Nitro Spreads is an order book for spreads within the Liquid Marketplace, where you can trade spreads and bases. Spread trading is a strategy that leverages the price difference (or spread) between related assets across different markets, typically involving the same underlying or reference instrument.
Spread trading usually requires traders to manually open positions in two separate order books. With Nitro Spreads, traders can now execute spread trades with a single click. All Nitro Spread orders are guaranteed to be filled in corresponding quantities for each leg or not at all. This minimizes the risk of a zero leg and reduces price slippage. It supports various strategies, including position holding cost farming, spot-futures carry trades, and calendar rolls.
How Does Spread Trading Work?
Spread trading typically involves spot versus perpetual (e.g., BTC/USDT spot vs. BTC/USDT perpetual), spot versus futures (e.g., ETH/USDT spot vs. ETH/USD quarterly futures), or two futures with different expiration dates (e.g., quarterly vs. semi-annual LTC/USDT futures).
Experienced traders can profit from price differences (spreads) between instruments. This strategy involves opening two positions simultaneously in opposite directions (long and short), each with the same amount. Spreads are constructed to be delta-neutral, meaning they carry no delta risk.
Delta indicates how an instrument's price changes relative to the reference asset. For example, if the BTC/USDT price increases by 1 USDT, the BTC/USDT quarterly futures price would also rise by approximately 1 USDT. If both spot and futures prices move up by 1 and a trader holds one long and one short position, the total value of their position remains unchanged (delta risk is offset). This stability and risk protection are key advantages of spread trading.
How Can I Trade on OKX Nitro Spreads?
How Can I Place an Order?
- Log in to
👉 OKX Liquid Marketplace > Trade > Liquid Marketplace > Nitro Spreads - Select the market you want to trade: Currently, BTC/USDT and ETH/USDT are available.
In the Nitro Spreads section, choose an available reservation for the spread you want to buy or sell:
- Select Bid to buy the spread.
- Select Ask to sell the spread.
- Once the order book for your selected spread appears, enter the price and quantity and submit the order.
- After confirming the details, execute the order.
Note:
- Orders exceeding the best available price will be filled immediately. Otherwise, they’ll be added to the order book.
- Open orders expire after 7 days.
How Can I Cancel an Order?
Option 1:
- Select the tile in the Nitro Spread table with a circle indicating your open orders.
- Cancel the desired order in the Open orders section.
Option 2:
- Navigate to Open orders on the Nitro Spreads page.
- Cancel the order you wish to remove.
What If I Want to Execute an Open Order Immediately?
Use the Submit as RFQ option in Open orders for instant quotes and execution from qualified market makers.
What Are the Fees for Nitro Spreads?
- VIP customers enjoy 50% lower fees compared to executing two separate legs.
- Regular customers pay standard fees per leg.
Nitro Spreads FAQs
1. Which Tokens and Instruments Does Nitro Spreads Support?
Currently: BTC, ETH, USDT-margined futures, and perpetual contracts. More tokens will be added.
2. What Spread Combinations Are Supported?
OKX supports: Spot vs. perpetual, spot vs. futures, perpetual vs. futures, and futures vs. futures (quarterly/semi-annual).
3. How Do I Interpret Bid/Ask Prices on Spread Tiles?
Prices represent the spread between instrument execution prices:
- Bid: Price received (or paid) when selling the spread.
- Ask: Price paid (or received) when buying the spread.
4. What Is BBO Alignment?
BBO Alignment compares Nitro Spreads’ best price to the implied best price in the central order book. A negative value means Nitro Spreads offer a better deal.
5. Is Nitro Spreads Liquidity Shared with the Central Order Book?
No. Nitro Spreads liquidity is exclusive and not visible in the central order book.
6. Can I Trade Individual Legs Separately After Settlement?
Yes. Legs become standalone positions tradable in the central order book.
7. Can I Use Central Order Book Assets as Margin for Nitro Spreads?
Yes. Assets and positions within OKX’s ecosystem can be used interchangeably.
👉 Start trading Nitro Spreads today and optimize your spread strategies with OKX’s advanced tools!