Architect
Version 2025-1

AX Fee Schedule

Architect Bermuda Ltd. — Comprehensive framework for transparent, fair, and efficient pricing of perpetual futures contracts on non-digital assets.

Transaction Fee Structure

The exchange implements a Maker-Taker fee model, rewarding liquidity providers and balancing market depth. Higher volume traders benefit from reduced fee tiers.

Taker Fee

Removes Liquidity

Charged to traders who execute against existing resting orders, removing liquidity from the order book.

Maker Fee

Adds Liquidity

Charged to traders who place resting limit orders that add liquidity and depth to the order book.

Tiered Fee Schedule

Based on rolling 30-day trading volume. The tiered fee system incentivizes high-volume traders.

For a limited time, all new AX users will start at Tier 4.
Tier 30-Day Volume Maker Fee Taker Fee
Tier 1 Up to $1M 0.05% 0.10%
Tier 2 $1M - $10M 0.02% 0.05%
Tier 3 $10M - $100M 0.005% 0.04%
Tier 4 $100M 30-day volume or Designated Market Maker* -0.005% 0.00%

Underlying & Mark Price

How the exchange determines fair and reliable pricing for contracts and settlements.

Underlying Price

Sourced from reputable, independent benchmark providers and publicly disseminated data sources:

  • Non-digital assets (currencies, equities): LSEG, S&P, ICE, NASDAQ
  • Digital assets: CF Benchmarks, Coinbase
  • Additional feeds sourced for sanity checks and backup pricing
Mark Price

Computed in real-time for margin calculations, at 1-minute intervals and at settlement time.

Computation Formula

The arithmetic average of snapshot prices from the last 15 one-minute intervals prior to settlement. Each snapshot uses:

70% Trade VWAP weight
30% Mid-Price Average weight
Public Dissemination

All calculated prices are publicly available in real-time, ensuring full transparency for all market participants.

Discretionary Adjustments

In rare cases (exchange closures, market disruptions, data errors), prices may be adjusted following a formal governance process:

  1. 1 CRO submits recommendation with documentation
  2. 2 CEO reviews and approves the adjustment
  3. 3 Board receives report at next meeting
  4. 4 Records available for BMA review upon request

Snapshot Price Determination Rules

How each one-minute snapshot price is resolved

ConditionSnapshot Price
Neither Mid-Price Avg nor Trade VWAP available Previous minute's mark price
Only Mid-Price Average available Mid-Price Average
Both Mid-Price Avg and Trade VWAP available (0.3 x Mid-Price) + (0.7 x VWAP)

Dynamic Funding Rate

A regular mechanism that keeps perpetual futures prices aligned with the underlying spot market.

How It Works

The funding amount equals the difference between the Mark Price and the Underlying Price at settlement time.

Mark > Underlying

When the Mark Price exceeds the Underlying Price, long holders pay and short holders receive.

Mark < Underlying

When the Mark Price is below the Underlying Price, long holders receive and short holders pay.

Frequency

Conducted regularly on a published schedule, typically once per business day, accounting for holidays and exchange closures.

Transparency

Real-time and historical funding rates are publicly available for all participants.

Collateral Valuation

Accepted collateral types and their valuation methodology.

Accepted Collateral
$
US Dollar (USD)
Fiat Currency
1:1
U
USDC
Digital Stablecoin
1:1 USD
Collateral Haircuts

During periods of high market stress, the exchange reserves the right to assess a haircut on the collateral value of non-USD assets. This ensures over-collateralization and helps mitigate liquidation risks.

Additional fiat currencies and digital asset stablecoins may be accepted at the Company's discretion in the future.

Settlement & Profit Realization

How profits, losses, and continuous trading are handled on the platform.

Marking to Market

All profits and losses are marked to market in near real-time. They are added to or subtracted from traders' account collateral value as they occur, reflecting current market conditions and minimizing settlement risks.

Continuous Trading

Perpetual futures contracts do not have an expiration date. Traders may hold their positions as long as margin levels are maintained, with regular profit and loss realization based on market conditions.

Discretionary Price Adjustments

Governance and oversight procedures for rare price adjustments in the interest of market fairness and integrity.

Adjustment Procedure

Expected to be exceedingly rare — only undertaken to ensure market integrity

  1. 1 CRO Recommendation — Formal recommendation with documentation and clear rationale.
  2. 2 CEO Approval — Materials submitted to CEO for review and approval before any adjustment.
  3. 3 Board Review — All adjustments compiled by CRO and presented at subsequent Board meeting.
  4. 4 Regulatory Access — Full records available for BMA review upon request, in line with DABA, IBA, and the Codes.

Triggering Events

Examples of events that may warrant discretionary adjustment

Unexpected exchange closures
Market disruption events
Technical or computer failure
Clear data or market error
Erroneous benchmark data points
Any event causing unfair price computation

Defined Terms

Key terms referenced throughout this policy

TermDefinition
BMABermuda Monetary Authority
CompanyArchitect Bermuda Ltd.
DABADigital Asset Business Act 2018 (as amended)
IBAInvestment Business Act 2003 (as amended)
DABA CodeDABA Code of Practice dated February 2024
IBA CodeIBA Code of General Business Conduct and Practice dated July 2022
Digital AssetsAnything in binary format with the right to use it — including representations of value used as medium of exchange, unit of account, or store of value
CEOChief Executive Officer
CROChief Risk Officer

This Policy is reviewed at least annually by senior management. Significant changes to the client protection framework will be reflected and submitted to the Board for approval.

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