Investor Information

 

The digital financial derivatives second contract trading (hereinafter referred to as " second contract trading ") service provided by the Goldcoin trading platform (hereinafter referred to as the "Platform") has certain risks. Therefore, users need to read and agree to this Agreement carefully before opening and using the second contract trading service. Your use will be deemed as a full understanding and agreement of this Agreement and the risks of second contract trading.

 

 

 

 

Preface

 

 

This Agreement is intended to disclose to investors the investment risks of digital asset second contract transactions and to help investors evaluate and judge their own capabilities. In view of the existence of investment risks, investors should carefully read this Agreement before trading to ensure that they understand the nature and rules of second contract transactions and decide whether to participate in second contract transactions based on their investment experience, goals, financial status, risk-bearing capacity, etc. Investors should seek independent professional advice on finance, law, etc. before applying for second contract transactions.

 

 

 

 

The design concept of second contract trading

 

 

Second contract trading is a new digital asset risk hedging financial derivative. It is simple, flexible, and highly operational, providing investors with a new digital asset risk hedging product.

Investors can use second contract trading to execute transactions in a specific direction with limited and controllable risk exposure. Under the premise of clear expected returns, second contract trading has the characteristics of transaction diversity and multiple potential returns. When purchasing each second contract, investors also clearly know the amount of profit they may obtain.

As we all know, digital assets are financial derivatives with extremely volatile prices. Risk hedging financial derivatives currently on the market, such as contract futures, cannot completely hedge the risks brought about by digital asset price fluctuations due to constraints such as fairness, trading volume, and time cost.

Second contract trading not only has the risk management and portfolio investment advantages of the nonlinear profit and loss structure of second-to-second contract trading in the traditional financial market, but also combines the characteristics of digital assets to provide investors with professional risk management strategies in high-risk markets.

 

 

 

Second Contract Trading Rules

 

 

1. Second contracts use the relevant prices of 5 well-known digital asset exchanges in the world to generate the mark price of the corresponding currency. The index composition and weights are as follows:

Trading platform weight comparison benchmark unit

Binance 20%   USDT

Kraken 20%   USDT

Okex 20%   USDT

Huobi 20%   USDT

Coinbase 20%   USDT

 

2. The prerequisite for the mark price to take effect is: there are ≥ 3 exchanges with valid weights, otherwise it will be deemed invalid. This platform will modify the index composition and weights from time to time based on the real-time transaction data of the five major exchanges to ensure the validity and fairness of the data, and will publicize it by issuing adjustment announcements. Note: If there are any changes in the index composition and weights of the mark price in the second contract transaction, this platform will issue an adjustment announcement for public disclosure.

 

 

3. Since the price precision of the five major exchanges has not been unified, the system has agreed on the price precision of second contract products. If the price precision of a certain exchange is inconsistent with the system agreement, the decimal place will be rounded off. For example: the price precision of BTC second contract is 2 digits. If the price of a certain exchange is 9000.1234, after processing, the price involved in the effective calculation is 9000.12.

 

 

4. The current second contract period is divided into 30 seconds, 60 seconds, 90 seconds, and 120 seconds contracts.

 

 

5. Yield

 

When investors purchase a second contract, the expected rate of return of the second contract will be very clear.

 

Users can hedge market risks as needed, provided that they have determined their expected rate of return.

 

For example: You buy 100 USDT in 5 minutes, bullish on the second contract, with a yield of 70%. If the second contract settlement result rises, the profit is 170 USDT (including the principal).

 

 

6. Delivery time

 

0:00 GMT is the start time for the day's second contract trading .

For example, the start time of a 1-minute contract is 00:00:00, the settlement time is 00:01:00, and so on.

 

 

7. Purchase time

 

For example, the current 1-minute contract starts at 00:30:00 and settles at 00:31:00, and so on.

 

 

8. Abnormal situation handling

 

If data acquisition fails due to network delays or interruptions, data anomalies of third-party exchanges, or data calculation errors occur due to trading system anomalies, etc., such situations may result in the inability to complete the second contract transaction. You understand and agree that the second contract transaction affected by the above situation will be deemed as an invalid transaction, and the digital assets used to purchase the above second contracts will be returned to the user's trading account free of charge.

 

 

9. Amount Limit

 

Each currency has a minimum purchase amount and a maximum purchase amount limit. The specific amount limit is subject to the actual transaction page.

 

 

10. Delivery Results

 

second contract transaction delivery standards starting from 00:00 (GMT+8) on May 28, 2020 :

 

Delivery Seconds Contract Bullish Bearish

30S |Increase|＞0.005% |Decrease|＞0.005%

60S |Increase|＞0.03% |Decrease|＞0.03%

90S |Increase|＞0.04% |Decrease|＞0.04%

120S|Increase|＞0.05% |Decrease|＞0.05%

 

 

Currently, the options for second contract trading include call and put. After the adjustment of the judgment criteria, the rise and fall judgment criteria for different delivery periods will be different. Please refer to the table above.

