In the high-volatility crypto market, building a sustainable funding protection mechanism has become a key competitive factor for contract trading platforms.
As one of the industry pioneers in layout of fund compensation mechanisms, CoinW launched a self-developed product - "Contract Protection Fund Plan" two months ago, aiming to help users bear partial loss risks in extreme market conditions through systematic and platform-based methods.
Recently, the plan officially welcomed its third version update, continuously upgrading its "available and obtainable" fund compensation capability by optimizing subsidy structure, participation paths, and compensation efficiency, constructing a more flexible and predictable trading protection system for futures users.
Market Intense Volatility Demands Urgent Trading Risk Management
In mid-2025, BTC price rapidly surged from $98,000 to near $120,000, welcoming a long-awaited crypto market upward cycle. However, market volatility also accompanied frequent liquidation events, especially with leveraged users' fund risks further amplified, significantly increasing market demand for platform-level risk hedging tools.
In this context, CoinW's Contract Protection Fund Plan emerged. As a self-developed risk management product, it is a "proactive risk management mechanism" designed specifically for contract users, aiming to provide subsidy support for user losses during liquidation or extreme market conditions.
Through the platform's protection fund pool, users can accumulate exclusive quotas based on their "contribution values" from trading or invitation behaviors, instantly claiming USDT subsidies upon losses, which can be used to offset transaction fees, margin, or partial losses.
Since its launch, CoinW has provided fund compensation for over 30,000 futures traders. This mechanism is gradually becoming a "standard configuration" in user trading strategies, driving the platform's trading security system towards a more structured and systematic direction.
Compensation Mechanism Upgrade, Protection Fund Becomes Contract Strategy "Standard Tool"
CoinW's Contract Protection Fund Plan initially focused on "trading return subsidies", setting a maximum protection quota of 500 USDT, which users could accumulate through contract trading behaviors.
The third phase completes an upgrade, comprehensively optimizing participation thresholds, cumulative efficiency, and strategy flexibility to enhance user participation enthusiasm and subsidy practical value. Key upgrade highlights include:
● New Daily Stable Income Mechanism: Users completing daily contract trading of 100 USDT can "check-in", receiving fixed subsidies daily, achieving continuous and stable quota growth.
● Dynamic Quota Accumulation Acceleration: The system automatically adjusts accumulation speed based on users' current subsidy quotas, with lower quotas growing faster, helping users more efficiently obtain the 500 USDT base quota.
● Transaction Fee Accumulation Efficiency Improvement: Transaction fee subsidy conversion efficiency is comprehensively upgraded, achieving "dual acceleration" combined with trading volume, obtaining more subsidies under the same trading expenditure.
● Contribution Dimensions Further Expanded: Trading volume is first incorporated into contribution calculation. After the upgrade, users can obtain subsidies through "trading volume + daily check-in + friend invitation" triple paths.
This mechanism upgrade not only improves subsidy acquisition efficiency but also enhances the functionality and strategic flexibility of protection funds in users' daily trading, upgrading from a single "compensation mechanism" to a dynamic shield throughout the trading lifecycle.
One-Click Participation, More Convenient Subsidy Claiming
Notably, to lower usage thresholds, the third phase significantly simplifies operational procedures:
● One-Click Registration, Immediate Activation: Users automatically participate by clicking the "Enter" button, with personal data calculation starting from the first page entry.
● Instant Compensation Upon Liquidation: After liquidation, enter the "Claimable Pool", click "Claim Reward", and USDT subsidies will be issued to the account!
The entire process requires no customer service intervention, ensuring the subsidy mechanism is truly "usable and obtainable" at critical moments.
From Functional Product to Risk Control Concept, CoinW Drives Trading Protection Standard Upgrade
CoinW's Chief Strategy Officer (CSO) Nassar Ackchar stated: "We observed that even traders with clear strategies might encounter technical penetration during extreme volatility. Our protection fund plan's original intention is to establish a second line of defense for them, so they no longer fight alone."
With the third phase launch, the Contract Protection Fund Plan is no longer just a one-time subsidy tool but is becoming part of the platform-level "risk hedging capability". CoinW will continue to promote this mechanism's productization and standardization, building it into a core risk control capability that is "sustainable, replicable, and verifiable" in contract trading, helping the industry move towards a more stable and mature stage.
About CoinW
CoinW was established in 2017 and has become a global leading crypto asset trading platform, providing one-stop digital asset services for cryptocurrency users in multiple countries and regions. The platform offers intelligent trading services with a daily trading volume exceeding $5 billion, ranked 4th in CMC contracts, with over 10 million registered users. CoinW is committed to "helping users increase wealth" and "empowering blockchain technology transformation", continuously optimizing product architecture and launching multiple independent innovative product lines. Since 2022, CoinW has expanded brand influence by sponsoring international sports events and collaborating with football legend Andrea Pirlo. CoinW also maintains social responsibility by actively engaging in charitable activities, donating resources to support African orphanages and initiating stray animal charity events in Taiwan. In the future, CoinW will continue to promote global inclusive finance, lead crypto industry development, and drive global blockchain and crypto asset popularization.
For more information, visit the CoinW official website, follow CoinW's X account, or join the CoinW Telegram group.
