Market Parameters
Each market on Zenex is defined by a set of parameters that control trading fees, leverage limits, risk thresholds, and interest behavior. These parameters can be adjusted through governance and vary per asset. The current values for all supported assets can be found on the Supported Assets page.
Per-Market Parameters (MarketConfig)
| Parameter | Description | Example |
|---|---|---|
| margin | Initial margin requirement. Determines maximum leverage: max leverage = 1 / margin. | 0.01 (1% = 100x) |
| liq_fee | Liquidation threshold. Position is liquidatable when equity < notional × liq_fee. Must be less than margin. See Liquidation. | 0.005 (0.5%) |
| impact | Divisor used in the price impact fee calculation. Higher values result in lower price impact. Varies by asset. | 8,000,000,000 (BTC) |
| max_util | Per-market utilization cap. Limits how much of the vault's capacity a single market can consume. | 5x (50,000,000) |
| r_var_market | Per-market variable borrowing rate. Scales cubically with market utilization. | Configurable |
| enabled | Whether the market accepts new positions. Disabled markets allow existing positions to close. | true |
Global Parameters (TradingConfig)
| Parameter | Description | Example |
|---|---|---|
| fee_dom / fee_non_dom | Base trading fee rates for dominant and non-dominant sides. See Fees. | 0.06% / 0.04% |
| r_funding | Base hourly funding rate. Applied to all markets. See Funding Rate. | Configurable |
| r_base | Base hourly borrowing rate. Applied to all markets. | Configurable |
| r_var | Vault-level variable borrowing rate. Scales with overall vault utilization. | Configurable |
| min_notional / max_notional | Notional size bounds per position. | 10 / 1,000,000 |
| max_util | Global utilization cap across all markets. | 10x |
| caller_rate | Keeper's share of trading fees. | Up to 50% |
How Parameters Interact
The margin and liq_fee together define the leverage envelope. The margin sets the maximum leverage at entry, while liq_fee determines how far a position can deteriorate before liquidation is triggered. The gap between them is the safety buffer.
The fee_dom/fee_non_dom and impact combine to form the total trading cost. For large positions, the price impact fee becomes significant. See Fees for the full calculation.
The r_funding governs the funding rate mechanism. As the long/short imbalance grows, the rate scales up for the dominant side while the minority side receives a rebate. The r_base, r_var, and r_var_market govern the borrowing interest, which compensates vault depositors for the liquidity risk of open positions.