High Level Architecture
Flow of a Trade (Intent → Quote → Settle)
- 01
Trader submits an intent (side/size/leverage/constraints).
- 02
Solvers compete to quote price and execution parameters.
- 03
Trader accepts the best quote.
- 04
Symmio settles the bilateral agreement on‑chain against the trader’s cross‑margin USDC collateral.
Accounts & Collateral (Cross‑Margin)
- Single USDC collateral account backs all positions.
- Unrealized PnL nets across positions, enabling higher capital efficiency.
- Deposits are immediate; withdrawals finalize after a 12‑hour fraud‑proof window.
Leverage & Risk Controls
- Max leverage: per‑market caps as configured by hedgers within Symmio constraints (see Markets snapshot).
- Initial Margin (IM): Minimum capital to open new exposure; scales with leverage and market risk.
- Maintenance Margin (MM): Minimum capital to keep positions open; breaching MM triggers liquidation.
- Liquidations: If account health falls below MM, positions can be reduced/closed to restore solvency. CVA mechanisms ensure counterparties remain whole.
Funding Mechanics
- Funding aligns perp pricing with spot via periodic transfers between longs and shorts.
- Parameters (epoch/window/direction) follow Symmio’s model and per‑market configs.
mermaid
flowchart LR
A[Start Epoch] --> B[Observe mark vs index]
B --> C[Compute funding rate]
C --> D[Accrue funding]
D --> E[End Epoch]
E --> F[Apply balance adjustments]
Oracle & Pricing
- Quotes reflect solver pricing; on‑chain settlement uses Symmio’s standard validations (including Muon‑based signatures where applicable) and risk checks.
Solvers & Hedging
- Orbs’ solver network provides competitive quotes, uptime SLAs, and inventory management (hedging may occur off‑chain).
- Execution is atomic from the trader’s perspective; settlement remains on‑chain and verifiable.
mermaid
flowchart TD
H0[Risk Check] -->|Health OK| H0
H0 -->|Health < MM| L0[Partial Close]
L0 --> H1[Re-check Health]
H1 -->|still < MM| L1[Further Close]
H1 -->|>= MM| S0[Stabilized]