πStatus system
Description of insurance policy states
Last updated
Description of insurance policy states
Last updated
When the insurance contract is successfully margined, the corresponding initial status is βValidβ. Depending on the P-Market volatility during the term or at the time of expiration, the contract will have the following termination states:
Example: Given the fear of risk when the BTC asset price decreases (52156.9) after you have purchased a BTC derivative with a increasing price, the user chooses to receive BEAR insurance support (as shown in the figure):
The user needs to deposit 23 USDT to buy a Standard insurance plan (5-2,000 USDT) with a Bear expectation for the BTC/USDT asset pair, at a P-Open price of 52,156.9 with a validity period of 12 hours. In this case, the default P-Claim is 46,644.09, P-Expire is 60,053.9, and P-Refund is 51,856.9.
This means that within 12 hours:
When the BTC price drops to 46,644.09, hitting P-Claim, the system will pay 48,91 USDT back to the user's wallet.
When the BTC price is between P-Open 52,156.9 and P-Refund 51,856.9, the contract will be liquidated.
When the BTC price is between P-Refund 51,856.9 and P-Claim: 46,644.09, the contract will be refunded.
When the BTC price is between P-Open 52,156.9and P-Expire 60,053.9, the contract will be liquidated.
Status
Description
Claimed
The system has completed the payment to the user's wallet (*)
Refunded
At the time of contract expiration, P-Close is between P-Refund and P-Claim, the system returns the margin to the user's wallet.
Liquidated
During the period, P-Market hits P-Expire, the liquidation is triggered
At the time of contract expiration, P-Close is between P-Refund and P-Expire, the contract is liquidated due to expiration
Canceled
The contract completes the conditions for an early refund
Invalid
The contract was opened successfully but P-Open crossed the safe distance
The user is refunded after that
P-Market hits P-Claim
When the asset price hits the P-Claim during the contract period
Expire Contract
When the contract expires, the asset price does not hit the P-Claim nor the P-Expire
P-Market hits P-Expire
When the asset price hits the P-Expire level during the contract period
Users cancel contract before expiration
The user cancels the contract when all conditions are met