LBank Launches $100 Million Fund to Protect Traders from Volatility

LBank, a prominent global cryptocurrency exchange, has introduced a $100 million Futures Risk Protection Fund. This initiative aims to enhance trader security and market fairness by mitigating the impact of abnormal market volatility. The fund is designed to activate during wick events, where the K-line price deviates by more than 2% from the market reasonable price within one minute and quickly rebounds. This mechanism covers the top 100 futures trading pairs, including $BTC, $ETH, and $SOL, by market capitalization, ensuring broad coverage across high-liquidity assets.

The fund provides 120% compensation to affected traders who experience forced liquidation or stop-loss losses due to price spikes. The market reasonable price is determined based on a composite value from the top 5 derivatives rankings. Eligible users receive 120% of their losses, credited in USDT to their spot accounts within 48 hours, minimizing disruption and enabling them to stay active in the market. Additionally, LBank will allocate an extra 10,000 USDT each time a price spike occurs, distributed proportionally to all position holders of the affected pair based on their holdings. These rewards are credited directly to futures accounts within the same 48-hour timeframe.

LBank’s $100 million risk protection fund is one of the most comprehensive safeguards in the industry, turning market volatility into an opportunity rather than a setback. By leveraging USDT for seamless settlements, the program eliminates unnecessary complexities, ensuring fair, fast, and transparent risk management. With over 15 million users worldwide, LBank continues to pioneer trader-first innovations, blending deep liquidity, market-leading security, and user-centric initiatives. This latest move reaffirms LBank’s commitment to providing a secure and rewarding trading experience, reinforcing trust and stability in the rapidly evolving crypto futures market.

Founded in 2015, LBank is a leading global cryptocurrency exchange, serving over 15 million registered users. With support for over 800 cryptocurrencies, LBank is committed to delivering a comprehensive and user-friendly trading experience. Through innovative trading solutions, LBank has helped users achieve significant returns on newly listed assets. As a pioneer in the Meme coin market, LBank Crypto Exchange has listed over 240 mainstream Meme coins and 40 Meme gems, with several achieving substantial gains. As the industry leader in first-time Meme coin listings, LBank has become the go-to platform for Meme coin investors.