Investor Notice:

The innovative secondary contract trading service for digital financial derivatives (hereinafter referred to as "Innovative Secondary Contract Trading") offered by the FP Markets trading platform (hereinafter referred to as the "Platform") carries certain risks. Therefore, users who activate and use the Innovative Secondary Contract Trading service are required to carefully read and agree to this Agreement. Your use of the service will be deemed to constitute your full understanding and agreement to this Agreement and the risks associated with Innovative Secondary Contract Trading.

Preface

This Agreement is intended to disclose to investors the investment risks of Innovative Secondary Contract Trading of digital assets and to help them assess and determine their own capabilities. Given the inherent investment risks, investors should carefully read this Agreement before trading. Investors must ensure they understand the nature and rules of Innovative Secondary Contract Trading and make their own decisions regarding whether to participate in Innovative Secondary Contract Trading based on their investment experience, objectives, financial situation, and risk tolerance. Investors should seek independent financial, legal, and other professional advice before applying to trade Innovative Secondary Contract Trading.

Design Concept of Innovative Binary Contracts

Innovative Binary Contract Trading is a new type of digital asset risk hedging financial derivative. It is simple to operate, flexible, and highly operational, providing investors with a new digital asset risk hedging product. Investors can use innovative binary contract trading to execute trades in specific directions with limited and controllable risk exposure. With clear expected returns, innovative binary contract trading offers trading diversity and multiple potential returns. Investors also clearly understand the potential profit amount for each innovative binary contract they purchase.

It is well known that digital assets are financial derivatives with extremely volatile prices. Current risk hedging derivatives on the market, such as futures contracts, are unable to fully hedge the risks associated with digital asset price fluctuations due to limitations such as fairness, trading volume, and time costs.

Innovative flash sale contract trading not only offers the risk management and portfolio investment advantages of traditional financial market flash sale contracts with their nonlinear profit and loss structures, but also incorporates the characteristics of digital assets to provide investors with professional risk management strategies in high-risk markets.

Innovative Flash Sale Contract Trading Rules

1. Innovative flash sale contracts utilize relevant prices from five well-known global digital asset exchanges to generate the mark price of the corresponding currency. The index composition and weightings are as follows:

Exchange Platform Weighting Percentage Base Unit
Binance 20% USDT
Kraken 20% USD
OKEX 20% USDT
Huobi 20% USDT
Coinbase 20% USDT

2. The Mark Price is valid only if there are ≥ 3 valid weighted exchanges; otherwise, it will be invalid. The platform will periodically adjust the index composition and weightings based on real-time trading data from the five major exchanges to ensure data validity and fairness, and will publicly announce these adjustments through announcements. Note: The platform will issue an adjustment announcement to disclose any changes to the index composition and weightings for the bid prices in innovative binary contracts.

3. Because the price accuracy of the five major exchanges is not yet standardized, the system has established a price accuracy standard for binary contract products. If the price accuracy of an exchange differs from the system standard, the price will be rounded to the nearest decimal place. For example, if the price accuracy of a BTC binary contract is 9000.1234 on an exchange, the effective price for the calculation will be 9000.12.

4. Current Binary Contract Periods: 60 seconds, 120 seconds, 180 seconds, 300 seconds, 600 seconds, 1200 seconds, and 1800 seconds.

5. Yield: 60 seconds/8%, 120 seconds/11%, 180 seconds/13%, 300 seconds/17%, 600 seconds/22%, 1200 seconds/28%, and 1800 seconds/34%.

When investors purchase innovative binary contracts, the expected yield will be clear.
Users can hedge market risk as needed, knowing the expected yield.
For example: Buy 100 USDT, hold for 60 seconds, and long the binary contract with an 8% yield. If the binary contract price rises upon delivery, the profit will be 108 USDT (including principal).