The cryptocurrency landscape continues to evolve at a rapid pace, and major exchanges are responding by expanding their offerings to meet growing investor demand. In a recent development, Huobi (now rebranded as HuoBi) has officially launched ARB/USDT-denominated perpetual contracts, marking a significant step in supporting one of 2023’s most anticipated Layer 2 blockchain launches — Arbitrum.
This move follows Huobi's earlier listing of ARB in its spot market, reinforcing its commitment to providing traders with early access to high-potential digital assets. With this new derivative product, users can now engage in leveraged trading on the Arbitrum token using USDT as the base currency, enhancing flexibility and hedging opportunities.
What Is the ARB/USDT Perpetual Contract?
A perpetual contract is a type of futures contract that doesn't have an expiration date, allowing traders to hold positions indefinitely as long as they meet margin requirements. The ARB/USDT perpetual contract enables traders to speculate on the price of Arbitrum’s native token (ARB) against the stablecoin Tether (USDT), with built-in funding rate mechanisms to keep the contract price aligned with the underlying spot market.
Huobi’s implementation uses a USDT-margined model, meaning traders deposit USDT as collateral, simplifying risk management for those already holding stablecoins.
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Key Features of Huobi’s USDT-Margined Perpetual Contracts
To ensure transparency and risk control, Huobi has published detailed specifications for its USDT-margined perpetual contracts. While exact parameters may vary slightly based on market conditions, core features include:
- Leverage Options: Flexible leverage settings allow both conservative and aggressive traders to participate.
- Funding Rate Mechanism: Periodic payments between long and short positions help align the contract price with the index price.
- Risk Management: Dynamic adjustments to maintenance margin and insurance funds protect against liquidations during high volatility.
- Index Price Tracking: Prevents price manipulation by using a composite index from multiple top-tier exchanges.
Huobi reserves the right to adjust these parameters in real time based on market fluctuations and risk assessments. Traders are advised to monitor live data within the trading interface for the most up-to-date values.
Why Arbitrum Matters in 2025
Arbitrum has emerged as a leading Ethereum Layer 2 scaling solution, designed to reduce congestion and lower transaction fees while maintaining Ethereum’s security. Since its mainnet launch, it has attracted major DeFi protocols, NFT projects, and institutional interest.
The ARB token, launched in March 2023, serves as the governance token for the Arbitrum DAO, enabling holders to vote on protocol upgrades, treasury allocations, and ecosystem development. Its introduction sparked widespread trading activity across global exchanges.
With increasing adoption of Layer 2 networks, perpetual contracts on ARB provide essential tools for traders seeking exposure to Ethereum’s scaling evolution.
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Frequently Asked Questions (FAQ)
Q: When did Huobi launch the ARB/USDT perpetual contract?
A: Following the initial spot listing of ARB, Huobi announced the rollout of the ARB/USDT perpetual contract shortly afterward. While the exact date isn’t specified in public updates, it became available in Q2 2023, shortly after Arbitrum’s token generation event.
Q: Can I trade ARB perpetuals with leverage on Huobi?
A: Yes. Huobi offers variable leverage options on its USDT-margined perpetual contracts. Users should review current limits and risk controls directly in the trading interface, as these may be adjusted dynamically based on market volatility.
Q: How is the ARB/USDT contract price kept accurate?
A: The platform uses an index-based pricing mechanism, aggregating data from several reputable exchanges to calculate a fair market value. This prevents manipulation and ensures funding rates reflect true market conditions.
Q: Are there funding fees when holding ARB perpetual positions?
A: Yes. Like most perpetual contracts, ARB/USDT includes periodic funding fees paid between longs and shorts. These occur every 8 hours and are determined by the difference between the contract price and the index price.
Q: Is ARB available on other major exchanges?
A: Yes. Besides Huobi, ARB is listed on leading platforms such as Binance, Coinbase, Kraken, and OKX, often with both spot and futures markets available.
👉 Compare real-time ARB trading pairs and fee structures across top exchanges.
What’s Next for Huobi Derivatives?
Huobi has signaled plans to expand its derivatives suite further, with potential listings of additional altcoin perpetuals and options contracts. As user demand grows for exposure to emerging sectors like AI-blockchain integration, decentralized identity, and modular blockchains, expect more innovative financial instruments to follow.
Traders should stay informed through official announcements for future launches.
Final Thoughts
The introduction of the ARB/USDT perpetual contract on Huobi underscores the exchange’s focus on delivering timely access to trending crypto assets. For traders looking to capitalize on Arbitrum’s ecosystem growth or hedge existing positions, this derivative offers valuable utility.
As Layer 2 solutions continue gaining traction, instruments like USDT-margined futures will play a crucial role in shaping market dynamics and liquidity.
Whether you're a seasoned trader or exploring leveraged products for the first time, monitoring developments around key tokens like ARB can open strategic opportunities in the evolving digital asset economy.
👉 Start practicing with demo trading tools before entering live ARB markets.