pUSD Arbitrage Tool Settlement Explanation

The pUSD Arbitrage Tool uses a combined strategy of “Discounted Coin Purchase + Futures Hedging.” After a user successfully subscribes, the system will allocate funds into the spot component, futures component, and lock-up component according to the product rules.

During product operation, the system will process settlement based on market price changes, whether the unlock target has been reached, and whether the user chooses early handling according to the product rules.

After settlement is completed, the relevant assets will be distributed to the user’s Wealth Management Account. The actual settlement amount, asset arrival time, and final result are subject to the 100X App display and actual system settlement.

The following example is for explaining the product structure only and does not represent any return commitment.

Taking a user subscription of 11,000 USDT as an example, the system may require the user to provide:

11,000 USDT + 1,000 pUSD + 100 100XT

The product structure usually includes:

The actual investment amount, asset allocation ratio, futures leverage, lock-up amount, and product parameters are subject to the product page.

The pUSD Arbitrage Tool page usually displays different settlement statuses based on order operation, including:

Under different statuses, the system will calculate and settle assets according to the corresponding product rules.

When the market price rises and reaches the unlock target set by the product, the system will automatically enter the settlement process.

Based on the page example:

Status: The project target has been reached. The price has increased by 12%, and the system automatically settles the order.
Spot performance: The price rises by 12%, and the spot value increases to 11,200 USDT.
Futures performance: The 5x short hedge position is valued at 800 USDT.
Final settlement: After settlement, the principal becomes 12,000 USDT.

Under this status, 1,000 pUSD will be converted into equivalent USDT according to the product rules and returned to the user’s account. The locked 100XT will also be returned according to the rules.

USDT principal + pUSD equivalent USDT + profit in USDT + futures principal + realized futures PnL

The formula above is only used to explain the calculation logic shown on the page. The actual settlement result is subject to system processing.

When the market price rises but has not yet reached the unlock target set by the product, the order will not automatically complete target settlement. Users may choose to continue holding or handle the order early when the product conditions are met.

Based on the page example:

Status: The unlock target has not been reached. The price has increased by 10%. If the user chooses early manual redemption:
Spot performance: The price rises by 10%, and the spot value increases to 11,000 USDT.
Futures performance: The 5x short hedge position is valued at 1,000 USDT.
Final settlement: After settlement, the principal becomes 11,000 USDT + 500 pUSD.

Under this status, if the user chooses to exit early, the pUSD portion will be processed according to the product rules. In the page example, early exit will deduct 50% of the pUSD, meaning 500 pUSD will not be converted. The locked 100XT will be returned according to the rules.

USDT principal + 50% × pUSD + profit in USDT + futures principal + realized futures PnL

The formula above is only used to explain the early handling logic shown on the page. The actual pUSD conversion ratio, returned assets, and settlement amount are subject to the order page.

When the market price declines, the value of the spot component may decrease, while the futures hedging component may provide a corresponding hedging effect. Users may choose to continue holding or perform available actions according to the product rules.

Based on the page example:

Status: The product is currently in a market decline status, with the price down 50%. Users may choose to “lock in futures gains” or redeem according to the page rules.
Spot performance: The price drops by 50%, and the spot value becomes 5,000 USDT.
Futures performance: The 5x short hedge position is valued at 7,000 USDT.

Users may choose to close only the futures component according to the page rules, locking in the futures result while continuing to hold the spot component.

In the page example, if the spot price later recovers to the unlock price, the principal after settlement will be 18,200 USDT.

Reference formula:

USDT principal + pUSD equivalent USDT + profit in USDT + futures principal + realized futures PnL

Please note that after locking in futures gains, whether the order can complete final settlement will still depend on subsequent spot price movements and product rules.

If the user chooses to redeem according to the page rules, the system will settle the order based on the current product status.

In the page example, the principal after settlement is 6,000 USDT + 1,000 pUSD. In this case, the system will deduct the price difference portion according to the product rules. When the target has not been reached, 1,000 pUSD will not be converted, and the locked 100XT will be returned according to the rules.

Reference formula:

USDT principal + pUSD - 2 × price difference portion + realized futures PnL

The formula above is only used to explain the calculation logic shown on the page. The actual settlement result may be affected by market price, execution price, futures result, liquidity, and product rules. Please refer to the actual system settlement.

Realized futures PnL is usually calculated based on the opening price, closing price, leverage, and futures principal.

Reference formula:

Realized futures PnL = (Opening Price - Closing Price) ÷ Opening Price × Leverage × Futures Principal

This formula is only used to explain the calculation logic of the futures component. The actual futures result may be affected by execution price, slippage, trading fees, funding fees, market liquidity, and extreme market conditions. Please refer to the actual system settlement.

Some pUSD Arbitrage products may require users to lock a certain amount of 100XT according to the product rules when subscribing.

After the order completes the corresponding settlement process, the locked 100XT will be returned to the user’s Wealth Management Account according to the product rules.

Whether 100XT lock-up is required, the lock-up amount, return conditions, and return time are subject to the product page.

After settlement is completed, the relevant assets are usually distributed to the user’s Wealth Management Account.

Users can view asset changes through the following path:

【Assets】→【Wealth Management Account】

If the order has been settled but the assets are not yet displayed, please follow the page prompt or wait for the system to complete processing before checking again.

The pUSD Arbitrage Tool is a digital asset wealth management product. Settlement results may be affected by market conditions, price fluctuations, strategy execution, futures hedging effectiveness, execution price, slippage, liquidity changes, system processing time, extreme market conditions, and other factors.

Backtested return rates, forecast data, example returns, settlement examples, or historical performance shown on the page are for reference only and do not constitute a return commitment or represent future actual returns.

Users should carefully read the product rules, settlement explanation, and risk reminders before participating, and make decisions cautiously based on their own risk tolerance. The actual settlement conditions, calculation method, asset arrival time, and final result are subject to the 100X App and actual system settlement.