How to calculate contract profit and loss?

U Standard Contract (BTCUSDT)

Assume to buy (long) BTCUSDT perpetual contract worth 10,000 USDT at the price of 50,000 USDT. USDT sold, the final profit is:

[(1 / opening price) - (1 / closing price)] * contract value (1 / 50,000 - 1 / 55,000) * 10,000 = 0.018182 bits Currency exchange to USDT = 0.018182 * 55,000 USDT = 1,000 USDT

Assume to sell (short) a BTCUSDT perpetual contract worth 10,000 USDT at the price of 50,000 USDT. When selling, the final profit is:

((1 / opening price) - (1 / closing price)) * (contract value * -1) (1 / 50,000 - 1 / 45,000) * -10,000 = 0.022 BTC to USDT = 0.022 * 45,000 USDT = 1,000 USDT

How to calculate Unrealized Profit and Loss (PNL) and Return on Equity (ROE%)

U-margined contracts

Users use the mark price as the price benchmark:

Unrealized profit and loss (PNL) = contract quantity * order direction * (mark price - opening price )

Return on Equity (ROE%)

= Unrealized Profit and Loss (USDT) / Initial Margin

= Contract Quantity* Order Direction* (Mark Price- Opening Price) / (Contract Quantity * Contract Multiplier * Mark Price * Initial Margin Ratio (IMR))

• Initial Margin Ratio (IMR) = 1 / leveraged contract