When it comes to cryptocurrency derivatives trading, two major platforms often stand out: OKEx and Huobi. Both have built strong reputations in the futures and contract trading space, but they differ significantly in design, risk management, and user experience. This in-depth comparison explores the core differences between OKEx contract and Huobi contract, helping traders make informed decisions based on leverage, fees, liquidity, and risk controls.
Contract Design and Core Features
Both OKEx and Huobi support major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and others, using inverse pricing—meaning contracts are denominated in BTC rather than USDT. The standard BTC contract size is 100 USD on both platforms, and both use high maintenance margin rates or adjustment coefficients to achieve zero loss-sharing (zero clawback).
However, key differences emerge in flexibility and user control:
- Leverage:
Huobi offers fixed leverage tiers: 1x, 5x, 10x, and 20x. Notably, it imposes margin caps for large accounts—e.g., users with over 1,000 BTC in equity can only use 50% of their balance as margin. This reflects a conservative risk approach.
In contrast, OKEx supports 1x to 100x leverage, adjustable even after opening a position. This flexibility appeals to aggressive traders and short-term speculators. - Settlement Price:
Huobi calculates settlement using the volume-weighted average price (VWAP) over the last hour before expiry—considered more stable and resistant to manipulation.
OKEx uses the last traded price at settlement time, which can be more volatile but simpler to verify. - Margin Mode:
Huobi currently supports only cross-margin, where all account funds act as collateral for open positions. This helps avoid liquidation during volatility but risks total account exposure.
OKEx offers both cross and isolated margin modes. Isolated margin limits risk per trade—a preferred choice for disciplined traders who want to cap losses.
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Risk Management and Liquidation Policies
Liquidation is a critical concern in leveraged trading. Both platforms aim to prevent systemic risk through high maintenance thresholds.
Huobi’s Adjustment Coefficient functions similarly to OKEx’s maintenance margin rate × leverage. For small positions (0–999 contracts), Huobi’s threshold is roughly double that of OKEx.
- At 20x leverage, Huobi triggers liquidation at 80% loss, while OKEx allows up to 90% loss before forced exit.
- This means Huobi liquidates earlier—protecting the system but reducing trader flexibility.
However, for large positions (over 10,000 BTC contracts), the dynamic reverses:
- Huobi’s adjustment coefficient plateaus, while OKEx’s rises up to 40%.
- As a result, large holders (whales) face lower liquidation risk on Huobi, making it more institutional-friendly at scale.
Both platforms use mark prices to prevent "price pinning" (manipulated liquidations):
- OKEx uses: Spot Index + Moving Average of Basis.
- Huobi uses an EMA-adjusted price.
- Liquidation occurs only when both actual and EMA-based margin ratios drop to zero.
Notably, both have achieved zero clawback events on Bitcoin futures since mid-2019 due to robust risk buffers.
Risk Reserve Funds and Market Stability
Risk reserves absorb losses from deep liquidations, protecting the platform from insolvency.
As of August 2019:
- OKEx: Held 1,729 BTC in reserve (+111 BTC weekly).
- Huobi: Held 1,093 BTC (+99 BTC weekly).
While OKEx’s reserve is larger, both are substantial. These funds originate from traders’ liquidated margins—effectively turning user losses into platform stability. Some argue exchanges could return surplus reserves to users, improving trust.
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Trading Fees: Cost Efficiency Comparison
Low fees matter for high-frequency and volume traders.
Taker Fees (Lv1):
- Huobi: 0.03%
- OKEx: 0.05%
- Maker Rebates: Huobi offers higher rebates for market makers.
For VIP users:
- VIP3: Huobi has lower taker fees.
- VIP5–7: OKEx offers better maker rates but higher taker costs.
Example: A trader with $10,000 capital, using 10x leverage, trading three round-trips daily:
- Monthly savings on Huobi vs. OKEx: ~$1,800, boosting effective returns by 18%.
This cost advantage likely contributes to Huobi’s rapid volume growth.
Volume and Market Activity
Growth momentum tells a story:
Huobi Contract:
- Launched December 2018.
- Achieved $67 billion+ cumulative trading volume by August 2019.
- Q2 2019 volume surged 468% from Q1.
- Daily volume up over 10x from January levels.
OKEx:
- Steady growth with spikes in April–May 2019 (72.7% and 157% MoM).
- Higher absolute open interest: 562K BTC contracts vs. Huobi’s 297K (August 2019).
