> For the complete documentation index, see [llms.txt](https://docs.fermi.trade/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.fermi.trade/07-market-specs.md).

# 07 market specs

A `PerpMarket` is the on-chain account that defines one tradable perpetual contract. It binds together lot sizing, fees, oracle reference, weights, funding parameters, and the bookside / event-queue PDAs.

This page is the canonical reference for the **fields** that define a market and their **typical values** for the live Fermi markets.

## Listed markets (mainnet)

| Symbol   | `perp_market_index` | Base / quote | Queue PDA                                      |
| -------- | ------------------: | ------------ | ---------------------------------------------- |
| SOL-PERP |                   0 | SOL / USD    | `H298eJU5b4uyAHpeeZQdXS9JUttmmaMh2U6RYkUHFfE9` |
| ETH-PERP |                   1 | ETH / USD    | `764RYGQACUpWqx3dtYUmfG2G3MK6wXT5WPPRHJxzCJQP` |
| BTC-PERP |                   2 | BTC / USD    | `ArvDdpYTojBbH4FkCxLxALmX3Sb5qr4VsmFFkgV2NSC3` |

Live values for `tick_size`, `min_order_size`, fees, and weights are returned by `client.getPerpMarkets(group)` and shown in the trading UI. The fields below explain what they *are*.

## Lot sizes

Lots are the unit of price and size on the book.

* `base_lot_size: i64` (native units of base per lot, e.g. for SOL-PERP a `base_lot_size = 100_000` means 1 lot = 0.0001 SOL).
* `quote_lot_size: i64` (native units of quote per lot, e.g. for any USD market `quote_lot_size = 100` means 1 lot = $0.0001).
* Both must be a power of 10.

**Conversions** (`perp_market.rs:387-395`):

```
native_price = price_lots × quote_lot_size / base_lot_size

native_quantity (base) = base_lots × base_lot_size
native_quantity (quote) = quote_lots × quote_lot_size
```

The smallest tradable size is `base_lot_size` (in native base); the smallest tick on the book is the price increment of one `price_lot`, which depends on the lot ratio. The SDK exposes `uiPriceToLots`/`uiBaseToLots` helpers so you don't have to do this arithmetic yourself.

## Fees

| Field                            | Type     | Description                                                       |
| -------------------------------- | -------- | ----------------------------------------------------------------- |
| `maker_fee`                      | `I80F48` | Fee on the resting side. **May be negative** (rebate).            |
| `taker_fee`                      | `I80F48` | Fee on the crossing side. Must be ≥ 0.                            |
| `fee_penalty`                    | `f32`    | Fixed quote-native fee charged on every IOC order, posted or not. |
| `settle_fee_flat`                | `f32`    | Bonus paid to the caller of `perp_settle_pnl` if eligible.        |
| `settle_fee_amount_threshold`    | `f32`    | Settlement amount required to earn the flat fee.                  |
| `settle_fee_fraction_low_health` | `f32`    | Bonus % when the +PnL account has low health.                     |
| `base_liquidation_fee`           | `I80F48` | Liqor's edge on liquidation base trades.                          |
| `positive_pnl_liquidation_fee`   | `I80F48` | Discount applied to settled positive PnL during liquidation.      |
| `platform_liquidation_fee`       | `I80F48` | Group-owner cut, additional to the liqor fees.                    |

See [14 - Fees](broken://pages/7f4793754fa07ae1152573c67fa3c7dd0e232ad1) for examples and the full computation.

## Weights (perp-specific)

| Field                                                     | Description                                                                             |
| --------------------------------------------------------- | --------------------------------------------------------------------------------------- |
| `init_base_asset_weight`, `maint_base_asset_weight`       | Weight on long base position when computing health.                                     |
| `init_base_liab_weight`, `maint_base_liab_weight`         | Weight on short base position when computing health.                                    |
| `init_overall_asset_weight`, `maint_overall_asset_weight` | Cap on positive perp health contribution; **0 = perp PnL cannot back other positions**. |

If `init_overall_asset_weight == 0`, this market is treated as **isolated for collateral purposes**: positive unsettled PnL on it cannot be borrowed against until you settle it via `perp_settle_pnl`. This is the conservative default for newly listed markets.

## Funding parameters

| Field                           | Description                                                                                                                  |
| ------------------------------- | ---------------------------------------------------------------------------------------------------------------------------- |
| `min_funding`, `max_funding`    | `I80F48` per-day clamp on the instantaneous funding rate.                                                                    |
| `impact_quantity`               | Number of base lots used to compute the impact bid/ask price (the price the order book offers when sweeping that many lots). |
| `long_funding`, `short_funding` | Cumulative funding indexes; per-position deltas accumulate against these.                                                    |
| `funding_last_updated`          | Last timestamp `update_funding_and_stable_price` ran.                                                                        |

See [09 - Funding](broken://pages/680f8696e9d9dc5f1eb5c7a817b364fad32da7f8).

## Settlement parameters

| Field                             | Description                                                                            |
| --------------------------------- | -------------------------------------------------------------------------------------- |
| `settle_token_index`              | Which token (Bank) settled PnL is denominated in (typically USDC).                     |
| `settle_pnl_limit_factor`         | f32 multiplier for per-window settlement caps. Default `0.2`. Set negative to disable. |
| `settle_pnl_limit_window_size_ts` | Duration of the rate-limit window in seconds. Default `86_400` (24h).                  |

## Risk modes

| Field                  | Effect                                                                                      |
| ---------------------- | ------------------------------------------------------------------------------------------- |
| `reduce_only: u8`      | If `1`, no order may *increase* a position; only reducing trades pass.                      |
| `force_close: u8`      | If `1`, admin may use `perp_force_close_position` against accounts. Used during retirement. |
| `group_insurance_fund` | If `1`, this market is eligible for insurance-fund payouts on bankruptcy.                   |

## Oracle binding

Each market references a single oracle account (Pyth, Switchboard, or Stub). On-chain, the program checks at every place / liquidation / funding tx:

* `oracle_state.confidence ≤ conf_filter × price`
* `current_slot - last_update_slot ≤ max_staleness_slots`

If either check fails, the call reverts with an oracle error. See [08 - Pricing](broken://pages/aafaf8bdfcfb4dda589e5271a469b1902a6c481f).

## Open interest and seq

* `open_interest: i64` — sum of absolute base lots across all longs (= sum across shorts; halve to get one-sided OI).
* `seq_num: u64` — monotonically increasing per-market sequence used to construct order IDs (encoded in the upper 64 bits of the order key alongside the price).

## Storage

A `PerpMarket` is a fixed-size 2 808-byte zero-copy account (`const_assert_eq!(size_of::<PerpMarket>(), 2808)` — `perp_market.rs:247`). Including the Anchor 8-byte discriminator the total rent is for 2 816 bytes.

## Reading market state programmatically

```ts
const perp = group.getPerpMarketByName('SOL-PERP');

console.log({
  baseLotSize: perp.baseLotSize.toString(),
  quoteLotSize: perp.quoteLotSize.toString(),
  makerFee: perp.makerFee.toString(),
  takerFee: perp.takerFee.toString(),
  minFunding: perp.minFunding.toString(),
  maxFunding: perp.maxFunding.toString(),
  openInterest: perp.openInterest.toString(),
  oraclePrice: await perp.oraclePrice(connection),
});
```

The CLI equivalent is `cargo run -p fermi-v1-cli -- perp-market-show --market SOL-PERP`.


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