Interest & Repayment

Daily Interest Fee
When a hedging order is executed, it means that you have borrowed a certain amount of hedging coins from the system (Borrowed Coin Amount = Hedging Amount - Initial Margin). ViaBTC will charge 0.05% of the borrowed coins as the daily interest fee. 

The calculation unit for daily interest fee is hedging coin, which is calculated once a day (calculated as one day even less than 1 day). If repay in advance, the interest of that day will be calculated based on the actual borrowed amount. 

The daily interest fee is calculated as single interest. When repaying or ending hedging order, the interest will be paid first, and then the borrowed coin.

To-be-repaid Interest
When a hedging order is executed, the system will charge 0.05% of borrowed coin as daily interest fee. The interest part will be accumulated in the To-be-repaid Interest. If repay in advance, the interest will be paid first.

To-be-repaid Interest = Borrowed Coin Amount + Total Interest Fee - Total Interest Repaid.

To-be-repaid Amount 
When a hedging order is executed, it means that you have borrowed a certain amount of hedging coins from the system ( Borrowed Coin Amount = Hedging Amount - Initial Margin). If repay in advance, the borrowed coins will be repaid after the current total interest has been paid off.

To-be-repaid Amount = Borrowed Coin Amount + Total Interest Fee - Total Amount Repaid

Repayment (Deleveraging)
The repayment operation in ViaBTC Hedging Service is equivalent to the deleveraging in margin trading. When the Repaid Amount is equal to the To-be Repaid Amount, the current hedging order comes to an end. When the system is executing repayment, the interest will be paid first, and then the borrowed coins. There are 2 approaches of repayment for hedging account: manual repayment and auto-repayment. 

Manual Repayment
When manual repayment is executed, the system will deduct the input Repaid Amount from the current hedging account to proceed repayment. 

Auto Repayment
When opening Auto Repayment, the balance of all mining accounts will be deducted at 10:00 (UTC) every day for repayment until the hedging order is completed.

If the balance of all mining accounts ≥ To-be-repaid Amount, the auto-repaid amount is To-be-repaid Amount. When the current hedging order ends, the hedging coin ( Total Balance - To-be-repaid Amount) will be kept in hedging account, and it will not be returned to the main mining account automatically.

Once Auto Repayment is enabled, [Auto Conversion] and [Auto Withdrawal] functions of all mining accounts will be turned off automatically. You can also choose to re-open [Auto Conversion] and [Auto Withdrawal] manually if needed.