Pricing Mechanism
DeriW Pricing Mechanism Explained
This document explains how DeriW sources its prices, and how chart prices relate to the prices you actually receive when opening, closing, or triggering an order.
1. Price Sources
DeriW's bid and ask prices are not drawn from a single exchange. They are aggregated in real time from multiple major markets:
Binance
Bybit
OKX
Gate
Hyperliquid
iTick (used to supplement pricing for certain stock/FX-linked assets)
The system continuously pulls quotes from the sources above and takes the best bid (the highest bid across all sources) as DeriW's bid, and the best ask (the lowest ask across all sources) as DeriW's ask. Aggregating multiple sources this way reduces the impact of a single data source experiencing an outage or a brief abnormal quote.
2. Two Prices: Mark Price vs. Execution Price
DeriW uses two distinct prices for two different purposes. Understanding the difference is key to understanding your order results:
Calculation
(Bid + Ask) / 2
Bid or ask, depending on direction
Used for
Chart display, funding rate calculation
Actual fills on open/close/liquidation
Relationship to spread
Bid/ask used here already include a very small, platform-configured spread
Based on the same spread-adjusted bid/ask, applied per direction
Mark Price is the midpoint of the bid and ask, and is what drives the price you see on the chart as well as funding rate settlement. Because the bid/ask feeding into this calculation includes a very small platform-configured spread, you may notice minor differences in chart movement compared to other platforms — this is expected and does not indicate a data issue. Mark Price itself is never used to fill an actual order.
Execution Price is the price you actually receive when opening or closing a position, and can differ from Mark Price depending on direction, as explained below.
3. Execution Pricing Rules for Opening and Closing
DeriW prices opens and closes the way a real market operates:
Open
Long (buy to open)
Ask
Open
Short (sell to open)
Bid
Close / Liquidation
Long
Bid
Close / Liquidation
Short
Ask
This mirrors how any real market works: you buy at the seller's price and sell at the buyer's price. As a result, there is a natural spread between your entry and exit prices. This spread is a normal cost of trading — it is not a system error or an attempt by the platform to inflate prices.
The size of the spread moves with market liquidity — it can widen during sharp volatility or thin liquidity, just as it would on a real exchange.
4. Limit Orders / Stop Loss & Take Profit
The trigger price you set and the price your order actually fills at can differ. This is a normal characteristic of any price-driven order system (as opposed to a manually queued order book):
When the market reaches your trigger price, the system generates your fill price based on the market bid/ask at that moment
In fast-moving markets, your fill price may deviate somewhat from your trigger price
You can set a maximum acceptable slippage when placing an order. If the resulting execution price falls outside that range, the order will not be filled — this protects you from filling at a price far worse than expected during extreme market moves
5. Protections During Extreme Market Conditions
In rare situations — for example, a brief disruption at one of our data sources — the system may detect quotes that appear temporarily invalid. DeriW's price aggregation system is designed to automatically detect and filter these:
Brief data anomalies are filtered out automatically and do not affect your normal trading experience
If an anomaly persists, trading on the affected asset will be paused until pricing returns to normal, to protect user funds
We recommend checking platform announcements before trading for any notices about market anomalies that may affect a specific asset.
If you have any questions about this explanation, please reach out through official customer support channels.
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