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Universal Trading Account (UTA)

The UTA module provides a unified margin account for trading perpetuals and spot markets.

Overview​

Instead of managing separate collateral for each position, UTA provides:

  • Single margin account for all positions
  • Cross-margining across positions
  • Up to 10x leverage on perpetuals
  • Unified P&L calculation
┌─────────────────────────────────────────────────────────────┐
│                Universal Trading Account                     │
│  ┌─────────────────────────────────────────────────────┐   │
│  │              Collateral Pool                         │   │
│  │    wBTC: 1.5    wETH: 10    USDC: 5000              │   │
│  └─────────────────────────────────────────────────────┘   │
│                          │                                  │
│         ┌────────────────┼────────────────┐                │
│         ▼                ▼                ▼                │
│  ┌────────────┐  ┌────────────┐  ┌────────────┐           │
│  │ BTC-PERP   │  │ ETH-PERP   │  │ SOL-PERP   │           │
│  │ Long 0.5   │  │ Short 2    │  │ Long 100   │           │
│  │ +$500 PnL  │  │ -$200 PnL  │  │ +$50 PnL   │           │
│  └────────────┘  └────────────┘  └────────────┘           │
│                                                            │
│  Total Collateral: $25,000   Total Margin Used: $15,000   │
│  Health Factor: 1.67         Available: $10,000           │
└─────────────────────────────────────────────────────────────┘

Opening Positions​

Long Position​

rp1d tx uta open-position \
  --market BTC-PERP \
  --direction long \
  --size 0.5 \
  --leverage 5 \
  --from my-wallet

Short Position​

rp1d tx uta open-position \
  --market ETH-PERP \
  --direction short \
  --size 2 \
  --leverage 3 \
  --from my-wallet

Managing Collateral​

Deposit Collateral​

rp1d tx uta deposit \
  --amount 1000000uusdc \
  --from my-wallet

Withdraw Collateral​

rp1d tx uta withdraw \
  --amount 500000uusdc \
  --from my-wallet

TypeScript SDK​

import { UTAModule } from '@rp1/sdk';

const uta = new UTAModule(client);

// Deposit collateral
await uta.deposit(wallet, '1000000', 'uusdc');

// Open long position
const position = await uta.openPosition(wallet, {
  market: 'BTC-PERP',
  direction: 'long',
  size: '0.5',
  leverage: 5,
});

// Check account
const account = await uta.getAccount(wallet.address);
console.log(`Health Factor: ${account.healthFactor}`);
console.log(`Total Collateral: ${account.totalCollateral}`);
console.log(`Unrealized PnL: ${account.unrealizedPnl}`);

// Close position
await uta.closePosition(wallet, position.id);

Margin Calculation​

Initial Margin​

Initial Margin = Position Size × Entry Price / Leverage

Maintenance Margin​

Maintenance Margin = Position Size × Entry Price × Maintenance Rate
MarketMaintenance Rate
BTC-PERP0.5%
ETH-PERP0.75%
SOL-PERP1%

Health Factor​

Health Factor = Total Collateral Value / Total Maintenance Margin
  • Health Factor > 1: Safe
  • Health Factor < 1: Liquidation risk
  • Health Factor < 0.5: Liquidation triggered

Liquidation​

When Health Factor falls below liquidation threshold:

  1. Position partially or fully closed
  2. Liquidation fee charged (0.5%)
  3. Remaining collateral returned to user
# Anyone can liquidate undercollateralized accounts
rp1d tx uta liquidate \
  --account rp1underwater... \
  --market BTC-PERP \
  --from liquidator-wallet

Liquidators receive:

  • 50% of liquidation fee
  • Gas costs covered

Funding Rate​

Perpetual positions pay/receive funding every 8 hours:

Funding Rate = (Mark Price - Index Price) / Index Price × Funding Factor
  • Long pays Short when Mark > Index
  • Short pays Long when Mark < Index
# Check current funding rate
rp1d query uta funding-rate BTC-PERP

Query Commands​

Account Info​

rp1d query uta account $(rp1d keys show my-wallet -a)

Position Details​

rp1d query uta position \
  --owner $(rp1d keys show my-wallet -a) \
  --market BTC-PERP

All Open Positions​

rp1d query uta positions $(rp1d keys show my-wallet -a)

Message Types​

MsgOpenPosition​

message MsgOpenPosition {
  string owner = 1;
  string market = 2;
  string direction = 3;  // "long" or "short"
  string size = 4;
  uint32 leverage = 5;
}

MsgClosePosition​

message MsgClosePosition {
  string owner = 1;
  string market = 2;
}

Parameters​

ParameterDefaultDescription
max_leverage10Maximum leverage allowed
liquidation_threshold0.5Health factor for liquidation
liquidation_fee0.0050.5% liquidation fee
funding_interval8hFunding payment interval

Events​

EventTypePositionOpened = "uta_position_opened"
EventTypePositionClosed = "uta_position_closed"
EventTypeLiquidation = "uta_liquidation"
EventTypeFundingPayment = "uta_funding_payment"

Risk Management​

  1. Set stop-loss: Use limit orders to cap losses
  2. Monitor health factor: Keep above 1.5 for safety margin
  3. Diversify: Don't concentrate in single position
  4. Watch funding: High funding rates can erode profits

Next Steps​