OKX Introduces Price Protection for RWA Token Index to Mitigate Market Risks - Blockchain.News

OKX Introduces Price Protection for RWA Token Index to Mitigate Market Risks

Alvin Lang Nov 07, 2025 02:05

OKX is set to implement a price protection mechanism for the RWA token index to minimize market volatility, effective November 6, 2025.

OKX Introduces Price Protection for RWA Token Index to Mitigate Market Risks

OKX, a leading cryptocurrency exchange, has announced the activation of a price protection mechanism for its Real-World Asset (RWA) token index. This new measure, effective from November 6, 2025, aims to mitigate market risks associated with the volatility of real-world asset token prices, according to OKX.

Details of the Price Protection Mechanism

The price protection mechanism will clamp the final price of the RWA token index within a specific range. The index price will be restricted to a range determined by the real-world asset price multiplied by a factor of (1 - X) and (1 + X), where X represents a set percentage. For instance, if the XAUT/USD index is used as a reference and X is set to 10%, the index price will be confined within 90% to 110% of the real-world asset price.

In a practical example, if the real-world asset price (XAU/USD) is 4,200, the final RWA token index price will be clamped between 3,780 and 4,620. The calculation involves combining prices from multiple exchanges, weighted by their respective index component weights, to determine the index price.

Impact on XAUT Indices

Currently, price protection is enabled for XAUT/USDT and XAUT/USD indices, with the threshold parameter X set at 10%. OKX has indicated that it may extend this protection to other RWA indices or adjust the parameters based on prevailing market conditions without prior notice.

Data Sourcing and Index Calculation

OKX will source real-world asset prices from multiple data providers to ensure accuracy and reliability. The exchange has also provided a link to further details on the spot index price calculation logic, which can be found on their website.

As the cryptocurrency market continues to evolve, such protective measures are becoming increasingly important to safeguard against sudden price swings that can affect both traders and investors.

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