair – Go to the futures trading page and select the USDT‑M contract you wish to trade.

5. Set Leverage & Open Position – Choose isolated or cross‑margin mode, set your preferred leverage, and open your trade.