Interestingly, Huobi surpassed OKEx in BTC quarterly contract volume by June 2019—driven by aggressive fee policies and marketing.
Liquidity and Order Book Depth
Liquidity affects slippage and execution quality.
Bid-Ask Spreads (Avg., Aug 1–20):
| Contract Type | Huobi (USD) | OKEx (USD) |
|---|---|---|
| Quarterly | 0.199 | 0.116 |
| Weekly | 0.43 | 0.66 |
| Next-week | 3.16 | 3.85 |
- OKEx leads in quarterly contract tightness.
- Huobi shows tighter spreads in weekly and next-week contracts, suggesting stronger short-term liquidity.
Order Book Depth (Top 20 Levels)
Price clustering near mid-price:
- OKEx: Avg range = 9.43 USD
- Huobi: Avg range = 10.78 USD → slightly wider spread.
Volume in top 20 levels:
- Huobi had deeper books on 16 out of 20 days, averaging 1.36x more volume than OKEx.
Despite slightly looser clustering, Huobi’s higher order volume suggests better depth for large orders.
Price Volatility and "Wick" Analysis
"Spoofing" or "wicks" (sudden price spikes) can trigger unfair liquidations.
Analysis (June–August 2019):
- Minute-level data: OKEx shows lower average volatility but higher standard deviation.
- Daily data: Huobi has lower average swings but higher extremes.
Manual review of long-wick candles across 10 volatile days:
- 5 days with sharp moves on each platform.
- Recent wicks smaller on Huobi—indicating possible improvements.
Verdict: Both exchanges show comparable "pinning" risks for BTC quarterly contracts.
Strategic Implications for Traders
🔹 Self-Stop-Loss Over System Liquidation
Since both platforms confiscate full margin upon liquidation:
- Set manual stop-losses before hitting the liquidation price.
- On Huobi, the system takes over ~$100 below liquidation price; OKEx uses ~$50.
- If slippage is under $100 (Huobi) or $50 (OKEx), self-exit reduces loss.
🔹 Quarterly vs. Perpetual Arbitrage
Only OKEx offers perpetual contracts, enabling arbitrage:
- When spot price rises, quarterly contracts often trade at a premium.
- Strategy: Buy quarterly + sell perpetual (or spot) when spread widens.
- Example: In mid-2019, BTC quarterly-perpetual spread exceeded $500 at peaks.
- At spread ≈ $0, go long quarterly + short perpetual for low-risk carry.
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🔹 High-Frequency & Scalping
Huobi’s lower fees benefit high-turnover strategies:
- Monthly savings of $1,800 on moderate activity.
- Combined with strong weekly/next-week depth, ideal for scalpers.
FAQs
Q: Which exchange has better leverage options?
A: OKEx wins with adjustable leverage up to 100x. Huobi caps at 20x and restricts large accounts—better for risk control but less flexible.
Q: Does Huobi have perpetual contracts?
A: As of this analysis, no. Only OKEx supports perpetual futures, limiting Huobi’s appeal for spot-futures arbitrage.
Q: Which platform has lower liquidation risk?
A: For small accounts (<10,000 contracts), OKEx allows deeper drawdowns (90% vs. 80%). For whales, Huobi becomes safer due to capped adjustment coefficients.
Q: Are there clawback risks?
A: Both platforms have had zero clawbacks on BTC futures since mid-2019 thanks to high buffer margins and risk funds.
Q: Which has better liquidity?
A: Mixed results—OKEx leads in quarterly contract tightness; Huobi excels in weekly depth and order volume.
Q: Can I withdraw profits immediately?
A: Yes—Huobi allows real-time withdrawal of realized profits (previously locked until settlement), a usability upgrade.
Final Verdict
Huobi Contract, despite launching less than a year ago, has rapidly gained market share through low fees, strong liquidity in short-dated contracts, and whale-friendly risk policies. However, it lacks perpetual contracts and isolated margin—limiting strategic flexibility.
OKEx, with five years of development, offers superior functionality: higher leverage, isolated margin, perpetual futures, and better support for complex strategies like arbitrage.
Choose Huobi if you prioritize cost-efficiency, trade frequently, or are a large holder avoiding early liquidation.
Choose OKEx if you need advanced tools, higher leverage, or engage in cross-product trading strategies.
Both platforms excel in different areas—your trading style should guide your choice.