Pricing

Spot Price

The spot price is the price of the underlying contract of a perpetual future contract. To calculate spot price, Hibachi finds the average price from both Pyth and Stork.

Last Price

The last price is the price of the most recent perpetual future contract traded on Hibachi. It remains very close to the Spot Price thanks to the funding mechanism.

Mark Price

The mark price is a price derived from a combination of spot prices from Pyth and Stork, the last trade price, and funding rates. Its purpose is to provide a robust and fair price for margining, P&L computation and funding rates.

$$Mark Price = Median ( Price1, Price2, Last Traded Price)$$

$$Price1 = Index Price * (1 + Last Funding Rate * Time Until Funding/8)$$

$$Price2 = Index Price + Moving Average (5min)$$

$$Moving Average (5min) = Moving Average ((Bid1 + Ask1)/2 - IndexPrice)$$

Moving Average is computed every second over a 5 min interval