 

Bullish: The currency price at the time of transaction settlement rises relative to the beginning of the period, and the absolute value of the increase exceeds the proportion shown in the table;

 

Put: The currency price at the time of delivery of the corresponding trading period falls relative to the beginning of the period, and the absolute value of the decline exceeds the proportion shown in the table;

 

Note: For those who purchased the second contract before the implementation of the new standards, the delivery and settlement will still be carried out according to the original regulations.

 

 

 

Existing risks

 

 

1. Price volatility risk

 

As a special digital asset financial derivative with investment value, the price of second contract transactions is affected by many factors and fluctuates violently. It is difficult for investors to fully grasp it in actual operations. Therefore, there is a possibility of investment errors. If the risks cannot be effectively controlled, investors may suffer large losses and must bear all losses arising therefrom alone.

 

 

2. Transaction Risks

 

(1) Once a transaction submitted by an investor in the trading system of this platform is completed, it cannot be revoked and the investor must accept the risks that may arise from this method.

 

(2) This platform will not guarantee profits to investors, nor will it share profits or share any risks with investors.

 

 

3. Policy and regulatory risks

 

Second contract transactions may face policy and regulatory risks in different countries or regions. Investors should understand the regulatory policies of the trading location before trading and make prudent judgments based on this premise.

 

 

4. Other possible risks

 

(1) The relevant trading rules of second contract trading, including but not limited to index composition and weight adjustment, expiration time, product rules, etc., may be modified according to the actual business operation situation. If the platform needs to modify the relevant trading rules due to special circumstances, it will be deemed to have fulfilled the obligation to inform after the announcement of the adjustment. Users need to check and adjust their trading strategies in a timely manner, and any gains or losses generated or may be generated by this will be enjoyed or borne by the users themselves.

 

(2) There are also risks in using the Internet trading system, including but not limited to the failure of software, hardware and Internet links. The platform cannot control the reliability and availability of any Internet, so the platform does not assume any responsibility for network distortion, delay and link failure.

(3) All transaction calculation results will be verified by this platform, and all calculation methods have been published on this platform's website. However, this platform cannot guarantee that the use of the website will be uninterrupted or error-free.

 

 

 

 

special attention items

 

 

1. Second contract trading is a high-risk digital asset financial derivative. Investors must fully understand the basic knowledge and related risks of financial derivatives trading, as well as the risks of participating in second contract trading before participating. Investors are requested to carefully read and agree to the "Goldcoin User Agreement" and " Second Contract Trading Agreement", understand and fully bear all trading risks caused by the sharp fluctuations in digital asset prices.

 

 

2. The above risk items are only for enumeration purposes and cannot be an exhaustive list of all risk factors involved in digital asset derivatives trading. Investors should also carefully understand and master other possible risk factors before participating in digital asset derivatives trading. If the platform believes, based on reasonable business judgment, that you have violated this agreement, or that the laws of your country or region do not allow you to use the services provided by the platform, or that you use the services provided by the platform to engage in illegal activities, the platform has the right to temporarily or permanently freeze your account, or suspend or terminate your use of all or part of the digital asset trading services provided by the platform.

 

 

3. The prerequisite for the mark price to take effect is: the effective weight exchange ≥ 3, otherwise the second contract transaction may not be completed. You understand and agree that the second contract transaction affected by the above situation will be deemed an invalid transaction for purchase. The digital assets of the above second contract will be returned to the user's trading account free of charge. This platform will modify the index composition and weights from time to time based on the real-time trading data of the five major exchanges to ensure the validity and fairness of the data, and publicize it by issuing adjustment announcements.

 

 

4. Any opinions, news, discussions, analyses, prices, suggestions, chat room content, information, KOL articles, etc. on this platform are general market comments and do not constitute investment advice. This platform is not responsible for any direct or indirect losses caused by any user's reliance on such information, including but not limited to any loss of profit.

 

 

5. It is prohibited to use this platform to conduct malicious market manipulation, unfair trading and other unethical or illegal trading behaviors. If such incidents are discovered, this platform will take action against all unethical or illegal trading behaviors such as malicious price manipulation and malicious influence on the trading system. We will take preventive protection measures such as warnings, trading restrictions, and account closures against users, and will not bear any responsibility arising therefrom, and reserve the right to hold relevant persons accountable.

 

 

6. Monitor transactions

 

The platform will set and adjust the daily maximum transaction and withdrawal limits based on security and actual transaction conditions;

 

If a registered user frequently trades, or if a transaction or some transactions are unreasonable, the platform's professional team will assess and determine whether they are suspicious transactions;

 

When the platform deems a transaction or certain transactions to be suspicious based on its own judgment, the platform may take restrictive measures such as suspending such transactions, rejecting such transactions, or even canceling such transactions that have already occurred, and report to the regulatory authorities at the same time without further notice;

 

The platform reserves the right to reject registration applications from investors from jurisdictions that do not meet international anti-money laundering standards or may be considered politically exposed persons. At the same time, the platform reserves the right to suspend or terminate any suspicious transactions at any time based on its own reasonable business judgment, and does not assume any responsibility or obligation arising therefrom.