Bitget futures: How to calculate your order cost

When trading futures on Bitget, understanding order costs is essential for optimizing your trading strategy and managing risk. This guide explains what order costs are, how they differ across futures types, and the relevant calculation formulas, as well as provides practical examples to help you calculate them accurately.

What is order cost?

Order cost refers to the transaction fees to be paid when placing an order, as well as the possible funding fees of your open positions. Order cost directly affects your actual PnL, especially in high-frequency trading or high-leverage scenarios. It is important to estimate the cost reasonably.

Key factors affecting order cost on Bitget include:

• Order type: Maker or Taker.

• Futures types: USDT-M perpetual futures, Coin-M perpetual futures, or delivery futures.

• Account level: BGB holders or VIPs can enjoy discounts on transaction fees.

• Funding fee: A fee that is settled every eight hours for perpetual futures.

Order cost of different futures contracts

Bitget offers a wide range of futures products, including USDT-M perpetual futures, Coin-M perpetual futures, and Coin-M delivery futures, each with slightly different order costs.

USDT-M perpetual futures

Futures that use USDT as both the margin and settlement currency, such as BTC/USDT. Cost includes:

• Maker fee: 0.014% (for providing liquidity as market makers) Actual fee varies by account level.

• Taker fee: 0.042% (for consuming liquidity by placing market orders) Actual fee varies by account level.

• Funding fee: Settled every 8 hours, and paid between long and short positions based on market conditions. No additional fees are charged by the exchange.

Coin-M perpetual futures

Futures that use cryptocurrencies (such as BTC) as both the margin and settlement currency, such as BTCUSDT. The cost structure is similar to USDT-M Futures but settled in the corresponding crypto asset.

Coin-M delivery futures

Futures with a fixed delivery date mainly incur maker/taker fees but no funding fees, as the futures will be settled on the expiration date.

Check the Bitget fee schedule for more details.

Order cost calculation formula

The order cost of futures trading on Bitget is mainly composed of transaction fees and funding fees, calculated as follows:

Total order cost = transaction fee + funding fee

Transaction fee = trading volume × transaction fee rate

Funding fee = position value × funding rate

Where:

• Trading volume: The value of the futures at the time of opening or closing a position (in USDT for USDT-M Futures and in corresponding crypto for Coin-M Futures)

• Fee rate: 0.014% for maker orders and 0.042% for taker orders (subject to account level)

• Position value: The market value of the current position

• Funding rate: Determined by the market, and updated every 8 hours. Real-time funding rate can be viewed on the Bitget futures page.

Note: The funding fee applies only to perpetual futures and is settled at 12:00 AM, 8:00 AM, and 4:00 PM (UTC+8).

Examples

Let's use the following two examples to illustrate how order costs are calculated.

Example 1: USDT-M perpetual futures (BTCUSDT)

Assume you open a BTCUSDT perpetual futures position with the following details:

• Entry price: 50,000 USDT

• Quantity: 0.1 BTC

• Leverage: 10X

• Order type: Taker (at a fee rate of 0.042%)

• Funding rate: 0.01% (assumed)

Step 1: Calculate the transaction fee

Trading volume = 50,000 USDT × 0.1 = 5000 USDT

Transaction fee = 5000 USDT × 0.042% = 2.1 USDT

Step 2: Calculate the funding fee

Position value: 5000 USDT

Funding fee = 5000 USDT × 0.01% = 0.5 USDT (every 8 hours)

Step 3: Total order cost

Assuming the position is held for 8 hours, the total cost = 2.1 USDT + 0.5 USDT = 2.6 USDT

Example 2: Coin-M delivery futures (BTCUSD)

Assume you open a BTCUSD delivery futures position with the following details:

• Entry price: 50,000 USD

• Quantity: 0.05 BTC

• Leverage: 5X

• Order type: maker (at a fee rate of 0.014%)

Step 1: Calculate the transaction fee

Trading volume = 50,000 USD × 0.05 = 2500 USD

Transaction fee = 2500 USD × 0.014% = 0.35 USD (converted to USD at the current price as the value is less than 0.00001 BTC)

Step 2: Funding fees

Delivery futures have no funding fees.

Step 3: Total order cost

Total cost = 0.35 USD (less than 0.00001 BTC)

Summary

Accurately calculating the order cost is essential for efficient futures trading on Bitget. By understanding transaction fees, funding fees, and the characteristics of different futures types, you can better plan your trading strategy.